What should an insured do immediately after sustaining a covered loss?

The first step an insured should take after sustaining a covered loss is to notify the insurance company. This action is crucial because it initiates the claims process, allowing the insurer to assess the damage, verify coverage, and determine the next steps for handling the claim. Timely notification is often a requirement within insurance policies, and failing to report a loss quickly may lead to complications in processing the claim or even denial of the claim.

By contacting the insurance company first, the insured ensures they are following proper protocol, which may include guidance on how to mitigate further damage, what documentation is needed, and instructions on how to proceed with filing a claim. This helps protect the insured's rights and interests under their policy.

The other options typically do not align with proper procedures following a covered loss. Filing a lawsuit against the insurer would only be appropriate if there is a significant dispute after the claims process, starting repairs without consulting could jeopardize the claim, and canceling the policy does not address the claim at all. Therefore, notifying the insurance company is indeed the best course of action.