Tag Archives: insurance claim

How Much Personal Info Does My Insurance Need?

The insurance company told me that I was required to produce a copy of my personal financial information at the time I filed my sinkhole claim.  Can they do this?

Under most property insurance policies providing coverage for sinkholes, an insurance company is permitted to request copies of financial information relevant to the claim.

For example, if you had a claim where there was a potential dispute regarding whether you had completed repairs to the home, an insurance company could argue that this information would document whether you actually incurred the expense.  Note, this remains abusive, because they should not ask for bank records, but should instead simply ask you to produce the receipts and other materials.

Document. Document. Document.

Whenever an insurance company makes a request that you find invasive, abusive, or frankly just odd, it is important that you document you concerns in writing.

Describe your concerns, and demand that they tell you why the request is being made.  While they have contract rights to inquire and conduct their investigation of the sinkhole claim, they cannot use these rights in an abusive manner.

Assure the insurance company that you intend to comply with all reasonable requests, but that you are uncomfortable with what they are seeking.  By doing so, you can document your continued cooperation of the claim.  This is important because insurance companies can use any “alleged failure” to provide information as a separate defense of their failure to cooperate.  Keep copies of the letters in your own file, so you can produce these if litigation breaks out.

Have a burning question you’d like to ask about sinkholes? Let us know.