California law does not require that homeowners purchase insurance on their property, but many homeowners still decide to purchase a policy that provides protection in the event of physical damage to the home. However, insurers often write these policies in a way that specifically limits coverage concerning the source of the damage and use this narrow language to deny many homeowners’ claims after damage to their property.
A denial of coverage after property damage can be devastating and may prevent you from rebuilding your home after an accident or natural disaster. Fortunately, a credible insurance denial attorney can examine the reasons for your denial and advise you about their available legal options to seek payment for their claim. Contact a Los Angeles homeowner’s insurance denial lawyer today.
The Basics of Homeowner’s Insurance
In principle, insurance is a relatively simple concept. A customer enters into a contract with the provider, the provider agrees to compensate the policyholder in case of a loss—in this case, damage to the house—and in exchange, the policyholder agrees to pay premiums.
Since an insurance policy is a contract, it is vital for people to understand what they are signing. All insurance policies, especially those for homeowner’s insurance, will specifically state what sorts of damages are covered. Speak with a Los Angeles homeowner’s insurance denial lawyer for more information about the basics of insurance.
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What Does Homeowner’s Insurance Not Cover?
It is rare for a homeowner’s insurance policy to universally cover any damage from any source. One common source of damage that is not covered by many policies is fire. Other sources of potentially uncovered damage include:
- Floods
- Damage from homeowner negligence
- Wars
- Earthquakes
The most common reason for a company to deny a claim is to argue that the source of the damage was not covered. However, this can be open to interpretation. A Los Angeles homeowner’s insurance denial lawyer can help people to fully understand their policies and demand enforcement after a loss.
Contesting Claim Denials
All insurance policies are a contract between the insurance company and the policyholder. It is because of this that any unjust refusal to pay after a loss may be a potential breach of contract. A breach of contract is a classic cause of action for filing suit in civil court.
Many denials of coverage are based on a bad-faith action. In this context, bad faith means that the insurance company has no legal justification for denying the claim. This applies to companies that refuse to pay reasonable claims, mislead customers as to what coverage is provided, or offer policies that do not meet the minimum legal standards for policies under California law.
A Los Angeles Homeowner’s Insurance Denial Attorney Can Work for You
Homeowner’s insurance policies provide vital protections to people throughout California. However, you should be aware of what protections your policy provides, as well as what your policy may not cover.
If your homeowner’s insurance claim is denied, the reason for that denial may be open to interpretation. Other times, the denial is committed out of bad faith by the insurer. When this is the case, you have the right to take the case to court.
A Los Angeles homeowner’s insurance denial lawyer may be able to provide guidance. They can examine your policy, analyze the incident, and determine why your claim was denied. If the denial was illegal or in bad faith, your attorney can provide you with options for how to hold the insurance company to the terms of their policy.