How to file a home insurance claim

Home is where the heart is, and ensuring it's protected with the right home insurance is key to peace of mind. When faced with unexpected events like fire, theft or vandalism, knowing how to navigate the claims process is crucial. 

In this guide, we’ll dive straight into the steps for making a home insurance claim, assuming you're already familiar with the basics of what home insurance covers. But if you need a refresher on home insurance, you can check out our comprehensive guide on home insurance before moving on.  

So with that out of the way, let’s outline the step-by-step process for filing a home insurance claim. 

So your home has suffered damage. Now what? Believe it or not, the home insurance claim process is quite straightforward. The steps below provide the basic framework, but your provider will usually have their process outlined on their website. And you can never go wrong checking your PDS, as your insurer is required by law to describe their claims process within those sacred pages. 

1. Report the incident to the authorities ASAP. As soon as it’s safe to do so, make sure you report the incident and get a copy of the report, especially if it’s a police report. This will give official authority to your claim.
   
2. Contact your insurance provider. They will be able to walk you through the next steps, including what evidence you will need for your claim and whether they will send out a representative to assess the damage. In some cases, they may also be able to provide you with immediate assistance such as emergency accommodation, though this will depend on what’s included in your policy.
   
3. Collect and prepare evidence. You will need extensive documentation to support your claim. Evidence can include photographs, receipts, policy information, damage assessments and written descriptions from either the insurance provider or a private appraiser.
   
4. File your claim. Lodge your claim with your provider via online form, email, post or fax. Keep in mind you may also have to pay an excess, which is a pre-agreed sum you pay whenever you make a claim on specific items or incidents.
   
5. Await assessment and decision. Once your claim is submitted, your insurance provider must respond within 10 days, possibly with a request for more information, where the evidence you've collected will be particularly valuable. If they decide on further investigation, they may send an assessor to examine the damage. Of course, they may also flat out accept or deny your claim within this 10-day window.
   
6. Review and respond to the insurer’s decision. If your claim gets the green light, your insurer will tell you what happens next—like when repairs will start or if you’re getting a cash payout. If they deny your claim, find out why and get it in writing. Knowing the details helps if you decide to appeal the decision.
   
7. Claim resolution. After the insurer gives their verdict and any repair or settlement is done, make sure you’re happy with how everything turned out. It’s a good idea to keep all the paperwork related to your claim in order, just in case you need it down the line. This stuff can come in handy for future claims or if you have questions about your coverage later on.

The steps above outline a scenario where everything moves forward without a hitch. But we know that's not always how things pan out. If your claim doesn't get the green light and you're facing a denial, there's a different path to take, which we'll cover next.

So you’ve hit a snag with your home insurance claim being denied or the payout not matching your expectations. It's not ideal, but it’s also not the final word. There’s a path forward to appeal the decision, and it’s worth taking if you believe there’s been a mistake. Here’s how you can go about it:

1. Figure out why It was denied. Start by understanding the exact reasons your claim was denied. Your insurer will send you this in writing. Check their reasons against your policy details—you might find something they’ve overlooked.
   
2. Pull together more evidence. If you think something was missed, now’s the time to find more evidence to support your claim. This could be anything from additional photos to expert opinions that weren’t part of your original submission.
   
3. Reach out for an internal review. Your insurer has a process for reviewing disputes internally, known as the Internal Dispute Resolution (IDR) process. Contact them with a clear outline of why you’re disputing the decision and include all the extra evidence you’ve gathered.
   
4. Not satisfied? Go a step further. If the IDR doesn’t resolve things in your favour, you can take your dispute to the Australian Financial Complaints Authority (AFCA). It’s an independent body that can give you an impartial review. Just make sure you’ve gone through the IDR process first.
   
5. Keep everything organised. Through all this, make sure you keep a record of every interaction and piece of evidence. This will be invaluable, especially if you need to escalate your appeal.
   
6. Consider getting advice. Sometimes it’s helpful to get an outside perspective. If you’re feeling stuck or unsure, talking to a legal advisor or claims specialist might give you the insight you need to strengthen your appeal.

Appealing a denied claim is about making sure you’ve got all your bases covered and presenting a clear case. It might take a bit of effort, but if you genuinely believe there’s been an error, it’s definitely a step worth taking.

Evidence for your home insurance claim will document what happened, when, how, and why you’re claiming the incident based on your policy’s inclusions. Different types of damage will usually need different types of supporting evidence.

Evidence can include:

• Police reports.
• Written description of the damage.
• Photographs.
• Receipts.
• Damage assessment reports from the provider or a private representative.
• Your policy’s information.
• Maps.
• News reports.
• Council reports or appraisals.
• Information on other properties, vehicles, or people affected by the insured incident.

Long story short, if it gives the provider an idea of what happened and how much reimbursement you should be eligible to receive, include it as evidence.

Filing a home insurance claim in Australia isn't as rigid as you might expect. In fact, many insurers don’t impose a hard and fast time limit on filing home insurance claims. However, it’s in your best interest to file it as soon as possible. Here’s why:

• Remembering the details. Filing your claim soon after the incident means everything’s still fresh in your mind. This makes your description more accurate, helping your insurer understand exactly what happened and speed up the assessment process.
  
• Speeding things up. The earlier you get your claim in, the quicker you can move through the process. This could mean getting your repairs underway sooner or receiving your compensation more quickly, getting your routine back to normal faster.
  
• Keeping an eye on legal deadlines. Filing sooner rather than later also means you’re better positioned if there are any legal hoops to jump through later, like disputing a claim denial. It gives you breathing space to deal with any legal timelines, such as those outlined in the Limitation Act in NSW.
  
• Preventing more problems. By reporting the damage quickly, you enable your insurer to assess the situation sooner. This can mean getting the go-ahead for repairs that prevent further damage to your home.
  
• Gathering your proof. Starting your claim early also means you’re likely to have a better collection of evidence. Documenting the damage and rounding up your paperwork is easier when the details haven’t started to fade.

Taking these steps to get your claim in quickly not only helps smooth out the process for you but also puts you in a good position to manage whatever comes next.

Once you lodge your claim, insurers must get in touch within 10 days to confirm they've received it. But after that initial contact, how long until everything is settled? Well, ‘how long is a piece of string?’ really does sum it up.

The journey from claim submission to final resolution isn't fixed. It can stretch from weeks to months, or even years, depending on the complexity of your claim, the investigation required, assessment processes, potential appeals, and the scale of repairs needed.

In essence, navigating through a claim requires patience and in some cases, persistence. 

When you file a home insurance claim, it could lead to higher premiums, but that's not always the case. It all boils down to the details of the claim, how much it costs and your history with claims. 

Small claims, especially if you haven't made any others recently, might not change your premium much. But if you're making bigger or more claims, then yes, your premium is likely to go up. 

And remember, even if the claim is not your fault—say, your area is now more prone to flooding—that could still increase your risk level in the eyes of insurers, which might mean higher premiums not just for you but for your neighbours too.

There are a few common reasons why home insurance claims get rejected, namely:

• Failure to disclose relevant information. This could be things like not telling your provider about any pre-existing damage or prior claims you’ve already filed. It’s important to be as upfront and truthful as possible to give your claim the best chance.
  
• Not reading the PDS or exclusions. Failure to understand what’s included or excluded in your policy is one of the most common reasons why claims get rejected. Be sure to read the PDS very carefully and consider which risks apply to your home, so you can find a policy that covers your situation appropriately.
  
• Fraudulent claims. If the provider believes you made a fraudulent claim, the burden of proof is on them to back up this serious allegation. If this is the case, it’s time to lawyer up.
  
• Waiting periods or failure to renew. Most policies will have certain limits on when coverage kicks in, especially for natural disasters (which typically ranges between 48-72 hours). If you only bought a policy when the flames were already on your doorstep, you likely won’t receive any coverage for the fire damage.

Whatever you do, just don’t make the same rookie mistakes as these five iconic movie characters.

Home insurance is there to back you up when things like fire, flood, theft or other unsavoury events threaten your home and peace of mind. Here’s a quick glance at what it typically covers:

• Damage to your home. This covers the structure itself—walls, roof, and built-in fixtures.
  
• Damage to your belongings. If you’ve got contents insurance, it protects your personal items within the home, including furniture, electronics and carpets.
  
• Liability protection. Most policies will cover you if someone gets hurt on your property.
  
• Additional living expenses. Many policies will cover temporary housing costs if you can’t remain in your home because of damage.

There are also a host of add-ons that will extend your coverage to include accidental damage, damage to items outside your home and loss/damage damage to high-value items like jewellery and artwork. 

Keen on some comprehensive cover? Browse and compare building & contents insurance policies below, or read up on the best home insurance providers.

Keen on some comprehensive cover? Browse and compare building & contents insurance policies below, or read up on the best home insurance providers.