INSURANCE TIP

Brenda Procter, University of Missouri-Columbia

Are you concerned that your insurance policy could be cancelled for filing a claim for property damage after a tornado or natural disaster?  According to a consumer representative at the Missouri Department of Insurance, insurance companies will have differing rules for when a policy gets cancelled. The rules do not have to be specified in your policy, and the individual companies can cancel policies at their own discretion.  Even if your policy is not cancelled, your premiums may go up after filing a claim.

Ask your agent what will happen if you file a claim. Many companies will not cancel after one claim, but some may, so it is important to find out about your specific insurer right away so that you know what you're dealing with.