Insurers deny fire damage insurance claims everyday.
Sometimes, they deny claims for a good reason – like proof the homeowner set the fire deliberately.
In other cases, insurers deny fire damage insurance claims to save money and avoid paying policyholders.
Insurers are for-profit businesses, and they’ll save money however they can. Here are some of the most common reasons why insurers deny fire damage insurance claims:
Arson: If the insurer suspects you or someone you knew deliberately burned down your property, then your insurer could deny your claim due to arson. Insurance is designed to cover accidents and other unexpected events. It’s not designed to cover deliberate acts.
Fraud or Misrepresentation: You cannot lie to your insurer about your fire damage claim and expect your insurer to cover the damages. This is misrepresentation and insurance fraud, and both could cause your claim to be denied.
Illegal Activities: If a fire started in your home because of illegal activities, then your insurer could deny your claim. Your insurer is not obligated to cover fires linked to illegal activities. If you have faulty wiring in your home because you’re growing illicit drugs in your basement, for example, and that faulty wiring caused a fire, then your insurer should deny your claim.
Lack of Evidence: You must provide evidence proving your loss took place. Your insurer requires photos, videos, receipts, documents, and other evidence proving the value of the possessions you lost and any damage to structural components, among other aspects of the loss. If you’re unable to provide this proof, your insurer could deny your claim.
Unlicensed Electrical Work: There’s a reason tradespeople are licensed, bonded, and insured. If an unlicensed electrician did electrical work on your home, or if you tried to do your own electrical work, then you could have violated your homeowners insurance policy. If that faulty wiring caused a house fire, then your insurer could deny your claim.
Overall, insurers deny fire damage insurance claims for good reasons – and bad ones. If you feel your insurer has denied your claim without reason, then contact a public adjuster or appeal the claim to ensure you receive fair payout.
Sometimes, they deny claims for a good reason – like proof the homeowner set the fire deliberately.
In other cases, insurers deny fire damage insurance claims to save money and avoid paying policyholders.
Insurers are for-profit businesses, and they’ll save money however they can. Here are some of the most common reasons why insurers deny fire damage insurance claims:
Arson: If the insurer suspects you or someone you knew deliberately burned down your property, then your insurer could deny your claim due to arson. Insurance is designed to cover accidents and other unexpected events. It’s not designed to cover deliberate acts.
Fraud or Misrepresentation: You cannot lie to your insurer about your fire damage claim and expect your insurer to cover the damages. This is misrepresentation and insurance fraud, and both could cause your claim to be denied.
Illegal Activities: If a fire started in your home because of illegal activities, then your insurer could deny your claim. Your insurer is not obligated to cover fires linked to illegal activities. If you have faulty wiring in your home because you’re growing illicit drugs in your basement, for example, and that faulty wiring caused a fire, then your insurer should deny your claim.
Lack of Evidence: You must provide evidence proving your loss took place. Your insurer requires photos, videos, receipts, documents, and other evidence proving the value of the possessions you lost and any damage to structural components, among other aspects of the loss. If you’re unable to provide this proof, your insurer could deny your claim.
Unlicensed Electrical Work: There’s a reason tradespeople are licensed, bonded, and insured. If an unlicensed electrician did electrical work on your home, or if you tried to do your own electrical work, then you could have violated your homeowners insurance policy. If that faulty wiring caused a house fire, then your insurer could deny your claim.
Overall, insurers deny fire damage insurance claims for good reasons – and bad ones. If you feel your insurer has denied your claim without reason, then contact a public adjuster or appeal the claim to ensure you receive fair payout.