When the processor delays with insurance carriers, homeowner clients can often resort to a process of selling off their property while their claim is still in place. The sale of a property can certainly affect an insurance claim especially when it comes to cash value versus cost value.
If you are selling your home it’s very important that the actual cash value is not guaranteed in the purchase price, if you are planning on selling your home in a damaged condition make sure that it is stated in the overall bill of sale. Reducing the overall price to account for the loss on the property can also be extremely important. Adding these various safeguards to the sale of your property can make sure that you can reduce your risk for someone potentially suing you.
If the damage to the premises is not going to be restored prior to the closing date then losses on the property may be subject to action postdated on the current purchase agreement. There is no real standing to sue in a court of law but there should be a distinction drawn for the damage that will remain on the property.
It is important to protect your property as well as the claim that a new owner will have on the property from your insurance company. Selling your property while it is damaged can be a risk. Damage can often come without warning while your home has closed as well. If you are selling property that has damage you may want to consider speaking to an insurance attorney to see how you can proceed with your claim and prevent potential legal action from the new owner.
If your insurance claim has been running especially long, you may want to consider speaking to an insurance attorney to speed up the process of your claim as well.
This post was written by Kelly-Anne Jenkins of Jenkins Law P.L. Kelly-Anne is an insurance claims lawyer. She specializes in personal injury, car accidents, and bicyclist injury. The information on this site is not intended to and does not offer legal advice, legal recommendations or legal representation on any matter. Hiring an attorney is an important decision, which should not be based on advertising. You need to consult an attorney for legal advice regarding your individual situation.
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