Insurers are often quick to inform policyholders why they won’t be paid for their losses, citing a plethora of reasons for denying a claim. Of these reasons, our lawyers have seen labeling damage as “preexisting” become increasingly popular because policies list it as an excluded coverage.
Preexisting Damage and Your Home
Take a look at your office and your own home. You will see signs of wear and tear, as the property is likely not brand new. Insurance companies understand the property they are insuring is aged. So, when a loss happens to a property that is not brand new, every single damaged item isn’t automatically excluded because of a wear and tear or preexisting damage exclusion in a policy. However, navigating the line between normal wear and tear and actual damage from a covered event can be tricky, and insurance companies will often take advantage of this clause to avoid paying claims.
First-time homeowners who hired an inspector before buying their new home found themselves in deep water, literally, when their insurer denied their water damage claim as preexisting. The inspector told them the water spots they saw in their new home were due to “attic rain, which is a condition that happens in newer homes because they don’t vent as well as older houses.” The insurer denied the claim after alleging a puncture in the metal flashing on the roof was caused by faulty workmanship when the home was built, and therefore made their water damage a preexisting condition.
Water damage can devastate structures without notice, as leaking pipes or flash floods can lead to huge repair bills requiring an insurance claim to be filed quickly and effectively. Many property owners are shocked to find that once they file a water damage claim, they receive a denial from their insurance carrier.
Insurance Coverage Lawyers
When a policyholder submits a claim for property damage loss, the insurer’s response – more often than not – will reference preexisting issues as one of the reasons for a claim denial. If you have insurance coverage for your home or business, you should not have to pay for water damage on your own. Our dedicated water damage claims attorneys will review your case for free, and provide the solutions you need to pursue the best financial recovery available for your case. If you are policyholder being denied coverage for a valid water damage claim, you should contact the insurance coverage lawyers of Raizner Law for help today.