Water damage is one of the most common and costly causes of property damage. Whether from a burst pipe, a leaky roof, or a flood, water losses can wreak havoc on your property and belongings. However, when it comes time to file an insurance claim, many homeowners find themselves facing a frustrating denial. Understanding why insurance claims for water losses are denied and how you can fight back is essential to securing the compensation you deserve.

At A H Neaman Company, we specialize in helping property owners navigate the complexities of insurance claims, especially in Pennsylvania (PA), West Virginia (WV), and Maryland. As experienced public adjusters, we are here to ensure that your claim is properly handled and that you receive a fair settlement. Let’s dive into the top reasons insurance claims for water losses are denied and how our team can help.

1. Lack of Maintenance or Negligence

One of the most common reasons water damage claims are denied is because the insurance company argues that the damage was caused by a lack of maintenance or negligence. Insurers may claim that you failed to take reasonable steps to prevent water damage. For example, if a leaky roof was never repaired or plumbing issues were ignored, they may argue that the damage could have been avoided.

How to Fight Back:
Document your maintenance efforts, including regular inspections and repairs. It’s important to have records of any maintenance work done and to demonstrate that you were not negligent in maintaining the property. If you face a denial due to negligence, a public adjuster can help gather evidence to refute this claim and ensure your insurance company properly evaluates the situation.

2. Pre-existing Damage

Insurance companies may deny claims if they believe the water damage existed before the policy was in place or before the loss occurred. For example, if there was a history of mold or water stains on the ceiling, insurers may argue that the damage was already present and not a result of the current incident.

How to Fight Back:
Get an independent evaluation from a qualified expert to assess the extent of the damage and determine when it occurred. A public adjuster can help you gather the right evidence, such as photographs or expert testimony, to show that the damage was recent and related to the incident in question.

3. Improper Reporting or Delay in Filing the Claim

Insurance companies often require timely reporting of water damage. If you delay reporting the claim, even by a few days, the insurer may claim that the damage was worsened because of the delay, thus leading to a denial. In many cases, policies specify that you must notify your insurer within a certain time frame (usually 24 to 48 hours).

How to Fight Back:
Act quickly and report the water loss as soon as possible. If you face a delay denial, document your actions and show that you reported the damage as soon as reasonably possible. A public adjuster can assist you in ensuring that the claims process is completed promptly and properly.

4. Flood Damage Exclusions

Most standard homeowners insurance policies do not cover damage caused by flooding. If the water damage was a result of a flood, your insurer may deny your claim under the exclusion for flood damage. In many cases, flood damage requires a separate flood insurance policy, which may not have been in place at the time of the loss.

How to Fight Back:
Review your policy carefully to understand what is covered and whether flood insurance was in place. If the damage occurred as a result of something other than a flood, such as a burst pipe or a backed-up sewer, you may be entitled to compensation. Public adjusters have the expertise to review your policy and ensure that you are being treated fairly.

5. Exceeding Coverage Limits

Insurance policies have limits on the amount of coverage they provide for specific types of damage. If the water loss exceeds the limit outlined in your policy, your claim may be denied or only partially paid out. It’s also possible that your insurer will deny claims based on “caps” that limit the reimbursement for certain types of water damage, such as sewer backups or water removal.

How to Fight Back:
Check your policy’s coverage limits and any exclusions or caps on water damage claims. If you have already reached the limit, a public adjuster can help you identify any additional areas of coverage or negotiate with your insurer for a higher payout. We can also assist with determining if the insurer’s payment is in line with the policy’s terms.

6. Inadequate Documentation of the Damage

A common reason claims are denied is inadequate documentation. If you do not have proper evidence of the damage, including photographs, videos, and a detailed account of the loss, your insurance company may refuse to pay or undervalue your claim.

How to Fight Back:
It is essential to document the damage immediately. Take photos and videos of the affected areas, and make a detailed list of damaged items. If you’re unsure what to document or how to proceed, a public adjuster can provide the necessary guidance and ensure that the insurance company receives the appropriate documentation to process your claim successfully.

7. Policy Exclusions or Limitations

Some policies include exclusions or limitations on water damage claims. For example, many policies exclude coverage for damage caused by seepage or gradual leaks over time. If the water damage is related to these issues, your claim may be denied.

How to Fight Back:
Review your policy’s exclusions and limitations to understand what is covered and what isn’t. If the water damage was caused by a sudden, unexpected incident (such as a burst pipe or an appliance failure), a public adjuster can help you demonstrate that the damage falls within your coverage limits.

Call A H Neaman Company for Help

If your water damage claim has been denied or underpaid, it can be a stressful and confusing situation. At A H Neaman Company, we specialize in helping property owners in Pennsylvania, West Virginia, and Maryland fight back against denied or underpaid insurance claims. As expert public adjusters, we work on your behalf to ensure your claim is thoroughly evaluated, and that you receive the compensation you deserve.

Don’t face your insurance claim battle alone. Call A H Neaman Company today, and let us help you navigate the claims process, fight back against denials, and ensure a fair and just settlement. We have the experience and expertise to get the results you deserve.