By Lorie Ham
There are many types of insurance claims—auto, liability, homeowner property, business property, etc. Odds are that most people will have to deal with a claim at least once in their lives, if not more. In the United States millions of auto insurance claims are filed each year. According to HealthSure Hub, in 2024 an estimated 16.5 million claims were submitted, encompassing collision, bodily injury, property damage, and comprehensive coverage. While a majority of claims are related to property damage and collisions, bodily injury claims continue to be the most expensive claims per incident.
According to Setnor Byer, the United States homeownership rate is nearly sixty-five percent. The Insurance Information Institute states that approximately 1 in 15 insured homes have a claim each year. Here is more info on those claims:
- Wind and hail claims, which are the most frequent claims, are experienced by approximately 1 in 30 insured homes each year.
- Claims related to fire, lightning or debris removal, are the costliest, and are experienced by approximately 1 in 230 insured homes every year.
- Water or freezing claims are made by approximately 1 in 55 insured homes each year.
- Approximately 1 in 190 insured homes have a theft claim each year.
- Approximately 1 in 830 homeowners have a liability claim related to the cost of lawsuits for the bodily injury or property damage of others.
Since we will likely all have to deal with a claim at some point, have you ever wondered how that whole process works? Kevin Lucke, President/CEO of Mennonite Aid Plan/Mennonite Insurance Services, shares the basic process with us:
- Investigation: This begins when the claim is first reported to the insurance company. This process includes verifying there is an active insurance policy, determining if the claim is covered under the policy, inspecting the damage, interviewing witnesses (mostly in automobile accidents), determining liability/fault (also mostly automobile but could be other forms of liability).
- Evaluation: Determining the cost of repairs to damaged property, assessing the value of an injury to a person, and determining how much a policy might pay for certain types of losses (actual cash value versus replacement cost, application of deductibles, special internal limits within a policy etc.). In the case of an injury claim, determining the value of the injury claim, which usually includes a review of medical records.
- Negotiation/Settlement: Once the evaluation is completed and coverage and/or liability is determined, the insurance company pays (or, in the case of liability claims, offers to settle) the claim.
As we dive into Spring 2026 and move towards summer, it is a good idea to make sure you are prepared when it comes to your insurance needs, and well covered when it comes to protecting yourself and your family. If you have any questions at all you can reach out to Mennonite Aid/Mennonite Insurance Services and they will be happy to help (559) 638-2327.
