What You Need to Know to Ensure Fair Compensation
When a property owner experiences a large-scale disaster, the resulting damage can be overwhelming. Whether it’s due to a natural disaster, fire, or other catastrophic events, large loss claims require a higher level of expertise and attention to detail compared to typical insurance claims. These claims are not only about the physical damage to the property but also involve assessing high-value assets and ensuring that all facets of the damage are addressed.
Filing a large loss claim can be a daunting task, especially when multiple areas of the property are affected, or when business operations are disrupted. Working with an experienced public adjuster like those at CordoClaims can help you navigate the complexities of the claim process and maximize your settlement.
What Qualifies as a Large Loss Claim?
A large loss claim typically involves significant damage, with repair costs exceeding a specific threshold. While there’s no universal definition, large loss claims often involve six-figure repair estimates or higher. These claims can result from various catastrophic events, including:
Natural Disasters: Hurricanes, floods, tornadoes, and earthquakes can cause widespread damage to commercial and residential properties, often requiring substantial reconstruction efforts.
Fires: Fires that destroy entire sections of a building or multiple properties at once often lead to large loss claims. This includes not only damage from the flames but also smoke and water damage from firefighting efforts.
Water Damage: Extensive water damage from floods, storms, or broken pipes can destroy walls, flooring, and the foundation of a property. This type of damage often leads to mold growth, which further complicates the claim.
Business Interruption: For commercial properties, a large loss claim may also include business interruption coverage, which compensates the owner for lost income while the property is being repaired.
Large loss claims are different from smaller claims in that they often involve more complex insurance policies, higher repair costs, and longer timelines for resolution. Because of this, it’s crucial to have a skilled advocate who understands the intricacies of large loss claims.
How Does the Large Loss Claim Process Work?
The process of filing a large loss claim is more involved than a standard property damage claim. Here are the steps you can expect to go through:
Initial Damage Assessment: After the incident, the first step is to assess the damage. In large loss claims, this initial assessment must be thorough, as there may be structural issues or hidden damage that isn’t immediately apparent. It’s important to document all damage with photos, videos, and detailed notes.
Hiring Experts for Inspections: Large loss claims often require the expertise of various professionals, including engineers, contractors, and environmental specialists. These experts will help assess the full extent of the damage and provide detailed reports that can be used in the insurance claim.
Filing the Claim with Your Insurance Company: Once you’ve gathered the necessary documentation, you’ll file the claim with your insurance company. Be prepared for a lengthy process, as large loss claims tend to take longer to resolve than smaller claims. Your insurance company will assign an adjuster to evaluate the damage and provide their own estimate of the repair costs.
Negotiation: The insurance company’s initial offer is rarely enough to cover the full cost of repairs, especially in large loss cases. This is where working with a public adjuster, like CordoClaims, is invaluable. A public adjuster will negotiate with the insurance company on your behalf, ensuring that all damage is accounted for and that you receive the full compensation you deserve.
Repair and Restoration: Once a settlement is reached, the repair and restoration process can begin. In large loss cases, this process can take months or even years, depending on the severity of the damage.
Why Do Large Loss Claims Require a Public Adjuster?
Large loss claims involve multiple layers of damage, extensive documentation, and often a series of negotiations with the insurance company. Without professional representation, you may find it difficult to get the compensation you need to cover the full cost of repairs. Here’s why hiring a public adjuster is crucial for large loss claims:
Expert Damage Assessment: Public adjusters are skilled at identifying hidden damage that may be overlooked by the insurance company’s adjuster. This includes issues like foundation problems, water damage, and mold that can worsen over time if not addressed.
Understanding Complex Insurance Policies: Large loss claims often involve complex commercial insurance policies with multiple coverages, including property damage, business interruption, and liability coverage. A public adjuster understands these policies and can ensure that all applicable coverages are used in your claim.
Maximizing the Settlement: Insurance companies are often motivated to minimize payouts, especially in large loss claims where the costs can be significant. A public adjuster works for you, not the insurance company, and will negotiate aggressively to ensure that you receive the maximum settlement.
Coordinating Repairs: Once a settlement is reached, the public adjuster can help coordinate the repair and restoration process, working with contractors and other professionals to ensure that the work is completed to a high standard.
Challenges in Large Loss Claims
Filing a large loss claim comes with unique challenges that require specialized knowledge to overcome. Here are some common challenges you may face:
Underestimation of Damage: Insurance adjusters may underestimate the cost of repairs or fail to account for hidden damage. A public adjuster can conduct a more thorough assessment and challenge any lowball estimates.
Lengthy Negotiation Process: Large loss claims often involve lengthy negotiations between the property owner and the insurance company. Without a public adjuster, you may be pressured into accepting a lower settlement than you deserve.
Business Interruption Complications: For commercial property owners, proving business interruption losses can be complex. Public adjusters can help document lost income, additional expenses, and any other financial impacts resulting from the interruption.
Policy Exclusions: Some insurance policies may have exclusions or limitations that affect your claim. A public adjuster can help you navigate these exclusions and ensure that you receive the compensation you’re entitled to.
Steps to Take After a Large Loss
If your property has suffered significant damage and you’re preparing to file a large loss claim, follow these steps to ensure the best possible outcome:
Document Everything: Take photos, videos, and notes of all visible damage. Be sure to capture every affected area, including structural damage, personal property losses, and any signs of water or mold.
Get Expert Opinions: Hire engineers, contractors, and other professionals to assess the damage and provide estimates for repairs. Their reports will be crucial in supporting your claim.
Contact a Public Adjuster: Don’t go through the large loss claims process alone. A public adjuster can help you gather the necessary documentation, file the claim, and negotiate with the insurance company to maximize your settlement.
Stay Organized: Keep all receipts, invoices, and communication related to the damage and repairs. This documentation will be essential in proving the full extent of your losses.
Call CordoClaims for Expert Assistance with Large Loss Claims
At CordoClaims, we understand the complexities of large loss claims and the stress that property owners face after a catastrophic event. With over 20 years of experience, our public adjusters have successfully handled large loss claims for homeowners and business owners, ensuring that they receive the compensation needed to rebuild and recover.
If your property has suffered a large loss, don’t navigate the claims process alone. Call CordoClaims today at (877) 552-6736 for a free consultation. Let our experienced team advocate for you and ensure that you receive the full settlement you deserve.
