Insurance Claims and Coverage

During a catastrophic weather event insurance carriers will often hire relatively inexperienced adjusters to help with a large number of claims.  These adjusters are not roofing professionals and often mis-identify or leave out vital components that are present on your roof.  These inaccuracies will affect the amount of your overall claim and could leave you short of the money necessary to return you back to pre-loss condition.  Unless you are an active roofing professional, there is a good chance that the products used today, i.e., installation requirements needed to meet the manufacturer’s specifications, current market conditions and/or building codes, have changed since your previous experience or initial installation.  Our trained professionals will work with your adjuster to ensure that all of the necessary variables on your roof that affect the price of replacement are secured on your behalf. This is not something you want to handle on your own.

Replacement Cost Value (RCV)

This is what the insurance has given you to bring your home or business back to it pre-loss condition.   This is the value of your claim and we will work with your carrier to ensure it is accurate and sufficient to repair your loss.

Actual Cash Value (ACV)

This is often the first check you will receive from your carrier.  This amount will be the Replacement Cost Value less your deductible and depreciation.  This is the money that your carrier will send you to get the process started.   Never give this money to a non-reputable contractor or “fly by night” contractor.  It could be the last time you see them and your money.

Deductibles

The deductible is the financial portion of the claim that is your responsibility which can range from $250.00 up to 2% of your home value.  Beware of any company that offers to “cover” your deductible, provide you an inaccurate invoice to provide to your carrier, or give you money back after you pay them the entire claim amount.  On a recoverable depreciation policy you or your contractor could unknowingly commit fraud by representing to your carrier that the cost of repairs was higher than the final cost.  Beware of any company that represents that your roof can be done cheap enough to “cover” your deductible.  In order to do this, vital components and processes will have to be eliminated from your roofing system to enable the contractor to reduce the cost.  This will be done at your expense.  This is a common strategy used by “fly by night” or “Storm Chasers” to take advantage of homeowners.  It is cheaper to do it right the first time than having to do it a second time 100% out of your pocket.  If your deductible is high and you need financing ask our professional about our financing options.

Depreciation

Depreciation is the portion of the claim withheld for age, wear and tear, and condition.   Recoverable depreciation is retained by the carrier until the loss has been repaired and you have presented the final bills to the carrier for reimbursement.  Be Careful, with recoverable depreciation you either use it or lose it.  If the amount you spent for repairs is less than the amount of the Actual cash Value (ACV) + Deductible + Recoverable depreciation then the carrier will keep the difference.  By identifying this up front we can work with you to use any excess funds to upgrade your roofing products and accessories to maximize what you are getting for your money.  We have products available that will pay your deductible back in premium savings every year and potentially save 100% of a potential loss during the next catastrophic weather event.

BBB Cautions Public on Roofing Deductible Assistance Programs

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Business & Commerce Code

CHAPTER 27. FRAUD

§ 27.02. CERTAIN INSURANCE CLAIMS FOR EXCESSIVE CHARGES.

  • A person who sells goods or services commits an offense if:
    • the person advertises or promises to provide the good or service and to pay:
    • all or part of any applicable insurance deductible; or (B) a rebate in an amount equal to all or part of
    • any applicable insurance deductible;

Penal Code Chapter 35. Insurance Fraud

§ 35.02. INSURANCE FRAUD. (a) A person commits an offense if, with intent to defraud or deceive an insurer, the person, in support of a claim for payment under an insurance policy:

(1) prepares or causes to be prepared a statement that:

(A) the person knows contains false or misleading material information; and
(B) is presented to an insurer; or

(2) presents or causes to be presented to an insurer a statement that the person knows contains false or misleading material information.

(a-1) A person commits an offense if the person, with intent to defraud or deceive an insurer and in support of an application for an insurance policy:

(1) prepares or causes to be prepared a statement that:

(A) the person knows contains false or misleading material information; and
(B) is presented to an insurer; or

(2) presents or causes to be presented to an insurer a statement that the person knows contains false or misleading material information.

(b) A person commits an offense if, with intent to defraud or deceive an insurer, the person solicits, offers, pays, or receives a benefit in connection with the furnishing of goods or services for which a claim for payment is submitted under an insurance policy.

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