In the aftermath of Southern California's devastating wildfires, you might be thinking more about your insurance. If your house is damaged or destroyed, what can you expect from your insurance company? How quickly will you be reimbursed? How much will you get, and how can you make the most of it?
Here are some answers:
How do I file a claim?
You can call your agent, who will contact your insurer for you, or you can call the insurer's toll-free claim line.
You don't need a copy of your insurance policy with you when you call. With your name and home address, the company (or your agent) can look up your policy and explain your coverages and limits.
During the call, you are likely to be asked a series of questions about what happened to your home and about your current situation. For instance, was the house destroyed or can you live in it? If it was destroyed, where are you living now, and do you need money to tide you over for day-to-day needs such as food, clothing and shelter?
What happens next?
If you had a partial loss but are able to return to your home, you should expect an adjuster -- a representative of the insurance company in the claim process -- to contact you within a few days to schedule an appointment that would take place within a week or two. If your home was destroyed, many insurers attempt to send an adjuster within hours of that first phone call.
What does the adjuster do?
The adjuster is going to want to do two things: Determine your current living situation and get you some money.
Most adjusters are prepared to write you a check on the spot for as much as $5,000 so you can handle your immediate needs, which could include making a deposit on a temporary home.
Major insurers say their goal is to start making payments under all segments of a homeowner's coverage -- structure, contents and loss of use -- within weeks of receiving a claim.
What's loss of use?
If your home is destroyed -- or is so damaged that it's unlivable -- homeowners policies generally pay to put you up in a similar residence for as long as 24 months. Many insurers work with property managers to help customers obtain temporary housing.
If you choose the housing provided by the insurer's property manager, you probably won't have to submit your rental costs for reimbursement because the insurer will pay the property manager directly. You also can choose your own temporary housing. As long as it's reasonably comparable, the insurer will reimburse you for the rent.
