Business Insurance Claims

44 Responses to “Business Insurance Claims”

January 24th, 2009 at 5:05 pm #Thomas Treakle

How do I file a claim against an auto dealer’s “Garage Keeper’s” policy for damages caused to my vehicle when they were doing service work when the dealer refuses to give me the policy information or make good on the repairs? Basically they blew the engine and the repairs will cost more than the vehicle’s worth.
January 26th, 2009 at 3:17 am #admin

Hello Thomas,

If the car dealer is unwilling to report your claim to his insurance carrier, your only alternative is to sue him. Your car dealer is gambling that you will just give up and go away. And his insurer cannot open a claim file without the consent of their policy holder.

Now here is your leverage, once he gets the notice that he is being sued, he has to report the suit to his insurance carrier. If he does not, then the insurer may not defend him or even pay the judgment if he loses in court.

Although the liability part of his policy covers him for acts for which he is legally liable, and one is not “legally” liable until there is a court judgment, most insurers will attempt to settle without going to court, since going to court costs everyone more money in the long haul.
January 26th, 2009 at 5:50 am #Thomas Treakle

I have retained an attorney on this, and your advice is well received. I was hoping that there was a way to find this information without filing, but this is a principle thing now more than a $$ issue. Thanks for your suggestions and advice.
March 9th, 2009 at 1:14 pm #anastasia

Hello! Thank you for your help! I have a very small seasonal business, handknitting and selling accesiries (hats, scarves, etc.) I had a stall at Reading Terminal Market last Christmas season and stored my stuff at the Market overnight. On October 29th most of my inventory got stolen. I had filed a claim with my insurance company (Ohio Casualty Ins. – part of Liberty Mutual Group) We have been going back and forth with the insurer as to how much I had lost in business as a result if the theft. They have referred me to their audit department and I have been very cooperative and provided them with every record I had. It has been 4.5 months since I filed the claim and they still have not settled it. I am falling back on my business loan payments and unable to go ahead with my business plan before I get the money from settlement. I contacted superwisors at both departments that are handling the case (the officer and the audit department), they say they will do their best but they are still not letting me know what exactly do they need to process it and how long will it take to complete. I am wondering if I should sue for time and business lost as a result of their actions (or, rather, inaction) with it. I have a small claim so I am not sure if a lawyer would be interested and what other options do I have to make them speed it up. Thank you! Anastasia
March 11th, 2009 at 1:27 am #admin

Hello Anastasia,

Your “small claim” is either not so small or it has some big problems for them to be delaying like this for 4.5 months. You need a lot more help than I could possible give you here. Consider the http://www.UClaim.com eBook entitled “BUSINESS OWNERS INSURANCE CLAIM ADVICE AND HELP – ALL ASPECTS, Subtitle: HOW TO PLAY THE GAME – DELUXE VERSION (W/APPENDIX)” on the products page, business section. Look at the table of contents. It will help you with the inventory as well the loss of income, “extra expenses” and teach you how to communicate and get attention when you are getting nowhere with the adjuster and his manager. The cost of $89.95 is a drop in the bucket compared to what your claim is worth and what you would pay a lawyer or public adjuster.

If you want us to look at your policy for no charge, you can email a scanned copy to info@insuranceclaimhelp.org. However, any questions or discussions we have will need to be via this blog so everyone can learn from your experience.
July 29th, 2009 at 6:31 am #State Risk Manager

A covered building experience a theft loss of several items one of which is a set of keys that fit 13 locks. The keys of course are covered subject to the deductible but would the cost of re-keying the locks be covered under a standard ISO commercial property form?
July 30th, 2009 at 5:09 pm #admin

Hello State Risk,

Great question! Just my opinion, at first thought I would have to say no, since the policy is basically a “property” policy. Unless there are “additional coverages” or “extensions of coverage” type clauses in the policy, or endorsements adding re-keying, I would again say no.

However I suppose an argument could be made that if the locks came with keys, the locks are now not working because part of “the assembly” or “package” was stolen and so the insured would be entitled to completely new locks with keys and the insurer would get the salvage? So perhaps the insurer would be wise to pay for the coding ($20-$30 per lock normally, but perhaps a discount could be given by the lock smith for 13 locks?) instead of replacing the locks and keys.

The only reason insurers cover re-coding door locks in automobile policies is because the entire lock is being replaced on one door, for example, and the vehicle owner should have a reasonable expectation that all the door locks should match without having two sets of keys.
August 21st, 2009 at 5:25 pm #Amber

I own a 4 unit apartment building in Arizona. A parked tow truck rolled down the hill and hit the building. The building is about 35 years old. Because it is 4 units the local city inspectors consider it commercial. Being a commercial building all work done is required to have architectural plans, permits and a structural engineer. The tow truck companies insurance carrier is tell me that because the building is so old, the new code requirements (that were not in place when it was built but now are required) are not covered by them. They say they are only responsible for the depreciated value of the building repairs not the actual value. Do I have a leg to stand on? And to extent is their liability?

Thanks
August 22nd, 2009 at 10:00 pm #admin

Hello Amber,
Yes, they are right, because they only owe you what is required by the law, not an insurance policy. You are better off to turn in the claim to your own insurance. Most insurance policies pay full replacement cost without depreciation. And many policies now days have “code upgrade” endorsements. Your insurer will try to collect back from the other insurer and get all or part of your deductible back.

The tow truck owner is only liable if there was negligence on his part. For example non maintained brakes, but not for example if some vandals pushed it down the hill.
October 14th, 2009 at 5:20 am #Jay

We are planing to file insurance claim for the inventory we have lost either from our customer and/ or by our yard/ trucking partner.
Can you please help me with the procedure indetail for both instance…
October 15th, 2009 at 10:59 am #admin

Jay,

If you have a full business policy, it should pay you for what you paid (wholesale) for your inventory and retail for your business personal property (eg. tools, furniture, fixtures, etc. Your customers should get the “market value” (used value) of their property lost. I suggest the UClaim.com eBook Businessowners Loss Deluxe to guide you through it. Its on sale 50% off with a money back guarantee.
January 22nd, 2010 at 10:52 am #Jason

I run a chain of video game stores, and outsource repair of certain consoles to a company run out of a shop in the repairman’s backyard. He kept the expensive consoles (PS3, XBOX 360, wii) under lock and key, yet someone managed to break in, destroy his cabinetry and steal around $6000 worth of equipment.

My question is, can I file claim under my business insurance? Or would it have to go through the repairman’s?

Thank you!

Jason
January 22nd, 2010 at 5:00 pm #admin

Jason,

Well it depends. If you don’t have RCV with your own insurance, then go after the repair man’s insurance, which will only pay ACV (depreciated value). Also there would be no deductible with the repair mans insurance.

And make sure that any repair man you give work to gives you a copy of his declaration page showing he has insurance to cover you.
March 5th, 2010 at 10:03 am #Loretta Santos

If you have a damage claim and the insurance pays more than you can have it repaired for; is the excess amount taxable?
March 5th, 2010 at 11:48 pm #admin

Loretta,

Insurance claim proceeds are not taxable, because it is theoretically to replace stuff you already paid taxes on. It would be like selling your personal property for money, you don’t pay taxes on that.
May 21st, 2010 at 10:44 am #Jordan

I was a delivery driver for a restaurant. At one of my deliveries, I was the victim of an armed robbery. The robbers took the food, my money and a gold chain around my neck. I am trying to get reimbursed from the restaurant for the stolen gold chain. Do you know if the restaurant’s insurance policy would cover that loss?
May 22nd, 2010 at 8:11 am #admin

Jordan,

I doubt it. You could ask them, but I think they would need a special endorsement. Now if they were negligent in some way, not providing security etc., you may have a liability claim and or court claim.
July 6th, 2010 at 3:50 pm #Maria

I have an RV park business recently damaged by a fire and the insurance company is claiming they have no liability. I’ve heard there are companies out there who step in and help when this sort of thing happens? How do I proceed and who do I contact?
Thank you.
July 8th, 2010 at 9:47 pm #admin

Maria,
You could hire a public adjuster and or attorney. The PA is cheaper than the attorney. If the PA cannot get the claim covered, at least a good public adjuster will document the file for the attorney to take over and litigate. For advice on how to choose a good public adjuster, go to the Considerations page at UClaim.com. And also consider the eBook there on denied claims.
September 13th, 2010 at 9:58 am #Mike

I own a small retail store. Of course, we were robbed; cleaned out of our inventory. I did get reimbursed for all of the lost invnetory valued at cost.
However, I decided not to replace all of the inventory; I carry much less inventory. Because of this, does anyone know if the monies I did not spend are taxable? I don’t think so but I cannot determine where his may be an IRS ruling. Any thoughts are welcome!
October 25th, 2010 at 12:06 pm #Melissa

I was hit by a pizza delivery car last week. It was clearly his fault as I was in traffic and he was entering traffic and the damage was on my driver’s side door. I filed a claim against his auto insurance company but I am now worried that the claim will be denied due to the fact that he was working as a pizza delivery guy at the time of the accident and I doubt an 18-year old kid has taken out commercial insurance. What recourse do I have? Can I filed a claim against the company he works for? If so, how does one going about doing this? Any idea of the typical outcome in a situation like this?
October 25th, 2010 at 12:46 pm #Jordan

I was a delivery driver for a restaurant. At one of my deliveries, I was the victim of an armed robbery. The robbers took the food, my money and a gold chain around my neck. Can I pursue a claim under my homeowners policy for the stolen gold chain? Would such a claim be covered under a homeowners policy? I didn’t have the gold chain specifically listed under the homeowners policy but do have jewelry coverage. Thanks.
December 22nd, 2010 at 10:40 pm #Laura

Some body thelf my truck my insurance recover it and bringme a check for repair the truck but the body shop tacke the ckeck and never finish to fix my truck , right now the case is in court by my question the body shoop need to have a general liability insurance ? because other body shop check my truck and I need to pay for fix my truck but the first body shop refuse to return the money and I need to fix my truck, you thin the insurance of the bussines can help me………
March 4th, 2011 at 10:04 am #Hal

Building and contents were gutted due to fire. Our Ohio Franchise License expired in January 2007 without our knowledge. Claims adjuster will not proceed until re-activated. Accountant has re-applied – don’t know when re-activation will resume. Can our claim be placed in “suspension” until this is resolved, or are we just being stalled. Further, business owned by seperate “C” corp independent from building owned by LLC (same pricipals). Adjuster will not move forward even on building due to the Ohio Franchise issue?
June 19th, 2011 at 1:40 pm #Michael McElroy

My building and content burn with a 100% total lose. Mississippi is a value state. Should my insurance company pay me face value of my policy for my building and my content. My content is imported from China. They have all my proof of purchase with cost. I was told when I got my policy that I should insure my content for the value here in the USA.
August 3rd, 2011 at 12:15 pm #Amanda

I am currently trying to locate the insurance company of a business. The business refuses to give me their information. Is there a way to identify the insurance company without asking the business directly? Any information would be helpful. Thank you.
August 5th, 2011 at 9:31 am #Jason

Amanda,
Unfortunately that information is only available by getting it from the business.

I would assume you have a claim that you are attempting to file with their insurance company. If that is the case, simply make a claim, in writing, to the company itself. Many times the company is required to notify the insurance company of any claims against it. That may be a route to get what you want accomplished.
August 5th, 2011 at 9:35 am #Jason

Michael McElroy,
Sure Mississippi may be a value state but that only applies to a occupied primary resident. It doesn’t apply to anything other than that. Now, your building is likely a commercial building and it could have either ACV or replacement coverage. That depends on your policy and coverage.

When it comes to inventory, the value of that inventory is based on what it would take to replace it with inventory in the same manner that you acquired it from initially. It is not related to the market value in the US. It should be insured for what it would take to replace the inventory and not a penny more otherwise you are over-insuring.
August 23rd, 2011 at 7:39 am #Mr. Kite

I own a small business and was asked to replace some car parts for a client by his insurance. Do I need to provide receipts for the parts replaced?
August 23rd, 2011 at 3:53 pm #Jason

Mr. Kite,
If they request the receipts. But probably not.
November 21st, 2011 at 1:08 pm #blythe

what action can a lawyer take if the adjuster is not returning any calls, nor his his supervisor? Isn’t that illegal?
November 22nd, 2011 at 2:13 am #Jason

blythe, that seems like a good question to ask a lawyer. Since they would be the one taking the action, if any, they would know what best to do.
November 25th, 2011 at 7:22 am #Jessica

Today, I was informed by the owner of the auto repair garage that is replacing the engine in my Suburban that the wheels, tires, battery and catalitic converter have been stolen from my vehicle. Do most auto repair garage’s have insurance that cover the theft of vehicle or parts of vehicles?
November 26th, 2011 at 8:42 am #Jason

Jessica,
Any reputable auto repair facility will have insurance. Not all of those that have insurance will have coverage for theft while the vehicle is in the shop’s care, custody, or control.

Simply make a claim with the repair garage. Ask for their insurance company so you can make a claim or simply ask for them to pay for the stolen items.

If that does not work, you might have comprehensive physical damage insurance that covers theft on your own policy. If so, make a claim with your insurance company.
December 15th, 2011 at 12:59 pm #Cheryl

I am helping out a friend whom has started a business. The company vehicles was robbed of tools and parts totaling around 13,000.00. When they went to file the claim the actual insurnace company advised they was under insured and penalized them 8,000.00 dollars. Can you advise me why this was done, why the insurance agent advised him to make claim the claim for the employees tools which put him over the amount by 4,000.00 and why she did not advise him as he added to his company that he needed to change insurance amounts? This may cause him to go out of business and he looked to a insurance agent to make sure his company was taken care of. Thank you for any help regarding this.
December 15th, 2011 at 5:12 pm #Jason

Cheryl,
We would like to address you concerns. However in order to do so, we need to understand what you have posted. Please re-organize your post so it makes sense and we will address your questions asap.
January 6th, 2012 at 10:38 am #Ericka

I hired a company (franchise) to refinish my brand new hardwood floors (I used a product on them that left a dull apperance and I wanted them back to “normal”), and in the end the owner of the franchise RUNIED my floors! I took the owner to small claims court, but was only awarded $1,000.00 (the amount I paid him). I tried going through my insurance company, but they said because I hired a company to fix my floors I need to go through his business insurance. I just tried filing a claim through his insurance company, but they said they wont help me because it’s conisdered negligence for his “quality of work.” I have no idea what I need or can do from here. I feel like I’ve exhausted all avenues. It’s going to cost over $15,000.00 to replace my floors that this franchise owner ruined. Do you have any advice? Can I hire a lawyer and take him to a bigger court or that considered double jeporady? Any advice would be helpful.
January 6th, 2012 at 8:39 pm #Jason

Ericka,
No, this would not be considered double jeopardy because that only applies to criminal acts.

It is correct insurance doesn’t cover what they call a person’s “work product” because if a company didn’t do it correctly, they can do it again and do it correctly the next time it’s done. The insurance company doesn’t insure anybody’s “work product”.

You have done everything you can do. Can you sue him again? No, because the court has already settled this matter entirely. Their determination was that you were correct and because you were correct, they awarded you $1000.00. That is called a judgment the end of that entire situation and dispute.
January 10th, 2012 at 9:28 am #Paula R

There is a water pipe leaking out side of my business by the curb and gutter. The city I live in says I am responsible for anything from the main to my building. Does insurance usually cover this type of problem? The water leak is outside but there is a lot of cement torn up, a backhoe, boring machine, equipment and overtime.

What is the best way to get this submitted to the insurance company for some type of coverage? Your answer would be greatly appreciated.
January 10th, 2012 at 4:25 pm #Jason

Paula,
Contact your agent and make a claim. There may be covered for this but that will depend on what caused the pipe to break. The claim will get that all started to determine if there is coverage.
January 24th, 2012 at 2:23 pm #Joe

I have a situation with an insurance company that paid out a claim to me on my buisness where we had damaged an engine and needed to replace it. They asked for three different venders where the product could be replaced along with supporting documentation regarding engine. The claim started on 7-28-11, They sent out two different engineers to look at damage and to evaluate my competency for assembling engine. They paid the claim in november 2011. Now they are coming back asking for more information and a deposition regarding where i purchuased the engine / how i got its value and lots of other things that make it feel like they are going to sue me. They didnt even request back the damaged block and im tired of holding on to it. My questions are : Can i throw away this damaged block? Is it standard for this type of inquiry? Should my communications with the insurance company be through council? Can they legitamitly sue me over this claim even though it was already paid and their “over payment” was between 3000 and 4000 dollars on a 25,000 claim. Thanks for your help.
January 24th, 2012 at 4:23 pm #Jason

Joe,
First of all, you know the details of your claim and what is going on. We don’t know anything about it at all. You will need to give us some back ground on what happened, the things that led up to where they currently are right now, and what your claim concerns. Is this a BAP, a General liability policy, an E&O policy. You see, if you don’t provide use with useful information, all we can provide you with is useless information in return. The decision it entirely on you. You ask us if you can throw away this damaged block. You ask if there is a standard for this inquiry. We have no idea what kind of inquiry your are talking about. Can you provide us why you believe you should ask if your communication should be through an attorney? You indicates this was overpaid by $3-4000 but we have no idea about anything about your claim. If you are attempting to confuse us, you are doing an excellent job. If you want us to understand you, we will need you to provide the best advice to us that you can. If you want us to provide as vague of an answer to you as your question to us, all you have to do is ask for that and we will try our best.
February 7th, 2012 at 8:07 am #nadia

i have secured a judgment in court for damage a drunk driver caused to my business property…originlly i didnt want to file a claim with my insurance and went ahead on my own and won ..but now i am unable to collect…can i shift the liabilty to my insurance company file a claim and lat then go after it..this happened in april 2010
February 7th, 2012 at 4:47 pm #Doug

I had roof damage last fall, and our adjuster came out and presented us with a check after doing an estimate, less 15% holdback for depreciation. I got several estimates and wound up getting the repairs completed for less than the initial payment. They initially tried to deny me the depreciation amount because of a time expiration, but I later got them to agree in writing to pay it because it was hail damage and contractors were very backed up due to the volume of houses needing repairs from the same storm. They said once I sent them the invoice from the contractor showing the work was done, they would release the depreciation. However, once they saw the amount was less than they had paid, they changed their stance and are refusing to refund the depreciation amount. Is this legal? it is through Farmers Insurance.

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44 Responses to “Business Insurance Claims”

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