In what circumstance would a Property Insurance Claim be rejected?


Property insurance claims can be quite complicated and difficult to understand. Every situation is different and this article will try to explain the 2 possible cases when a Property Insurance Claim would be rejected.

The first case of a property insurance claim being rejected is when you have not taken the necessary steps to protect your own belongings. We are not only referring to the circumstances where the damage has been caused by the owner of the property but you have also been negligent in protecting your own belongings. This is where a person would need to take additional steps in protecting their own property by installing security alarms or motion detectors, fences, securely locking all doors, etc.

Insurance companies are not responsible for protecting your belongings from theft or damage and it is your responsibility to ensure that this does not come about.

The second case of a property insurance claim being rejected is when you have insufficient cover for the existing value of your items. For example, if you have just bought a new table and chairs for $1,000 and now the table is destroyed to the point that it can’t be repaired, then your insurance would refuse to pay out on this claim.

It is very important to speak to an insurance broker before you purchase your home or contents insurance as they will be able to explain the exact situation for your property insurance claims. They can also give you a range of quotes so that you know how much each policy will cost.

Reasons why Your Property Insurance Claim get Rejected

Property Insurance Claim be rejected
Property Insurance Claim be rejected

If you have experienced an insurance claim rejection and are not sure why this article has some potential answers for you.

The insurance company may not pay a claim because it is “too remote” or “bogus”, which means that the company rejects the claim because they doubt whether the damage was done by an ‘accident,’ rather than intentional. They also might reject a claim if they think that your property wasn’t actually damaged in a covered way, or if your policy doesn’t cover enough to cover what happened.

In some cases, your claim may be “no-fault“, in which case the insurance company may not pay a property claim.

Are you concerned that your property insurance claim might be rejected? If so, you should consider consulting an experienced Maryland landlord-tenant lawyer to help you assess your course of options.

This is a general overview and does not constitute legal advice. Please contact the author for more information if you have questions or need help.

Disclaimer: This article is intended to inform only, not to be a definitive explanation of this topic. Only a qualified attorney can help you with your specific legal problem, and this article should not be regarded as such. Please note that this site is not designed to give you legal advice, nor does it create an attorney-client relationship.

Also, Read;

How to Fight an Insurance Claim?

In America, it’s always a good idea to be covered for “a rainy day”. Because that’s when rainy days really happen. If you find yourself in the position of having to file an insurance claim, following some of these suggestions might help take the sting out of the process.

These are some general guidelines as well as specific advice for various types of insurance claims. what typically happens after you file a claim and how best to tackle it. You can use these tips to help complain about your insurance company or attempt to resolve the claim on your own.

Why would an insurance claim be rejected?

Insurance companies exist to make a profit for their shareholders. When you take out an insurance policy, the company gets a cut of the money up-front. If the company pays out more in claims than it makes from premiums, then it’s never going to be around to pay your claim if something goes wrong.

To avoid this situation, these companies have developed protocols that define what they will and won’t pay for. Between the policies they sell, they use these protocols to determine whether your claim is worth paying.

For example, if a policy covers damage to the roof or trims from a hurricane, then the company will only pay for that if it is wearing its “hurricane” facedown. But if it’s wearing a tennis ball instead, then it won’t pay for anything. In this case, the company has determined that there’s no financial reason for it to pay out on anything.


It can seem like it can be difficult to understand the difference between these two cases, but there is a clear difference. A property insurance claim would be rejected in the event that the claimant failed to provide adequate proof to substantiate the claim.

There are many other cases that could be rejected that are not covered here. In the case that you are denied for a property insurance claim and you feel you were unfairly denied, you can always reach out to our team at


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