Home Insurance Forum

Oct. 29, 2007

Our house burned back in February of this year, and we can't come to an agreement with the insurance company. The house was destroyed except for two rooms and they sustained major water and smoke damage.

We would like to get this settled. Is there a reasonable amount of time the insurance company has to settle a claim? How long should we continue to put up with this? We had replacement cost insurance on the policy.

Nan, Illinois

Dear Nan,

Dale Emerson, the assistant deputy director for the Illinois Department of Insurance, says that after you file a proof of loss with your insurance company, it has 60 days to accept or reject it, and it has to tell you the status of the claim within 25 days.

However, if the company needs to investigate the situation in greater detail, it may extend the 60-day deadline. But, at this point, with so much time having gone by, Emerson suggests that you might want to consider having your attorney get involved.

Emerson also recommends you consider filing a complaint against your insurance company. You can file a complaint call (217) 782-4515. He says that the department can determine the status of your claim and get back to you in about 30 days, so at least you'll know where you stand.

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