Water Mitigation Limit Exhaustion
Dear {{named_insured}},
1. Context We are continuing to process your claim for water damage at {{loss_location_address}}, reported under claim number {{claim_number}} for the date of loss {{date_of_loss}}. This letter concerns the specific costs associated with the water mitigation and emergency cleanup services provided at your property.
2. The Decision We have reviewed the invoices from your mitigation contractor and have issued a partial payment of {{mitigation_payment_amount}}. However, we cannot pay the remaining balance of the mitigation bill because the total cost exceeds the specific dollar limit for mitigation services set forth in your insurance policy.
3. The Evidence Your contractor submitted an invoice for {{total_mitigation_invoice_amount}} for their services. We have paid the policy limit of {{policy_limit_amount}} minus any applicable deductible. Because your policy limits mitigation coverage to a maximum of {{policy_limit_amount}}, we are unable to reimburse you for the remaining {{unpaid_mitigation_amount}} of the contractor's charges.
4. The Policy Basis Your policy, number {{policy_number}}, contains an endorsement or provision that specifically addresses water mitigation limits:
> Water Mitigation Service Coverage Limitation > For all losses caused by water, the maximum amount we will pay for water mitigation and emergency drying services is {{policy_limit_amount}}. This limit applies regardless of the number of people who perform the services or the complexity of the work required.
Because we have paid the maximum amount allowed under this provision, no further payments can be made for these specific services.
5. The Path Forward Please note that this limitation applies only to the mitigation and emergency drying portion of your claim. We are still evaluating the repair costs for the physical damage to your property and will communicate with you further regarding those payments. You may wish to discuss this unpaid balance with your mitigation contractor directly. If you have any questions or would like to request an internal review of this payment, please contact us at {{adjuster_phone_number}}.