Home insurance can cover the cost of a new roof
Home insurance can cover the cost of a new roof, but it depends on several factors, including the cause of the damage, your policy type, and the specific coverage details. Here’s a breakdown:
1. Covered Perils
Most standard homeowner’s policies cover roof damage caused by specific “perils,” such as:
- Storms: Wind, hail, tornadoes, hurricanes, or lightning damage.
- Fire: Damage due to a house fire, wildfire, etc..
- Falling objects: Such as trees, branches, or debris.
- Theft or vandalism: If your roof is damaged during a break-in.
Note: Damage from floods or earthquakes typically requires additional coverage.
2. Exclusions and Maintenance
Insurance usually doesn’t cover:
- Wear and Tear: Roofs naturally deteriorate over time.
- Neglect: If the damage results from poor maintenance, claims may be denied.
- Age: Older roofs may have limited or no coverage.
3. Types of Coverage
- Replacement Cost: Covers the full cost of replacing the roof with similar materials.
- Actual Cash Value (ACV): Covers the depreciated value of the roof, meaning you receive less for an older roof.
4. Filing a Claim
- Document the damage: Take photos and keep records.
- Inspection: Notify your homeowner’s insurance as soon as possible after the damage occurs. Some insurers will send an adjuster to assess the damage and determine if you have a claim. If they approve your claim, you’ll find a great roofer to start the roof repair or replacement process.
On the other hand, some insurance companies have you schedule a storm damage inspection with a roofer before sending an adjuster out.
No matter what scenario you’ll eventually fall under, the first thing you should always do if you suspect storm damage is to call your insurance company.
- Estimate: Once your claim is approved, your insurance company provides an estimate containing the scope of work and the cost of replacing your roof. This estimate will be created by using a software like Xactimate to come up with a payout based on general prices in the area.
The problem is that every roofing company has different pricing, which insurance estimates do not account for. Even with different pricing, almost every roofer’s estimate will be higher than insurance.
So, you’re just mudding the waters by getting quotes from different roofers when the initial price is already set. This doesn’t mean pricing isn’t important, but it shouldn’t be the main hiring qualification when insurance is involved.
Instead, you need a single roofer who can read claims correctly, has insurance experience, and will give you the tools and information needed to supplement your claim
5. Deductible Consideration
You’ll need to pay your policy’s deductible before insurance kicks in. Ensure the repair cost exceeds your deductible.
Pro Tip
- Review your policy regularly and ensure you have adequate coverage, especially since we live in an area prone to severe weather. Consider adding additional coverage if necessary.
