Put Safety First
Do not try to re-enter your home or make repairs until it is safe to do so. If you evacuated, return only when authorities say it is safe. Use caution when re-entering your home as some damage may not be immediately visible.
If your property was flooded:
- Avoid floodwater. It may be contaminated by oil, gasoline, raw sewage, or other hazards.
- Floodwater may be electrically charged by underground or downed power lines. Stay away from downed power lines and report them to the power company.
- Avoid moving water and use caution in areas where floodwater has receded. Roads may have weakened and could collapse under the weight of a vehicle.
- Listen for news reports to find out whether your community’s water supply is safe to drink.
- Have damaged septic tanks, cesspools, pits, and leaching systems serviced as soon as possible.
What should you do if you have property damage?
Contact your insurance company or insurance agent as soon as possible to report the damage.
Most homeowner's policies cover the reasonable costs of emergency clean-up and temporary repairs. Repairs such as boarding up damaged windows and patching holes in walls or roofs are appropriate even if you have not yet seen the company representative. The cost of hiring someone or the costs you spend to make repairs will be applied against the coverage limit. You should also safeguard your personal property by moving it to a protected area if necessary. Finally, you should begin cleaning and drying items damaged by water in order to reduce the likelihood of mold. Be sure to keep all of the receipts for both the labor and materials of temporary repairs.
No matter what temporary repairs you make, take photographs to show the way the damages looked before you begin cleaning and repairing. Talk with your insurer first if you must throw away items of value that are bacteria-laden or move items before insurance adjuster has seen them. Be sure to keep receipts for all of your clean-up expenses. When you do speak to your company representative, be sure to explain what temporary repairs you have made.
Check out our Post Disaster Claims Guide for more information about the steps to take following a disaster.
What happens after you file a claim?
An adjuster will review your policy and the damage to determine what coverage, deductibles, and policy limits may apply. Your insurance company may use its own adjuster or an independent adjuster to inspect the damage and handle the claim. Massachusetts consumers may also choose to hire a public insurance adjuster.
The amount and timing of a claim payment will depend on your policy and your loss. Your full claim payment may come in more than one payment. The insurer typically makes a partial payment up front in order to get work started. Once the repairs are complete, the insurer will pay the difference between the amount already paid and the actual cost to repair the building. The company will only pay up to the limits on your policy.
If you have a replacement cost policy, your company will probably require you to insure your building for at least 80% of its replacement value - often closer to 100%. Be sure to consult your policy to learn about any possible restrictions in moving to a new location versus repairing/rebuilding on-site.
If there is a discrepancy over the cost of repairs or if the contractor has found hidden damages, you should first contact the company claims representative and try to resolve the difference. The fastest way through that process is to have your contractor and the company adjuster meet at the home at the same time. If you are still unable to resolve your differences, you can file a complaint with the Division of Insurance's Consumer Services Unit.
As for your contents, most insurance policies pay the actual cash value of the items that were damaged or destroyed. Actual cash value is what the item is worth minus any depreciation. For example, it might cost $1000 to replace your sofa with a new one at today's prices. If your sofa was 10 years old on the day it was destroyed, the company will only pay you whatever a 10-year-old sofa would be worth - $1,000 minus 10 years of depreciation. You might only receive $200 for your ten-year-old sofa. Replacement cost coverage for your personal contents protects from that depreciation, but it costs more. If you paid an extra premium for replacement cost coverage on your personal contents, the company first pays you the actual cash value as described above. Once you have actually replaced the items, and submitted your receipts, the company will then pay you the difference.
As you begin replacing damaged items, be sure to keep all receipts. You may wish to submit accumulated receipts to the company every two weeks or so, rather than sending them in one at a time. If you elect not to replace the damaged items, you can submit a claim for the actual cash value of those items. You then have six months from the date of this payment to make a replacement cost claim. The six-month limit only applies when you choose to make an actual cash value claim. If the company chooses to make an actual cash value payment, there is no time limit for making a replacement cost claim.
The damages to my house are more than the insurance policy covers. What can I do?
Check with the federal agencies at the local disaster center to see if you are eligible for a grant or low-interest loan.