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When you experience a loss, the last thing you need is to feel betrayed by the insurer you trusted. But there you are, reading the adjuster’s report, and it seems to undervalue everything.

Why does your appraisal show such a low amount? How can you face this situation and claim the compensation you deserve? Here’s what insurers don’t want you to know — and how to fight back.

The “Depreciated Value” Game: How Insurers Lower Your Expectations

Insurers often use a tactic called depreciated value — a seemingly legitimate way to lower the amount they have to pay you. They take into account the age and wear of your items to reduce their current value.

Imagine your car is in perfect condition but suffers an accident, and the adjuster deducts a significant percentage just because it’s not brand new. On paper, it might sound fair — but in reality, this tactic is often abused to minimize payouts.

If you think the report underestimates your loss, first find out how they calculated it. Did they use current market prices? Did they apply underinsurance penalties without clear justification? This is where you must review and challenge the numbers.

What Is Underinsurance and How Does It Affect Your Claim?

Underinsurance happens when the insured value in your policy is lower than the real value of your assets. Sometimes it’s caused by a mistake when taking out the policy; other times, it’s done intentionally to lower premiums.

In a claim, this works against you because the compensation will be proportional to the insured amount — not the real value.

Example: Your home is insured for €100,000, but its real value is €150,000. If a fire causes €50,000 in damage, the insurer might only pay two-thirds of that amount.

Tip: Review your policy regularly and update values to reflect current market prices. If you’re already facing this issue, professional support is key.

How to Negotiate and Claim a Fair Settlement

The secret is to use facts and strategy. Here’s what you should do:

Request a copy of the adjuster’s report: This document contains the full damage assessment. Read it carefully and look for inconsistencies.

Hire an independent adjuster: A second opinion can often reveal errors or omissions that favor the insurer.

Gather strong evidence: Photos, invoices, and proof of the condition of your property before the loss are crucial. Keep a record of every conversation.

Don’t accept the first offer: Initial offers are usually low. Stay calm and negotiate.

Seek legal advice if necessary: Insurers react quickly when they see you are willing to escalate the case.

When You Need to Go Further: Legal Support

Sometimes negotiation isn’t enough. If underinsurance, unfair depreciation, or arbitrary deductions keep you from getting what you deserve, a lawyer specializing in insurance law can take your case to the next level.

Reminder: The insurer has a legal team on their side — you should have one too.

Knowledge Is Power

Claiming a fair settlement is not a favor; it’s your right. With the right information and professional guidance, you can turn the situation in your favor.

At MataSeguros, we help you understand your case, fight low valuations, and secure the compensation you deserve.