Thanks for choosing to take a few minutes from your busy day to review our Norfolk, VA Renters Insurance Guide. Many people know what Virginia renters insurance is, some even have an idea how inexpensive it can be. But do you really know the ins and outs of renters insurance in Norfolk?
Most people don’t, it seems, because only forty-four percent of Americans have a renters insurance policy! At Effective Coverage, one of our core values is education, and we’re taking the opportunity of a new year to dive right into fixing that problem with the 2017 Renters Insurance Challenge! Our goal is to get 40% of America covered with an appropriate renters insurance policy from the provider of their choice by the end of 2017, and we welcome help from all insurance professionals.
It doesn’t cost much to get Virginia renters insurance. The average is just $155 per year, which is actually $24 less than the national average. Find out how easy and inexpensive it can be to protect your family by reaching out to one of our friendly renters insurance experts today!
Norfolk, VA Renters Insurance
What Happens If I Have A Claim On My Norfolk, VA Renters Insurance And The Carrier And I Disagree On The Value Of My Property?
While this usually only comes into play with larger claims or items where agreed value is a factor such as collectibles, it’s worth knowing what happens if you have Norfolk, VA renters insurance and you and the carrier can’t agree on a value for the property involved in the claim. The policy itself has a fairly in depth discussion of the same, but in a nutshell: If you and the carrier fail to agree on the amount of loss, either may demand an appraisal. Both of you choose your own independent appraiser within 20 days after receiving the written request.
The two appraisers choose a third to rule over any disagreements between them, should it be necessary. Each side pays their own appraiser and splits any other costs and the cost of the “umpire,” or third appraiser, equally. If the third appraiser can’t be chosen promptly, either party may request that a judge choose one. The appraisers work to value the property on their own, and if they can mutually agree, that’s the value used. If not, they call in the umpire to make a decision. An agreement between any two of the three sets the amount of the loss.
It sounds complicated, but three competent professionals work together to decide the value, and the decision of any two is binding. It’s really the only fair way to determine a disputed value for a claim.
How Long Does It Take For A Claim To Be Paid On Renters Insurance In Norfolk?
Generally, the carrier must “promptly” acknowledge the loss and ask questions, ask for further information, and/or send a reservation of rights letter. Once they receive your proof of loss and have reached an agreement with you, a judgment is entered, or an appraisal award is filed, they then generally have 60 days to actually submit payment.
Often, it takes far less time, but a carrier is permitted time not only to investigate the claim if necessary, but also to issue payment in the normal and ordinary course of their business. They have to pay the claim promptly, they do not have to drop everything and cut a check instantly if, for example, their normal cycle is to print checks on a weekly basis.
If I Submit A Claim On Norfolk Renters Insurance For Property That’s Later Recovered, What Happens?
If you or the insurance company locate and/or recover the property after the claim is paid, there is an obligation to notify the other party. At your option, the property will either remain with you or be surrendered to the insurance company. If you give the property or what’s left of it to the company, they have the right to sell, salvage, or otherwise attempt to recover some or all of the money they paid on the claim in that way. If you retain the property, your claim settlement will be adjusted based on the recovered property and the amount you were paid for the same.
On the other hand, the company “need not accept any property abandoned by an insured.” If neither the insurance company nor you want or need the recovered property, for example because of its diminished value or condition, disposal of the property is on you as the insured once the company has consented to the same. You can’t just leave your half burned couch in the parking garage at 200 Park Avenue and expect them to take care of it.
In a nutshell, you’re not able to enrich yourself unjustly by keeping the claim payment and the recovered property. Since the recovered property is used and/or damaged, and you were paid the replacement cost, the insurance company isn’t able to unjustly enrich themselves by selling or salvaging it – they’d never sell it for what they paid you, so they won’t come out ahead. They are, however, permitted to cut their losses, so to speak. In some cases, if neither of you want the property, disposal would be your responsibility.
If A Liability Claim Is Filed Against My Norfolk Renters Insurance And It’s Obviously Ridiculous, Does The Insurance Company Still Have To Defend Me?
Yes! There are a few reasons for this, actually, and not all of them are contained in your policy contract. The first reason, which is in your policy, is that the company is obligated to provide a defense at their expense by counsel of their choice, even if the suit is groundless, false, or fraudulent. Their obligation to do so ends only when they’ve paid the policy limit for the claim. Those defense costs, however, are generally speaking outside the limits of the policy. The carrier generally will pay whatever they need to pay to defend the suit, only amounts paid towards the claim, settlement, or judgment count towards your policy limits (HO-4, Section II, Coverage E, Paragraph 2).
They’re also obligated to run a good business for their stockholders, as most carriers are publicly traded companies. This means that they can’t make a business of paying huge fraudulent liability claims at the expense of the business or their stockholders. Good business requires them to vigorously defend claims which they either deem should not be paid or which should not be paid at the claimed amount.
In addition, insurance companies have armies of lawyers on staff. They’re already paying salaries, it costs them nearly nothing more to defend a liability claim. It’s exponentially less expensive to have lawyers on the payroll than it is to pay claims that shouldn’t be paid. It’s also, in all honesty, often cheaper and more expeditious to defend those claims than to try to raise premiums.
Can My Norfolk, VA Renters Insurance Premium Be Increased Without A Reason?
Virginia is a file and use state, meaning they need to certify to the state that costs require them to charge more, and file the new rates, but can then begin using them immediately. If costs have increased, the insurance company can and may change rates without direct oversight. However, those rate filings are later reviewed by the state and must be found to be reasonable, or policyholders could be owed a refund.
Rates can increase for Norfolk renters insurance if there’s an increase in claims activity, or a natural disaster. This is done to ensure that there are sufficient reserves to pay future claims. But those rates only apply at renewal. An insurance policy is a contract, and there are specific provisions for changing rates, declining to renew, or cancelling a policy.
If your renters insurance in Norfolk went up this year, you can shop around yourself and battle the slings and arrows of perpetual phone calls when your phone number gets sold as a lead time and time again. Or, you can choose to work with the renters insurance experts at Effective Coverage, who can find you the best price and where your policy is reviewed before each renewal to see if there’s a way to save you money. We prefer not to get fifty phone calls a day on our personal cell phones, as do most people, which is why the Effective Coverage model is… Well, effective.
Renting In Norfolk, VA
Norfolk is the second largest city in Virginia with 245,782 people, second only to Virginia Beach. As part of the Hampton Roads area, Norfolk is a popular tourist destination. Both tourism and the military are important factors in the local economy. The average home price in Norfolk is $269,715 and the average monthly rent is $1,088. There’s not a huge financial difference between renting and buying, but many people prefer to rent because there are fewer responsibilities. As a tenant, however, one of your major responsibilities is to maintain coverage under a Norfolk renters insurance policy.
Norfolk has been a reputation for being a strong strategic military and transportation location. It contains the largest Naval base in the world, the Naval Station Norfolk, and is located with one of NATO’s two Strategic Command headquarters. It has a strong presence for its railways as well with the Norfolk Southern Railway, which is one the United States’ most important railroads. Since the city is bordered by multiple bodies of water, its river and bay front properties extend for miles. It’s connected to its neighbors by an extensive network of Interstate highways, bridges, and bridge-tunnel complexes.
We are sure that you are enjoying the weather and water access in Norfolk. But rising sea levels and abundant fires are two things you’ll definitely have to take into consideration. That’s why you’re going to need affordable Norfolk renters insurance to protect the things you’ve worked so hard for.