What’s the difference between a claim and a pre-claim?

Here at InspectorPro, our policy defines a claim as a written demand for money. That demand doesn’t need to be a formal lawsuit; it could be as simple as a text or an email. While written or verbal demands for insurance information are not technically claims by the policy definition, state insurance department regulations require carriers to treat them as intent to make a claim. Therefore, demands for insurance information may not be eligible for pre-claims assistance. If there’s already been a demand for money or insurance information, your responsibility now is to report the claim to your insurance company.

On the other hand, a pre-claim is any complaint that doesn’t meet the definition of a claim yet. We recommend that you use our free pre-claims assistance program, which helps you respond to unhappy clients in a way that may prevent them from making any demands. Since beginning to offer the service in 2016, our team has stifled 85 percent of inspection client complaints before they could turn into claims.

You can learn more about the program in our article “Pre-Claims Assistance: The FAQs.”

When should I report a claim?

Here at InspectorPro, our policy defines a claim as a written demand for money. That demand doesn’t need to be a formal lawsuit; it could be as simple as a text or an email.

You must report claims promptly. Most of our policies say to report “as soon as practicable,” which is open to some interpretation. However, the notice can’t come any later than when your policy’s about to renew or, if it isn’t renewing, 60 days after it expires. (If you have an extended reporting period, you must report prior to the end of that period.) Failure to report a claim promptly may mean the carrier’s unable to provide coverage.

Additionally, claims reports need to be in writing. While calling your broker still might be appropriate, the claims team can’t really assist you until they’ve received written notice.

If there are delays in processing claims, they’re often due to improper reporting. Until the claims team has all the appropriate paperwork, it’s harder to investigate and defend against the allegation. As such, delays can waste valuable time and efforts.

To report a claim, complete our online form.

How do I report a claim?

Claims reports need to be in writing. While calling your broker still might be appropriate, the claims team can only assist you when they’ve received written notice.

To report a claim, complete our online form.