Why does my insurance settlement not cover the whole roof?
A roof insurance settlement is based on a line-item estimate of the damage, often called a scope. If an item is not on the scope, it is usually not paid for. Items such as drip edge, pipe boots, ridge vent and ice and water shield are sometimes left off the first estimate, and they can be added later through a supplement.
What an insurance scope is
After an adjuster inspects your roof, the insurance company prepares an estimate, usually with software called Xactimate. It lists each part of the repair as a line item with a quantity and a price, such as shingle removal, new shingles, ridge cap and pipe boots.
The settlement is the total of those line items, minus your deductible and any depreciation that is held back until the work is finished.
Items that are sometimes left off
Drip edge is the metal along the edges of the roof that keeps water from running back onto the fascia. Current building codes generally require it on a new roof.
Pipe boots are the rubber collars around plumbing vents on the roof. They are a common source of leaks and are usually replaced with a new roof.
Ridge vent, valley metal and ice and water shield are other items that are sometimes missed on a first estimate.
What a supplement is
A supplement is a request to add or correct items on the insurance estimate after the first one is written. Supplements are a normal part of the claim process.
Common reasons for a supplement include damaged decking found once the old roof is removed, items required by code that were left off, and measurement errors.
Supplements are supported with photos, measurements and code references.
What Texas law allows a roofer to do
A roofing contractor can inspect your roof, document the damage, provide an estimate for the work and meet with your adjuster.
A roofing contractor cannot act as a public adjuster, which means negotiating or settling your claim on your behalf. Public adjusters are licensed separately in Texas.
No one may pay, waive or rebate your deductible. It is against the law in Texas for both the contractor and the homeowner.
Frequently Asked Questions
What is recoverable depreciation?
It is the part of the settlement the insurance company holds back until the work is finished. It is paid once you show the work was completed, which is why the first check is often smaller than the total.
Can I keep the money and not do the roof?
You may receive the actual cash value payment either way, but the held-back depreciation is only paid for completed work. Ask your insurance company how your policy handles it.
Should I get a second opinion on a denial?
Often, yes, especially if the first inspection was brief. Having your roof inspected again can help you decide on your next step.
Does using a specific contractor affect the settlement?
No. The settlement is based on the damage, not on who does the work. You choose your contractor.
