What must an insured do following an incident that causes a loss?

After an incident that causes a loss, the insured is required to report the incident to the insurer in a timely manner. This is essential because insurance policies generally have specific conditions regarding the reporting of claims, which often include deadlines or timeframes for notifying the insurer after a loss occurs. Prompt reporting allows the insurance company to begin the investigation process as soon as possible, which can facilitate the assessment of the claim and expedite any necessary payouts.

In many cases, insurance policies may stipulate that failing to report a loss in a timely manner could result in the denial of a claim. Thus, it is critical for the insured to be proactive in communicating with their insurer right after the incident to ensure they remain eligible for coverage under their policy.

While contacting local authorities can be important in certain situations, especially when there is damage to property or potential criminal activity, it is not a substitute for notifying the insurance provider. Waiting for the insurance company to reach out is not advisable, as it places the onus on the insurer instead of the insured. Additionally, submitting a claim only for substantial losses could lead to missed opportunities for smaller losses that might still be covered by the policy. Therefore, timely notification to the insurer is the most appropriate and essential action for an insured following a