What Is A Release And How Does It Effect A Property Damage Claim?

Insurance claims are difficult and not easy to navigate especially when you try to handle them on your own.
 
Many times, insurance companies will request documents that need to be filled out without explaining what they are or why they need it.
 
After speaking recently with a property owner who was upset that she did not receive enough money for her claim, I requested a copy of her claim file.  While reviewing the documents, I noticed she signed a Release with her insurance company.
 
What is a Release?
A Release is a legal document that releases an insurance company from further obligation related to a specific claim, in exchange for a final settlement amount.
 
The Release will generally outline the terms and conditions of the settlement, and the amount of the settlement as full and final settlement of the claim.
 
What If Only A Portion Of The Claim Is Settled?
If only a portion of the claim has been settled and the insurance company requests a Release, you can ask them to release the undisputed payment i.e., the amount of money they say the claim is worth.
 
If they do not want to do so without a signed Release, then it is important to request that they leave the other coverages open and excluded from the release.
 
Should I Sign a Release?
The release is sometimes an essential part of the claims process to finalize the claim and prevent future disputes or legal action related to the claim.
 
It is important to understand what you are signing, and it is always recommended for any legal document to be reviewed thoroughly.
 
If you have signed a Release for full settlement of your claim, know that by signing it, the claim will be full and final and forever closed.
 
Choose a Team You Can Trust
Settling insurance claims is a complicated, and often, an overwhelming process.  Allow us to give your claim our personal attention.
 
The adjusters at Reliant Insurance Adjusters have decades of hands-on experience, not just in public adjusting, but also as insurance appraisers and umpires.
 
We provide complimentary policy and claim reviews. Contact us today.