Make sure your public adjuster isn't costing you your benefits
When making an insurance claim, the process is already built in favor of the insurance company, so when seeking help with your claim, you should make sure your public adjuster knows what they're doing before submitting your claim.
We've received a number of calls in the past few months asking to help homeowners who have policies with Citizens who are either making a new claim for water damage, or have already made a claim with another adjuster, and the new policies issued by Citizens are NOT water damage friendly.
Managed Repair - Citizens Property Insurance Corporation
For obvious reasons, insurance companies want to cut other entities out of the claims process. They'd like to avoid adjusters, contractors, and the like because it's an easier process for them to navigate start to finish.
There are also legitimate reasons for insurance companies to do this, as well, such as to limit exposure to certain bad actors who may hold them hostage with unreasonable bills for restoration services or construction services. We've discussed some of this in the past generally with the option to repair, or other insurance companies managed repair programs, which are on a claim by claim basis.
Citizens new insurance policies, beginning in 2021 contain a MANDATORY managed repair program for all water damage claims. That means Citizens becomes your contractor for all plumbing leaks, including trenching and repairing broken pipes, drying services, mold, and anything related.
The caveat here is that it's still optional, but the option is to the insured homeowner. If the insured doesn't want to accept the managed repair, or doesn't know better because they haven't reviewed their policy or received bad advice from a public adjuster, the total of all damages is capped at $10,000. That means if you need to rip up the flooring throughout the whole house, which can easily approach $100,000.00 just asking for payment of your claim can trigger a $10,000 limit.
Your claim always starts with your agent!
No, that's not saying you should call your agent to make a claim. What we mean is that having the right insurance policy and the right coverages for you before there's ever a drop of water causing damage in your home.
There are so many insurance companies out there offering policies with minimal discounts that cap water damage at $10,000 hoping no one will notice, this is a question every homeowner in Florida (especially in the Treasure Coast!) should be asking their agent up front, and honestly, agents should be sending disclaimers.
The difference with Citizens Property Insurance Corporation is that it was meant to be an insurer of last resort if a home is either uninsurable or other insurers are significantly more expensive. Because of the explosion of rates statewide, Citizens has become the default for many homeowners because it's the most reasonably priced. Well, now it's worth deciding whether that price is worth the inferior produce they're selling.
Public Adjusting Services
Citizens is what's often referred to as a quasi-governmental agency. It's not fully state run, but it is a creature of the legislature and is allowed to operate differently than private insurance companies. If you have to make a claim and find yourself with Citizens as your insurer, our public adjusters in Palm Beach County, Martin County, and St Lucie County will be happy to provide advice on how to proceed and conduct a free policy review to see if your claim falls under the reach of these limits.
VIP Adjusting's public adjusters are happy to provide a free claim evaluation and consultation. Please call today, or contact us, and we'll be more than willing to discuss.