5 Things to Avoid when Filing a Business Insurance Claim

1.       Throw anything out before the adjuster has inspected it.

Unless you run a fish market, you should never dispose of anything until you have been given the all clear by the adjuster. [If you do have to dispose of your fish…. Take a video]

2.       When the adjuster asks you for a damage estimate; don’t say: “I have no idea how big the loss is”.

You need to have an estimate of the damage when you meet the adjuster.   After all, it is your business and you run it! Come up with an estimate for property damage, for debris removal/clean-up, and for business interruption. Make sure the estimate is reasonable and accounts for as many unknown but reasonable expenses as possible.

3.       Fail to review your policy.

Not reviewing your policy can cost you a lot. For example; if you have claims preparation coverage or professional fees coverage, you can hire a professional to prepare your claim and the insurance company will reimburse you for this cost. Think about all the time you and your staff will save. Not to mention the aggravation.

4.       Prepare your own Business Interruption Claim

The adjuster will hire an accountant to prepare a business interruption claim for the insurance company. This accountant is very specialized and prepares these types of claims for a living. They do not have the in-depth understanding of your business and how it operates. The best thing you can do is to hire someone to help you who understands how these claims are prepared to communicate the nuances of your particular business to the adjuster.

 5.      Blindly turn over information requested.

Not all information requested by the adjuster is necessary to evaluate your claim.  Searching for unnecessary information wastes your time and increases the volume of documentation that must be reviewed. Do not be afraid to ask the adjuster why they are making certain information requests.