With tornadoes, floods, storms, and earthquakes causing more residential property damage in American and Puerto Rico than ever before, getting your insurance claim settled in a timely fashion is more important than ever.
Insurers paid out a whopping $1.3 billion in claims last year, a number set to rise in 2020. If you have experienced damage to your home, the last thing you want is to be kept waiting in the dark about when you can expect what is due.
If you’re wondering how long does an insurance company have the settle a claim, read this guide to find out.
How Long Does An Insurance Company Have to Settle a Claim? It Depends on Where You Are.
The first thing worth noting is that the time it takes for an insurance company to settle a claim varies widely from state-to-state. All states have laws that stipulate that every insurance provider must respond to a claim ‘relatively promptly. However, states such as North Carolina do not give a specific time frame.
Others, such as Florida, California, Texas, Ohio, and Georgia, are more strict. In these places, it is mandated by law that a claim must be responded to within 15 days of it being filed.
After this, the time period ranges from between 10 and 60 days for the company to inform you whether or not they will pay the amount requested and begin the transaction process.
Insurance companies in all states also have a right to extend the deadline if they can provide a good reason to, such as a suspicion that a claim might be fraudulent.
Always check the legislation for the state you are filing the claim from before beginning proceedings.
Factors That Can Affect the Time it Takes to Settle a Claim
There are many factors that can affect the time it takes for an insurance claim to be processed. The complexity of the claim is often the biggest factor. Many insurance claims do not appear clear-cut, meaning that the company will often take extra time to investigate to make sure everything adds up.
This is why it is vital to hire a public adjustment handler who can ensure all of your documentation is in order and that the claims process can be as speedy as possible. In addition, if you disagree with a settlement offer or think it unfair, this will naturally add to the time it takes to settle.
If you think an insurance provider is lowballing you with a compensation offer, you have every right to appeal. Using a proper claims adjuster to help you get the amount you deserve almost always leads to a higher offer in the end, so don’t shy away from confrontation.
In addition, there may be a hold-up on the insurance company’s end. Perhaps there had been a major disaster in your area, leading to a lot of claims that must be handled. This is common and often unavoidable.
In this case, you should be patient, but remember that the insurance company should always be honestly communicating with you about the reason for the delay.
Learn More
Now that you know the answer to the question “How long does it take for an insurance company to settle a claim?” you can get started. Make sure to get in touch with our expert team of qualified professionals to find out more about how you can get your claim settled as quickly and conveniently as possible.