What is an insurance estimate?

An insurance estimate is a professional opinion of the cost to repair or replace property damaged or destroyed in an accident, disaster, or other type of claim. In Arizona, the insurance company typically compiles the estimate to determine the amount of coverage they can provide. The insurance estimate reflects the estimated cost of the repair or replacement, including any applicable taxes, fees, and additional expenses, such as hiring helpers or renting equipment. An insurance estimate also typically includes a detailed list of all the parts and materials that will be needed to complete the repair or replacement. The insurance company reviews the estimate to ensure accuracy and fairness and may adjust it if necessary. The insurance company then uses the estimate to determine the amount of coverage they can provide, which is usually the total amount of the estimate minus any applicable deductibles. The insurance company then pays the costs listed in the estimate to the repair or replacement service provider.

Related FAQs

What is required for an insurance company to act in good faith?
What is an insurer's duty of good faith?
What is a subrogation recovery?
What is an assignment of rights?
How do I calculate a claim settlement?
What is an insurance deductible waiver?
What is the difference between a claim and a lawsuit?
What is a market value settlement?
What is a self-insured retention (SIR)?
What are the different types of insurance policies?

What is an insurance estimate?

Related FAQs

Related Blog Posts