AboutJames R Carrier Expertise I'm an insurance adjuster, I'm able to answer questions regarding coverage, damage valuation, or anything to do with property & casualty in the State of Michigan. In other states I can answer general questions but insurance policies are written slightly different depending on insurance law in a particular state. Most questions however I would be able to answer or have the ability to get an answer.
Experience 20 years as a licsensed adjuster, handling 1000's of homeowners claims in Michigan, and Louisiana (Hurricane Katrina).
Education/Credentials Business degree with an emphasis on accounting from Arizona State University, graduating in the Fall of 1984.
Question We had an oven repaired and in doing so the repairmen damaged our hardwood floors (about 8 inch gouge) since they didn't properly protect the floors. We just bought the house (10 years old) and remodeled the kitchen which included resanding the floors including into our dining room and restaining with a custom dark stain. At the time, our flooring guy said that these floors could not be sanded anymore or the nails would start to show. Since we weren't original owners, we are not sure why the floors appeared to have been sanded twice before this. Anyway, our original flooring guy gave us an estimate that required us to replace all the flooring in the kitchen into the dining room as we can't just replace the boards damaged and expect to have the floors even or the stain to match. He came up with a $7K estimate. The retailer who we bought the oven from and damaged the floor sent an adjuster out and he came back with a $7K estimate and agreed with our guy on all points. However, the retailer came back and said that the life of the wood should be 150 years, since it had been sanded twice already basically two-thirds of its life is over and depreciated it 70% so give us $3.1K. I was able to get them to agree to a $4K settlement. Now, we can go through our homeowners and get full replacement value with a small deductible with our policy and then I guess they will go after the retailer for the full $7K. My question is, we are not sure we want to repair the dent and go through the hassle of replacing the flooring and staining (we have 3 small children and the first time was hard enough). So I am not sure I want to go through home owners where I will have to replace the floors and risk my rates going up. Do you think the $4K they are offering is fair. Do I have any other recourse action here? Thanks for your help.
Answer Julie,
I feel the ultimate number is very fair 4k how it was arrived at is a bit crazy but 4k is fair. I must be missing something in the story though. if you get compensated for the floor from one party, you can't then go make a claim on your homeowners. The reason they are settling with you is so you don't make an insurance claim on your homeowner's policy. The party paying you would get you to sign a release of some sort which would release them from further action. Your insurance carrier holds the right to subrogate. Meaning they have the right to go after the company that caused the damage to your floor. They would exercise this right and you would be in hot water (fraud). So again unless I'm missing something leave well enough alone.
