How to Document Additional Living Expenses for a Hurricane Claim
When a hurricane damages your home in Florida, filing an insurance claim is vital to recovering from the disaster. One important aspect of hurricane insurance claims is Additional Living Expenses (ALE) coverage. ALE compensates for the extra costs you incur while your home is being repaired and you are forced to live elsewhere. These expenses can quickly add up, and properly documenting them is essential for a smooth claims process.
In this guide, we’ll explain how to document Additional Living Expenses for a hurricane claim to ensure you are reimbursed fairly and promptly.
What Are Additional Living Expenses (ALE)?
Additional Living Expenses, or ALE, are the reasonable costs that a homeowner incurs as a direct result of being displaced from their residence due to a covered event, like a hurricane. These expenses cover the difference between your normal living costs and the additional costs you face because you live away from home.
Common types of ALE that your insurance can cover include:
- Temporary housing (e.g., hotels, rental homes, or apartments)
- Meals (when you cannot cook at home)
- Increased travel expenses (fuel, transportation, parking fees)
- Laundry services
- Temporary storage fees for personal belongings
- Pet boarding (if applicable)
It’s important to note that ALE only covers the extra costs above and beyond your usual expenses. For example, if you’re paying for hotel accommodation instead of your regular mortgage, you would claim the cost difference, not the full hotel expense.
Steps to Document Additional Living Expenses for Your Hurricane Claim
Proper documentation is critical to ensure that your insurance company reimburses you for the full amount of your ALE. Here’s how you can effectively document these expenses:
Review Your Insurance Policy
Before documenting your expenses, carefully review your homeowners’ or renters’ insurance policy to understand what’s covered under ALE. Some policies may limit the total amount reimbursable or specific time limits for how long you can claim ALE. Knowing these details in advance will help you track which expenses to document.
Keep All Receipts
Receipts must back every expense related to your temporary living situation. Whether it’s hotel bills, restaurant receipts, or parking fees, you should keep every document showing what you’ve paid for while displaced.
Some specific types of receipts to collect include:
- Lodging Costs: Hotel, apartment, or temporary rental agreements and receipts.
- Meal Expenses: Receipts from restaurants or grocery stores for food purchases. Keep a record of the dates and explain that these meals were necessary because you couldn’t use your kitchen at home.
- Transportation Costs: Receipts for additional gas or transportation fees if your temporary housing is farther from work, school, or other essential destinations.
- Pet Boarding Receipts: Collect all documentation related to this cost if your pets are temporarily housed in a boarding facility.
Ensure your receipts are detailed and itemized so your insurance company can clearly see what each charge is for.
Record Your Normal Living Expenses
Since ALE only covers additional expenses beyond your normal costs, it’s crucial to document what you typically spend when living at home. This helps your insurance adjuster determine the difference between your regular costs and your increased living expenses.
Here are some regular expenses you should document:
- Mortgage or Rent Payments: Provide evidence of your usual mortgage or rent payments.
- Utility Bills: Show your regular electricity, water, and gas bills so the insurer can calculate any additional costs for your temporary housing.
- Meal Costs: Record what you typically spend on groceries or dining at home to show the additional cost of eating out while displaced.
Track Mileage for Increased Travel Costs
Keep track of your additional mileage and fuel costs if your temporary housing is farther from your work, school, or other essential locations. Use a mileage log to record the distance driven daily and calculate how much extra you spend on gas or public transportation.
You can use apps or even a simple notebook to track this information. Be sure to include the date, the purpose of the trip, the starting and ending locations, and the total distance traveled.
Create a Detailed Expense Log
In addition to keeping receipts, creating a detailed log of all your additional living expenses is a good idea. This log should include:
- Date of each expense
- Description of the expense (e.g., “Lunch at restaurant due to no kitchen access”)
- Amount spent
- Reason for the expense (e.g., “Temporary housing due to hurricane damage”)
This log will help your insurance adjuster review your claim and ensure you receive proper reimbursement.
Provide a Detailed Explanation of Each Expense
When submitting your ALE claim, it’s important to include explanations for each expense, especially if it’s significantly higher than your usual costs. For example:
- Meal Costs: If your temporary housing lacks kitchen facilities, explain why you had to eat out, resulting in higher-than-usual meal expenses.
- Increased Utility Costs: If utility bills are higher at your temporary home, note any relevant factors, such as the size of the rental property or additional occupants.
- Extended Stay: If repairs take longer than expected, provide documentation (such as contractor estimates) explaining the delay so your ALE claim reflects the longer duration.
Keep a Journal or Log of Events
Maintaining a journal that tracks important events and decisions related to your displacement and ALE expenses can help support your claim. This journal can document:
- Dates of Temporary Relocation: Record the date you moved out of your home and the date you returned, as this will establish the period for your ALE claim.
- Decisions Regarding Temporary Housing: Log why you chose certain accommodations and any attempts to find more affordable options.
- Communications with Insurance Adjusters: Keep track of phone calls, emails, or other interactions with your insurance adjuster regarding ALE.
Consult with a Hurricane Claim Lawyer
Consulting a hurricane claim lawyer can make a significant difference if you struggle to receive fair compensation for your ALE or deal with pushback from your insurance company. An experienced attorney can help you:
- File and Document Your ALE Claim Properly: Ensure all expenses are accounted for and documented correctly.
- Negotiate with the Insurance Company: If your claim is delayed, underpaid, or denied, an attorney can help challenge the insurance company’s decision.
- Protect Your Rights: In cases where the insurance company acts in bad faith, your attorney can take legal action to secure the compensation you’re entitled to.
Final Thoughts: How a Florida Property Insurance Lawyer Can Help
If your insurance company denies or undervalues your ALE claim, it may be time to seek legal assistance. A Florida property insurance lawyer can help you navigate the claims process, ensure you have the proper documentation, and fight back if the insurance company refuses to pay.
At Williams Law, P.A., we specialize in helping Florida homeowners and business owners get the compensation they deserve after a hurricane or other disaster. Call us at 1-800-451-6786 or complete our online contact form to schedule your free consultation.