Determine payments for insurance claims
When you make an insurance claim, you may receive claim checks and payments at various stages. If you’ve received an amount that doesn’t cover all of your fees, or if you think you should get more, don’t panic, another claim check could come in—understanding how insurance claim payments work will help you get the full value of your claim and understand who will be paid for what.
Who gets paid for the claim in an insurance claim?
An insurance claim check may be issued to different people when you have an insurance claim with a sfam insurance company, or it may be addressed to you as the owner of the damaged item or insured named on the policy.
Here is a list of who can receive claim payment and how to know who will receive the claim check:
- The object’s owner: If you are the owner, you will get the claim check to yourself if you are the sole owner of the property for home insurance. This applies to your content at home.
- The Mortgage Company: If you have a mortgage, the claim check could be written to you and the mortgage company. To cash the review, you will need to work with your mortgage company. Each mortgage company has their procedure, so make sure you know how they work. This does not apply to a cell phone or other insurance, as only the owner can receive the check.
- The Coop or Condominium management company: If you have cooperative or condo insurance, in some cases, the check can be made out to the management company.
The contractor: Any entity or person named insured on the policy for the damaged property.
Why is the claim check issued to different people?
Depending on the circumstances, claims checks are made to persons or entities other than you when the third party has an interest in ensuring that the claims money is used to make the repairs or replacement, or if a third party is the ultimate recipient of the funds (e.g., an entrepreneur).
Insurance companies want to make sure they meet their contractual obligations to mortgage lenders on the policy, so they have to list them as named insureds, which also means they can get construction-related claim payments…
Examples of Claims for Which Multiple Claim Checks Will
Be Issued If you have a home insurance claim, you may receive several different checks before your claim is settled. Here are some examples to help you understand what to expect when paying your claims.
An insurance company can end up issuing multiple checks in a single claim. By asking your insurance company questions during the claims process, you can better understand what to expect. It is also helpful to understand what you will need to provide to get paid. Every claim is different; disaster claims or major claims may be treated differently from petty theft or burglary. Like high value home insurance, some policies also offer more flexible payment terms; the only way to know is to ask.
Is there a deadline for making a claim and getting paid?
Each insurance company will have time limits within which you must claim your loss to be eligible to make your claim. Be sure and ask your requests adjuster about it. You don’t want to miss the deadlines and spend.
The best way to get your claim paid in full as soon as possible is to stay on top of what the insurance company needs to issue your payment. Learn about the procedures and follow up regularly to ensure your adjuster receives all the information and isn’t missing anything.
After your claim is complete, you will likely sign a notice showing the total amount paid in the claim. This document will state that the claim is in the process of being closed and that you accept the final payment of the claim. Until you get to this point, keep track of your checks and expenses to make sure you get paid for everything until your final payment is made.