Raleigh, Durham, Chapel Hill, CaryThe Triangle Area
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Insurance companies prorate the amount paid based on the age of the roof. If a roof has reached or is near the end of it's life the homeowner is not getting a new roof "for free" e.g. the original roof on a house built in 1991 will receive minimal, if any, replacement cost for a roof.
I do not believe this is correct. I heard somewhere that NC law does not allow for pro-rating roof claims.
As for me, I also was initially skeptical of all the hail damage claims even though several months ago my house did experience a fierce hail storm. However, I noticed some small water staining in my attic and ceiling and decided I needed a roof inspection (I went with an established firm located in the area but who has experience with insurance claims). Roofer inspected roof and showed me pictures of hail damage. I filed a claim and insurance adjuster came out, inspected the roof, and agreed there was hail damage. He even showed me areas on my gutter and screens that were damaged from hail (pock-marks and ripped screening). This is my first ever homeowners insurance claim and don't view it as "wrong" since my insurance company verified the damage and will pay a claim based on my policy and NC laws.
I do not believe this is correct. I heard somewhere that NC law does not allow for pro-rating roof claims.
As for me, I also was initially skeptical of all the hail damage claims even though several months ago my house did experience a fierce hail storm. However, I noticed some small water staining in my attic and ceiling and decided I needed a roof inspection (I went with an established firm located in the area but who has experience with insurance claims). Roofer inspected roof and showed me pictures of hail damage. I filed a claim and insurance adjuster came out, inspected the roof, and agreed there was hail damage. He even showed me areas on my gutter and screens that were damaged from hail (pock-marks and ripped screening). This is my first ever homeowners insurance claim and don't view it as "wrong" since my insurance company verified the damage and will pay a claim based on my policy and NC laws.
Don't get me wrong, I see nothing wrong with legit claims on newer roofs. But not pro-rating a 20 year old roof is just inviting fraud, and there's no doubt that it happens, and raises everyone else's rates.
Did your insurance company raise your premium or drop you or anything?
My rates have not increased, but that certainly is a possibility next cycle (my claim is relatively recent). But if I does increase, I guess it would be hard to pinpoint the cause...my claim or everyone elses. I think there is talk of legislation to change the pro-rating issue, as the cost of new roofs across many states is a big issue to insurers. It think there are pros/cons to the pro-rating issue (e.g., if a homeowner has to pay $10-15k for a new roof and postpones it, then the insurer is at risk for subsequent roof leaks/water damage/mold). I have not done much research on it but was pleasantly surprised there was no pro-rating on my roof.
If you have replacement cost coverage on your policy--and most Homeowners' policies are written that way--and the entire roof is damaged by hail, the policy pays for the entire roof (less your deductible) once it is actually replaced. The depreciated value (pro-rated) can be paid whether or not the roof is replaced.
Some companies are using an actual cash value endorsement for roofs when they know the roof is old, but I would guess most do not have the endorsement.
Last edited by ragdolls4me; 08-30-2016 at 05:50 AM..
Reason: clarfication
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