Life is constantly changing, but is your insurance coverage being updated to keep up?

Insurance is often purchased and then forgotten about until it’s needed. However, as life changes, your insurance needs may change as well. Whether a new car has been purchased, a home has been bought, or a business has been started, your current coverage may no longer be the right fit. By reviewing your policies regularly, gaps in coverage can be identified, unnecessary expenses can be avoided, and your assets can be better protected. So, when should your insurance policies be reviewed?

At Least Once a Year

Even when no major life changes have occurred, insurance policies should be reviewed at least once a year. Over time, the value of your belongings, property, and other assets may change. As a result, your current coverage may no longer reflect their value.

During an annual review, coverage limits, deductibles, and premiums can be evaluated. Potential discounts may also be identified, and questions about your policy can be answered. By having your insurance reviewed before its renewal date, necessary adjustments can be made before the next policy term begins.

After Major Life Changes

Insurance needs can be affected by major life events. Getting married, having a child, buying a home, or starting a new job can all change the type and amount of coverage that is needed.

For example, after getting married, certain insurance policies may be combined, and beneficiaries may need to be updated. When a child is born, life insurance coverage may need to be increased to provide additional financial protection. Whenever a major life change occurs, your insurance should be reviewed to make sure your coverage still meets your needs.

When You Make a Large Purchase

When a valuable item is purchased, your insurance coverage should be reviewed. Whether it’s a new car, expensive jewelry, or updated appliances, it’s important to make sure these belongings are properly protected.

Additional coverage may be required for certain purchases. For example, valuable items such as jewelry may be subject to coverage limits under a standard homeowners policy. By reviewing your insurance after a large purchase, coverage limitations can be identified, and additional protection can be considered.

After Home Renovations or Improvements

When improvements are made to a home, its value and rebuilding costs may increase. Projects such as adding a room, remodeling a kitchen, or finishing a basement can affect the amount of insurance coverage that is needed.

If homeowners insurance isn’t updated after significant renovations, coverage limits may no longer be enough to cover the cost of rebuilding after a covered loss. Before a major renovation is started, your insurance agent should be contacted to determine whether additional coverage is needed during construction.

When Your Business Changes

As a business grows or changes, its insurance needs should be reevaluated. When new employees are hired, equipment is purchased, services are expanded, or operations are moved to a new location, additional risks may be introduced.

For example, workers’ compensation coverage may be affected when employees are added, while commercial property coverage may need to be adjusted when new equipment is purchased. Through regular policy reviews, potential coverage gaps can be identified, and insurance protection can be adjusted to reflect current business operations.

When Your Insurance Costs Change

If a significant increase in your insurance premium is noticed, it may be time for your policy to be reviewed. Premium increases can be caused by several factors, but a review can help you better understand how your insurance costs are being determined.

During a policy review, opportunities to adjust deductibles, bundle policies, or receive discounts may be identified. However, coverage shouldn’t be reduced simply to lower costs. By working with your insurance agent, a balance between affordability and proper protection can be found.

Conclusion

Insurance policies should be reviewed regularly to make sure the right protection is in place. As life changes, insurance needs may be affected by major purchases, home improvements, or other important events. By taking the time to have your coverage evaluated, potential gaps can be identified, and unnecessary expenses may be avoided.

A policy review doesn’t have to be complicated, and it shouldn’t be delayed until something goes wrong. By speaking with your insurance agent, questions can be answered, coverage can be evaluated, and necessary adjustments can be made. With the right insurance protection in place, greater peace of mind can be achieved as life continues to change.

You can experience the benefits of being a part of a full-service Independent Insurance Agency today! Simply contact Briggs Agency, Inc. if you are interested in an insurance review at 219-769-4840 or visit our website at www.BriggsAgency.com. We look forward to hearing from you!

Blog Post written by: Alex Condes

Owning a multiunit rental property means managing significant financial exposure. Between structural vulnerabilities, tenant-related liability, and income disruption risks, the stakes are high.

Multiunit property coverage addresses these specific challenges with targeted protection. At Briggs Agency, Inc., we help property owners understand what’s actually covered and what gaps might exist in their current policies.

Why Multiunit Property Coverage Matters

Large-scale rental buildings carry financial exposure that homeowners never face. A single fire, tenant injury, or extended vacancy can wipe out months or years of profit. Average monthly insurance costs for multifamily properties increased from $39 per unit in 2019 to $68 per unit, yet this correction masks a deeper reality: the cost of being underinsured far exceeds the cost of proper coverage. A 20 to 30 percent increase in insurance costs can erode property value by millions, as research from Investors Management Group shows.

This is why treating multiunit property insurance as a commodity purchase rather than a strategic asset protection tool is a costly mistake.

Structural Damage Claims Hit Harder Across Multiple Units

Building damage claims escalate when you own multiple units. A water pipe failure, electrical fire, or weather event that would be manageable in a single-family home becomes catastrophic across dozens or hundreds of units. Replacement-cost coverage matters here because construction costs have climbed steadily. If your policy limits haven’t been updated to reflect current rebuild expenses, you face a significant shortfall. You should verify your replacement-cost valuations annually, especially after inflation spikes.

Liability Exposure Multiplies With Each Tenant

More tenants create more exposure to injury claims. A slip-and-fall in a common stairwell, an injury from a maintenance failure, or an accident in a shared amenity space can trigger lawsuits that exceed typical homeowner liability limits. Liability coverage should start at a minimum of $1 million for multifamily properties, with a commercial umbrella policy providing excess protection for larger portfolios. The difference between a $300,000 liability limit and a $1 million limit is often just a few dollars per month in premium, yet the gap in protection is enormous. Carriers increasingly scrutinize building maintenance records, roof age, wiring condition, and construction quality when underwriting multifamily risks, meaning deferred maintenance directly impacts both your premium and your ability to secure coverage at all.

Lost Rent Exposure Demands Immediate Attention

When a covered loss makes units uninhabitable, rental income stops immediately while your expenses continue. Loss-of-rent coverage compensates for this income gap, typically for 12 months minimum, though some carriers like Farmers offer up to 18 months of protection. Without this coverage, a major fire or flood forces you to absorb the full financial impact during the recovery period. This is not theoretical-it directly affects your ability to pay the mortgage, maintain reserves, and meet debt covenants with lenders. Understanding what your current policy actually covers (and what it doesn’t) is the first step toward closing these gaps.

What Your Multiunit Coverage Actually Protects

A multiunit property policy is fundamentally different from a standard homeowners policy because it addresses the financial complexity of operating a rental business, not just protecting a building. The coverage splits into three distinct protection areas that work together to safeguard both your asset and your income stream.

Building Structure and Physical Asset Protection

Building structure coverage reimburses you for physical damage to the property itself-the roof, walls, mechanical systems, and common areas where tenants gather. This includes fire damage, weather events, vandalism, and tenant-caused destruction. The critical detail most landlords miss is that replacement-cost coverage must reflect current construction expenses, not what the building cost five years ago. According to PwC research, higher development costs are reshaping real estate supply, meaning a policy written in 2022 likely underestimates what a full rebuild would actually cost today. You need annual valuations to catch this gap before a loss occurs.

Loss of Rent Protection for Income Continuity

Beyond the building itself, your policy covers loss of rent-the income you lose when units become uninhabitable due to a covered event. This protection typically runs for 12 months, though Farmers extends coverage to 18 months, which matters significantly if recovery takes longer than expected. Without this coverage, you absorb mortgage payments, property taxes, maintenance costs, and debt service while receiving zero tenant income. A single major fire in a 50-unit building could mean $50,000 to $150,000 in monthly income loss depending on your rent structure. Loss-of-rent coverage bridges that gap directly.

Liability Coverage That Scales With Your Occupancy

Liability protection is where multiunit policies diverge most sharply from residential homeowners coverage. A tenant’s guest slips on ice in a common stairwell, or a maintenance failure causes injury in a shared hallway-these incidents create lawsuit exposure that scales with occupancy. A $300,000 liability limit, common in basic policies, evaporates quickly in a legitimate injury claim. You need a minimum of $1 million in underlying liability coverage for multifamily properties, with a commercial umbrella policy stacked above it for portfolios holding multiple buildings. The cost difference between inadequate and adequate liability limits is typically $50 to $150 per year in additional premium, yet the exposure reduction is dramatic.

Insurers now evaluate building maintenance records, roof condition, wiring age, and construction quality when underwriting liability risk because these factors directly predict claims. A building with deferred maintenance on the roof or outdated electrical wiring faces both higher premiums and potential coverage denial. Legal defense costs are bundled into liability coverage, so if a tenant sues you over a premises liability incident, the carrier pays your attorney fees up to your policy limits.

Code Compliance and Ordinance Coverage

Ordinance and Law coverage, often sold as an add-on rider, pays for code-upgrade expenses when you rebuild after a covered loss. Building codes change constantly-if a fire destroys your structure, local codes may require upgraded materials, sprinkler systems, or electrical standards that cost significantly more than the original construction. Without this endorsement, you absorb those code-compliance costs out of pocket.

Coordinating Your Complete Protection Program

The strongest multiunit policies combine property protection, loss-of-rent coverage, and liability limits as one coordinated program rather than treating them as separate purchases. This coordination ensures that when a loss occurs, your cash flow, your legal exposure, and your asset all receive protection simultaneously. The next step involves understanding how to evaluate whether your current coverage actually matches your building’s specific risk profile and financial structure.

Selecting the Right Coverage for Your Specific Building

Document Your Building’s Physical Condition

Start by documenting exactly what your building is: year built, square footage, number of units, construction materials, roof age, electrical system condition, and any previous loss history. Insurers now evaluate these details with disciplined underwriting because they predict claims. A building constructed before 1980 with original wiring faces substantially higher premiums or potential coverage denial compared to a recently updated property. According to research from Hub International and Newmark, carriers scrutinize wildfire scores, roof age, wiring condition, and construction quality before quoting. This means your building’s physical condition directly determines what coverage is available and at what price.

If your roof is 15 years old or your electrical system is outdated, you won’t receive favorable terms from any carrier-but you need to know this before you start shopping. Some properties benefit from hardened construction features like non-combustible materials, which can unlock meaningful discounts. A professional property assessment clarifies what upgrades matter most for insurance underwriting if you haven’t completed one recently.

Define Coverage Needs Before Requesting Quotes

Replacement-cost valuations must reflect current construction expenses, not historical purchase price. According to PwC research, per-unit insurance costs in California high-risk areas jumped from $300–$500 annually to $1,800–$2,400, yet average deductibles increased approximately 22% in 2025. This means owners face higher out-of-pocket exposure even when premiums decline.

Your liability floor should be $1 million minimum, with a commercial umbrella stacked above it for portfolios holding multiple buildings. Loss-of-rent coverage must extend at least 12 months; Farmers offers 18-month terms, which matters if recovery extends beyond a year.

When comparing quotes, ignore the premium price initially and focus instead on what deductible structure makes sense for your cash flow, what coverage limits align with your lender’s requirements, and which exclusions matter most. A policy that costs $500 less annually but carries a $10,000 deductible versus a $2,500 deductible is often worse value if a small claim forces you to absorb more out-of-pocket.

Partner With an Agent Who Understands Multifamily Underwriting

Work with an agent experienced in multifamily underwriting-someone who understands how lenders like Fannie Mae and Freddie Mac structure their insurance covenants and who can articulate why one carrier’s policy structure serves your portfolio better than another’s lower quote. An experienced agent represents multiple top-rated carriers and compares options to deliver competitive pricing and the right protection for your specific situation. This expertise matters because multifamily policies involve complex coordination between property protection, loss-of-rent coverage, and liability limits that most general agents cannot navigate effectively.

Final Thoughts

Multiunit property coverage protects far more than a building-it safeguards your rental income, shields you from liability claims that scale with occupancy, and enables you to recover financially when a loss occurs. The gap between adequate and inadequate coverage often costs just a few dollars per month in premium, yet the difference in protection spans hundreds of thousands of dollars. A $1 million liability limit instead of $300,000, loss-of-rent coverage extending 12 to 18 months, and replacement-cost valuations updated annually form the foundation of responsible multifamily risk management.

Your next step is straightforward: document your building’s physical condition, define your coverage needs before requesting quotes, and work with an agent who understands multifamily underwriting. This approach prevents you from shopping purely on price and instead focuses on value-the right protection at a competitive rate, tailored to your specific property and financial structure. Lender requirements, local risk factors, and your building’s age and condition all influence what coverage makes sense, which is why generic quotes rarely deliver optimal results.

At Briggs Agency, Inc., we represent multiple top-rated carriers and compare options to help you secure the right multiunit property coverage for your portfolio. Our experienced local agents understand how to coordinate property protection, loss-of-rent coverage, and liability limits into one cohesive program that actually protects your asset and your cash flow. Contact us today to discuss your multiunit coverage needs with someone who understands rental properties and can explain why one policy structure serves your situation better than another.

The information provided in this blog is for general informational purposes only and does not constitute legal, financial, or insurance advice. Coverage options, terms, and availability may vary. Please consult with a licensed professional for advice specific to your situation.
Artificial intelligence may have been used to generate text and images in some blog articles.

Insurance is an important part of protecting yourself, your family, and your financial future. Whether you’re purchasing auto, homeowners, health, or life insurance, one of the first things you’ll notice is the cost of your premium. But have you ever wondered how insurance companies decide how much you should pay? Insurance premiums are not random numbers. They are carefully calculated using a variety of factors, including risk, personal information, claims history, location, and market conditions. Understanding how insurance companies determine premiums can help you make better financial decisions, compare coverage options, and potentially find ways to save money.

Why Does One Person Pay More Than Another?

Imagine two people purchasing the exact same type of insurance coverage. One person receives a premium of $100 per month, while the other is quoted $175 per month. Why is there such a significant difference? The answer comes down to how insurance companies evaluate risk. Every policyholder has a different risk profile, and insurance companies use data, statistics, and financial projections to determine how likely someone is to file a claim. But risk is only part of the equation. Several other factors influence what you pay and why your premium might change over time.

Body: How Insurance Companies Determine Premiums

1. Risk Assessment and Underwriting

One of the biggest factors insurance companies consider when determining premiums is risk. Insurance companies want to estimate how likely a customer is to experience a loss and how much that loss could cost. This process is known as underwriting. Underwriters review information about applicants to determine their level of risk. For example, a driver with multiple accidents may pay more for auto insurance, while a homeowner living in an area prone to hurricanes may face higher homeowners insurance premiums. Generally, the greater the potential risk, the higher the premium may be.

2. Personal Information and Claims History

Insurance companies also consider personal information and previous claims when calculating premiums. Depending on the type of insurance, factors such as age, driving record, health history, property condition, and previous insurance claims may influence pricing. For example, someone with a history of multiple auto accidents may be considered a higher risk than someone with a clean driving record. Insurance companies use this information to identify patterns and estimate the possibility of future claims. However, the factors considered vary depending on the insurance product and applicable regulations.

3. Location and Geographic Factors

Where you live can have a major impact on how much you pay for insurance. Insurance companies evaluate geographic risks because certain areas experience more accidents, theft, property damage, and natural disasters than others. For example, homeowners in areas frequently affected by hurricanes, tornadoes, or wildfires may pay higher premiums because of the increased likelihood of property damage. Similarly, drivers living in areas with heavy traffic or higher accident rates may face higher auto insurance costs. Location can also affect the cost of repairing or replacing damaged property, which influences the amount insurers charge.

4. Coverage Limits and Deductibles

Another important factor is the amount of coverage you choose. Coverage limits determine the maximum amount an insurance company will pay for covered losses, while deductibles represent the amount you must pay out of pocket before certain insurance benefits apply. Generally, higher coverage limits result in higher premiums because the insurance company is accepting greater financial responsibility. On the other hand, choosing a higher deductible may lower your premium because you agree to pay more toward a covered loss. Finding the right balance between affordable premiums and sufficient coverage is essential.

5. Claims Costs, Inflation, and Operating Expenses

Insurance companies must consider more than just an individual’s likelihood of filing a claim. They also evaluate the overall cost of paying claims and running their business. Expenses such as vehicle repairs, medical bills, construction materials, labor, employee salaries, and administrative costs all contribute to insurance pricing. Inflation can also cause premiums to increase because repairing or replacing damaged property becomes more expensive. This explains why your insurance premium may go up even if you haven’t filed a claim. Insurance companies must account for changing costs to ensure they have enough money to cover future claims and maintain financial stability.

6. Statistical Data and Actuarial Calculations

Insurance companies rely heavily on statistics and historical data to determine premiums. Actuaries are professionals who use mathematics, statistics, and financial analysis to evaluate risk and predict future losses. They examine information such as past claims, accident frequency, average claim costs, and industry trends. By analyzing this information, insurance companies can estimate how much money they may need to pay out in future claims. These calculations help insurers establish premiums that reflect expected risks while allowing them to remain financially responsible.

7. Competition and Market Conditions

Competition also plays a role in insurance pricing. Insurance companies must consider what other providers are charging for similar coverage while making sure their premiums are sufficient to cover expected losses and business expenses. Economic conditions, natural disasters, reinsurance costs, and regulatory changes can all affect insurance rates. As these conditions change, companies may adjust their premiums to remain competitive and financially stable.

Conclusion

Insurance premiums are determined by much more than just the type of policy you purchase. Insurance companies evaluate a combination of risk factors, personal information, claims history, location, coverage limits, economic conditions, and statistical data to determine how much customers should pay. Although some of these factors are outside your control, understanding how insurance companies calculate premiums can help you make smarter decisions about your coverage. Comparing quotes, reviewing your policy, asking about available discounts, and choosing appropriate deductibles are all ways to potentially manage your insurance costs. Ultimately, the goal isn’t simply to find the cheapest premium but to find the right coverage at a price that fits your budget while providing the financial protection you need.

You can experience the benefits of being a part of a full-service Independent Insurance Agency today! Simply contact Briggs Agency, Inc. if you are interested in an insurance review at 219-769-4840 or visit our website at www.BriggsAgency.com. We look forward to hearing from you!

Blog post written by: David Stefanoski

A Small Insurance Detail That Can Make a Big Difference

Imagine hiring a contractor to complete work for your business, only to discover that their mistake has resulted in property damage, an injury, or an expensive lawsuit. Even if your business wasn’t directly responsible, you could still find yourself facing legal action and unexpected financial consequences.

This is where additional insured endorsements become especially important. Often overlooked as just another insurance requirement, these endorsements play a critical role in protecting businesses, managing liability, and transferring risk. Whether you’re a business owner, general contractor, property manager, or vendor, understanding additional insured endorsements can help you avoid costly coverage gaps and protect your company’s financial future.

Why Additional Insured Endorsements Matter

An additional insured endorsement is an amendment to an existing insurance policy that extends certain liability coverage to another person or organization. It allows a business to receive protection under another party’s insurance policy for qualifying claims related to the named insured’s work, operations, or activities.

For example, a general contractor may require a subcontractor to add them as an additional insured under the subcontractor’s commercial general liability policy. If an accident occurs because of the subcontractor’s work, the endorsement may provide coverage for the general contractor, depending on the policy terms and circumstances.

This additional protection is an important part of managing risk, particularly when multiple businesses work together on a project.

1. Protecting Your Business from Third-Party Liability Claims

One of the biggest advantages of additional insured endorsements is the potential protection they provide against third-party claims.

Businesses can be named in lawsuits even when another party’s actions caused the incident. For example, if a subcontractor accidentally damages a property or causes an injury while performing work, the property owner or general contractor could also face legal action.

Having additional insured status may provide access to the subcontractor’s insurance coverage for qualifying claims, helping with legal defense costs and covered liability expenses.

2. Transferring Risk to the Responsible Party

Risk transfer is an essential component of a strong business insurance strategy.

When hiring contractors, subcontractors, or vendors, businesses should establish clear expectations about who is responsible for potential risks associated with the work being performed.

Requiring an additional insured endorsement helps support this process by providing another potential source of insurance coverage when claims arise from another party’s operations.

This can reduce the need to rely exclusively on your own insurance policy and help protect your business from unnecessary financial exposure.

3. Meeting Contractual Insurance Requirements

Many commercial agreements require one party to name another as an additional insured.

These requirements are especially common in construction, commercial real estate, property management, manufacturing, and vendor relationships.

For example, a property owner may require a tenant to add them as an additional insured, while a general contractor may require all subcontractors to provide additional insured coverage before beginning a project.

Having the correct endorsements in place helps businesses meet contractual obligations, avoid compliance issues, and establish clear insurance responsibilities before work begins.

4. Reducing the Financial Impact on Your Own Insurance

Another important benefit is the potential to reduce the financial impact of claims on your own insurance program.

Depending on the endorsement language, additional insured coverage may apply on a primary and noncontributory basis. This means the other party’s policy may respond before your own policy, without seeking contribution from your insurance, subject to the applicable terms and conditions.

Having access to another party’s insurance coverage can be valuable when managing claims and protecting your company’s financial resources.

5. Strengthening Business Relationships and Accountability

Additional insured endorsements do more than provide insurance protection. They also help establish accountability between businesses.

When insurance responsibilities are clearly outlined in contracts, each party understands its obligations and the importance of maintaining appropriate coverage.

This creates a more professional working relationship and demonstrates that your business takes risk management seriously.

Additional Insured vs. Certificate Holder: Understanding the Difference

One of the most common insurance misunderstandings involves the difference between an additional insured and a certificate holder.

A certificate holder simply receives a certificate of insurance as evidence that another party has insurance coverage. Being listed as a certificate holder does not automatically provide liability protection.

An additional insured, on the other hand, receives certain coverage under another party’s insurance policy through an applicable endorsement.

The distinction is important because a certificate of insurance alone does not satisfy a contractual requirement for additional insured status. Businesses should always verify that the appropriate endorsement is actually in place.

What Should Businesses Review Before Accepting an Endorsement?

Not all additional insured endorsements provide the same protection. Before accepting one, businesses should review several important details:

• Scope of coverage: Determine whether the endorsement covers ongoing operations, completed operations, or both.
• Policy limits: Make sure the limits meet the requirements outlined in the contract.
• Primary and noncontributory wording: Verify whether this protection is included when required.
• Correct entities: Confirm that the appropriate business or organization qualifies for coverage.
• Exclusions and limitations: Understand any restrictions that could affect coverage.
• Completed operations: Consider whether protection is needed for claims that arise after a project has been completed.

Reviewing these details can help identify potential coverage gaps before a claim occurs.

Conclusion: Don’t Leave Your Business Unprotected

Additional insured endorsements may seem like a small detail in a larger insurance agreement, but their importance should never be underestimated. They help businesses manage third-party liability exposure, transfer certain risks, meet contractual obligations, and establish stronger working relationships.

However, simply requesting a certificate of insurance is not enough. Businesses must verify that the appropriate endorsements are in place and that the coverage aligns with their contractual requirements.

Taking a proactive approach to additional insured endorsements can make a meaningful difference when unexpected claims arise. Ultimately, the right insurance protections aren’t just about meeting requirements today; they’re about helping safeguard your business, its assets, and its future.

Accidents and unexpected damage can happen when you least expect them. Whether it’s a car accident, storm damage to your home, or an incident at your business, knowing what to do next can feel overwhelming.

That’s where the insurance claims process comes in. Filing a claim is how you ask your insurance company to help cover a loss under your policy. However, many people aren’t sure what happens after they submit a claim or how long the process takes. From reporting the damage to working with an adjuster and receiving a settlement, understanding each step can make the experience less stressful. Knowing what to expect can also help you avoid delays and get back to normal as quickly as possible.

1. Reporting the Claim

The first step is to report the incident to your insurance company or agent. Whether you’ve experienced a car accident, property damage, or another covered loss, it’s important to report the situation as soon as possible.

When filing a claim, you may need to provide details about what happened, when it occurred, and the extent of the damage. Photos, videos, receipts, and other documents can also help support your claim.

The more information you provide upfront, the easier it may be for your insurance company to begin reviewing the situation.

2. Working With a Claims Adjuster

After you file a claim, your insurance company will typically assign a claims adjuster to investigate the loss. The adjuster’s job is to review the details, assess the damage, and determine how your policy applies to the situation.

Depending on the type of claim, the adjuster may inspect the damaged property, review photographs, speak with those involved, or request additional documents.

During this stage, it’s important to stay in contact with your adjuster and respond to any requests for information. Good communication can help prevent unnecessary delays.

3. Reviewing Your Coverage

Once the insurance company gathers the necessary information, it will review your policy to determine what coverage applies.

Not every type of damage or loss is automatically covered. Your policy includes specific coverage limits, deductibles, and exclusions that can affect the outcome of your claim.

For example, if your homeowners insurance covers damage caused by a windstorm, your insurance company will review the circumstances to determine whether the damage qualifies for coverage.

Understanding your policy before an accident happens can help you avoid surprises during the claims process.

4. Estimating the Damage

After reviewing the claim, the insurance company will determine the extent and estimated cost of the damage. This may involve reviewing repair estimates, inspecting damaged property, or working with contractors and repair shops.

In some cases, the initial estimate may change if additional damage is discovered during repairs.

The amount you may receive depends on your coverage, policy limits, deductible, and how your policy values the damaged property. For example, replacement cost coverage and actual cash value coverage may result in different payment amounts.

5. Receiving a Claims Decision and Payment

Once the investigation and evaluation are complete, the insurance company will make a decision about your claim.

If the claim is approved, the company will explain the covered amount and how payment will be handled. Depending on the situation, payment may go directly to you, a repair company, or another party involved in the claim.

You may also need to pay your deductible before insurance covers the remaining eligible costs.

If your claim is denied or only partially covered, your insurance company should explain the reason. If you disagree with the decision, you can ask for clarification or provide additional documentation for review.

6. Completing Repairs and Closing the Claim

After receiving approval and any applicable payment, you can move forward with repairs or replacing damaged property.

Be sure to keep receipts, invoices, and other records throughout the process. These documents may be necessary if additional payments or adjustments are needed.

Once the repairs are complete and all payments have been handled, the insurance company can close the claim.

How Can You Make the Claims Process Easier?

Although you can’t always prevent accidents or damage, there are ways to make the claims process go more smoothly.

• Document everything: Take photos or videos of the damage and keep copies of important paperwork.
• Report incidents quickly: Contact your insurance company or agent as soon as possible after a loss.
• Understand your coverage: Review your policy so you know your deductibles, limits, and exclusions.
• Stay in communication: Respond to requests from your adjuster and ask questions when something is unclear.
• Keep detailed records: Save receipts, repair estimates, and any communication related to your claim.

Taking these steps can help reduce confusion, prevent delays, and make the experience less stressful.

Conclusion

Filing an insurance claim doesn’t have to be stressful or confusing. By understanding each step of the process, you can feel more prepared when unexpected situations arise. From reporting the initial damage to receiving payment and completing repairs, knowing what to expect can help you avoid delays and make informed decisions. Staying organized, communicating with your adjuster, and understanding your coverage can make a big difference.

At the end of the day, insurance is there to help protect you when things don’t go as planned. Taking the time to review your policy and understand the claims process can give you greater peace of mind. If you ever have questions about your coverage or need help navigating a claim, your insurance agent can help guide you through the process and make sure you understand your options.

You can experience the benefits of being a part of a full-service Independent Insurance Agency today! Simply contact Briggs Agency, Inc. if you are interested in an insurance review at 219-769-4840 or visit our website at www.BriggsAgency.com. We look forward to hearing from you!

Blog Post written by: Alex Condes