Filing a Home Insurance Claim in Frisco TX
Many people ask me if their Frisco home insurance rate will increase if they file a claim on their Texas home insurance policy. Well, the answer depends on many factors.
Is it a weather related claim?
Generally speaking, home insurance companies in Texas are not allowed to surcharge a homeowner’s rate for a weather related claim. Claims such as damage caused by wind and hail are examples of these types of claims. However, it is not illegal for an insurance company to reduce or remove a “claims free” discount if weather related claim is filed.
What about a water or fire claim?
A claim filed for water or fire damage can cause your home rate to increase. So, be sure to check with your insurance agent first, to determine if it will benefit you to file a claim based on the amount of damage and your deductible amount. If you contact the insurance company claims department first, they will open a claim even if the amount of damage does not meet your deductible.
How about a theft claim?
Theft claims can have the greatest negative effect on you home policy rate, but greater still, on your ability to change companies after the fact. If you have a small theft claim, you will be wise to consult with your agent first, to make sure the claim is worth filing. For example, if you have a $3,000 piece of jewelry that is stolen, and you have a $2,500 deductible, the most you would benefit from filing the theft claim would be $500. However, your home insurance rate could be surcharged for the next 5 years as a result, so you could end up paying thousands of dollars more over the next 5 years as a result of the claim. And, since most Texas home insurance companies will not accept someone as a new customer with any theft claim on their record for the previous 5 years, it could make it very difficult for you to change carriers for a while. At the Roger Welch Agency, we encourage our clients to call us first, before filing a claim. For a free home or auto insurance consultation, come by and see us today in Frisco, TX. Likewise, you may give us a call at 972-380-6677 or visit our website by clicking here for insurance quotes or further information.