Should I Claim Water Damage

[waterman21]

I have a scenario where a house was built and they didn't hook up the sanitary(sewage pipes at the road) and Me and my family were living in the house for a week and the water on the first floor flooded, because the washer was draining and someone was taking a shower, and the water didn't have anywhere to go so it came out of the toilet on the first floor, going down the vent into the furnace and into the basement all over some electronics. The builder came out and dug up my driveway and connected the sanitary. Should I file a claim on this or should I wait until the builder assess the damage, or both. Would claiming this make my premiums go up ? should I seek legal cousel

Thanks

 

[Josh]

You should talk to your agent, but even if you have coverage, it might very well be denied. Odds are you didn't have water backup coverage.

If it was negligence on the part of the builder, then you may have to go after them for it which would include having to sue them and prove it was their fault if they don't' roll over and help you. To put it another way, you're homeowners insurance isn't going to cover the builders mistake.

 

[waterman21]

True it is the builder's mistake.
Just checked my policy and it says $5000/$500 for water back up, but even so, as you said, its not their fault.
I was thinking the same thing, and I was afraid to contact my insurance agent in fear of my premiums going up for a claim that wouldn't be paid out, and what would be accomplished by contacting my agent?

 

[Josh]

Your agent probably won't raise the premiums at all, contacting the carrier would possibly trigger that. Sounds like way more than $5,000 of damage and I'm not sure it would even be considered water backup. I'd talk to the builder about it first, then your insurance agent.

Your agent can give you a better idea of how the carrier would handle it.

 

[waterman21]

so your saying the agent would be kinda personable and talk to me about the situation even though they work for the company, if so, that would be nice.
when u say carrier does that mean the insurance company ?
Would a public adjust be a good idea?

 

[Josh]

Depending on who you're with your agent is going to just talk to you about it. This is one disadvantage to working with the gecko or other direct carriers. If you have an agent (that doesn't work for the company) they can give you some better insight.

Carrier is the company.

Public adjuster is probably a waste of time, but they should know the answer.

From what you're describing you might be better off starting with trying to file a claim under the contractors liability insurance (or asking them first).

 

[Guest]

so your saying the agent would be kinda personable and talk to me about the situation even though they work for the company, if so, that would be nice.
when u say carrier does that mean the insurance company ?
Would a public adjust be a good idea?

If you discuss this with your agent and decide not to file a claim and he still notifies the company for a rate increase, then its time for you to find a new agent.

An agent is there to council you, educate you, and work as your advocate.

Public adjusters are usually a waste of your money. However they can be a benefit during a really large loss when there is a significant disagreement between you and your insurance company about the value of a loss.

You need to determine if this is a covered loss.
If yes then what is the total value of the loss?
Can you justify spending that money out of pocket or do you need to file a claim? You must understand that if you file a claim there is a chance you will be dropped by your insurer and may have to find another company. If you aren't dropped you will almost certainly see a surcharge on your next bill for filing a claim. In my state they are usually about 25% and you are surcharged for 5 years.

Just do the numbers and you'll find out what would be the best way. If you are surcharged 25% for 5 years, would that amount still be less than your claim? If so, then that's probably the way to go. If not, then I'd eat it myself.

 

[b61mack]

First i would call the builder and tell him you are ready to contact the town building inspector. It is his job to make sure the builder, does his job. The builder had to get you a CO, before you started living their. The builder should be sending a crew over to your house to clean his mess. And be kissing your butt. So you won't call the town. The down stairs has to be sanitized, any carpet thrown away. Dry wall, cut above the water level, and replaced. any cloth furniture also thrown away and replaced. The building inspector may even condem the house until it is fixed. If it is a development, the builder has a bond. File a claim against his bond. Sewer water is a germ infestment.