Imagine a candle sets your living room ablaze. You quickly call the firefighters and they control the fire. The rest of your home is fine, but your living room is covered in soot, smoke, and water from the firefighting. The furniture is wet and smells badly of smoke. Your walls and ceiling are black, and the wood on your shelves is bubbling.
When you file an insurance claim, the insurance adjuster tells you that this is a partial loss. They claim that you only need minor repairs. They will dry and clean your walls, ceiling, and furniture but they won’t replace anything. You are now stuck with damaged items and have no way to replace them.
This is the reality of many homeowners who suffer fire damage. Their insurance companies are quick to dismiss the damage as a partial loss. They do this because they want to pay the policyholder as little as possible.
To avoid issues during the claims process, it is best to consult a public adjuster immediately after filing your claim. They can examine your case, document the damages, and explain the claim process.
In this article, we will explore some common questions and concerns that policyholders have after a partial loss or total loss fire. Read through to discover answers to any burning questions you may have.
What Is Partial Loss In Insurance?
Insurance recognizes two broad forms of loss under an insurance claim – total loss and partial loss. A partial loss is a kind of loss that affects only parts of the home. When you suffer a partial loss, your insurer will suggest cleaning the damaged items rather than replacing them. Having an expert like a public adjuster can ensure that your insurer replaces the items.
What Is Total Loss In Insurance?
Total loss, on the other hand, refers to complete damage that requires replacement. For example, if a fire spreads throughout your home and you are unable to recover anything, that would be a total loss.
While these kinds of fire damage losses can be more straightforward, you still need a public adjuster to maximize your settlement.
Common Partial Loss and Total Loss Fire Questions and Answers
Q: How Do Insurance Companies Determine Partial Loss and Total Loss?
A: The insurance company will assign an insurance adjuster to inspect and assess the damage. If the property seems usable, your insurer will classify this as partial loss. However, if there is no possibility of repair, your insurer will classify it as a total loss.
Insurance companies sometimes wrongly classify damage as partial loss. This leaves policyholders with subpar and damaged properties. A public adjuster can easily convince your insurer that an item is a total loss which leads to replacement.
Q: Is My Roof Considered A Total Loss or Partial Loss?
A: Your insurer may wrongly classify your roof as a partial loss. This is because they do not examine your roof after a fire. Fires can compromise your roof shingles and weather barriers. This is why you need a public adjuster.
A public adjuster will examine your roof, siding, and gutters to check for any fire damage. They will also lift the shingles to check for soot and smoke damage underneath. Once they confirm the damage, they will document it and get your insurer to classify your roof as a total loss. When your roof is considered a total loss, your insurer has no choice but to replace it.
Q: Must I Accept Cleaning of My Personal Property?
A: Many insurance companies ask their vendors to clean personal property items rather than replace them. They do this to avoid paying extra for replacement. For instance, your insurer may ask vendors to clean personal property such as jewelry and clothes after a fire. The vendors will pick the items that pass the smell test and make you sign a letter of satisfaction. The letter of satisfaction prevents you from complaining about the damaged items later.
You don’t need to manage damaged items when you have a public adjuster. They will hire an industrial hygienist to test your personal property for harmful chemicals. The hygienist determines if the items can be cleaned. For instance, plastics melt in heat and these plastics can bond to other items, making them impossible to clean.
After testing, the hygienist will make a report which the public adjuster will submit to your insurer. This will make your insurer classify your personal property as a total loss.
Q: Will My Insurance Company Pay for Water Damage?
A: Yes, they will. Insurance companies will pay for highly saturated materials and items within the property. Immediately after a fire, you should hire a public adjuster to create a moisture map. This map is what documents all the water damage. The public adjuster will also create a sketch of the damage and a photo report. Doing this will stop the insurance company from denying the water damage or claiming that it was from a pre-existing leak.
Q: Can I Disagree With the Insurance Adjuster’s Classification?
A: Yes, you can. Insurance companies assign insurance adjusters to classify your claim as a partial loss or total loss. However, the insurance adjuster’s goal is to save the insurance company money. Therefore, they may undervalue your claim and exclude some damages just to reduce your payout. When they do this, your insurer will count your fire damage as a partial loss.
If you hire a public adjuster, they will examine the damage and gather new estimates. They will use these new estimates to negotiate with the insurer and get them to count your fire damage as a total loss. This will help you get a full replacement for damaged items.
Q: What if My Cabinets Are Still Damaged After Cleaning?
Water damage can cause cabinets to puff up and expand. Cleaning the cabinets does not solve this issue. Nevertheless, insurers will only clean and repaint the cabinets after a fire.
You can reach out to a public adjuster for some help. They will use moisture meters to check for the water causing the damage. Afterward, they will then document the damage and speak with your insurer on your behalf. This way, your insurer will classify your cabinets as a total loss and replace them.
Q: Can A Restoration Company Negotiate My Fire Damage Claim?
A: No, a restoration company cannot negotiate your claim. It is illegal for them to do so. Only public adjusters are licensed to negotiate insurance claims and discuss policy. Restoration companies tend to blindly follow the insurance company’s instructions. This means that they do not represent your best interests. Public adjusters, on the other hand, advocate for you throughout the claims process.
For instance, let’s say the insurance company asks you to dry water-damaged furniture instead of replacing them. A restoration company will simply do so. However, a public adjuster will discuss and negotiate with the insurance company, pushing for the full replacement of the furniture.
Q: Must I Use the Insurer’s Approved Contractor for Fire Damage Repairs?
A: No, you are not under any obligation to use only the contractors that your insurer recommends. These contractors are often part of third-party administrator programs. This means that they have the insurance company’s best interests at heart. Therefore, they will cut corners by cleaning damaged items instead of properly repairing them.
It is best to ask your public adjuster about any fire damage repairs or replacements you want. Your public adjuster has a network of trusted contractors who will give you the best. Additionally, your public adjuster will ensure the insurance company reimburses you for these repairs.
Q: Will I Get Full Market Value or Replacement Cost for a Total Loss?
A: This depends on your insurance policy. Your coverage determines your payout. Most insurance companies pay out market value (actual cash value) for a total loss. Market value is the current value of your property on the real estate market minus depreciation.
Q: What Can I Do If My Insurer Won’t Match The New Siding With The Original Exterior?
A: The goal of restoration is to return your home to its original state. Therefore, your new siding should match the original exterior. Set up a meeting with your insurer and ensure a public adjuster is also present. The insurance adjuster may try to use policy language such as “like-kind” and “quality” to confuse you. You should thoroughly question them.
Q: What Should I Know About the Fire Damage Restoration Process?
A: Fire damage restoration is an extensive process that involves assessment, cleaning, and inspection. For an extensive fire damage restoration process, expect the following:
Initial Assessment
The public adjuster will assess the damaged part of your property. They will be on the lookout for hidden damage such as soot collection under roof tiles and beneath drywall.
Cleaning and Sealing
Before starting repairs, the public adjuster will clear any debris. They will also thoroughly clean any accumulated soot from surfaces such as your walls, ceiling, and furniture. This cleaning will include deodorization to get rid of smoke smell and other odors.
After cleaning, they will use a spray seal called Shellac to seal your home’s building materials. This will prevent any odors from coming back after cleaning. Your insurance provider will likely not mention this critical step when discussing payment for fire damage restoration.
Repair and Restoration
This would include water damage restoration and other repairs. These repairs may include replacing drywall, parts of your roof, and flooring, and repainting your home.
The fire damage restoration process can span months even for partial loss fires. This is because of hidden damage and disputes over cost. Therefore, ensure you have a reputable public adjuster to help you negotiate your insurance claim.
Conclusion
A partial loss or total loss fire can be confusing for most people because insurance companies take advantage of their lack of knowledge. However, if you know your rights, you can enjoy the benefits of your policy.
Avoid immediately agreeing to your insurer’s suggestions. Question the insurer and insurance adjuster and have a trusted public adjuster on your side. This will help you avoid being cheated over your insurance settlement.
You can avoid the mental and emotional stress that accompanies a fire damage claim. Hiring a public adjuster will take the difficult conversations off your hands. Work with On-Site Adjusting today for ease and a stress-free claims process.
