Insurers have a right, under their policy, to obtain testimony from an insured property owner about the nature of the insurance claim. The testimony is given in what is called an examination under oath, or EUO. Testimony is taken by court reporter for the insured is put under oath. That sounds intimidating, but it won’t be for the smart property owner. The smart property owner will be prepared, and with preparation, will do well.
Think of an examination under oath as an opportunity. Sometimes it is more efficient to describe the property lost or damaged verbally than in writing. Sometimes it is quicker to describe the events occurring on the date of the loss verbally than a written narrative. Everyone benefits from a more efficient process.
These days examinations under oath are often handled by Zoom or MS Teams. There is no need to travel somewhere, rather everyone can just turn on their computer and attend. Often examinations under oath for a simple homeowners’ claim last a couple of hours. If handled on Zoom, the overall time commitment may be less than three hours. The logistics need not be difficult. The same can be true for answering questions.
There can be downsides to an examination under oath. If a property owner has not submitted a proper claim, or more likely, has failed to properly prepare, things can go wrong. The best preparation is knowing the facts. I counsel property owners to be thorough in their preparation, which means really knowing the claim. For example, if the property owner put together a list of contents and their value, the property owner should know how the list was done and the values stated in the list. The property owner ought to be ready to say, “my Dad gave me that item” and “I found the replacement value on Amazon”.
The property owner should take time to remember what is known, and in doing so, what is unknown. If the insurance company asks what time the storm hit, the insured property owner would be wise to remember the events occurring on the date of the storm, what was seen, and testify accordingly. If the property owner was away on a business trip and was not present, that answer is fine. The property owner should identify what individual was home to see the storm. Fact like these should be recalled before the examination under oath so that eventual testimony is delivered with confidence.
I always tell insured property owners to stay within themselves. For example, most property owners are not contractors. They do not know how to price labor or materials. That is fine. During an examination under oath, when an estimate is discussed, it is wise for a property owner to defer to the expertise of the contractor. A property owner must testify to what he or she knows, but that principle does not apply to what is known by others.
Contact me if you need help in preparing for an examination under oath at ed@beckmannlawfirm.com.