Flooding can cause devastating damage to your belongings and home, potentially displacing your family for weeks or even months.
After these disasters, many homeowners turn to their flood insurance for relief, only to experience further distress when their claim is denied.
Insurers cite numerous reasons for claim denials. Fortunately, a denied flood insurance claim isn’t the end of the line. You could still have options for seeking the relief you need.
At Insurance Claim HQ, our insurance claim lawyers want to help you through this difficult time.
For over 25 years, our legal team has aggressively fought against insurance companies that unfairly delay or deny flood insurance payments to their policyholders. You don’t deserve this kind of stress.
Contact us today for a free consultation.
What Are the Top Reasons My Claim Could Be Denied?
Insurers deny flood claims for various reasons, some legitimate and others based on technicalities or questionable interpretations of your policy.
Common reasons for denied claims include:
Policy Exclusions
Not all water damage qualifies as flooding. For example, your policy might not cover gradual seepage through a foundation or sewer backups.
Lapsed or Inactive Policy
The insurance company may deny the claim if premiums weren’t paid or the policy wasn’t active at the time the flooding occurred.
Insufficient Proof
Incomplete documentation or late submissions may be grounds for a rejected claim.
Alleged Pre-existing Damage
Insurance adjusters may examine the damage and claim that it existed before the flooding and did not directly result from it.
Coverage Limits
If the cost of repairs exceeds your policy limits, insurers may only offer partial payment, and sometimes none at all.
Failure to Mitigate Damage
Policyholders must take reasonable measures to prevent further damage after a flood, including boarding windows and pumping out water. If they don’t, insurers may deny the claim.
What Key Information Do I Need to Fight a Denied Claim?
If your flood insurance claim is denied, review the denial letter carefully. Insurers must provide a clear explanation for the denial.
Look for the following:
- The reason for denial: The stated reason for your claim denial will provide you with a foundation for countering the denial.
- The policy language cited: Denial letters will typically reference specific provisions or exclusions detailed in the policy. Compare the cited policy language to your circumstances to see if they align.
- Deadlines for appeal: Most policies have strict time limits for you to appeal a flood insurance claim. Missing this deadline may bar you from receiving coverage.
What Types of Documentation or Evidence Can Help Strengthen My Claim?
You need strong evidence to appeal a flood insurance claim. If your claim is denied, try to gather the following:
Photos and Videos of the Damage
Even after a denial, new photo and video evidence of the damage can be helpful. Document the repairs, as well as any mold growth or structural issues caused by the damage.
Professional Inspections
Licensed contractors, engineers, or independent adjusters can assess the damage and offer findings that contradict the insurer’s reasoning for the denial.
Receipts and Estimates
Detailed records of repair costs, replacement expenses, and mitigation efforts can support your claim and prove damages the insurer may have downplayed.
Witness Statements
Neighbors or other witnesses to the flooding may offer statements that support your version of events.
Official Documentation
Weather reports or government records can help prove that flooding caused the damage.
What Steps Should I Take After Receiving a Denied Insurance Claim?
A denied flood insurance claim doesn’t mean you’re out of luck. However, you must take critical steps to fight for fair compensation. Be sure to:
1. Review the Denial Letter Carefully
Examine the denial letter closely to determine why the insurer is refusing coverage. This will help you determine how to counter the insurer’s claim and prepare a strong appeal.
2. Gather New Evidence
Once you know why your flood insurance claim was denied, you’ll know what evidence you need to win your appeal. This may include updated photos, expert opinions, invoices, repair estimates, and readings for moisture or mold.
3. File an Appeal Promptly
It’s important to appeal a flood insurance claim as soon as possible to avoid missing the deadline, which can be as short as 60 days depending on the policy and insurer. Include a brief letter that details each denial point and the evidence you have to counter their claim, and keep copies of everything.
4. Seek a Public Adjuster’s Opinion
A public adjuster’s assessment can offer compelling evidence to counter the insurer’s determination. Work with an adjuster who has flood damage experience and request an itemized report with supporting photos.
5. Contact an Insurance Claims Attorney
An experienced insurance claims attorney can review your denial letter, determine the evidence you need for appeal, and then build a compelling case fighting for the compensation you deserve. Contact one as soon as possible.
Why Should I Consider Mediation Before Litigation?
If you have a private flood insurance policy, mediation may be an option before heading to court. Benefits of mediation can include:
- A faster resolution instead of taking the case to trial
- Lower costs, as litigation can be costly
- More flexibility with your settlement
- Preserving your relationship with your insurer
If mediation does not resolve the dispute, litigation remains available. However, mediation is typically viewed as a more efficient and cost-effective first step.
If you’re still unsure of which path to take, contact an experienced flood damage attorney.
Note: The appeals process differs if your insurance is through the National Flood Insurance Program (NFIP). NFIP claims go through an administrative appeals process. If you wish to file a lawsuit, you have one year from the date of loss to take legal action.
How Can an Insurance Claim Lawyer Help Me?
Flood insurance claims are notoriously complicated. An experienced insurance claim lawyer can help by:
Analyzing your Policy
Insurance policies contain technical language and clauses. Your attorney can analyze your coverage and determine whether the denial is valid.
Communicating with insurers
Your flood insurance provider may try to get you to make statements that can be used to deny your claim. An experienced lawyer can handle all communications to prevent any errors throughout the claims process.
Building a Case
Your attorney can work with experts to gather evidence to counter the insurer’s claims and fight for your rightful compensation.
Negotiating and Litigating
When it comes time to negotiate a settlement, your attorney can advocate aggressively on your behalf. If the claim needs to go to court, they can represent you and fight for a favorable verdict.
Need Legal Help With Your Flood Damage Claim?
Contact ICHQ Today for a Free Case Review
ICHQ offers compassionate support and tenacious representation to clients looking to rebuild their lives after flooding leaves them searching for answers. Contact us today for your free consultation.