The final signature is written, keys are placed in your hand, and you are now a proud owner of a commercial property. You went beyond the lender’s minimum insurance coverage requirements and made sure you have adequate protection. Your insurance agent walked you through your policy and give you lists of phone numbers to call for all sorts of things. BUT, the thing they leave out is how to prepare yourself for the common drawbacks of filing a claim when needed.
What are these drawbacks? Let's take a look at four of the most common commercial insurance disputes, and how you can prepare yourself in the event that you need to file a commercial property insurance claim.
1. Coverage Limits
Coverage limits and exclusions are one of the most disputed items when it comes to commercial housing businesses. Confusing wording and complex legal jargon can make it difficult to understand what exactly is protected. That's why it's vital to go through every detail when signing up for an insurance policy. Don’t let your agent talk you out of coverage, and make sure that both you and your agent understand what you want protected.
2. Loss Assessments
Loss assessments, such as assessments of structural damage, repair costs, and projected profit losses, are often disputed due to different approximations for losses. You may say the damage will cost twenty thousand dollars and your insurance company may say they're only offering five thousand. This is when you might want legal help to ensure you get what you deserve from your insurance company.
3. Communication Trouble
Poor communication between you and your insurance company can lead to all kinds of issues. It’s essential to keep track of your communication with your insurance company, ideally from the start of your interactions with them. This isn’t always possible, so it’s important to at least keep up regular communication and consistent documentation in order to prevent any present and/or future disputes.
Not sure where to start with documentation? Try this — Every time you talk to your insurance agent or a representative from your insurance company, record your call or take notes immediately after your call or meeting, so you don't forget what happened.
4. (Not) Great Expectations
Having unreasonable expectations will not only prolong the claims process, but can also hurt your business relationship with your policyholder. As much as we’d all love to believe that our insurance companies are as kind and accommodating as they are in their commercials, it is sadly not the case. It’s important to go into any interaction with your insurance with the knowledge of your claim and policies in order to prevent any complications.
Before you put on the boxing gloves…
Prepare yourself in advance for situations like these. If you have documentation of correspondences and realistic expectations, then filing a claim is more likely to go smoothly and deliver a quicker payoff. If you still have questions or concerns, or just need someone with more experience on your side, give us a call or visit our website and schedule an appointment we’re more than happy to help.
