Homeowner Insurance
Claim and Repair Process
for Security Service Mortgage Members
Frequently Asked Questions
What should I do first if I sustain damage to my home?
You should contact your homeowners insurance agent or company to discuss your situation and begin the claim process.
If my property is damaged by flooding and I have flood insurance, what should I do first?
If your property has been damaged by flooding and you have flood insurance, contact your flood insurance agent for assistance.
If my property is damaged by flooding and I do not have flood insurance, what should I do first?
If you have flood damage and do not have flood insurance, call FEMA at 1-800-621-3362 or go to DisasterAssistance.gov for help.
Why is Security Service listed on my insurance claim check?
Generally, when you sustain significant damage to your home, the lender is listed as a payee on the insurance claims check because we have a financial interest in the property and want to ensure the property damage is repaired.
Do I need to notify Security Service if my insurance company electronically deposits the funds from my insurance claim into my bank account or does not list Security Service as a payee on the insurance claim check?
No. For less significant damage, it is common for insurance companies to deposit the insurance money directly into your bank account and/or not to include the lender as a payee on the insurance claim check.
If I receive an insurance check for personal property and/or cover living expenses, what should I do?
Any branch office may endorse the check. Please bring a copy of the insurance claim paperwork with you and make sure all payees listed have endorsed the check.
How do I endorse the insurance check and start the repair process?
When you receive the insurance check and insurance claim paperwork, contact us at 1-866-227-0322 and we will provide you with the information to get started.
What if my payment is past due and I have an insurance claim because of damage to my home?
If you are 31 days or more past due, please contact us at 1-866-227-0322 to discuss your situation and help you get started with the insurance claims process.
Can I use the insurance claim money to pay my past due balance?
You should contact your homeowners insurance agent or company to discuss your situation and begin the claim process.
What if my total insurance claim is less than or equal to $40,000, my loan is current, and I have received the insurance check?
If the total insurance claim is less than or equal to $40,000, your loan is current, and you have received the check, you can go to any of our branch offices and they can assist you with the endorsement of the check. Before you visit the branch, review the mini-checklist below:
- All payees must endorse the check.
- You must bring a copy of the insurance claim paperwork with you.
What if my total insurance claim is greater than $40,000 and I have received the insurance check?
When you receive the insurance check and insurance claim paperwork, contact us at 1-866-227-0322 and we will provide you with the information you need.
Why does Security Service pay for the repairs in increments when the total insurance claims is greater than $40,000?
As your mortgage servicer we monitor the property repairs to protect your interests to make sure the work is completed and the damage to your property is repaired.
Why does Security Service Federal Credit Union perform inspections for insurance claims over $40,000?
An inspection is required during, or at the completion of, the repair process to verify all damages have been corrected in accordance with the loss estimate issued by the insurance carrier or its designated claim adjuster. A fee will not be charged for inspections.
What happens if I do not sign the insurance claim check?
We are unable to begin the insurance claim process to repair your home. We will return the check to you for proper endorsement by all payees.
Does a contractor have to complete the repairs on my home?
Not in all cases depending on the severity of the damage. We recommend that you retain qualified licensed and insured contractors to perform the repairs to the mortgaged property when the cost to repair the damage exceeds $40,000.
Can a family member perform the repairs?
Yes, a family member can complete the repairs, however, if the cost to complete the repairs exceed $40,000, the family member will be viewed as a third-party vendor/contractor and you will need to work with them to provide the following paperwork:
- Signed accepted contract
- Completed IRS W-9 form
- Executed Conditional Waiver of Lien
What should I do if my contractor needs more funds to start or continue property repairs?
The contractor will be required to submit a written request for our review and approval to release additional funds.
What if I want to pay to have more improvements/repairs made then what is included in the total insurance claim?
You have the option to have the contract with your contractor to make improvements/repairs that are not covered by the total insurance claim. It is your responsibility to arrange with your contractor for payment of the additional work outside of the insurance claim process. However, please note you may be required to provide evidence the contractor has been paid in full. The contractor will be required to provide a fully signed Lien Waiver prior to the release of the final amount.
Will interim disbursement checks from Security Service also be made payable to my contractor?
Disbursement checks may include the name of the contractor to make sure the funds are distributed properly to prevent the contractor and/or sub-contractor from placing a lien on your property once the work is completed.
What if I want to use the insurance claim to pay off my mortgage?
If your loan is current and the insurance claim check exceeds your unpaid principal balance, contact us for a payoff quote at 1-866-557-5657. If the claim funds will cover the total outstanding amount (including interest and fees), submit a letter of request and we will use your insurance claim funds to pay off your loan balance.
What if my name does not match the name on the check and/or mortgage?
You must provide us with a copy of legal documentation (marriage license, etc.) showing your full name along with your insurance claim check.
Why do you release funds in increments versus all at the same time when the total insurance claim is greater than $40,000?
We want to ensure the repairs are done correctly and according to schedule. We also want to protect your interests that the repairs have been completed.
What if I do not use all the insurance money for the repairs and the total insurance claim is greater than $40,000?
Any remaining money can be refunded to you as long as:
- All repairs listed on the insurance adjuster’s worksheet are completed.
- An inspection verifying 100% of the repairs have been completed.
- Confirmation that all contractors and workers have been paid.
Security Service Insurance (SSI) is a subsidiary of Security Service Federal Credit Union. Products offered by SSI are not insured by the National Credit Union Administration (NCUA) and are not issued, guaranteed or underwritten by Security Service.
