Residents of the Clifton neighborhood experienced broken windows and doors, roof and vehicle damage and flying debris Tuesday after an explosion at the Givaudan Sense Color industrial facility left two employees dead and several injured.
If your property was damaged due to this explosion, it can feel overwhelming to understand the claims process and how to pursue property damage compensation, but there are steps you can take to help with the recovery process.
Nick Clark, a partner at Nelson Insurance Agencytells the Courier Journal the company involved, Givaudan must provide a hotline for home and business owners affected by the explosion, but until then there are other steps you should take immediately.
“This is going to be a tough wicket,” Clark said. “I think there will be 50 or 60 insurance companies involved because of the nature of this situation.”
During a news conference Wednesday, Louisville Mayor Craig Greenberg urged home and business owners near the blast site not to disturb debris that may have landed on their property.
“We are asking people who live around this incident site, around the Payne Street location, and whose homes may have been damaged, please do not remove any debris that is in your yard,” Greenberd said. “Please do not touch any of the damage and contact Metro Safe immediately. If you have debris in your yard, or believe your home has damage, please contact us at 502-574-2117.”
If you are financially able, Greg Branzel, a strategic advisor with Lousville’s Schwartz Insurance Grouprecommend holding off on filing a claim with your homeowner’s insurance company.
“I would hope that within the next few days Givaudan will provide a hotline where you can submit a claim directly,” he said. “That would be the best case scenario in my opinion.”
However, that doesn’t mean you shouldn’t also contact your homeowner or business insurance company.
“I would definitely suggest that you call your insurance agent and let them know what happened right away,” Clark said. “Not necessarily to file a claim now, but to seek their advice on next steps.”
Here are steps to follow if you experienced home or property damage from the explosion.
What should I do if I have suffered property damage due to the explosion?
The first thing you need to do is determine the extent of the damage. This is critical not only for your safety, but also to ensure that you have all the necessary evidence to support your claim.
“Keep a written record of the day and time of the damage,” Clark said. “The more detail you can provide, the better.”
Inspect your home or business for structural damage such as cracks in walls, broken windows or damage to the roof. Also check for damage to systems such as plumbing, electrical or heating plus, trees, fences, or damage to the exterior of your home such as a deck.
Even if something seems minor, it’s important to document it, as some problems can worsen over time or lead to future problems.
Business owners can go beyond the physical building. Loss of inventory, destruction of critical equipment, or the inability to operate can have a financial impact.
All these factors must be documented. Use your phone to take detailed photos and videos of any damage you find. This documentation will be key when you file your homeowner or business insurance claim or seek reimbursement from Givaudan.
How do you report property damage after the explosion?
Once you’ve assessed the damage, it’s time to report it. Reporting property damage after explosion incidents as soon as possible is critical to ensure you meet any insurance company deadlines and avoid delays in your claim.
- For homeowners: Contact your homeowner’s insurance company immediately, who will likely send out an adjuster to assess the damage and determine how much compensation you are entitled to. Be prepared to provide them with all the documentation you have collected.
- For business owners: Along with your commercial property insurance, you may also need to contact your business interruption insurance provider. This is important if you have a loss of income in your policy due to the inability to work.
Make sure you keep a copy of every report you submit, whether it’s to your insurer, local authorities or other agencies. The paper trail is your best defense in case of disputes later.
How do you submit an explosion insurance claim?
The next step is to submit your explosion insurance claims. This process can be complicated and to increase your chances of a smooth resolution, it is important to be organized and prepared.
Homeowners affected by the explosion will usually file claims under their homeowner’s insurance policies. However, depending on the terms of your policy, certain types of damage may not be fully covered.
For example, some policies may cover the structural damage to your home, but may exclude additional living expenses if you have to move during repairs. Be sure to review your policy carefully to understand what is and is not covered.
Filing a business insurance claim is more complex because it can involve multiple policies, such as property insurance for physical damage and business interruption insurance to cover loss of income. The business impact of an explosion goes beyond physical damage – it affects the livelihood of your business, and filing both claims correctly is essential to financial recovery.
How does one understand property damages?
Understanding what property damage compensation includes can help you set realistic expectations for the claims process.
“You will be compensated for the value of what you own at the time of the damage,” Clark said. “This means you will not be able to order very expensive windows as a replacement for the cheaper version you currently own. It is important to understand your policy”
Compensation may include:
- Repair or replacement: The cost to repair or replace damaged parts of your home or business property.
- Loss of income: For businesses, compensation can include lost income during the period you are unable to operate.
- Additional living expenses: If you have to move temporarily because of the damage, you may be entitled to cover for hotels or rent.
However, in some cases your insurance may not cover all of these expenses, especially if your policy has exclusions related to explosions or natural disasters.
Reach features reporter Kirby Adams at kadams@courier-journal.com.