Water Damage Denied Insurance Claims: What Are Your Options?

It's already frustrating to experience water damage in your home or business. Having a water damage insurance claim denied is your worst nightmare. While water damage restoration is necessary, it can be costly, especially the longer the water has been left to sit.

If you have to come out of pocket for water damage restoration, you may be left wondering how much everything will cost and how you'll pay the bill? With First In Restoration you still have options, even if your water damage claim was denied.

Why Was Your Water Damage Insurance Claim Denied?

Insurance companies have strict guidelines on what they cover. It's important to review your policy closely every year when it is up for renewal. Common reasons for insurance claim denial may include:

Gradual Damage – If you had a leak for a long time (even if you didn't realize it) or if you didn't properly maintain your home and it caused a long-term leak, then this is considered homeowner negligence and will not be covered.
Flood vs. Water Damage Confusion – If your home floods from heavy rains, storms or overflowing rivers and creeks you will need separate flood insurance for that. Typically standard insurance will not cover it.
Late Reporting – Failing to report damage immediately to your insurance company make get your claim denied. Your insurance company may take the stance that the delay in calling to make the claim worsened the damage of your home (which will cost them more money).
Incorrect or Insufficient Coverage – There is more than one type of water damage and your insurance policy may have exclusions you weren’t aware of. It's best to talk to local insurance agent to make sure you're covered.

What to Do If Your Water Damage Claim Is Denied

1. Review Your Policy

Read every detail in your insurance policy regarding water damage coverage and the reasons for denial.

2. Request a Written Explanation

If your claim was denied over the phone by the adjuster, consider requesting a formal written explanation by the insurance company. This will show you the exact reason for claim denial and you can determine whether you should challenge the decision.

3. Gather Evidence & Documentation

Your insurance company may have denied the claim due to lack of sufficient proof. You can help strengthen your case with:

Photos and videos of the damage
Repair invoices and written professional assessments and estimates
Reports by plumbers or contractors outlining the issue

4. File an Appeal

Most insurance companies allow you to appeal a denied claim. Submit a written request with the following:

Give an explanation (in detail) of why you believe the damage should be covered
Add any additional documents or expert opinions (ie: from your plumber) supporting the claim
Reference line items of your policy if coverage should apply

5. Consult a Public Adjuster

A public adjuster has the authority to review your insurance policy as well as your case. They can represent you and negotiate with your insurer on your behalf.

6. Consider Legal Action

If everything else fails you may have to take matters into your own hands and consider:

Filing a complaint with the Georgia's insurance commissioner.
Hire an attorney that specializes in disputes with insurance claims.

How First In Restoration Can Help

Dealing with water damage AND a denied insurance claim is overwhelming. At First In Restoration, the best water damage restoration company in Georgia, we work directly with homeowners and businesses to assess and restore water damage. Call First In Restoration today at 470-748-0225 or visit www.firstinrestoration.com.