Insurance Q&A of the Week: Loss Settlement and Increased Costs
The current cost of lumber and other building materials is unusually higher than normal; how does this affect claim settlement when the loss occurred before the building materials become so expensive?
August 09, 2021 at 06:11 AM
Thank you for sharing!
Your article was successfully shared with the contacts you provided.
Hello, My question is in regards to claim payments. We had hail claims in May and June of 2020 and have made ACV payments for the damages. We have holdback available for replacement cost coverage HO-3 policy form HO 00 03 05 11. With the dramatic increase in building materials and labor, do we owe the extra costs or the cost at the time of loss? Some claims have more than doubles in cost. Thank you!
This premium content is locked for
FC&S Expert Coverage Interpretation subscribers.
Request a Free Trial today to enjoy unlimited access to the trusted solution for successful interpretation and analyses of complex insurance policies.
Trusted, quality content from industry experts with over 60 years insurance experience, combined
Customizable alerts of changes in relevant policies and trends
Search and navigate Q&As to find answers to your specific questions
Filter by article, discussion, analysis and more to find the exact information you’re looking for
Continually updated to bring you the latest reports, trending topics, and coverage analysis
Already have an account? Sign In Now
For enterprise-wide or corporate access, please contact our Sales Department at 1-800-543-0874 or email [email protected].
Get Answers Directly From the FC&S Experts
Submit your coverage interpretation question to the editors of FC&S for quick and reliable information.