What to do regarding an insurance claim if I own a rental property that I was repairing and getting ready to list for sale when it was broken into and damaged?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
What to do regarding an insurance claim if I own a rental property that I was repairing and getting ready to list for sale when it was broken into and damaged?
The person that broke in pulled the refrigerator out and damaged it by cutting wires and tubes and now it will not run. They also stole lawn mower, a few tools, a ladder. I have insurance for dwelling with replacement cost rider and I have personal property rider that I was paying for to cover the items I supplied, such as lawn mower, a few tools and washer, dryer, stove and refrigerator. The original cost of items damage or stolen amounts to around $3000. The rider says that I have coverage up to $5940 but the adjuster only wants to pay me $700 total for items. Is there anything I can do?
Asked on June 30, 2014 under Insurance Law, Indiana
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 9 years ago | Contributor
If you feel the insurer is not offering you the current fair-market value (NOT replacement value, unless you actually had a "replacement cost" policy, which is rare), you could sue for breach of contract to try to get more; you'd have to show in court that the then-current fair market value was higher than you were offered. However, it may be that their offer was fair, since typically, an insurer does not need to pay the original cost or replacement cost, but only what the items were worth at the time they were stolen, and, for exampel, an older or used refrigerator and mower are not worth anything like what they cost new.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.