Roof Storm Damage & Insurance Claims
Hail or Wind Damage Insurance Claims Facts & Myths.
If you suspect you have storm damage and are thinking of filing a claim here is some important information you will need to know, before calling your insurance company and filing a roof claim.
Contact me BEFORE You File an Insurance Claim
TRM Roofing will be brutally honest when it comes to true hail or wind damage to your roof. If you are looking for a FREE roof or trying to make money from your storm claim, we are not the right company for you.
Phoenix Roof Damage Repair
FACT or FICTION about roof replacement insurance claims.
MYTH: “I can get a new roof for free because my roofer says he is going to “cover” or “waive” my deductible!
FACT: “Waiving Deductibles” “Discounting Deductibles” “Sign Allowances” It’s All Against The Law! .
THE GREY AREA: Do most Phoenix residential roofing companies do this? Yes! Is it likely that the Attorney General will prosecute you, most like not (unless you knowing submit a fraudulent invoice for work that was not done to avoid paying your deductible)? But, putting the illegality of covering deductibles and questionable insurance fraud aspect, ask yourself this question, “How can any roofing contractor stay in business if they “eat” $1000-$2000 on your shingle project?” Financially it can’t be done, leaving the contractor to cut corners or take your money and run. Just how long can a Phoenix roofing contractor or out of state roofing stay in business using this sales tactic?
On the commercial side some Phoenix commercial roofing contractors may offer a rebate for quick payment after the project is completed and before your get your final payment from your insurance company. Many times this may help with your commercial insurance deductible, but the roofing contractor is actually issuing a rebate check. Remember, an insurance claim is not like winning the lottery!
ON A SIDE NOTE: If you receive an ACV (actual cash value) payment for collateral damage to your property, like for awnings, gutters, fencing, etc., you can use that to help pay your deductible. AGAIN, you or your roofing contractor cannot claim reimbursement from your insurance company for work that was not done, which is insurance fraud.
MYTH: “My roofer says I have lot of hail damage and I should file a claim right away”.
FACT: The local area is a magnet of “easy-money” for a lot of so-called roofers. Most roofing sales people have no clue what they are looking at. Make sure you work with a qualified and knowledge roofing professional, look for roofing certifications like HAAG Engineering or the NRCIA. Ask your roofing sales person what HIS or HER personal roofing experience. If you feel comfortable with them and their findings, then call your insurance company and file a claim.
MYTH: “If I find a roofer that does my roof “cheaper” than my insurance claim I get to keep what’s left over”!
FACT: Remember, filing an insurance claim is not like winning the “Lotto” or winning in “Vegas”. When you purchase an insurance policy you are entering into a contract with your insurance company to share the risk. Instead of paying $10,000-$20,000 for a new roof or other property damage you are only paying a 1%-2% of your insured value. Your insurance company is contractually obligated to return your property to the like or same condition prior to the claim (or storm).
MYTH: “My insurance company will cancel my policy if I file a claim”.
FACT: Most states prohibit insurance companies from canceling policies for filing claims arising from severe weather related events.
MYTH: “My insurance adjuster denied my claim now I’M screwed!”
FACT: This is not necessarily true. Sadly, there are some insurance companies that are tough and will deny your claim, BUT there is a “good faith clause” in most insurance policies that obligate insurance companies to pay a legitimate claim. If your claim is denied, get a second opinion. In most cases, you can request 3 separate inspections and re-file a claim that has been denied. Most insurance adjusters and roofers don’t get along; some adjuster’s believe roofers just want to sell a new roof, while roofers believe adjusters don’t like to pay claims. While there is some truth to this, there is ways to remedy a dispute. You can request a second insurance inspection by a different insurance adjuster. The next step is an appraisal, and then it can go to an empire. You do have options!
MYTH: “I can just keep my insurance money and not fix my hail damaged roof or other property damage”.
FACT: You can keep your first part of your insurance payment the ACV (Actual Cash Value) and not fix your roof damage. While this is VERY UNWISE it also WILL hurt you and your investment. Your first insurance claim payment (ACV) is paid, less your deductible, and then your insurance company withholds the recoverable depreciation portion of your claim. This is done to make sure that you do fix your property. In most cases if you have a mortgage on your property the mortgage company is also names on the first check payment. If you don’t restore or fix your property and your property is damaged by another storm, your insurance claim WILL BE DENIED.
Recoverable Depreciation is money that will be paid to the insured only when ALL the repairs are completed and the total cost of replacement is at least the full RCV (Replacement Cost Value) amount.
MYTH: “If I don’t file my claim, my insurance company won’t raise my rates”.
FACT: After a disaster like Phoenix had in 2010, insurance companies may raise every one’s rates. By not filing your claim, your personal rate increase is paying for every one else’s damage except yours. So, if you do suspect damage call a professional roofing contractor out to meet with your adjuster. The insurance claims specialist at Total Roof Management can help sort myth from fact!