In times of natural disasters- i.e. tornado, storms and lightning, wildfires, earthquake, - being there for your clients can be both a tremendously great feeling and a boon for your business in regard to future referrals. In the insurance business, reputation is so vital, being a beacon of help and hope can lead to tremendous success.
One terrific means to do this is to be pre-emptive and create relationships with the disaster recovery team leaders in advance and get their insights on how to help in the claims process. Insureds call us when they've had a negative event, they rarely call or seek help when things are going well so the time to shine is when their lives are in havoc.
Part of that relationship building with the disaster response teams at the insurer, is getting to know the disaster claim process up front. When the disaster hits it is going to be extremely difficult and frustrating to get the answers your clients need. Some key elements of this would include:
- Understanding the temporary housing process
- Knowing the timeframes for "typical" disaster claim responses
- Understanding what debris can be removed and how and what needs to stay until it is reviewed
- Knowing your insurer's appeals process and appropriate steps
If Hurricane Katrina taught us anything it is that preparedness and planning are key to quick, effective responses. I am not just speaking of the government response, but those by insurers. The insurers and agents who excelled for their clients had planned for their own business interruption and disaster recovery like offsite data backup services.
Being a resource for clients at the time of sale is an essential part of the job, but those agents who do not follow-up and continue as valued resources, often lose renewals. Seasoned agents know it is much more time consuming to sell new policies than to help with renewal questions and tweaks to existing policies
In addition to developing relationships with the disaster teams, it is also good to have good contacts with damage appraisers, underwriters, and claims staff. Understanding their processes and taking the time to find out a bit about their specific job duties will provide you with a wider range of expertise. More importantly it builds a stong collaboratio because it will endear you to them as someone who cares to know about their specific duties and how you can help each other succeed. In times of crisis and disaster than can be valuable.
Natural Disaster Coverage Specifics:
Many damages are covered by the natural disaster section of home and auto insurance policies, and the insurer should pay for them. These include reimbursement for:
- Mold. If mold is found, the insured should file a claim for repair and remediation. If the home has a pervasive mold problem, all fabric items in the home will need replacement.
- Painting. The insurer is responsible for all of the costs incurred in painting the home-- includesing removal of furniture, light fixtures, and electrical outlets. The insurer also needs to pay for replacing them when the painting is finished.
- Repair of walls and insulation. If the walls and insulation are damaged by flood waters, or by water damage during firefighting, the insurance company must pay to replace them. That includes crown and base moldings on the walls, in addition to drywall and the insulation behind the walls.
- Carpeting. If the carpeting has been damaged by a covered event, such as a flood, the insurer must replace rather than simply pay to clean it. This includes paying for the carpet pad and the installation.
- Loss of power. If clients lost power due to the natural disaster, they are entitled to payment for the food in their refrigerator and freezer. The insurer also must pay for an electrician to inspect the wiring in your house.
- Additional living expenses. If you have to move out of your home during or after the disaster, your insurer should cover the additional living expenses you have to pay for while your home is being repaired, such as hotel charges or rent for a temporary home.
