A skilled lawyer will start by assessing the validity of the reason your claim was denied. If they give you a reason, that is, as sometimes they don’t.
Back in 2015, the state of New Jersey introduced mandatory one-page insurance policy summaries in an effort to make it easier for policyholders to understand what type of damages are covered and what aren’t. This is a step in the right direction, but many more are needed to stop insurers from wrongfully denying home insurance claims or from trying to minimize the value of the damages. If you’ve had your claim denied or the company is taking too long to come to a conclusion in your case, the best thing you can do is to get in touch with an experienced homeowners insurance claims lawyer in New Jersey.
Steps to take if your homeowners insurance claim was denied
If you feel your claim was wrongfully denied, get over the inevitable feelings of anger and frustration and take swift action.
Provide new evidence
One way of getting your insurer to reconsider your claim is to contact them again and provide new evidence proving the damages to your property. This can only work if you can find such evidence. Chances are you’ve already submitted all the required evidence and they still denied your claim.
Get an independent appraisal
If the insurance company is trying to lowball you by offering you a settlement far below the damages to your house, you should consider hiring an independent adjuster to make a new estimate on the damages and the expected repair costs. There are two possible outcomes here. If the independent appraisal is only a little above what the insurer offered, just take their settlement and be done with it.
On the other hand, if the independent estimate is considerably higher, contact your insurer and let them know about it. There’s a high chance they won’t be swayed, in which case the only thing left to do is hire a homeowners insurance claim lawyer in Newark and let them negotiate with the insurer. A knowledgeable lawyer will certainly be more convincing than you ever will.
Appeal the insurance claim denial
You will need a seasoned insurance claims lawyer for that as you must submit valid reasons why your claim should be reevaluated.
A skilled lawyer will start by assessing the validity of the reason your claim was denied. If they give you a reason, that is, as sometimes they don’t.
If, for instance, your claim was denied because you didn’t pay the premium on time, there’s no point in appealing the decision, unless of course you can prove you did send them a cheque and they’re lying.
If it’s a question of coverage, you need someone with extensive knowledge in this area. Although the one-page insurance policy summary clearly explains what a standard contract covers, many problems are open to interpretation. For example, mold damage can be caused by flooding or by continuous seepage. Your insurer will insist the mold was caused by the latter, which is not covered, although you know it only appeared after your basement was flooded by a burst pipe.
An experienced lawyer will certainly call in an independent expert to give an opinion on that matter.
Whatever you decide, you need to act fast. Although the statute of limitations for breach of contract in New Jersey is six years, most insurance policies include provisions limiting that time to one year starting from the date of your loss.
