Understanding the Anti-concurrent Cause Clause in Insurance Policies

When you buy an insurance policy, you expect to be protected from unexpected damages or losses. However, for many policyholders, the wording and clauses within the policy can be confusing and difficult to understand. One such clause is the anti-concurrent cause clause, which can have a significant impact on the viability of your claim. In this blog post, we'll take a closer look at what the anti-concurrent cause clause is, how it works, and what you need to know to protect yourself and your assets from unexpected losses.

Firstly, let's define what the anti-concurrent cause clause is. It's a legally binding clause that's often included in insurance policies. This clause specifies that if two or more causes contribute to a loss, and one of those causes is excluded from the policy, then the entire loss will be denied coverage. Put simply, the anti-concurrent cause clause makes it so that if there is more than one cause of the damage, and one of those causes falls outside the policy, the insurance company doesn't have to pay out for the loss.

Secondly, it's crucial that policyholders understand how the clause works. The anti-concurrent cause clause can be used by the insurance company to deny coverage even if the excluded cause was only a small part of the overall loss. For example, let's say that a homeowner has insurance that covers damage from windstorms, but not floods. If a storm causes damage to a home, including flooding, the anti-concurrent cause clause could be used to deny coverage for the entire loss, including the wind damage that the policy would have covered elsewhere.

Thirdly, it's important to know that the specific wording of the clause can vary between policies, and that language and interpretation can be hotly contested in court. It's essential to carefully read over your policy and consult with an insurance professional or attorney if you have any questions or concerns about the language of the anti-concurrent cause clause in your policy.

Fourthly, there are some practical steps that you can take to protect yourself from the potential impact of the anti-concurrent cause clause. Firstly, it's important to understand the risks associated with where you live and the potential for multiple causes of loss. For example, if you live in an area prone to flooding and hurricanes, you may want to consider purchasing additional insurance coverage to protect yourself from these risks. Secondly, it's essential to document any damage or loss in detail, including photographs and written descriptions, to ensure that you are able to make a clear and comprehensive claim in the event of a loss.

Conclusion

In conclusion, the anti-concurrent cause clause is a complex and potentially problematic clause that can have a significant impact on the viability of your claim. Understanding the language and interpretation of the clause is essential for protecting your assets and investments. At Five Star Claims Adjusting, we work with our clients to understand the nuances of insurance policies and help them receive the maximum compensation possible for their losses. If you're looking for an insurance loss adjuster in South Florida and looking for an experienced and knowledgeable loss adjuster, contact us today to schedule a free inspection.