Insurance protects when the worst things in life happen. Unfortunately, when those things happen, the last thing that people want to deal with is submitting property insurance claims. However, it is necessary to submit the claims. Insureds are often taken aback when submitting those claims that the property insurance adjuster can severely undervalue–or even deny–a legitimate claim for benefits.
This is why it is important for insureds to understand what they may be entitled to with a property insurance claim. A knowledgeable Hollywood property damage attorney can help insureds understand this before claims are filed.
Actual Cash Value
If, under the terms of your policy, you are entitled to the “actual cash value,” this means that you will get cash for the value of your property, minus the depreciation. For example, let’s suppose that Bob’s vehicle is totaled in a car accident.
Bob bought the car for $35,000 six years ago, and the car now has 80,000 miles on it. Bob cannot expect to receive $35,000 for the car at its present value. Depending on the specific scenario, Bob may receive significantly less than $35,000 for the vehicle. A Hollywood property damage attorney will help you arrive at the highest possible amount.
Loss of Use
If your policy gives you coverage for loss of use, this means that you will get benefits for the reason that you cannot use your insured property anymore. Suppose a tornado destroys part of your home–you obviously cannot use your home until it is fixed. As a result, you’ll need to live somewhere else and have associated costs because of that.
Here are some common benefits that come with the loss of use.
Rent
If you are no longer able to live in your home because it is destroyed, you will need to get shelter elsewhere, either for a few nights or in an extended stay situation.
(Increased) Costs of Living
Things will cost more when you are not living in your own home. For instance, doing laundry will cost more at a laundromat. Dinner will cost more if you have to get takeout rather than cook in your own kitchen.
Storage Costs
While your home is being repaired, your things cannot be stored in your partially-demolished home. You will have to store them in a storage unit, which can become prohibitively expensive.
A seasoned Hollywood property damage attorney can assist in compiling a list of all areas you may be affected.
Replacement Cost in Property Insurance Claims
If the insured property cannot be repaired, it will have to be replaced. Replacement cost will give you the cost of repairing the item to its original condition or will replace it with property of similar quality. Unlike actual cost, it is more comprehensive and will ensure that you get the maximum amount for the suffered loss.
For instance, if you paid $30,000 for a tin roof that was destroyed, you will get money to cover the installation of a new roof of the same quality, even if the roof in its current condition is worth $5,000 due to depreciation stemming from damage.
The insurer cannot offer to install an asphalt roof because it will be cheaper for them, since it is not similar in quality to the tin roof. A Hollywood property damage attorney will help you determine a fair number.
Get the Help You Need From a Skilled Hollywood Property Damage Attorney
Before you secure insurance, but especially after, it is important to check in with a trustworthy Hollywood property damage attorney. Contact us online or call 954-869-4496.
