If your home or business has been hit by disaster, you’re likely hungry to get things repaired and fixed up as soon as possible. However, you might not yet have the money in your possession you need to get the job done.
However, you might not be able to take on these kinds of essential tasks if an insurance company has yet to pay out the money you need to move forward. How long does it take for an insurance company to pay out a claim? It’s something homeowners and business owners have to grapple with following any kind of disaster.
How long might you have to wait? Read on and we’ll walk you through what you need to know.
Guidelines for Insurance Claims
No one likes waiting for money they are owed, especially not when that money can be put towards essential and potentially time-sensitive tasks. That’s why, in most states, there are specific regulations in place intended to push an insurance company towards payout.
These regulations establish a timeframe in which an insurance company is required to investigate and transfer funds to one of their clients. However, these regulations can vary wildly from state to state.
Some states are strict on the terms of this timeframe, requiring payments to be made within a thirty-day window. Some are surprisingly loose, requiring an insurance company to pay only in what might be deemed ‘a reasonable time.’
Some states break down each part of the insurance process into its own timetable.
For example, in California, an insurance company must acknowledge a claim within 15 days. Following acknowledgment, the company has 40 days to investigate the claim and reach a settlement. From the date of that settlement, an insurance company has 30 days in which to provide the money.
Speeding up the Process
As you can see from the above example, it can take a great deal of time in order to properly work through the entire insurance claim process. Most Americans want to get their money a lot quicker than they do.
There are a few things you can do to help speed up the process. A proactive approach can go a long way.
If you can have an inventory ready for all of your belongings, that can save a lot of time. Having this inventory ready to go before a disaster even strikes can be hugely beneficial. Being able to submit all this information immediately with your claim can make the investigation process easier on the insurance company.
They might be able to come to a conclusion a lot faster.
However, you still might have to look to other sources if you need funds earlier than the state guidelines in your area require.
How Long Does It Take for an Insurance Company to Pay out a Claim?
You’ve been hit with some sort of disaster that has caused great damage to your property or belongings. How long does it take for an insurance company to pay out a claim? This can be essential information to consider when trying to get back on your feet. The above information can help.
Need more immediate help with your recovery? Contact us anytime for assistance.