My personal property inventory list is now approximately $30,000 over my Cov B policy limit (and growing). After subtracting depreciation I am currently about $10,0000 below my policy limit.
My carrier however is subtracting the $30,000 that I have documented over my limit from the amount due to me. This is shown on my worksheet as “less amount over limit”. So instead of being $10,0000 below my policy limit, I am now $40,000 below my policy limit.
Is it standard practice to penalize the insured for documenting my loss beyond my policy limit (overage)? As I understand my policy the limit is simply the maximum amount that will be paid to me for my loss. If my documented losses exceed that limit then my carrier should just pay out my policy limit. Instead, my carrier seems to be saying that the declarations page limit is the maximum that I can document? I asked my adjuster to explain this to me and to identify where this is stated in my policy, but he has not gotten to back to me.
