How home insurers will issue claim payments.
After filing a claim with your homeowners insurance in Whitestone, New York, you might be surprised when your payment comes in different stages. If you received an insurance check that does not cover the full cost of your claim, then try not to worry; it’s likely that another check is on the way. To ensure that you get the full value of your claim, here’s what you need to know about the home insurance claim payment process.
Insurance Checks Can Be Made Out to Different Parties
- The homeowner– If you make a claim for your personal contents, then you will receive the check that your insurance company issues.
- The mortgage company– If you have a home mortgage, then your insurer might issue a check to your mortgage company. This usually happens when you make a claim for home damages. Your lender may put this money into an escrow account and pay for the home repairs as the work is being done.
- The contractor– In some cases, your insurer will issue a check to the contractor who is handling your home repairs.
- The third-party– If you filed a liability claim, then your insurer might issue compensation payment directly to the party who suffered the property damages or injuries that you are responsible for.
Claim Payments Can Occur in Multiple Stages
After filing a home insurance claim, you may receive multiple checks before the claim is settled. This is dictated by the type of claim you have filed and your insurance company’s rules. For instance, your insurance provider might handle major disaster claims differently than small theft or burglary claims. Usually, larger claims result in multiple payments. You should speak to your home insurance agent to learn about your insurer’s specific claim payment policies.
Final Payment Notices
When your claim is settled, you will sign a notice that shows the total amount paid in the claim. This document will verify that the claim is being closed and that you accept the final claim payment. Until you receive this notice, you need to keep track of your claim checks and expenses to ensure that your insurer has completely covered the cost of your claim.
This is what you need to know about the home insurance claim process. Do you have further questions regarding your homeowners insurance in Whitestone, New York? If so, then contact the experts at 01 Insurance. Our dedicated team is eager to assist you with all your personal coverage needs today.