Dear Ara,

Thank you for submitting your insurance claim to our office. I have finished reviewing it, including your photos of the water-damaged items and the original purchase receipts for them. I appreciated the itemized spreadsheet you included.

You have claimed the cost of replacing your desktop computer, which was for personal use only and damaged in the flood. The computer cannot be repaired, so the cost of replacing it is approved. However, your spreadsheet also itemizes the cost of a 3-year extended warranty, purchased along with the computer. Since the computer is 7 years old, the warranty coverage has expired. We cannot pay for the expired warranty portion of your computer costs.

You have also claimed the cost of the goods and services tax (GST) on the original purchase price of items that were damaged. Unfortunately, we pay this cost only on items that have been purchased as replacements. Therefore, for any replacement item you purchase, please submit the receipt to us. Note that interest on credit card purchases is not covered.

Regarding the wool carpet samples, you indicated that these are the property of the flooring company you work for. Our policy covers only property owned and used by you personally, so, I’m sorry, but we cannot cover the cost of the damaged carpet samples.

When it’s time for you to renew your policy with us next spring, we recommend that you purchase additional insurance for items stored in your home but owned by or used in your business. This would protect you not only against the type of loss you recently experienced, but also against other risks such as fire.

Your adjusted total is $16,400. Our accounting department will issue you a cheque on the 15th of this month. If you would prefer to pick it up rather than receive it by mail, please let me know by this Wednesday at the latest.

As a valued long-time client, please accept warmest wishes from our family of companies. We wish you every success in recovering from your losses this past August, and we are pleased to have been able to assist you.

Regards,

Nelson Lowe