Business Insurance Claims
Have a question about business insurance claims? Post it here for our contributors to answer. Questions under 100 words are more likely to receive an answer.
Have a question about business insurance claims? Post it here for our contributors to answer. Questions under 100 words are more likely to receive an answer.
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.