Imagine that your home has just been damaged by a recent fire or hail storm. You take a deep breath, relieved you have a homeowners insurance claims policy to cover the damage. You soon realize that it will take many months to fully document all of the items lost, assess the actual value of the damage, and then begin getting estimates and rebuilding.
What you may not realize is that you generally have only twelve months from the date of loss to either settle your claim for damages with your insurer or file suit. If you don’t do it, you can lose your claim. While twelve months may sound like a long time, it can go by quickly.
Most homeowners and similar indemnity policies are loosely classified as “fire insurance” policies. They may not apply exclusively to fires, but they do include fire protection, along with protection against other forms of loss, including flooding, hail, ice, lightning, explosion, and wind. As such, they are subject to Wis. Stat. 631.83, requiring a claim to be commenced within one year of the date of loss. Many people have unsuccessfully argued that their policies are not primarily for fire protection and that they should not be required to bring suit that quickly. However, our Supreme Court has repeatedly treated the term “fire insurance” as a generic term reflecting all forms of loss or damage to property. (See Villa Clement v. National Union Fire Insurance Co. of Pittsburgh. See also Riteway Builders, Inc. V. First National Insurance Company of America.)
If you suffer property damage to your home or business, contact your homeowner insurance company immediately. If they do not promptly resolve the claim to your satisfaction, contact an attorney to assist you with your homeowners insurance claims.
