Time For Notification Of Loss
What Does Time For Notification Of Loss Mean?
The notification period for reporting a loss is a requirement in certain insurance policies. An insurance contract may specify a time limit within which the insured must report a loss to the insurance company after it occurs. If the insured exceeds this deadline, they may forfeit their right to coverage, and the insurance company could deny their claim.
Insuranceopedia Explains Time For Notification Of Loss
Most insurance policies do not specify a set time for notifying a loss. Instead, they may use vague language, such as requiring the insured to report the loss “as soon as possible,” which is broad enough that a policyholder could potentially wait years before filing and still retain the right to have their claim paid.
However, it is generally in the policyholder’s best interest to file a claim as soon as possible after a loss. Doing so allows the insurance company to review the incident while it is still fresh, enabling them to make a fair assessment of the damages. It also helps the insured avoid delays in receiving payment.
