3 Common Myths About Homeowners Insurance

Debunking Common Homeowners Insurance Myths

Homeowners Insurance is definitely important, and when a catastrophe happens it can be a huge help. Your insurance policy helps you get your home back to the way it was before a catastrophic event. Insurance costs a lot of money. It’s important to understand as much as possible about insurance claims so you’re not left out to dry. Here are the 3 most common homeowners insurance myths as they pertain to roofing claims:

1. All Insurance Companies are Created Equal

A huge myth about insurance companies is that all of them are the same except for the cost of premiums. Unfortunately, that’s not true. All companies have different policies on what kinds of payouts they accept, how payouts are sent, how appraisals are completed & approved, etc. Understanding the answers to those questions can come in handy when they come into play later on. For example, some companies will only pay to replace your roof. While other companies will pay what your roof is worth, which may only be a couple hundred dollars. If you need advice on which direction to go, our roofing experts at Delaurier Roofing & Renovation can help walk you through each step.

2. Homeowners Insurance Will Pay for a New Roof

This one is a little bit of a mixed myth. On one hand, if a storm comes through your area and damages your roof, insurance will restore your roof to its pre-catastrophe condition. If you have been paying your premiums then you should use your insurance in a valid claim setting. Unfortunately, many roofs are older and have been damaged by something other than the storm. If the roof was already in bad condition before the storm, the insurance company may not be culpable for repairs or replacement.

Also, be wary of roofing companies that say they can get your roof paid for by your insurance company. Most roofers are honest. But some may be willing to damage your roof and tell the insurance company it was a storm. Make sure the roofer you hire is a local, insured roofer, who does more than just insurance work. If insurance companies have to pay for lots of roofs that don’t need it, everyone’s insurance premiums will just keep going up.

3. I Can Save Excess Homeowners Insurance Money for Myself

Insurance Payouts are based on what the insurance company deems an appropriate cost to restore your roof to the condition it was in before an event. They usually assume the homeowner will need a complete roofing system with a quality warranty. In almost every situation you can find someone who will be able to do your roof for less than what insurance has paid you. An important note: the insurance payout money is there to restore your roof, and profiting off insurance money is fraud. Although you may know someone who has kept insurance money before, keeping insurance money for yourself can open you up to potential litigation, or worse.

Find a reputable company who can give you a higher quality roof system. Make sure this includes a better warranty as well, especially if you have additional money from the insurance company. This way, you’ll know you have a quality roof and you are protected from any kind of investigation. Remember, in most cases, the insurance company is going to want to see an invoice from the roofer outlining the work they did.  

 

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