Ins only paid 10%

[jaimepsalm63]

What is the name of your state? Colorado
We had a huge amount of water damage done to our basement last year. I was at a church retreat for a 4 day weekend, my husband was at Mount Rushmore with the kids. We got back to the basement destroyed by water coming in the house. The basement has the expansion joints, had carpet, and the drywall up to 3 feet up damaged. I immediately called a water extraction guy and removed all the stuff I could. Called the insurance company and asked them to send someone out. They finally did...5 months later. By that time most of the repair was done. The contractor explained what happened and where the water was coming from. The insurance said it was covered and paid for ONE room. It cost us 30,000 to redo the basement and they gave us 3,000.

My question is should we appeal with the state insurance board? We already tried going back through the company and they said the higher ups couldn't see how the entire basement got damaged just the one room so that is the only room they would pay for. We explained again how we were gone for 4 days. They said too bad.

I was told by a friend who works for the same insurance company that we will be dropped if we complain to the state board. Can they really do that?

Thanks for any input!

 

[moburkes]

You say that it was covered, but how did the water get into your basement?

But, yes, they can drop you for a water damage claim.

 

[jaimepsalm63]

Water came in the house by way of a hole behind some rock in the structure. They've already said it's covered. I was told that we would be dropped if we complained about only getting the 10% of the cost to repair the entire basement. I wasn't told we were going to be dropped for the claim itself.

Thanks for the input!

 

[moburkes]

I'm not sure how or why that was covered. It sounds like they covered the indirect loss but not the direct loss. Your claim doesn't make sense. In any case, no adjuster can nonrenew a policy. That is what underwriters do. So, he is not being truthful. Please read your policy to determine if that loss should have been covered. I don't think it should have been.