You buy insurance to provide some type of safety net for some predicament that you imagine might be possible in your future. Whether that’s damage to our property, loss of a job, or payment for hospital bills when you get sick, you believe your insurance will have your back when you need it most.
And, when these things you’re afraid of do happen, it’s time to file for an insurance claim. An insurance claim is simply a request you submit to your insurer asking for compensation for covered losses or damages, such as storm damage, vehicular accidents, or emergency medical procedures.
There are several ways you can do this. Below we discuss the various methods for filing insurance claims with an adjuster or without, as well as why it’s better to have someone like an adjuster, in your corner to navigate the intricacies of filing and negotiating a claim.
Paper or Electronic Filing
In the past, filing for an insurance claim was a tedious process involving tons of paperwork. While this traditional method hasn’t gone away, more and more insurers are incorporating new technology into their insurance claims process.
Today, depending on your insurance company, you might need to file your claim using paper forms or digital/electronic forms. Some even use apps.
Mailing your insurance claim
Most of the time, policyholders like yourself are expected to mail in their insurance claims. This typically includes filling out claim forms that you receive from the insurance company.
Insurance claim forms usually have fields for personal information, such as your name or birthday, along with the nature of the accident, doctor’s visit, or other pertinent info regarding your claim. It will also ask for your insurance policy and/or group number and out-of-pocket expenses you’ve already paid.
You have to fill out your forms and prepare your supporting documents as soon as possible for two reasons. One, many insurers do not provide an explicit timeframe, say 30 days, as a deadline for submission of your claim. Instead, they might write something like “prompt filing” or “within a reasonable time.” Second, if there ever comes a need for you to file a lawsuit, you will have to consider the statute of limitations, which is the period of time in which you can file a legal action.
Sending your insurance claim electronically
Instead of sending your documents to your insurer via mail, you file for your insurance claim electronically or digitally. This might mean that you have to access a website or send your claim via email.
If through a website, you’ll most likely be asked to create an account. Doing so will help you see your payments and track the status of any claims filed, etc. If via email, you might be provided an electronic file that you can fill out and asked to submit photos, receipts and other supporting documents as email attachments. This means, you’ll be able to keep the original docs and don’t have to worry about them getting lost in the mail.
Filing your insurance claim using an app
A number of insurance companies, such as Geico, Progressive, State Farm and the United Services Automobile Association (USAA), now allow you to file your claim through their app. You can also use the app to upload photos from the accident scene and the police report. In addition, the app usually allows you to view estimates, check your deductible, schedule an appraisal, check the status of your claim, and reserve a rental car as well.
Filing your insurance claim through an app is easy, convenient, and fast. Some insurers are advertising only a few hours to receive a quote instead of several days.
However, this method might be limited to minor claims, so always check with your insurer first. Some policyholders are also wary about receiving a full and fair settlement.
Hire a Public Adjuster
While you may find it easy to handle small or minor insurance claims, a big claim, such as the total loss of a house, might be more complicated. In this case, it’s better to have someone on your corner who can help you navigate the intricacies of filing and negotiating your claim.
This is where a public adjuster comes in. A public adjuster is an independent insurance professional that you can hire to help you tackle those large and expensive claims.
In fact, their job is to take the burden of filing and negotiating your insurance claim off your hands. They have been trained and, in most states, have a license to operate as public adjusters. They work on your behalf and they will represent you and your interests to the insurance company. What’s great about having a public adjuster on your side is they can negotiate the maximum amount of settlement you are entitled to under your policy.
The downside is you do have to pay them, so hiring a public adjuster will reduce your payout. Public adjuster rates range from 5% to 20% of the total settlement. Some ask for an hourly or flat rate.
Employ a Lawyer
Similar to public adjusters, lawyers can help when you have a large claim on your hands, such as in the case of property damage. Lawyers have the expertise to guide you through some aspects of the claims process, including how to deal with an unreasonable insurance claims denial.
There are several instances when you should consider getting a lawyer to help you, including the following.
Large or complex insurance claim. “Hiring a lawyer becomes essential in cases where there is a huge claim amount, when the fault is difficult to establish or when there is a huge difference in the amount you want and the claims adjuster quotes,” Lyle Solomon, principal attorney at Oak View Law Group in Auburn, California, told Forbes. Have your lawyer read or review your policy to explain jargon and how technicalities may affect your claim.
During the initial filing of an insurance claim. “For example, suppose an insurance company makes unreasonable requests. In that case, it can be helpful to have [a lawyer] guide the policyholder through the process,” says Nathan D. Meyer, an attorney at Jaburg Wilk in Phoenix.
Help you appeal a claim denial. “If the insurance company has told you two or three times that they don’t see your claim as covered, but you’re looking at the policy and you think it is covered, that’s the time to go chat with an attorney,” says David B. Ezra, an insurance lawyer at Berger Kahn in Lake Forest, California. “An attorney can look at your policy and the insurance company’s denial letters and consider how the courts, in past decisions, have interpreted the wording of similar policies and situations.”
Your lawyer’s goal is to reverse the insurance company’s decision first by sending a letter. If that doesn’t work then, they might decide to take it to court.
Time arbitrage. “The second reason to hire a lawyer is time arbitrage,” Brian Glass, a personal injury lawyer with BenGlassLaw in Fairfax, Virginia, told Forbes. “If your time is better spent working, taking care of your family or earning money in other places than it would be doing the work to become an expert on the law, you should consider hiring a lawyer even if you are likely to receive the same number of dollars in your pocket.”
Methods for filing insurance claims
In conclusion, filing an insurance claim can be done through paper forms, electronic submissions, apps, or with professional assistance from public adjusters and lawyers, ensuring tailored support.
