Experiencing a house fire is tragic. Besides the fright of escaping injury, belongings turn to ash. Living somewhere else often becomes unavoidable, if only for a temporary period.
Fire insurance exists to provide money for repairs and returning to normal. Unfortunately, insurance companies tend to reject claims even when they are justifiable.
Reason #1: There is inadequate coverage
Insurance policies differ. Some only provide coverage for particular kinds of fires. Others will compensate for damage from flames but not smoke or water. Simply because an insurer cites an exclusion does not mean it applies. Checking the fine print sometimes catches representatives in an error or outright lie.
Reason #2: There is suspicion of arson
Unethical individuals intentionally set homes ablaze to cash in. When such misconduct is provable, it is a solid reason for not paying out. Investigators, though, can be off base in their conclusions. Fighting arson accusations typically requires going to trial.
Reason #3: There is defective construction to blame
House fires start for all sorts of reasons. A lightning strike remains one that is impossible to prevent. A faulty electrical system, though, is not. If an insurer decides poor craftsmanship is the cause, the odds are high that there will be a denial. One must preserve proof of upkeep in the form of comprehensive maintenance records.
There are other explanations insurers use to avoid compensating fire victims. Every rationale they float requires a swift response. Knowledge of how the insurance industry works remains valuable when fighting them.