Written by Administrator | 13 July 2009

	Your out-of-pocket expense should never exceed your deductible.
	What you receive from your insurance company is an estimate for your repairs not a settlement.
	You cannot be cancelled for weather related claims. To be eligible for cancellations you need to have three non-weather related claims in three years.
	The Texas Department of Insurance recommends you have your contractor present when the Adjuster inspects your property. Many times Adjusters overlook something or misadjust a claim. Having someone to represent your interests is key to having a properly adjusted claim.
What you should know about depreciation and how it affects your claim:
	Depreciation is the funds the insurance company withholds from you after they have adjusted your claim.
	Depreciation funds are withheld because your insurance company wants to be sure you actually do the work that has been claimed. They will not give you all the money owed to you unless they receive a completed invoice from the contractor. Your insurance company wants to pay you only what you spend. In your policy it states your insurance company will only pay you “up to what you spend”. You are responsible for the first portion of your claim, which is called your deductible. By withholding monies allotted to you, your insurance is allowing for the payment of your deductible. By not releasing funds until they have a final invoice from the contractor, they see what monies you paid and only pay you up to that amount, less your deductible.
	If you have ‘recoverable depreciation’ on your claim, the cost of your repairs is your deductible. Given that you will receive from your insurance only what you spend, less your deductible, you will only owe the amount of the deductible. Your insurance will match your contractor’s bid, less your deductible.
	Because this is how replacement cost policies are set-up, you should choose your contractor based on quality of workmanship, how your property will be taken care of and type of warranty you will have when the job is completed.
	Given that you will pay your deductible for a good job or a bad one, you should choose the best contractor possible.