Home insurance -cash settlement

normalpeopleworryme

I've had to ring insurer regarding a leak in my roof coming through to master bedroom. Called and was talked through issue and process. A valuation company are coming on Monday and if issue is claimable will offer a cash settlement.

My concern (never having claimed before) what happens if cash settlement does not cover quotes for repair/redecoration? I undèrstand there will be a deduction for my excess but worried any quote will outstrip cash. I had assumed I would get quotes get work done and they'd reimburse me full cost (minus excess)

FlameCloud

Don!!!8217;t accept the settlement on Monday. Get your own quotes and compare the two - if it is not enough ask insurers to do the work using their own contractors.

If they are not willing to appoint them (not all are, nor do they have to) they cannot use their rates to settle the claim.

BooJewels

The last couple of structural repair claims I've had, the insurers provided their own tradesmen to undertake the repair work and I never even saw any money - I just paid them the excess. I think this is becoming more commonplace. We were happy as it saved us having to source our own tradesmen and the insurers inspected the work before they signed off on it.**

We got cash for the contents lost in the same incident, but that was a different policy with a different insurer.

** ETA - I just remembered, we weren't happy with one bit, called the insurance company, they looked at it, agreed with us and made them re-do it.

tantriclady

If you are unsure if the cash settlement will cover ALL works (including any that will be found in the course of repairs), you can say you will think about it and get 2 quotes. Use this as a basis for your argument. If the damage may be hidden (i.e. water damage in a wall or floor) you can accept the cash settlement with a proviso that this is NOT a FULL settlement and leave the door open to come back with further costs with your evidence by quote and good quality photos of the damage (including the room location).


By law they have to compensate you for your loss to the condition the area was in before the incident, whether this is done in one hit or by stages. A repair is not enough. The cover is for FULL reinstatement of the area.