My homeowners policy limit turned out to be under insured af

by Ninas1angel » Sun May 25, 2014 12:24 pm

I gave the agent a copy of my previous policy as an example of coverage. He didn't even duplicate it but decreased coverage to 50 % on contents. There wasn't even a drive by appraisal. No photos were taken to determine the value. The cost to rebuild is twice the policy limit. Can he be held responsible for under insuring my home and contents ?

Total Comments: 4

Posted: Sun May 25, 2014 03:32 pm Post Subject:

Did you suffer a loss or only save on premium on this point? In other words, did you suffer any real damage due to the lower limits?

Posted: Tue May 27, 2014 08:06 pm Post Subject:

Can he be held responsible for under insuring my home and contents ?


If you have suffered a covered loss (fire, windstorm, theft, etc), then you probably have an action against the agent and his Errors & Omissions insurance for failure to procure adequate coverage.

On the other hand, if all you have obtained at this point is a lower premium, then count your blessings and find another agent who will properly insure your dwelling and its contents. And be prepared to pay more money for that new policy.

FAIR WARNING:
If you have not yet suffered any loss, and you fail to properly insure the property going forward, then you are negligent in your obligation to yourself and your lender, and you could lose any recovery the agent's E&O policy might provide.

Posted: Mon Jul 07, 2014 07:58 am Post Subject:

If you have actual damage to your home, then you have to show it by photos or evidence, yes, if you have double damage because of that agent than he will be responsible for under insuring your home and contents.

Posted: Mon Jul 07, 2014 12:40 pm Post Subject:

he will be responsible for under insuring your home and contents.

Based on what? Doesn't the policyowner have a responsibility to verify his coverage when a new policy is issued?

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