Unexpected damages in your home lead many homeowners to turn to their insurance companies for help. In requesting proceeds to repair the damage, many homeowners may be surprised to learn of a right to repair clause they never knew existed in their policies. If you filed a property damage claim for your home, your insurance company may use this clause, leaving you confused and upset.
As a homeowner, it’s understandable that you would want control over who works on your home and how they conduct the work. Unfortunately, a right to repair clause removes your right to hire your contractor and direct the undertaking of repairs. Read on to learn more about these clauses and your options.
What Is the “Option to Repair” Clause in Your Policy?
Most homeowners prefer to have the insurance company send them the insurance proceeds so that they can arrange the repairs themselves using their preferred contractors. The right to repair clause in property insurance policies gives the insurance company the power to control the repairs to your home. When an insurance company invokes its “right to repair” in your insurance policy, it repairs your property using its contractors.
Although a right to repair clause leaves your insurance company responsible for ensuring the completion of the repairs needed at your home, it is also responsible for payment to the hired contractor. However, the work undertaken by contractors subject to these clauses never includes betterment or improvements. In other words, they may undertake the bare minimum to fix the problem without putting you in the same place you were before the loss.
If repairs undertaken by an insurance company’s contractors are defective, a homeowner may need to pursue litigation against the insurance company for the additional damage to their home.
What Options Do I Have?
Don’t lose hope if your insurance company invokes the option to repair your insurance policy. Many insurance companies utilize the right to repair clause as a strong-arm tactic to force a homeowner to accept an insurance company’s settlement offer. Contact an experienced attorney to review your insurance policy before accepting any settlement offer.
Remember, however, that you still have rights even if your insurance company successfully invokes this clause. You have a right to demand that the insurance company provide the scope of the work. You may also be allowed to negotiate the terms of any work needed on your property under the clause.
For example, if the scope of the work proposed by the insurance company doesn’t correct the damage, many homeowners find themselves embroiled in option to repair disputes. Speak with an attorney to explore your options and ensure the necessary repairs are done how you want.
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At Arias & Abbass, we never treat you as just another case. We are a firm of dedicated attorneys ready to use our experience for your benefit. Our commitment to our clients is to fiercely battle for your rights and ensure you get the personal attention and crystal-clear communication you deserve. Contact us today by phone or email for a free case evaluation and learn more about how we can assist you.
