Resicom Building and Restoration in Escondido, CA, provides both general contracting services and property damage mitigation and restoration. The company has built a reputation within Southern California for being a leader in both construction and disaster damage restoration. Embracing a robust approach to customer service, the staff and crews strive to provide customers with an excellent experience and the best quality workmanship by exceeding expectations and going the extra mile.
One of the ways the team accomplishes this goal is by guiding clients through the maze of insurance claims when a water damage, fire damage, or other property damage disaster strikes. A question that arises is, “Will insurance cover water damage restoration, as well as new construction?”
When water damage occurs, the incident spurs the homeowner to evaluate the entire scope of work and determine if there is a desire or need to upgrade or remodel the affected area. If significant reconstruction is involved in the total restoration process, then why not expand the restoration to include a full makeover? The home environment is already disrupted by the water damage disaster and the restoration process. Insurance will be covering the damage restoration. If any reconstruction is needed for the restoration, it can be fulfilled with the upgrade or remodel in mind.
Since Resicom Building and Restoration provides both general contracting and property damage restoration services, the transition from restoration to remodel would be seamless, painless, cost-effective, and time-efficient. The dream kitchen that was three to five years out in planning and financing could be expedited and completed in just a few weeks or months.
To bring some clarity to the question “Will insurance cover water damage restoration, as well as new construction?” and to understand some of the options the homeowner might have, here are some basic facts about insurance for property damage claims.
Reconstruction costs or the amount of insurance on a home may appear exorbitantly high. Realizing all that needs to happen in a claims process will explain the supposed discrepancy. The excessive water damage after a significant house fire is a good case in point. Extinguishing a kitchen fire may result in water, smoke, and soot damage to the entire home. Life must be rearranged. Temporary living accommodations must be obtained. Clothing for the entire family must be replaced, along with household belongings. Experts must be secured to evaluate the damages and formulate a plan to rebuild or repair the dwelling.
The Costs of Replacement
Damage and disaster clean up involves the added expense of removal and disposal of debris. Supplies must be redirected or ordered, and the material and labor costs can be much higher than a new build. Little or no time is available to negotiate prices with suppliers. Interrupting the supply chain of materials and labor can drive costs upwards because the contractor must pay for priority.
Claims Specialists Involved in Reconstruction
A home rebuild may require specialists such as reconstruction specialists, post-disaster contractors, architects, landscapers, and engineers. Mold remediation is often needed when extensive water damage is involved. Specialists may be called in for any custom work. Salvaged items must be safely and securely removed and stored.
Obtain Adequate Coverage
Make sure that the insurance company indicates a rebuild cost on the policy that meets possible requirements for a full rebuild. A home should be insured to value, which is the reconstruction value based on an insurance appraisal or calculation. It is not the real estate value or the tax value. Homeowners need to understand the coverages in the policy and the basis of a claim settlement.
Dwelling Coverage Options
Many choices are available for home insurance coverage. Consult with an insurance agent for additional clauses or options to custom fit a situation.
- Inflation protection clauses are features in an insurance policy that increase benefits based on the current rate of inflation. As long as the value of the home is equal to or greater than the rebuild cost, this policy is adequate.
- A guaranteed replacement cost is an option that assures the home is fully covered by the insurance policy, even if the rebuild costs run higher than the quoted estimate.
- An extended replacement cost is a policy option that guarantees additional coverage of replacement costs up to a certain percentage of the home’s value.
- A cash-out option is generally offered on higher valued homes, custom homes, or older homes. This option would be considered if the materials used in rebuilding may not be readily available or if construction standards have changed significantly since the original construction of a home.
Will insurance cover water damage restoration, as well as new construction? The answer depends on the type of policy and the options included in the policy. It makes sense to expand the water damage restoration project to an upgrade or full remodel of the affected area. Consult with the insurance agent who issued the policy before making any decisions or commitments. Utilizing the strengths of Resicom Building and Restoration, a company that offers both general contracting services and disaster damage restoration, is a wise choice that enables the client to leverage many options.
For more information about water damage restoration in Escondido and San Diego County, CA, contact the Resicom Building and Restoration office by phone at (858) 227-9700 or email firstname.lastname@example.org.