A study completed by a prominent insurer uncovered a surprising fact: four out of 10 small businesses will likely file commercial insurance claims in the next 10 years. The study predicted that burglary or theft would be the most likely reasons for the claims. Burglary and theft claims make up about 20 percent of all commercial claims.
Hopefully, your business is never burglarized or becomes the victim of any other type of theft. But, problems can spring up when you least expect them. That’s why carrying the right insurance coverage and working with the right law firm can be critical to your success.
What to Do After a Business Burglary
If your business is burglarized, the first step is to call the police to file an official report. You’ll need the report to file an insurance claim. But the police can help you in other ways, too. They can examine the scene for evidence and interview potential witnesses. Keep in mind, however, that most property that is stolen from businesses is never recovered in sell-able condition.
The police can also help you secure your store, so you do not experience further losses. You’ll want to make temporary repairs to any broken windows or locks (but wait to talk with your insurer before making expensive permanent repairs). If your security system has been taken offline, you’ll want to reset it as soon as possible. It’s also advisable to make a detailed list of everything that was stolen so that you know the extent of the damages your business has experienced.
Deciding Whether to File an Insurance Claim
After talking with the police, talking with your insurance company is the next step. However, many business owners worry about filing a claim. They do a cost-benefit analysis and determine that the items stolen were worth less than the deductible. They also worry that their insurer will raise rates or drop them if they file a claim.
These are valid points. However, you carry commercial insurance precisely so that you are covered in the event of burglary, theft or other losses. If you don’t file now, you’re never gaining the benefit of something that you pay for every month. Further, the expenses of fixing the damage and replacing stolen goods could be more than you’re currently estimating. The average theft or burglary claim is $8000.
What if a Your Insurance Claim is Denied?
Hopefully, your insurer pays the claim without any hassle. But, there are many reasons that insurance companies deny business burglary claims—and not all of them are legal. If you suspect that your insurance company isn’t acting in good faith, it may be time to talk with a lawyer. The attorneys at The Fell Law Firm can help with denied insurance claims.
To talk with an attorney at The Fell Law Firm, just call 972-450-1418 for a free and confidential consultation. We can help you weigh your options and protect your business.