| If there were a fire at your
church, would you know what to do? Dealing with fire damage
is much easier if you are prepared in advance, so here are some
tips:
There are two kinds of fires. The one that completely
destroys everything, and the one that only damages part of the
building.
If your building is only partially damaged,
your insurance policy may require that you take immediate action
to prevent further damage. For example, your gas and electricity
may be turned off by the fire department, leaving water lines
to freeze in the winter time. In that case, the water lines
should be drained and the water turned off to prevent further
water damage from a broken pipe.
From the very beginning, appoint one person
to be the liaison between the church and the insurance company.
It should be made clear to everyone in the church that that
particular person is to be the only person allowed to communicate
with the insurance company.
The liaison person should document everything
that is ever said or happens until business with the insurance
company is completed. This should be a daily record of all meetings,
phone conversations, e-mails, letters, events and actions by
the insurance company’s employees. It should also include extensive,
detailed photographic evidence of the damage, and photographs
of the repairs as they are done.
It is also advisable to immediately hire an
attorney who is experienced in dealing with insurance matters
to give you legal counsel throughout the process. Not all insurance
companies are ethical, but you may not realize this until it
comes time to make a claim. You should inform your insurance
company that you have retained an attorney. A reputable insurance
company will not take offense to this, and may even welcome
it.
If your insurance company turns out not to be
very honest, you will probably find out when your adjuster begins
to say what the insurance company will or won’t pay for.
I know of one example (in this, instance a home
fire) where the adjuster claimed he would only pay a certain
amount of money, which he knew to be only half of the amount
needed to make the repairs.
However, the policy was a replacement policy,
meaning that the insurance company was obligated to pay everything
necessary to restore the home to its original condition, no
more, and no less.
His initial estimate of damages was far too
low, so when he discovered the error, he attempted to deceive
the homeowner into believing that that was all that the insurance
company was obligated to pay.
When he realized that the homeowner wouldn’t
be fooled into accepting the low payment, he began to suggest
that the homeowner cut corners. One thing that he suggested
was that the homeowner paint the charred wood rafters instead
of replace them. Again the homeowner did not fall for it, and
required the rafters to be replaced.
Finally, the adjuster called in an out-of-state
engineer (who was not licensed to practice engineering in that
state – which was at least a misdemeanor and perhaps even a
felony) to write a phony report.
By that time, there was sufficient evidence
that the insurance company was not dealing in good faith, so
the homeowner instructed the attorney to file suit. A few days
after the attorney informed them of the homeowner’s decision,
the homeowner received a check for all of his costs to repair
the home.
The point of this story is not to indict the
insurance industry, but that there are some bad people in the
industry. An attorney should be involved to prevent the bad
ones from attempting fraud, and to help you deal with the ones
that do. If you do find that you have a bad adjuster, insist
that the insurance company provide another adjuster.
When you make your repairs, you may not be able
to put things back exactly the way they were if building codes
have changed, so hire an architect to help you determine what
can or can’t be done.
If a building is completely destroyed, you will
need the original construction drawings in order to reconstruct
it, so keep a copy somewhere off-site, preferably in a bank
vault.
Periodically you should photograph or videotape
every part of your building inside and out. To replace the contents,
your insurance company will require you to fill out an inventory
form that includes the item, date of purchase, and value. If
you don’t know or can’t remember what you had before the fire,
you won’t be able to make a claim. Having current records of
belongings will make the process easier, and will get you the
funds that you are entitle to.
Finally, check the reputation of the insurance
company before you buy from them, and know what your policy
says before you buy it.
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