“Cracked windshields and
dinged roof shingles can cause major headaches,” said Commerce Commissioner
Mike Rothman. “I urge Minnesotans to work with their insurance agent and visit
the Department of Commerce’s Disaster Information Center.
In the event that consumers are unable to resolve their claim with their
insurance company call the Department of Commerce’s Consumer Response Team – we
are here to help.”
Storm Damage to Vehicles
Hail can damage the exterior and glass. Coverage for these types of losses
is provided by your policy under the "Comprehensive" portion of the
auto policy. Some policies call this coverage "Other than Collision".
How to File and Settle a Claim
Call your agent or the claims processing center listed on your
"Minnesota Insurance Identification Card."
Document the damage with photos.
Obtain estimates from repair facilities. Your insurance company may want
more than one estimate including one from their preferred facility or claims
center
Repairing Your Vehicle
If the repair estimates are less than the value of the auto, the insurer
will likely proceed to pay for the repairs. Generally repair of the auto is
made by using parts of the same year and manufacturer as the damaged auto (used
parts). You cannot be required to accept "after-market parts".
You may choose your own repair facility. However, if that facility is not
the low estimate, you may be responsible for paying the difference.
If the windshield and windows are damaged, original equipment glass is not
required to affect replacement.
Hail damage can be repaired using the dent-less paint repair procedure. If
the procedure does not repair the damage, replacement of the damaged parts
would be required.
Can I ask for cash in lieu of repair? Yes, if you don't have a lien holder.
However, the insurance company may subtract the profit/overhead that is in the
bid of the repair facility. (You can't profit from a claim).
Determining the Market Value of a Totaled Vehicle
If the estimate of repair is close to the market value of your auto, the
insurance company will begin to consider declaring it a total loss.
Minnesota law requires insurance companies to pay "the cost of a
comparable auto, adjusted for mileage, condition and options in the local
market place of the insured" (with all applicable taxes and license fees).
Usually this is determined by checking internet sources such as CarSoup.com, cars.com, AutoTrader.com and the local newspaper.
An insurance company can obtain a market survey of recent sales of comparable
autos from a vendor.
If you disagree with your insurance company over the market value of your
totaled vehicle, check with them about whether you can request the
"appraisal process." Both you and the insurance company hire
appraisers. If the two appraisers can't agree, they jointly hire an umpire to
make the decision. You pay for your own appraiser and one-half of the umpire
fee.
If you have suffered a loss, here are questions you should ask and things
you should know before you file a claim.
Am I Covered?
Homeowners policies do not always have the same coverages. It is very
important to read your policy to determine what is covered, and the level of
coverage that exists. If you cannot locate your policy, contact your insurance
agent or company immediately. Your agent or company will usually be able to
address your questions quickly and accurately. Many companies have Disaster
Claim Teams that have been sent to the area.
The standard homeowners insurance coverage will cover most of your loss
that would occur in windstorm or hail. However, most policies have
deductibles that will apply. Coverage will usually cover the replacement cost
for the damaged portion of your home, including any upgrades that are required
by local codes when damage is repaired. Most contracts cover the expense of
debris removal from you home. This coverage is usually provided in addition to
the policy limit restriction that applies to the repair of the damage to your
home or garage.
Even if fully insured for all perils, some losses will
not be covered:
·
Cost of tree and debris removal when structures unharmed
·
Undamaged property, siding or shingles
·
Damage to property not involving structures
The claims settlement statutes dictate that companies must handle claims in
a responsive manner. However, some of the time frames that are established in
the law allow a company up to 60 days to respond to some issues. Most companies
will be much more responsive than that. You can expect responses to most of
your concerns or problems within a day or two. Though it is not required, some
companies have set up programs that allow their on-site adjusters to issue
checks in advance to cover some of the additional living expenses and
replacement of some essential person property. Once you have made contact with
your company adjuster, ask him/her about the availability of such programs.
If you have a problem with your insurance company, call our Consumer
Response Team (CRT ). You can reach a CRT representative between
the hours of 8:00am and 5:00pm, Monday through Friday.
Phone: (651) 539-1600 or (800) 657-3602 (Greater Minnesota)
Email: consumer.protection@state.mn.us
Address: Minnesota Department of Commerce, Consumer Protection and Education Division
85 7th Place East, St. Paul, MN 55101
If you are unable to resolve a problem or complaint with your insurance
company, the CRT may be able to help. The
Minnesota Department of Commerce investigates written complaints against
licensees. Investigations seek to determine if there has been a violation of
current Minnesota statutes or rules. If a violation has occurred, administrative
sanctions (license revocation, fines, etc.) may be taken. The Department
attempts to secure the payment of claims or obtain refunds for consumers who
have been victimized by licensee misconduct. When filing a complaint:
·
Write, in your own words, the details of the dispute
·
Include as many details as possible such as dates, what was said, policy
and claim numbers, etc.
·
Provide copies of relevant documents
·
Include your phone number and return address
