There are many reasons why you may need to make an insurance claim, such as sewer backup, fire, damage to items in your vehicle, or during a home invasion. After such a loss, you should contact your insurance company as soon as possible to file an insurance claim and be reimbursed for any damaged items. You may then be asked to complete a Proof of Loss form. Not sure where to begin? Let’s discuss what the proof of loss form is and how to complete it correctly so you can be reimbursed for your losses quickly.
What is a Proof of Loss form?
A “proof of loss” is a document completed by the policyholder when property damage occurs, triggering an insurance claim. This form helps to substantiate the value of the insured’s loss to the insurance company.
Proof of loss is a formal document that you must submit to an insurance company to initiate the claim process following a property loss. It is an official, notarized, sworn statement from you to your insurer regarding the scope of damage to your property. Proof of loss forms are typically one page and serve as a summary of the critical information required under the policy, including supporting evidence of the damage and estimates of the present value of the loss to the insurer. It also provides your insurance company with specific information about the incident, including its cause, resulting damage, and financial impact.
In an insurance claim environment, you have to present and prove your losses to the insurance company. This form, along with its supporting documents, enables you to do just that. Once you have submitted the form, your insurance company will review the claim and respond with their position on it.
Notify your isure broker
It would be best to call your isure broker right after the accident happens to initiate an insurance claim, allowing you to be reimbursed for any damaged items. You can then proceed to complete a proof of loss form if you prefer. The form reflects any applicable government regulations, as well as the insurer’s specific requirements.
How to fill out a Proof of Loss form
After the incident, your insurance company or broker will ask you to complete and return a proof of loss form after the incident. Each insurance company provides its form to document damaged or destroyed items. Filling out a proof of loss form will require a copy of your insurance policy. The policy determines what must be in a proof of loss. On the form, you will be asked for:
- Coverage amounts at the time of the loss;
- Date and cause of the loss;
- A complete list of all damaged, destroyed, or stolen items
- Documents that support the value of the property and the amount of loss claimed, such as estimates, inventories, and receipts. Attach proof of purchase, receipts, police reports, owner’s manuals, and warranties, if possible.
- Attach photos of damaged items. Keep damaged items unless they pose a danger or health hazard. A current home content inventory can assist in the claims process when you have experienced a loss.
- Parties claiming the loss under the policy;
- Parties having an interest in the property – such as the bank holding the mortgage;
- Policy number
Please note that you must sign and affirm that the statements made in the proof of loss are factual. If any of the statements you make on the form are false, your insurance and claim may be voided.
Three things to remember when filling out a Proof of Loss form
1. Fill out the form accurately and truthfully
If you do not complete this form accurately, it may lead to underpayment, delay, or even denial of your claim. All information contained in this document must be accurate and supported by evidence. Any inaccuracies or misrepresentations can result in a denial of coverage in the future.
2. Abide by time requirements
Your insurance policy will specify the timeframe for completing and submitting a proof of loss form after the damage has occurred. Proof of loss should be filed within 90 days of an automobile collision. For a home claim, most insurers have a time limit for opening it, which varies from as little as three months to one year from the date of the damage or loss. If you don’t submit your claim within the allowed timeframe, you risk having your claim denied.
It’s essential to note that your insurance company may not automatically send a proof of loss form for submission. For some insurers, it is the policyholder’s responsibility to obtain, complete, and submit their proof of loss form proactively. If you’re ever unsure, feel free to contact your isure broker.
3. Obtain detailed estimates on the damage to the property
Having an accurate and thorough claim value used on your proof of loss is very important. It needs to accurately detail the property damage and its value to determine what you are owed. Guesswork is not the way to go here!
Review your policy
During the claims process, it is a good idea to review your policy and become familiar with the specified deductibles, coverage limits, and replacement values. The deductible is the amount you agree to pay out of pocket before your insurer will step in and cover the remaining balance of a claim up to the limit specified in your policy.
- If you make a claim, the amount you receive will depend on the type of coverage you bought
- Insurance companies have three options for your damaged or stolen items: Repair, replace, or reimburse
- Your policy requires that you take all necessary steps to limit further damage. This would include protecting the damaged items from further deterioration from weather, theft, or other factors
** If your property requires repairs, your insurance company may provide you with a selection of recommended local vendors to consider, or you may choose your own. Speak with your isure representative to assist you in finding one.
What happens next?
According to the Insurance Bureau of Canada, once you complete and submit the proof of loss form, the following takes place:
- Your documentation is thoroughly reviewed.
- Your insurance company will either accept or reject your claim for items you have noted on the form.
- When the review is complete, your insurer will determine the total loss value for your claim and contact you.
- You will have the opportunity to consider the payment amount your insurer is offering.
- If the proof of loss form is accepted, your payment (less any applicable deductible) will be processed.
If you need to make an insurance claim due to a flood, a fire, or damaged items in your vehicle, remember you are not alone. An accident at your home or in your car can leave you frazzled, but following these steps may help protect you from any unnecessary worries. We can provide guidance on how to handle your claim and assist you throughout the process. Let an isure representative assist with your decision before officially filing your proof of loss claim!
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