Going through a rough storm can leave you worried about the state of your roof. If you have homeowner’s insurance, you can file a claim with your insurance company to cover any necessary repairs.
While the roof damage itself is stressful, going through the insurance claim process can be even more overwhelming. Even if you’ve been through the process before, you probably still have a ton of questions.
Since 1991, the team at On Tops Roofing has helped homeowners in Raleigh and surrounding areas walk through the insurance claim process. One of the first questions we hear from homeowners is, “Do I need to show you my insurance claim?”
The truth is, you should always share your insurance claim with your prospective contractor. They need to know this information in order to perform the full-scope of roofing work deemed necessary by your insurance company.
We want you to be as informed about the insurance process as possible. So, by the end of this article, you’ll know three reasons why you need to show your insurance claim to a professional roofing contractor.
1. Your Contractor Will Need to Know What Work Has Been Approved by Your Insurance Company
If you don’t show your insurance paperwork to your roofing contractor, they’ll never even know you had a claim to begin with. That means they won’t know what your insurance is covering in your estimate or the scope of the work required.
Without knowing how much work is required, you run the risk of your contractor quoting a cost that is greater than the summary pricing given to you by your insurance company. Summary pricing is the predetermined market price of services covered by an insurance company. This pricing is updated monthly and includes the cost of labor and materials.
Some insurance adjusters leave off items required by local codes. If your policy has a code upgrade provision in it, then your insurance company is required to pay for it. If you don’t show your claim to your contractor, they won’t know that your insurance company is covering code upgrades, which could make their quoted price much higher than your insurance estimate.
Showing your claim to your contractor ensures you’ll get exactly what your damaged roof needs while still complying with your insurance policy.
2. It Prevents You From Accidentally Committing Fraud
You’ll need to discuss any potential roofing claims with an insurance agent. Depending on your policy, once your claim has been approved, you’ll get an insurance check for your roof’s ACV or RCV. Below is a breakdown of each policy:
Actual Cash Value (ACV Policy): This is the depreciated value of your roof. If this is your policy, it means your insurance company will only send you a check for the value of your roof today.
Replacement Cost Value (RCV Policy): This means your insurance company will pay to replace your roof. You’ll first receive a check for the ACV of your roof before repairs are completed. They’ll hold back the amount they calculate that your roof has depreciated. This is called recoverable depreciation.
Recoverable Depreciation: This is the final check your insurance company will send after you show proof that your repair or replacement has been completed. Once your project is finished, you’ll receive a letter of completion with your invoice. You’ll then need to submit the invoice to your insurance company to get a second check for the amount that your roof has depreciated during its lifetime.
For homeowners with an RCV policy, showing your claim to a contractor can prevent you from accidentally committing insurance fraud. If your contractor’s repair estimate turns out to be less than what your insurance agreed to pay, you don’t get to pocket the leftover money.
All repairs listed in your insurance claim must be included in your contractor’s scope of work to avoid committing insurance fraud. That’s why an RCV policy requires proof of completion before they send you a check for the recoverable depreciation. If you ask for the check but didn’t get the work done, your insurance company can pinpoint you for fraud.
3. It Builds Trust Between You & Your Contractor
Once your insurance claim is approved, getting quotes from multiple roofing contractors becomes pointless. Showing your paperwork to your contractor allows them to concentrate on giving you a high-quality roof that meets your insurance requirements.
This also allows you to build trust with your contractor, as working with an insurance claim gives them no incentive to oversell you on roofing materials and components that aren’t listed in your claim.
You can trust your contractor to honestly break down your claim, while they can trust you to share all the necessary insurance information they’ll need to get your roof done right the first time.
Ready to Talk to a Contractor About Your Insurance Claim?
Now that you know you should show your insurance claim to a roofing contractor, you may be tempted to talk to multiple contractors about your upcoming replacement. While it’s definitely important to find the right roofer, you should avoid getting too many quotes for a new roof.
If you live in Raleigh and need help with your roof, consider On Tops Roofing! On average, we work with over 900 homeowners a year who are looking for a high-quality roofing experience, just like you. If you want a free estimate or to learn more about how we handle insurance claims, don’t hesitate to fill out the form below. We’d be happy to help.