There are several possible reasons why the insurance company did not offer you the settlement amount that you think you deserve. First, you may or may not have enough insurance. Also, there is a difference between actual cash value and replacement cost. The replacement cost of your damaged property would benefit you more; however, insurance companies tend to use actual cash value, taking into account depreciation, because it saves them money. Look at your insurance policy to see if you have a replacement cost or an actual cash-value policy.
The truth of the matter is that the insurance company may be seeing what they can get away with and how low of an offer you will accept. Unfortunately, insurance companies are known to undervalue property insurance claims so that they can hold onto their money. Typically, insurers have a financial range they want to settle your claim for—meaning there is a low figure they usually throw out at first, and there is a maximum amount they are willing to pay.
You may have to negotiate with them or hire a skilled insurance claim attorney in order to get the offer you deserve. At the Voss Law Firm, we provide free, no-obligation consultations to review your situation and insurance policy and determine if you have a case. Call our qualified insurance litigation lawyers today 888-614-7730 to schedule your complimentary consultation and find out if insurance company is cheating you out of the benefits you are entitled to under your policy.