One of the hardest things about replacing a roof is understanding how costs are split between you and your insurance company.
To get the best roof from your insurance claim, you should think about the claim in terms of shared responsibility.
Your Responsibility: The Deductible
After your roof is damaged, you and your insurance company share the financial responsibility to see it repaired. Your responsibility is the deductible, a set amount you pay before the insurance company pays. The deductible isn’t an arbitrary number. You agreed to pay that amount when you bought your insurance. Generally, the deductible is a fraction of the cost to replace your roof, but it’s a good idea to save for it early. Once costs to replace/repair your roof exceed the deductible, the insurance company pays for the rest.
Reducing the Insurance Company’s Responsibility: Depreciation
Depreciation reduces the amount your insurer pays. The depreciation value is derived from the roof’s age, its condition before it was damaged, and any materials/designs which roofing advances have made obsolete. Your insurer then pays the cost to replace your roof minus the depreciation value. However, some policies cover depreciation costs.
The First Check
The insurance company will send you a check shortly after you’ve made your claim, received an estimate for repair, and picked a contractor. This check will pay for the materials your contractor needs to fix your roof. If your home is mortgaged, the check might be “co-endorsed” to the company holding your mortgage. You’ll then need to contact the company for further instructions.
Who Pays for Extra Costs?
As repairs proceed, you might discover your roof was more damaged than originally assessed. You could also discover materials and labor ends up costing more than the initial estimate. In either case, you’re not necessarily stuck with the bill. You can file a supplemental claim asking the insurer to cover these extra costs.
Roof replacement isn’t cheap but is vital to protecting your home. When you roof is seriously damaged, you’ll want to start the replacement/repair process as soon as possible. In such a situation, it’s important to contact experienced professionals who can work with your insurance company. At Accord Construction, Inc. we take pride in our reputation for dependability and quality work. If you’re in need of a roof replacement or have questions about your roof insurance claim, please contact us.