Posts tagged "insurance claims"

Can a home insurance company increase the amount of insurance on your house without your request?

Of course when the amount of insurance in increased, the insurance premium also increases. I have only $125,000 left on the mortgage and insurance company has increased the insurance to cover a value of $305,000. Real estate value of the home is $450,000. My credit rating is excellent and I have not had any insurance claims

Yes. Part of the policy condition is that you insure the home to either 80%, 90%, or 100% of the replacement value, on a standard HO3 Homeowners form. So, if you want the type of policy that is NOT a replacement policy, you’ll have to get a whole different kind of policy.

Of course, a FLAT RATE policy costs about ten times as much as a standard policy.

Real estate value, or market value, has NOTHING to do with the cost to rebuild. If the house burns to the ground, the insurance company does NOT have an option to "buy" it from you for the face amount – they are required to rebuild.

So, you can do it your way, and pay a way, way, way lot of money for a small amount of coverage, or you can do it the insurance company’s way, and insure to full replacement value, for less money.

Or, what most people like you prefer to do, is just get a personal loan for the balance of the mortgage, so you can pay off the mortgage, and not insure the house at all.

How do permits work along with Homeowners Insurance?

Doing a few projects at home that require a permit. I have been told that getting a permit helps in case of homeowners insurance claims. Not sure how this works. Does the insurance company have a way to look into my home records to see whats been worked on?

Not so much as they can see a list of things that have been worked on but they can compare the current state of your house to the original permits and plans filed with the city plus any permits during the homes life.

Insurance companies first objective is to deny claims that they do not have to pay or they don’t cover. If they can tell you its not covered because the work was done with out a permit then that saves them money. Basically they don’t want to spend money on irresponsibility.

But if work is done legally and the city approves it then the insurance company has to comply with those regulations.

Think of it this way. Its the blame game. You install a light switch with out an electrician, with out following city regulations. Someone flips the switch and gets electrocuted. Does the insurance you have cover you for neglect or disregard to the law? Probably not. So legally they will claim that 100% of the blame falls on you and you are responsible.

Now if an electrician does the work and the city approves it and you only paid for the service and followed all regulations and even asked to make sure it was done properly. And someone gets electrocuted, your insurance will step in and place blame on the city and the electrician.

Hope that helps. Its a pretty big room filled with red tape really but its just everyone CYA.

All About Condominium – Townhouse Insurance

homeowners insurance for condos and townhouses is very complex. You need one policy for the complex and exterior, and a different policy for the interior and your possessions. More details can be found at http://www.qualityclaims.com. Quality Claims Management

Quality Claims Management Corporation provides hazard claim recovery services to investors, mortgage servicers, homeowners and businesses. All claims are adjusted by licensed insurance professionals for an equitable settlement and accelerated resolution timelines.
Quality Claims is nationally licensed as Public Insurance Adjusters and complies with Department of Insurance Regulations.
QCMC’s core focus is unparalleled expertise in policy coverage and the technical aspects of mortgagee and homeowner claims. Quality Claims principals and managers have wide-ranging experience in the mortgage servicing industry and working in-house for one of the largest financial institutions in the United States. QCMC has worked with homeowners and businesses including those affected by catastrophic natural disasters such as the 2003 and 2007 Southern California Wildfires, and Hurricanes Katrina, Rita and Wilma.
Contact Quality Claims Management at http://www.qualityclaims.com and/or 866- 450-1183

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