How Fire Insurance Works
Homeowners insurance protects policyholders’ homes and belongings against loss or damage, also known as insured property. This is a blanket policy that refers to both the interior and outside of your house, as well as any valuables, kept on the premises.
Fire insurance covers a policyholder against fire loss or damage from a number of sources. These include fires brought about by electricity, such as faulty wiring and gas explosions, as well as those caused by lightning and natural disasters.
Homeowners insurance provides coverage for all these items which are on the property itself rather than inside your home.
The majority of insurance plans cover a property, regardless of whether the fire starts within or outside of it. The degree of coverage is determined by the origin of the fire.
Do insurance companies deny fire damage claims?
Insurance companies will deny coverage for fire damage under certain conditions. For example, if the blaze began due to an act of vandalism or arson on your part, you may not be entitled to coverage. Fires caused by smoking materials are also considered non-covered damages since they were carelessly started and within your control as a homeowner. Fire coverage can also be denied if maintenance work was being performed without proper permits and inspections were not completed.
Your insurance company may want to settle with you for an amount that is tentative while the investigation continues. Do not agree to this settlement until you have a professional adjuster and/or attorney review coverage limits and coverage options.