How To Get Insurance To Pay For Roof Replacement
Get Insurance To Pay For Roof Replacement
Hi everyone. I woke up to the sound of rain and immediately wondered if my roof was as strong as I hoped. If you’ve had that idea before, this one’s for you: How to get roof replacement insurance.
For most homeowners, replacing the roof is as overwhelming as unavoidable. Our roof protects our home from the elements, making it an essential line of defense that stands up to constant wear and tear. However, when it comes time to replace your roof, the enormous cost can be alarming. This is where your home insurance comes in as a lifeline, offering financial support in the event of natural or accidental damage.
How To Take Out Insurance To Pay For Roof Replacement?
It’s important to know that home insurance doesn’t automatically cover all roof damage. If you make a claim, it’s generally your responsibility to understand the terms of your insurance contract, provide evidence that your claim should be covered, and then make repairs.
This can often be tedious, especially if you are already in a stressful situation, so let’s take it step by step.
Document The Damage
Think of the damage to your roof as a crime scene that you must document in case you need to take legal action later. If it’s safe, take many photos showing what happened and how your roof is damaged. It’s best to do this before you move anything, but if you’re in the middle of a storm dumping buckets of water on your house, for example, it’s OK to take steps to limit further damage.
Next, take notes: When and how did the damage occur? Is there other damage to the home? If so, make a note of each damaged item so you can create an inventory of the damaged items and present it to your insurer later.
Finally, remember that most home insurance policies offer additional living expenses (ALE) coverage if you need to live somewhere else temporarily because your home is unsafe or in poor condition. Keep all receipts for things you need during this time, such as hotel stays, restaurant meals, clothing and toiletries, as you will usually need to submit these for reimbursement later.
Contact Your Insurance Company
Now is a good time to review your home insurance policy, paying particular attention to the following points:
Deductibles
How much you must pay out of pocket before your insurance coverage takes effect.
Coverage limits
How much your insurance will pay.
Special Clauses
Rules that may apply in certain cases, such as hailstorms and wind damage.
Covered Events
The types of accidents that your insurance will (and will not) cover.
Insurance companies typically won’t cover the cost of replacing your roof, for example, due to routine maintenance. However, if a storm hits and a tree falls on your home, they usually will. Storm damage is so typical in some areas of the country that many insurers require a separate deductible for storm damage or roof repairs before coverage kicks in.
If you’re unsure how your policy works in your current situation, you can always call the company and ask before deciding whether or not to make an umbrella insurance claim. However, once you make a claim, it will appear on your claim file, which insurers will consider when setting your rates. Before doing this, you should ensure the costs are covered in case your rates increase later.
If the damage is covered and you feel secure, contact your insurer to begin the claim process.
Get A Roof Repair Estimate
Part of documenting the damage is getting information about the cost of repairs, so it’s also a good idea to get an estimate for repairing the roof. This can also help you decide if it’s worth filing a claim.
If you can, contact at least three reputable, licensed roofing contractors to get detailed repair estimates. Having roofers provide estimates with line-by-line details, such as suggested materials, can help expedite the processing of your claim even further. Many insurance companies work with local roofing companies, and it may be beneficial to contact those contractors first to get quotes. If possible, avoid “storm chasers,” often unscrupulous contractors who follow major weather events and look for homes with downed trees and other damage needing repair.
Meet With The Insurance Adjuster
Most insurance companies will send a claims adjuster to inspect and assess the damage to your home. Attending this visit’s a good idea so you can ask them questions and answer any questions they may have. You can also show them any documentation you’ve collected to support your case, such as photos and repair estimates.
Be sure to take detailed notes during the visit, as you will likely use this information later in the claims process. Do not sign anything until you have read and reviewed it.
Get Your Bill
If your insurance claim is approved, your insurance company will tell you your payment amount. Typically, you will receive your compensation in several checks at different times. For example, you might receive a small payment as an advance on your final compensation amount when the insurance adjuster comes.
You may also need to contact your lender about the payment amount when you pay off your mortgage. Underwriters generally issue checks payable to you and your mortgage lender. Some mortgage lenders take possession of the funds and release them directly to the contractor when they demand payment or after the lender inspects the roof to ensure the quality of the work. Other mortgage lenders pay the contractors directly; it’s up to you to determine how it works and your responsibilities.
Alternative Payment Options For Roof Replacement
If the damage is not covered by insurance, there are other ways to pay for your roof:
- HELOC: A flexible line of credit secured by your home equity that you can access for many years and requires only interest payments until you later pay off the rest of the debt.
- Personal loan: An unsecured loan that is relatively quick and inexpensive but may have slightly higher interest rates.
- Home equity loan: A fixed-rate loan against your home to pay for significant, one-time expenses.
- Home Equity Investment: Investment in the future value of your home that you pay back over 30 years, along with a portion of your home’s appreciation value. There are no monthly payments, and you can qualify if your credit score exceeds 500.
Conclusion
In some cases, obtaining home insurance to cover roof replacement can be a lot of work, but it’s worth it. You’ve paid for the insurance cover and are therefore entitled to benefits under the terms of the policy.
If unsatisfied with your insurance company’s response, you may consider hiring a claims adjuster to reassess the claim and negotiate on your behalf. However, they can be expensive because they charge percentage of the extra money recovered. You may also consider filing a complaint with your state’s insurance board.
If all else fails, there are many ways to borrow money or get home repair grants to finance the complete roof replacement yourself.
FAQ
Yes. Insurers only cover damage according to the terms of the contract you signed when you purchased your policy. Things like routine maintenance or earthquake damage are usually not covered.
The extent of the repairs required will determine how long it takes to process the claim. It can take up to two years to fully process an insurance claim if, for example, the house needs to be rebuilt entirely. However, replacing the roof of a home should not take that long.
If the leak is due to negligent maintenance, such as failing to repair an old roof that leaks when it rains, home insurance will not usually cover it. However, if your roof leaks due to severe weather or burst pipes and you have been doing regular maintenance, your insurer may cover it.
