Toll Free (866) 885-9785

Additional Living Expenses, Farms & Vacation

Heidi Campana, ALE Housing Solutions National Account Manager, continues our series of posts regarding questions relevant to loss of use claims. Heidi addresses two common scenarios regarding the insured utilizing their policy’s Additional Living Expense (a.l.e.) over opting to receive a Fair Rental Value (FRV) payout.

Note: As a general rule, when a policyholder is requesting payment for Additional Living Expenses, not all requests are covered, and they must meet certain criteria before they get paid. Of course, we suggest comparing our answers to your specific Additional Living Expense policies.

Additional Living Expenses vs. Fair Rental Value

Q. The insured has a family farm. The only suitable rental is 15 miles away to the nearest town. Does insurance pay for mileage to and from the farm?
Additional Living Expenses vs. Fair Rental ValueA. Yes, additional mileage would be a covered additional living expense while being displaced due to a loss. ALE coverage reimburses the insured for the cost of maintaining a comparable standard of living following a covered loss that exceeds the insured’s normal expenses prior to the loss. Since, the insured will be traveling back and forth to tend to their farm, they would incur additional expenses due to additional travel from the temporary residence. I would suggest discussing the additional mileage with your claims adjuster to verify how to document these additional living expenses for accurate reimbursement.

Q. A displaced family goes on a one-week vacation that they planned before the claim. Does insurance cover any of their additional living expenses?
Additional Living Expenses vs. Fair Rental ValueA. Additional living expenses for the week of vacation would usually not be a loss expense since the trip was pre-planned prior to the loss.

However, on occasion I have seen adjusters/insurance carriers make exceptions. The insurance company would be paying for a hotel stay if the family were not going on vacation; so at times they will cover these expenses. Often, the amount that the family will get reimbursed is based on the average hotel rate they would have paid if they were staying in a local hotel.  It is best to discuss this unique situation with your adjuster to determine if your insurance carrier would cover any of these expenses.

Additional Living Expenses vs. Fair Rental ValueI LOVE MY JOB because “ALE Solutions is a company that cares for both customers and employees alike. I feel privileged to work for a company that creates a fun working environment and has a passion for people. I value the friendships that I have made with my co-workers, as well as the long-time relationships with the adjusters I work with on a daily basis!” – Heidi

Photo credit: ©iStock.com/boggy22, anyaberkut, zaozaa09 

 

Tags

Leave a Reply

Your email address will not be published.

  • MyALE

    Claims Portal

    • Personalize a dashboard
    • Manage in real-time
    • Access on all devices
    • Request or extend temporary housing with one click

    Learn More


  • Join Our Facebook Fan Page Check Us Out On Instagram Follow Us On Google+ Follow Us On LinkedIn Follow Us On Twitter View Our YouTube

  • Weather Safety



  • Instagram
    • Whether youre returning to campus or headed to college as
      Whether you’re returning to campus, or headed to college as a freshman, equip yourself with knowledge outside the classroom to be prepared in case of
    • ALE Solutions PROUDLY SUPPORTS teamrubicon!! HR4HR
      ALE Solutions PROUDLY SUPPORTS  @teamrubicon !!  #HR4HR 
    • Visit us Wednesday October 17th at the Northern Illinois University
      Visit us Wednesday, October 17th at the Northern Illinois University All-Majors Internship and Job Fair! Explore our open positions today! https://www.alesolutions.com/careers
    • Visit us at Western Illinois University Fall Career  Internship
      Visit us at Western Illinois University Fall Career & Internship Fair Tuesday, October 2nd! Explore our open positions today! https://www.alesolutions.com/careers  #TeamALE   #ALESolutions   #ILoveMyJob   #CareerFair   #WIU 
    • ALECares was honored to work with tebowfoundation to help make
      ‪ #ALECares  was honored to work with ‪ @tebowfoundation  to help make Bradley’s ‪ #W15H  come true!! https://www.timtebowfoundation.org/stories/bradleys-w15h-meet-tim-tebow
    • Praying for the families and first responders affected by the
      Praying for the families and first responders affected by the devastation left behind by  #HurricaneMichael . If you are a POLICYHOLDER NEEDING TEMPORARY HOUSING ASSISTANCE, please
    • ALE Solutions will be at the PLRB Central Regional Adjusters
      ALE Solutions will be at the PLRB Central Regional Adjusters Conference in Des Moines, IA. Visit us at booth 318!
    • To all who have been affected by HurricaneFlorence we pray
      To all who have been affected by  #HurricaneFlorence , we pray that everyone finds SAFETY, COMFORT & SUPPORT from this historic storm. If you are a
    • Meet Haylee the newest member of the Tim Tebow Foundations
      Meet Haylee, the newest member of the Tim Tebow Foundation’s W15H family!  #ALECares  was honored to help make Haylee’s W15H come true!! Read Haylee’s Full
    • Meet the newest member of the tebowfoundation W15H family Mariel!
      Meet the newest member of the  @tebowfoundation  W15H family, Mariel!  #ALECares  was blessed to help make Mariel’s  #W15H  come true! Read Mariel’s Full W15H Experience:
Get fresh, free content delivered monthly »
About Us  |  Contact Us  |  Legal / Privacy  |  Sitemap
PLRB