Homeowners and renters policies outline what to expect when sudden and unexpected property damage occurs. Policyholders should be familiar with their responsibilities following a loss.

For example, the policyholder must report damage to the insurer as soon as possible, make temporary repairs to prevent further damage, and cooperate with the adjuster throughout the claim process.

In addition, the policyholder is required to prepare an itemized list of damaged or destroyed belongings. An updated personal property inventory will make this task much easier.

Check the insurance contract and policy add-ons to verify loss settlement terms. Contents claims are typically resolved on a depreciated basis (reduced for age, wear, and tear). Many insurers offer contents replace cost coverage as an endorsement.