Preferred Service Providers: Insurance Claim Contractors List

Insurance companies often provide the policyholder with a list of “preferred service providers.” Nevertheless, the policyholder may choose from this list or hire their own experts for the repair process.

If the policyholder decides to choose their own team, then they are responsible for the results. Moreover, remember you can get independent estimates for each aspect of the repair work. It’s a good idea to get more than one quote.

As a policyholder, it is vital to select a team of professionals you can trust. Remember, they will be responsible for rebuilding your home or business so that you can return to normalcy soon.

Tips When Hiring an Insurance Claim Contractor

• Did you know that if the work goes beyond the repair, you need permission. Any upgrades suggested by the insurance claim contractor need prior approval from the insurance company.
• Furthermore, make sure you get a written agreement of the professional’s work warranty/guarantee. As well as including insurance coverage verification before beginning any repairs.
• Moreover, always verify contractor credentials before hiring. In fact, do this even if the service provider is on the insurance company’s “preferred” list.
• Contractors do not have a license or a certification to adjust claims. “Unauthorized Practice of Public Adjusting” can affect policyholders negatively. Public adjusters are the only professionals specifically licensed to adjust, negotiate, and settle property claims for the insured.
• In addition, make sure to read the fine print and get insurance company approvals first. Secondly, be very diligent about reading any paper the contractor wants you to sign.
• Also, know that the contractor should begin work only when your insurance company approves your claim. Be present, don’t let your contractor negotiate with the insurance company without you. In short, be in control.

More Insurance Claim Contractor Tips

• Verify the costs of temporary repairs and debris removal. Pay attention to how much the insurance claim contractor suggests you spend on temporary repairs. The amount you spend on temporary repairs will likely be reduced from the total amount of permanent restoration. Furthermore, make sure the adjuster includes the cost for debris removal in the total estimate.
• Equally important, remember never to pay contractors in advance and never pay out of pocket for a quote or estimate. Furthermore, be sure that all checks are made payable to you to sign off on the work. Only pay for temporary repairs. Be sure to keep the receipts for minor repairs so you can submit them to the insurance for reimbursement.
• In addition, keep a notebook with all repairs information, receipts, and details.
• First, you must remember maintaining a job file of all communications with your chosen contractor. Be sure to include any signed contracts, plans, and specifications of work being done.
• Also, include all materials used, bills and invoices, canceled checks, copies of the certificates of insurance. Furthermore, be sure to include information about any subcontractors your contractor may use or material suppliers.

How to Know If an Insurance Claim Contractor Is Legitimate

To determine if a contractor is legit, you can verify their business name with your local better business bureau. However, a licensed contractor should not have a problem providing you with information showing their qualifications.

Don’t make a quick decision. Many contractors will go door-to-door after a fire. Let them know you are working with an insurance company and you require a formal bid.

Meanwhile, take down everybody’s information. Though many of these contractors seem honest and reputable, many insurance fraud cases involve pretenders. Moreover, if they are legitimate, they will be willing to put in a professional bid on doing the work.

Does the Homeowner or the Insurance Claim Contractor Receive the Check?

Depending on your policy, you might be entitled to money for temporary housing or to pay your mortgage. Don’t write any checks to your contractor. Remember to consult with your public adjuster or insurance agent to make sure it’s ok. After a decision, talk to your insurance claim adjuster to arrange this sort of payment.

Common Contractor Insurance Claims

As mentioned before, be sure your contractor has the experience you need. This is because the construction industry is a risky business. Therefore, you should learn about the most common types of contractors’ insurance. In short, you need to ensure that if the contractor messes up, you can collect from their insurance.

• First, Personal and Worker Injury: Liability insurance should cover both employees and even the contractor’s clients.
• Secondly, property damage liability insurance should also cover further damage to the property caused by the contractor. For instance, if a contractor’s employee accidentally backs up a work van onto the living room and destroys the wall. Of course, the initial insurance claim the homeowner is working with will not cover these damages.
• Also, make sure all contractor vehicles are insured for personal damage. Homeowners’ insurance will not cover contractors’ personal damages.
• Equally important is stolen equipment coverage. As a homeowner, you do not have to cover any losses as a result of a contractor. Even if equipment disappears in your home, a contractor’s insurance is in charge of covering this loss.