‘It’s hard to look at it’: Pennsylvania family told to demolish home after it collapsed during a reno — now they’re battling with their insurer, who refuses to cover ‘total loss’

The insurance company hasn't been responsive

After receiving the denial letter, Rick hired a public adjuster, Stephen Hnat, to help. Public adjusters are independent insurance professionals trained to help individuals navigate the homeowners' insurance claim process.

"First thing I … do is basically read the policy to see what he's entitled to," Cameron’s adjuster, Stephen Hnat, said. "It became a real battle just trying to talk to (State Farm).

“We asked them several times to, you know, explain your position on this, and they just refused,” he added. “(The insurance representative) would not respond. He wouldn't do anything."

Although Cameron and his crew did the work, the damage is covered under their policy. According to the adjuster, Cameron’s policy includes additional coverage for collapse during construction. Even if the construction crew is partially at fault, the policy should cover the damage as long as it's not intentional.

For now, the Camerons are waiting to see if State Farm will cover the loss while they plan the demolition of their beloved home. The family has moved into a nearby rental while waiting for the next steps.

Stop overpaying for home insurance

Home insurance is an essential expense – one that can often be pricey. You can lower your monthly recurring expenses by finding a more economical alternative for home insurance.

Officialhomeinsurance can help you do just that. Their online marketplace of vetted home insurance providers allows you to quickly shop around for rates from the country’s top insurance companies, and ensure you’re paying the lowest price possible for your home insurance.

Explore better rates

How to navigate a homeowners' insurance claim

The Cameron family's coverage covers collapse due to construction, so they're hopeful State Farm will approve their claim. If not, they’ll have to pay for demolition and rebuilding themselves. If they still have a mortgage or a construction loan those payments will continue as well.

Navigating a homeowners' insurance claim can be challenging, but there are ways to protect yourself. First, understand your policy’s coverage. If you're planning construction, check that it covers construction-related damages. When hiring a contractor, ask for their insurance certificate, as it may provide additional protection.

Before any cleanup occurs, take detailed photos and videos of the damage, and create a digital file with documentation on when, where and how it occurred. This can help when filing a claim.

Get multiple contractor estimates to gauge repair costs, which can strengthen your negotiations with the insurance company. If the insurer’s estimate is too low, having several quotes may support your case.

Make sure you file a claim promptly, as some insurance policies have strict time limits. If your claim is denied, ask for a written explanation and the specific policy language used for the denial.

Finally, consider hiring a public adjuster if the claim is complicated or the insurance company's estimate needs to be higher. They represent your interests and can negotiate company for a fair settlement.