Understanding Your Property Claim Estimate
If your home or business has been damaged, you will most likely feel overwhelmed by the huge loss and the overall recovery process that awaits you. If your property was insured, then utilizing the insurance policy is the best way to recover your losses.
If it is your first experience with a huge insurance claim, don’t worry because insurance policies are basically business negotiations. Even though you may be unfamiliar with the insurance policies in general, there are rules and laws that will protect you and help you negotiate and recover the benefits that you are entitled to.
Why is compensation required?
The major goal of giving compensation is to put the injured party back to his or her initial position. The compensation is provided only for the damages that arise naturally because of a wrongful act by another party. A damage cannot be caused by the injured party’s actions.
Compensation is usually given to the injured for the following reasons:
- Frustration, personal inconvenience, and discomfort that are caused by intrusion into the
- Consequential damages that arise from the other party’s wrong acts.
How is damage estimated?
Property damage estimation is a skill that may require the services of an expert or a professional appraiser. At Arnold Investigative Engineering, we have experts that will perform accurate damage estimations for your claims. We are equipped with vast knowledge and experience to ensure that you receive the best possible services.
If a property is destroyed to the point that it has no salvage value or has no further use, the damage estimation can be set at a fair market value. While calculating the fair market value of a property for compensation, the following factors should be taken into consideration:
- The quality of the property
- The claimant’s interest in the property
- Injury to the claimant’s interest in the property
- The entire area of property (if the wrongful act was done to a portion of the property, then the entire property is put into consideration).
What if the damage can be repaired?
If a property can be repaired, then the amount of damages can be estimated as the amount it costs to repair the property as well as the loss of its use to the owner. If the cost of repairing the property is more than its fair market value, the cost of the damage is estimated to be the fair market value. Furthermore, apart from the cost of repair and the loss of use, the loss in terms of profits and interests may also be considered when estimating the damage on your property.
Cases on property damage are often held in small claims court. Generally, property damage cases are straightforward because the damage is usually caused by the negligence or intentional wrongful act of another party.
No one can know exactly how much a piece of used property is worth. Therefore, it is important to hire professional damage estimation services for a reasonably aggressive value for compensation. If you estimate the damage yourself, you may demand a ridiculous amount for the damages, and this will likely offend the jury and weaken your chances of getting a good deal.