Proof of loss

What is a proof of loss?

If you make an insurance claim, your insurance provider will often ask you to complete a proof of loss form. The primary purpose of this form is to record all the damaged property involved in the claim.

The proof of loss form is also known as a statement of loss.

When you report a claim, your insurance provider will provide you with a blank proof of loss form. You can expect the proof of loss to ask for information like:

• The policy number
• The date the loss occurred, and a description of what caused it
• A list of damaged, stolen, or destroyed property
• Supporting documentation, such as photos of the damage, proofs of purchase for damaged items, or police reports

While it may seem like a daunting task to provide all this information, your adjuster will guide you through the process.

Many elements of proof of loss forms are regulated by law, so they don’t vary much between providers. Each province has their own insurance regulations, but most of them use similar wording for what a proof of loss must include.

For example, the Ontario Insurance Act states that an insured should provide proof of loss:

If you look at your home insurance policy wordings, you’ll probably see almost exactly the same description of your proof of loss requirements. In any case, when you start a claim, your insurance provider will send you a blank form; there’s no need to start from scratch.

Not every insurance provider will require you to fill out a proof of loss for every claim. For example, many insurance providers (including Square One) allow their customers to report claims online through an automated system. In such cases, the system will collect most of the information that would normally show up on a proof of loss form.

In Square One’s case, the law requires that we still send a blank form when a customer starts a claim, so they’ll receive one regardless. But, we normally don’t ask them to complete it until the claim is over and done with, and their adjuster will help them do so.

How do you complete a proof of loss form?

For the most part, filling out a proof of loss form is straightforward. Since your insurance provider will give you a form, you need only provide the information it asks for.

As mentioned, that will include information about the loss, such as the date and time, and your description of what happened. You’ll need to list the damaged or stolen property as well. You’ll normally also need to fill in some basic information about the associated insurance policy and the parties it covers.

The most important thing to remember when filling out a proof of loss form is to be as accurate and thorough as possible. Remember, your eventual claim settlement will be based on the information you provide on the proof of loss. You don’t want to shortchange yourself, but you also don’t want to misrepresent anything in an attempt to claim more than you’ve lost; this is insurance fraud, and it can result in the entire claim being denied outright. Serious cases of insurance fraud can even result in up to 14 years in jail.

Basically, the supporting evidence you provide should reflect the actual loss you’re claiming.

Depending on your insurer and the extent of the damage, you may need to include photos, receipts, appraisal documents, or other supporting documentation.

It’s also important to pay attention to any deadlines your insurer requires. As a general rule, it’s the policyholder’s responsibility to report a loss to the insurer immediately after it happens and provide a complete proof of loss as soon as practicable. Your policy will describe the timelines for reporting and settling claims.

Once everything’s complete, you’ll need to sign the proof of loss document and swear that your statements are factual—so again, it’s important to be clear and honest.

The important points

• A proof of loss form is a document describing the nature of a loss and the property that was damaged, destroyed, or stolen.
• Not every insurer requires customers to complete a proof of loss form for every claim.
• Since proofs of loss are sworn statements that will affect the eventual claim settlement, it’s important to provide thorough, accurate information.
• False statements on a proof of loss form constitute insurance fraud, and are punishable by heavy fines and jail time.

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