No matter how many safety measures you take, there will be some damage caused by fire. Fire insurance policy is recommended to minimize financial impact of damage caused both for home and office. Before we understand how to file claim fire incident, it is necessary to understand policy document and fine print. Here are some tips to follow when dealing with fire insurance claims.
Here are steps to be taken post incidence of fire
- Once you noticed fire you have to take immediate action to put off fire
- Immediately informed fire brigade and police about fire incident
- Insured must take all necessary steps to protect insured assets as if he is uninsured
- You must verify your policy document for coverage, location address etc
- On other hand, you have to inform over mail stating date of loss, about nature and quantum of claim to appoint an independent inspector and loss assessor.
- You must preserve all damaged property and take out photographs or videography
- Also, maintain separate account for all expenses incurred in re-establish damage to original state i.e. just before fire occurred
- Not to dispose any damaged property without approval from inspector after fire claim is settled damaged property belongs to insurer
- You can take assistance of Architect and consulting engineer
- You have to co-operate with inspector (Inspector is independent professional appointed by insurer to assess loss), also give him claim details, fire brigade report, police report, providing all required documents, quotations or bills of repair or replacement of damaged assets and assist him in getting salvage disposed.
- Please note that sum insured for property must be present day replacement cost and otherwise you have deduction on account o under insurance read IRDI issues rule on Private Equity Investment in Insurance Companies
- Normally, insurance policy has an excess clause of 5% of loss amount or minimum of Rs. 10000 for sum insured less than Rs 10 crore, which will get deducted from loss charge
- Once loss is charged, insurance person takes your approval before sending it to insurer
- Based on final survey report, insurance company settles the claim. If there is any difference in settlement, you can approach grievance cell of insurer or consumer courts depending upon claim
- If any difference arises you can raise arbitration provision
As per above points, there are duties to be followed during policy period for fire protection and prevention. An enough number of portable fire extinguishers must be placed in each floor and “No Smoking Zones” rules must be compulsory placed.
Lightning arrestors must be installed, maximum attention should be paid for house-keeping and alarm system must provide and periodical mock drills are to be arranged. Thus, non-compliance may lead to prejudiced settlement of claim. Also read Women must buy Insurance policies for financial security