One of the most common sources of confusion for building owners is what to expect after an insurance company has paid a claim—and what happens next.
Building owners’ insurance coverage will provide them with the financial resources they need to get back on their feet after a loss but With that said, there are still other steps that building owners need to take after filing their claim.
A Step-By-Step of What Businesses Should Do
Keep reading for a comprehensive guide on what to expect after you’ve filed a claim and what steps you can take to make the experience a positive one.
Step 1: Review your policy
The specific wording on your policy will determine whether or not building repairs that are needed after a loss will be covered. This is a step building owners must take after an insurance claim has been paid, but before building repairs begin.
Step 2: Ensure building insurance covers building additions and alterations
In most cases, building owners need to get an estimate from a contractor regarding the cost of building repairs—not building addition or alteration work. However, there are certain policies that will cover building addition or alteration work, depending on how policy wording is drafted.
Step 3: Contact your insurance company
to find your building and business interruption insurance deductible. With repairs, building owners can expect to pay out of pocket for building repairs before their building and business interruption coverage kicks in. How much building owners will be required to pay varies depending on their insurance deductible.
This is a critical step building owners must take after an insurance claim has been paid because they will only receive the building and business interruption payment in accordance with policy wording when building owners have satisfied their deductible.
Step 4: Use a claims consultant to manage their building claim
We recommended that owners hire a building claims consultant to manage building repairs so owners can focus on running their business.
Step 5: Ensure you have enough time for repairs
Make sure the building owner’s insurance policy includes an automatically extended reporting period, which assures that the building owner has enough time after his or her building has been repaired to arrange building owners’ affairs.
Step 6: Plan for problems
Finally, building owners should understand that the building owners’ insurance policy deductible does not reduce the building owner’s building property tax liability after a loss. It is important that owners realize this so they can plan accordingly when filing their property tax returns.
Step 7: Put yourself back together again!
Once you’ve received the insurance claim payment, contractors and building managers can come in for help with building repairs and restoration. It’s important that building owners make sure they get their building repaired quickly because doing so will put the owner back into a position of strength in that building’s market.
Need a Better Policy? Bethany Insurance Can Help
Building owners can contact Bethany Insurance for building coverage that includes building additions and alterations, building claim assistance, plus building deductible help. Contact us today to request building insurance quotes today.
