Did your home sustain significant damage due to a fire, a natural disaster, or another issue? You may be trying to navigate the property insurance claims process. Unfortunately, many people struggle to get the full and fair benefits that they rightfully deserve. You may be wondering: What are my rights if my homeowners’ insurance adjuster has offered a lowball settlement? You have the right to a lawyer, and you have the right to appeal. At Insurance Claim HQ, we are proud to put policyholders first. In this article, our New Orleans home insurance claims lawyers provide a comprehensive overview of your rights if your insurance adjuster is trying to undervalue your case.
Home Insurance Adjuster Low Ball Offer? You Have the Right to Challenge It
There can be a lot at stake in a property insurance claim. According to data cited by Experian, “the average payout for homeowners claims is $13,955.” Of course, if a home or business sustained serious damage—potentially even being a total loss—the damage could be well over $100,000. Unfortunately, many homeowners insurance companies and commercial property insurance companies fight hard to settle claims for less. Did you receive a low settlement offer from the insurance adjuster? Here is the most important thing to know: You can challenge it. You can even respond to a settlement offer that is far too low with a counterproposal for the full and fair financial benefits that you rightfully deserve under the terms of your insurance coverage.
How to Deal with Home Insurance Claim Adjusters
When dealing with a home insurance claim adjuster, preparation and documentation are key. The key point to keep in mind is that these adjusters work for the insurance company. That means that their goal is to minimize payouts. Before corresponding with them, you should gather all relevant evidence, including photos of the damage, repair estimates, and receipts for temporary repairs. You should also keep records of all communications, noting dates, times, and details of conversations. When the adjuster inspects the damage, you should be present to ensure they do not overlook critical issues. Finally, you should avoid making speculative statements about the cause or extent of the damage—always stick to the facts and let the evidence support your claim. A great way to handle insurance adjusters is to work with them through an experienced attorney.
Insurance Claims Tip (Document Damages): If the insurance company is willing to offer you a settlement, that means that they have, at least on a preliminary basis, acknowledged that there is coverage. If the settlement offer is too low, it means the dispute is about whether the full loss is covered and/or about the value of your damage. To effectively negotiate for the most favorable settlement, it is imperative that you have as much documentation as possible. Carefully document your damages. Insurance adjusters try to take advantage of ambiguity to settle cases for less.
Your Rights When Negotiating with Property Insurance Company
Right #1: You Have the Right to a Prompt, Fair Investigation
First and foremost, you should not have to deal with an unreasonable, unfair delay. Insurance companies should not use delay as a tactic to undermine the value of a claim. Homeowners and commercial property owners have the right to a timely and fair investigation of their insurance claims. Indeed, insurers are required to assess damages in good faith and cannot unreasonably delay the process. A slow and/or biased investigation is too often a tactic used to pressure claimants into accepting low settlements. You can demand that the insurer thoroughly examine the damage and provide justification for any settlement offer. If delays occur, you should document everything.
Right #2: You Have the Right to Accurate Information from the Insurer
Insurance companies are not on your side. With that being said, they do have a responsibility to provide accurate information about your insurance policy and about the claims process more broadly. Your insurance company must provide clear, truthful, and complete information about your policy, coverage, and claim process. If an adjuster misrepresents policy terms or undervalues your claim without justification, they may be acting in bad faith. You should request a detailed explanation of how the settlement amount was determined and compare it to your policy coverage. If discrepancies exist, you should be prepared to challenge them. An attorney can help.
Right #3: You Have the Right to Timely Communication
In some cases, homeowners and business owners struggle to get access to relatively basic information about their claims or the settlement process. As a policyholder, it is your right to timely communication. Once again, insurers should not use delay as a settlement tactic. They must respond to policyholders in a timely manner. If your insurer is unresponsive or consistently delays updates, it may be an unfair, bad-faith strategy that is designed to frustrate you into accepting a low offer. You should keep records of all communications, including emails and letters. You should also be prepared to follow up persistently.
Right #4: You Have the Right to Negotiate for Additional
An insurance adjuster’s low settlement offer is just that—an offer. It is a proposal to settle the case outside of litigation. You are never required to accept an unfairly low property insurance settlement. You have the right to present additional evidence—such as independent appraisals, contractor estimates, or repair receipts—to dispute a low-ball offer. If the insurer refuses to negotiate in good faith, you can escalate the claim. A top-tier New Orleans property insurance attorney can help you gather the evidence needed to get the absolute maximum insurance settlement.
Right #5: You Have the Right to Be Represented By an Attorney
Insurance adjusters are trained by their employers to represent the best interests of the company. Unfortunately, they are simply not on your side. It is their goal to resolve claims for less—and they would be more than happy to pressure you into accepting a lowball settlement. You do not have to go up against an insurance company alone. You have the right to be represented by an experienced New Orleans property insurance lawyer. Notably, insurers take claims more seriously when a lawyer is involved. While a formal appeal and potentially even litigation may be required in some cases, the reality is that an attorney does not always mean a lawsuit. Your lawyer can help you negotiate for a more favorable property insurance settlement.
Insurance Claim HQ is the Leader for Homeowners Insurance Claims in the Gulf Coast Region
Unfortunately, you may run into a situation where an insurance adjuster is trying to undervalue your claim. In some cases, insurance company representatives may seemingly offer policyholders pennies on the dollar. You are under no obligation to accept an unfavorable, lowball settlement offer. At Insurance Claim HQ, we fight tirelessly to hold large insurance companies accountable for undervaluing claims. Our case results tell the story best. Your initial consultation with our New Orleans property insurance attorney is free, comprehensive, and carries zero obligations.
Contact Our New Orleans Homeowners Insurance Claims Attorney Today
At Insurance Claim HQ, our New Orleans property damage lawyers fight aggressively for homeowners. We are committed to providing personalized, attentive representation to each and every client. If you are dealing with an insurance adjuster who is trying to undervalue your property damage claim, please do not hesitate to contact us for a free, no-obligation consultation. We represent homeowners in New Orleans and throughout the entire Gulf Coast region.
