Thermostat Failure Leads to Burst Pipes…Insurance Claim Under Review
We own a rental property and usually keep the heat set at 60 degrees when we’re away. Unfortunately, while we were gone, the thermostat malfunctioned for reasons we can’t pinpoint—even replacing the batteries didn’t resolve the issue. Shortly after, a sudden cold snap hit, causing several pipes to freeze and burst.
Our heating bills reflect a significant drop in gas usage, which we can attribute to the non-functioning thermostat.
The damages amount to $25,000, but now our insurance claim is in jeopardy due to the unexpected drop in temperature.
Could this faulty thermostat be a valid reason for our claim to be denied?
I’m sorry to hear about the damage to your rental home. A faulty thermostat can certainly complicate an insurance claim, but whether it results in a denial often depends on the specifics of your policy and the circumstances surrounding the incident.
Here are a few points to consider:
Policy Terms: Review your insurance policy carefully. Some policies may have specific exclusions related to maintenance or equipment failure. If the thermostat’s malfunction is deemed negligence on your part and a violation of maintenance requirements, it could affect the claim.
Documentation: Gather all evidence, including the heating bills showing the drop in usage, any records of maintenance conducted on the thermostat, and documentation of the damages. This will help strengthen your case.
Cause of Failure: If the thermostat’s failure was due to an unexpected malfunction rather than neglect (e.g., old age, manufacturer defect), you may have a better chance of a successful claim.
Mitigation: Highlight any steps you took to mitigate damage, such as having the heating set at 60 degrees. This shows you were taking reasonable precautions.
Consult with Your Insurer: It may be beneficial to have a conversation with your insurance agent to explain the situation in detail. They can provide insight into how the claim might be assessed.
Seek Professional Advice: If the claim is significantly questioned and you’re not getting a satisfactory response, consider reaching out to a lawyer or a public adjuster who specializes in insurance claims.
While a faulty thermostat could complicate things, it doesn’t automatically mean your claim will be denied. It’s essential to communicate openly with your insurer and provide as much information as possible to support your case.