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Had some relatively severe hail a couple weeks back. Every roofing outfit in the midwest has signs everywhere.
Local roofer sent a crew to take a look at my two-month old shingle roof (that he did). They said, yeah, there's some minor damage. I was a bit surprised when the quote/bid was for a complete tear off, including the garage. Smallish house and detached garage, both with simple roofs. ($10K). 'Minor' damage is in places, not everywhere. Do they typically re-roof the entire thing for minor damage?
I thought the insurance people would then send someone out and look at and determine whether or not they felt like it bad was enough to replace and what they were going to pay. Independent agent tells me they don't come out at all until I actually file a claim... and at that point, even if the adjuster says there's nothing warranting a repair (and they pay no money), I still get dinged for a claim. I'm confused.
If I was paying $10k out pocket, there's no way I'd replace a two month old roof with 'minor' damage. Is it standard in the industry to do that just because insurance is paying?
Most Contractors will do anything to get your money. Even replacing a perfectly fine roof as a "teardown" just to get a big payday. Their hope is that after a big weather event(Hail etc.) that so many claims come in that most insurers will be more off their game and just approve any and everything.
As far as being dinged. That is slightly correct. When you file a claim, even if you don't go through with it, it usually is marked on your CLUE report. Many other factors are considered when it comes to an increase in your premiums, so it could play a part. Still, if I were you, I wouldn't file on roof that's only 2 years old and has suffered minor damage. That seems pointless.
Most Contractors will do anything to get your money. Even replacing a perfectly fine roof as a "teardown" just to get a big payday. Their hope is that after a big weather event(Hail etc.) that so many claims come in that most insurers will be more off their game and just approve any and everything.
As far as being dinged. That is slightly correct. When you file a claim, even if you don't go through with it, it usually is marked on your CLUE report. Many other factors are considered when it comes to an increase in your premiums, so it could play a part. Still, if I were you, I wouldn't file on roof that's only 2 years old and has suffered minor damage. That seems pointless.
I am experiencing this now for the first time ever. Roof is close to it's limit so I have been keeping an eye on it. Had water in one room of house from a storm w/hail a few days earlier. Called insurance broker for direction, had me contact insurance co. Claim number issued.
Had a broker recommended roofer out, sealed where leak was, no new roof needed. Had already lined up 2 others as I get 3 opinions of anything I pay big bucks for. In the meantime insurance called to make appt. to come see, I cancelled claim as first roofer said no new roof needed. The other 2 then separately inspected and found lots of old and new hail damage on roof and gutters and roof fans, so I reactivated claim. I decided on the roofer I would use (I do my due diligence).
Here is the sequence of what I am now experiencing: Called Insurance Co. CS, transferred to claims dept., they refer to National Claim Center for an adjuster, adjuster called and referred to their contracted vendor, vendor contracts out to a roofing company, they will be out next week. So now there is a 4th roofer involved......
If I use the 4th vendor I only pay my deductible. If I use my chosen roofer I pay the deductible AND whatever is determined to be the depreciation of my roof. By now my head is spinning and I am not real happy with all the cluster.......
I am not going to go with any business just to save a few bucks. There is waaaaaay more involved in a major household repair/remodel than just price. I am leaning toward my original choice but will give this last business a chance to sway my opinion.
If I use the 4th vendor I only pay my deductible. If I use my chosen roofer I pay the deductible AND whatever is determined to be the depreciation of my roof.
This is what happens when people don't read their insurance policies.
If you have Replacement Cost on your home your insurance company pays the replacement cost of the roof using reasonable and customary rates for labor and materials.
You get the depreciated value of the roof up front. When the job is done you submit the bill to your insurance company and get paid the rest of the replacement cost.
You can use whatever roofer you want but if that roofer's prices exceed the reasonable and customary rates for labor and materials you might be out of pocket so here's my suggestion. Whatever estimates you get from roofers, hand them your insurance company's estimate and ask them to do the job for that amount. If yes, you should still only end up paying your deductible. If not, then use the insurance company's preferred roofer. Contractors often provide discounts to insurance companies for a steady flow of business.
By the way, for a two month old roof with only a few spots of hail damage, you can still get the same shingles and have the damaged ones replaced with no problems.
This is what happens when people don't read their insurance policies.
If you have Replacement Cost on your home your insurance company pays the replacement cost of the roof using reasonable and customary rates for labor and materials.
You get the depreciated value of the roof up front. When the job is done you submit the bill to your insurance company and get paid the rest of the replacement cost.
You can use whatever roofer you want but if that roofer's prices exceed the reasonable and customary rates for labor and materials you might be out of pocket so here's my suggestion. Whatever estimates you get from roofers, hand them your insurance company's estimate and ask them to do the job for that amount. If yes, you should still only end up paying your deductible. If not, then use the insurance company's preferred roofer. Contractors often provide discounts to insurance companies for a steady flow of business.
By the way, for a two month old roof with only a few spots of hail damage, you can still get the same shingles and have the damaged ones replaced with no problems.
Good response, but I'm still a bit confused. Here's my basic question: Can a homeowner simply receive cash settlement for minor damage done and then pocket the money without doing anything?
Compare this to a minor ding or scrape on your car. If someone scrapes the side of your car, you can get a settlement for the amount it would cost to fix it and just pocket the money. At least I THINK you can do that. So why can't you do that with a homeowner's insurance policy?
Good response, but I'm still a bit confused. Here's my basic question: Can a homeowner simply receive cash settlement for minor damage done and then pocket the money without doing anything?
Theoretically you can. Some insurance companies will require an inspection after the repairs are done. If your insurance company doesn't inspect and you pocket the money, the next claim you have will deduct for the prior payment and damage and you won't be happy if you don't have the money set aside.
Often on the next renewal, the underwriters will want evidence that the roof was replaced or they won't renew the policy.
Don't think it doesn't happen. I've paid to replace many a roof where people pocket the money. Next year a storm totals the roof again. The computer tells me that there was a prior claim. I see that I paid for a re-roof that wasn't done. Sorry, no money today and I order the policy non-renewed. Customer squeals like a stuck pig. I shrug and move on to the next customer.
Quote:
Originally Posted by Chas863
Compare this to a minor ding or scrape on your car. If someone scrapes the side of your car, you can get a settlement for the amount it would cost to fix it and just pocket the money. At least I THINK you can do that. So why can't you do that with a homeowner's insurance policy?
Same with car damage. You can keep the money and not make repairs but it will reduce the value of your car if you go to sell it or have a total loss. And when the next damage occurs, an adjuster will be able to differentiate between old damage and new damage and reduce the settlement accordingly. Nobody's ever happy when that happens.
Insurance companies keep claim files with pictures and report claims to CLUE (Comprehensive Loss Underwriting Exchange) so that other insurance companies can get the claim information instantly.
Theoretically you can. Some insurance companies will require an inspection after the repairs are done. If your insurance company doesn't inspect and you pocket the money, the next claim you have will deduct for the prior payment and damage and you won't be happy if you don't have the money set aside.
Often on the next renewal, the underwriters will want evidence that the roof was replaced or they won't renew the policy.
Don't think it doesn't happen. I've paid to replace many a roof where people pocket the money. Next year a storm totals the roof again. The computer tells me that there was a prior claim. I see that I paid for a re-roof that wasn't done. Sorry, no money today and I order the policy non-renewed. Customer squeals like a stuck pig. I shrug and move on to the next customer.
Same with car damage. You can keep the money and not make repairs but it will reduce the value of your car if you go to sell it or have a total loss. And when the next damage occurs, an adjuster will be able to differentiate between old damage and new damage and reduce the settlement accordingly. Nobody's ever happy when that happens.
Insurance companies keep claim files with pictures and report claims to CLUE (Comprehensive Loss Underwriting Exchange) so that other insurance companies can get the claim information instantly.
Can you answer my question about why I should take a 'claim ding' for asking an adjuster to look at the roof after a major weather event? I have no idea what's 'bad enough'. 'Minor' to the roofer may be more than that to the insurance company. I'm not trying to get a new roof for cheap or get over on the insurance company... I already paid for the new roof a couple months ago. I just don't want to pay a penalty for having the expert answer the question of 'do I need it' replaced.
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