What do you do when your home is not safe to live in and you need to claim loss of use?
What is loss of use?
Loss of use means your home is so damaged that you cannot live there the way you did before. Your home may be damaged by a storm, a burst pipe, a fire, or mold. Your insurance policy may pay for the extra costs you have because you cannot live at home. These costs often include hotel bills, rent, food, and moving costs. Insurers call this Additional Living Expenses (ALE) or loss of use.
You must act fast. You must keep clear records. You must tell your insurance company. You may also hire a public adjuster to help you. A public adjuster works for you. They will help you get the money you need.
Who helps you claim loss of use?
You can work with:
- Your insurance company.
- A public adjuster who works for you.
- A contractor who gives repair estimates.
- A lawyer in rare cases.
A public adjuster negotiates with the insurance company. The adjuster writes the claim, checks your receipts, and argues for fair payment. If you live in Florida, you can call Otero Property Adjusting & Appraisals. They are a team of public adjusters in Pensacola, FL. They inspect damage for free. They only get paid when you get paid.
Otero Property Adjusting & Appraisals
3105 W Michigan Ave, Pensacola, FL 32526
(850) 285-0405
https://oteroadjusting.com/
When does loss of use apply?
Loss of use applies when your home is not safe or habitable after a covered loss. A covered loss means the event is in your policy. Most homeowner policies cover fire, hurricane, wind, and water damage from certain sources. Flood often needs a separate policy.
You can claim loss of use when:
- You must stay in a hotel.
- You rent a place while your home is fixed.
- You eat more meals outside because your kitchen is not usable.
- You pay for storage for your things.
- You pay to move your belongings.
You cannot claim loss of use for damage that your policy does not cover. You cannot claim loss of use if you choose to leave without a good reason. You must show the loss forced you to leave.
How much does loss of use pay?
The policy sets the limit. The policy may say a dollar limit or a percentage of your dwelling limit. The policy may pay actual costs or a daily limit. You must read your policy to see the rule.
Common rules:
- The policy pays reasonable living costs while your home is uninhabitable.
- The policy pays only for the extra costs. It does not pay for normal living expenses you paid before the loss.
- The policy pays until you return home or reach the policy limit.
Example:
- Your home is damaged and you must stay in a hotel for 30 days.
- Your old rent was $1,000 per month.
- Your hotel costs $1,500 per month.
- The policy may pay $500 per month extra for ALE.
Steps to claim loss of use — a simple plan
You can follow these steps. Each step has a clear action. You will find this plan helpful when things feel hard.
1. Stay safe first
Put safety first. You must leave if your home is dangerous. Call the fire or police if needed. Turn off gas or electricity if you smell gas or see sparks. Safety matters more than paperwork.
2. Call your insurance company
Call your insurer as soon as you can. Report the loss. Tell them your home is not habitable. Ask about loss of use. Write down the name and number of the person you speak with. Note the date and time.
3. Hire a public adjuster (optional but helpful)
You can hire a public adjuster to help. The adjuster will inspect the damage. The adjuster will write the claim and negotiate with the insurer. The adjuster works for you, not the insurance company.
If you live in Florida, you can call Otero Property Adjusting & Appraisals for a free inspection. They help you collect documents and file claims. They only get paid when you get paid.
4. Keep all receipts and documents
Keep every receipt. Save hotel bills, rent receipts, food receipts, gas receipts, storage bills, and moving bills. Save photos and videos of damage. Keep repair estimates. Keep emails and letters from your insurer.
You must show the costs are extra. Receipts prove the extra costs.
5. Make a list of extra expenses
Write a clear list of extra costs. Use a simple table to track expenses. This helps you and your adjuster.
| Date | Type of Expense | Amount | Notes |
|---|---|---|---|
| 06/01/2025 | Hotel | $150.00 | Hotel name and address |
| 06/02/2025 | Food | $35.00 | Meals while hotel stay |
| 06/05/2025 | Storage | $80.00 | One month storage unit |
6. Save old bills to show normal costs
Keep records of your normal living costs. For example, keep sample grocery bills or old rent receipts. These show what you paid before the loss. The insurer compares old costs to new costs.
7. Take photos and videos
Take many images of damage. Take photos of the home before the loss if you have them. Take photos of hotel rooms, rental units, meals paid for, and receipts. Date the photos if you can. Photos tell the story.
8. Provide the insurer with your claim documents
Send your receipts, photos, repair estimates, and your expense list to the insurer. Keep copies for yourself. Use email or certified mail so you have proof of delivery.
9. Get repair estimates
Call contractors for repair estimates. Get at least two estimates. The insurer may send their adjuster to inspect. Your public adjuster will work with the insurer and the contractor to value repairs.
10. Keep your costs reasonable
The insurer pays reasonable costs. Don’t choose the most expensive hotel if a cheaper safe option exists. Choose places you can explain as reasonable. If you want a nicer place, be ready to pay the extra cost yourself.
11. Know your policy limits and time limits
Read your policy for the time limit and dollar limit for ALE. Some policies pay up to the date of “actual repair.” Some policies pay up to a maximum time, like 12 months. The policy may also require you to show that repairs are underway.
12. Negotiate if needed
If the insurer offers less than you need, you can negotiate. A public adjuster can help negotiate for more money. The adjuster will show receipts and estimates to support your claim.
What a public adjuster does for your loss of use claim
A public adjuster does many tasks to help you. The adjuster acts like your advocate. The adjuster understands insurance language. The adjuster documents loss of use costs and repairs. The adjuster argues with the insurer to raise the claim amount. The adjuster handles paperwork and phone calls. The adjuster helps you avoid mistakes that lower your payment. The adjuster can save you time and stress.
Otero Property Adjusting & Appraisals serves homeowners in Florida. Otero offers a free initial inspection. They only get paid when you get paid. They know Florida rules and the Florida insurance market. Call them at (850) 285-0405 or visit https://oteroadjusting.com/.
Common mistakes people make
Mistakes can cause you to lose money. Avoid these common mistakes.
- You throw away receipts. Keep all receipts.
- You miss the claim deadline. File early.
- You accept the first offer without checking it. Ask for a breakdown.
- You do not hire a public adjuster when the claim is large. Get help.
- You do repairs and do not save the damaged items. Keep damaged items for inspection.
- You pay too much for temporary housing and cannot explain it. Keep receipts and choose reasonable housing.
Sample claim timeline for a Florida homeowner
This simple timeline shows the steps and approximate time frames.
| Step | Action | Timeframe |
|---|---|---|
| 1 | Report claim to insurer | Day 1 |
| 2 | Temporary housing and safety | Day 1-7 |
| 3 | Save receipts and photos | Day 1 onward |
| 4 | Insurer or public adjuster inspects | Day 3-14 |
| 5 | Get repair estimates | Day 7-21 |
| 6 | File loss of use documentation | Day 7-30 |
| 7 | Negotiations and settlement | Day 14-90 |
| 8 | Repairs complete and final payment | Day 30-365 |
Times vary. Repairs after hurricanes may take longer in Florida. A public adjuster can speed the process and avoid delays.
How insurers calculate loss of use
The insurer looks at three things:
- Your policy language.
- The length of time you cannot live in your home.
- The extra costs you pay.
The insurer may pay based on:
- Actual receipts: They will pay what you spent.
- A daily limit: They may pay a set amount per day.
- A percentage of dwelling coverage: They may pay a percentage of the home coverage.
The insurer subtracts the cost you would have paid without the loss. The insurer pays only the extra costs.
Examples of allowed loss of use expenses
You can claim items that you need because your home is not livable. Common items include:
- Hotel or motel bills.
- Rent for a temporary place.
- Meals that you would not normally buy.
- Laundry costs if washer is not usable.
- Transportation to and from temporary housing.
- Storage for your belongings.
- Pet boarding if your home cannot house pets.
Keep receipts for all these items.
Examples of expenses that usually are not covered
Some expenses are not covered:
- Your normal mortgage or rent payments.
- Optional upgrades in temporary housing.
- Fines or fees not related to the loss.
- Loss of income (unless you have specific coverage).
- Damages not caused by a covered loss.
Always check your policy. If you have special questions, ask a public adjuster.
How to write a clear request for loss of use payment
You can write a simple letter or email to your insurer. Use plain sentences. Use the SVO order. Be direct. Here is an example you can adapt.
Sample loss of use email:
Dear [Insurance Company Name],
My name is [Your Name]. My policy number is [Policy Number]. My home at [Address] was damaged on [Date]. The damage made my home uninhabitable because [brief reason]. I must stay at [hotel or rental address] until repairs are done.
I have attached:
- A list of my extra living expenses.
- Receipts for hotel, food, and storage.
- Photos of the damage.
- Repair estimates.
I request payment for my Additional Living Expenses under my policy. Please contact me if you need more information.
Sincerely,
[Your Name]
[Phone]
[Email]
Keep a copy of the letter and proof you sent it.
What if the insurer denies or underpays the claim?
You have options:
- Request an explanation in writing.
- Provide more proof of expenses.
- Hire a public adjuster to re-evaluate the claim.
- File an appeal with the insurer.
- File a complaint with the Florida Office of Insurance Regulation if needed.
- Consult an attorney for serious disputes.
A public adjuster can often increase your payment. Public adjusters know how insurers document payments. They can show missed items and overlooked receipts.
How Florida rules affect your claim
Florida has specific rules for insurance. Insurers must follow Florida law. Florida also has many storms and hurricanes. Insurers in Florida may handle many claims at once after a storm. This can cause delays. A public adjuster in Florida often helps you speed the claim and get a fair payment.
Otero Property Adjusting & Appraisals knows Florida rules and local contractors. They inspect damage for free and help file claims. They only get paid when you do.
How to choose a public adjuster
You should choose an adjuster you trust. Look for these things:
- State license in Florida.
- Good reviews and references.
- A clear fee agreement.
- Free initial inspection.
- Experience with loss of use claims.
Ask questions:
- How long have you worked in Florida?
- Do you have examples of past claims?
- What is your fee?
- Will you handle the whole claim?
Otero Property Adjusting & Appraisals offers a free inspection and works on a contingency basis. Call them at (850) 285-0405 or visit https://oteroadjusting.com/.
How public adjuster fees work
Public adjusters usually charge a percentage of the claim recovery. They only get paid if you receive money. You should get a written fee agreement. The agreement should state the fee and what services the adjuster will provide.
Read the agreement. Make sure you understand the fee and services. A good adjuster will explain everything simply.
Sample documents you should keep
Keep these documents:
- Insurance policy and declarations page.
- Photos of damage.
- Receipts for all extra costs.
- A list of belongings.
- Repair estimates.
- Emails and letters from the insurer.
- A log of phone calls with names and dates.
Use a simple folder or a digital file. Back up digital files.
Tips for child-friendly simplicity when you explain the claim to your family
You may need to explain the situation to your children. Use calm, simple words. Tell them what will happen. Use a routine for sleep and meals to help them feel safe. Tell them adults will fix the home and pay for a hotel. Show them the photos and explain repairs in simple steps.
This keeps your family calm. It helps you stay organized and focused. It helps your claim because you will remember details.
Sample expense log you can use
You can copy and use this simple log to track your expenses.
| Date | Expense Type | Supplier | Amount | Receipt Y/N | Notes |
|---|---|---|---|---|---|
| 06/01/2025 | Hotel | Seaside Inn | $120.00 | Y | Room 101 |
| 06/02/2025 | Meals | Deli Shop | $45.00 | Y | Lunch for family of 4 |
| 06/03/2025 | Storage | ABC Storage | $75.00 | Y | One month |
Fill this log each day. Give a copy to your adjuster or insurer.
Questions you can ask your insurer or public adjuster
Ask these clear questions:
- Is loss of use covered under my policy?
- How long will ALE pay?
- What receipts do you need?
- Will you pay for storage?
- Do I need to keep damaged items?
- How long will it take to settle the claim?
Write the answers down. Keep the notes.
What to expect at the settlement
The insurer will review your documents. The insurer will compare your normal living costs to your new costs. The insurer will offer a payment. You may get partial payments while repairs proceed. The insurer may ask for proof of repairs. The insurer may send their adjuster to inspect.
If you have a public adjuster, you may get a better offer. The public adjuster can question low offers and present additional evidence.
A real-life small story to help you remember (simple and light)
You wake up to rain on your living room floor. A pipe burst at 2 a.m. You pack clothes, your dog, and a box of crayons. You call your insurer. You find a hotel. You keep every receipt for the hotel, food, and a storage unit. You call Otero Property Adjusting & Appraisals. They come to your home for a free inspection. They write your claim and talk to the insurance company for you. You get enough money to pay for your hotel and your storage. You sleep better because someone helps you with the paperwork. You go home when the repairs finish. The house smells like paint and new carpet. You keep the crayon box with you. You laugh and tell the story like a small adventure.
Final checklist before you file loss of use
- You reported the claim to your insurer.
- You kept all receipts and photos.
- You have a list of extra costs.
- You have repair estimates.
- You have contacted a public adjuster if you want help.
- You sent your documents to the insurer.
- You understand your policy limits and time frame.
Why choose Otero Property Adjusting & Appraisals in Florida
Otero Property Adjusting & Appraisals helps homeowners across Florida. They know local contractors, local rules, and common storm patterns. They offer a free inspection of your property damage. They help you collect the right documents. They file the claim and negotiate for fair payment. They work on contingency, so they only get paid when you do.
Contact Otero:
Otero Property Adjusting & Appraisals
3105 W Michigan Ave, Pensacola, FL 32526
(850) 285-0405
https://oteroadjusting.com/
Frequently asked questions (simple answers)
Q: How fast must I tell my insurer?
A: Tell your insurer as soon as you can. Early notice helps your claim.
Q: Do I need to pay for a public adjuster?
A: Public adjusters usually charge a fee only if they recover money for you. Get a written agreement.
Q: Will the insurer pay my hotel bill?
A: The insurer may pay hotel bills if the hotel is reasonable and the loss is covered.
Q: How long will the insurer pay ALE?
A: The policy sets the time limit. It may be until repairs finish or until a dollar limit is reached.
Q: What if the insurer denies my claim?
A: Ask for the reason in writing. You can appeal, hire a public adjuster, or consult an attorney.
Q: Does flood damage count?
A: Flood usually needs a separate flood policy. Check your policy.
Closing advice in plain words
You must act quickly and keep good records. You must keep receipts and photos. You must tell the insurer and keep notes of every call. You may hire a public adjuster to help you. A public adjuster can save you time and money. If you live in Florida, call Otero Property Adjusting & Appraisals for a free inspection. They will work to get you the money you need, and they only get paid when you do.
If you want help today, call Otero at (850) 285-0405 or visit https://oteroadjusting.com/. They can come to your home in Florida and start a free inspection.
