When the wind and hail storms come, and we all know that they do whether it's storm season or not. You can count on the many roofing contractors in Austin, to head out to find business knocking doors. It's a Texas Spring rite of passage almost. While there are many legitimate roofers out there, the "Chuck in a Truck" roofer driving around neighborhoods with out of state plates and a weird magnet on their door is generally a sign of a bad roofer with intentions on fixing your roof. These less fraudulent roofers come with a deal too good to be true. Take caution.
George is an Insurance For Texans customer who lives in Round Rock and has worked hard to improve his home over the years. He has done all of the maintenance and has a yard that is the envy of the neighborhood. After the last big storm rolled through leaving deep hail damage marks in his roof, he knew it was going to be time for an insurance claim. The number of roofing companies knocking on his door was mind boggling. One thing that kept coming up during his discussions about the roof replacement that was going to be needed was his insurance deductible. And he was shocked at the myriad of suggestions that were being thrown around by the different roofing contractors that he was speaking with about his claim for roof damage.
If a crafty roofer tells you that they can help "eat the deductible cost" in whole or in part, it's a sign that they do not respect the laws in this great state. In 2019 our state legislature made waiving insurance deductibles unlawful. While it has long been common practice all over Texas for roofing companies to not charge homeowners roof insurance deductibles, it has also long been a form of insurance fraud. We understand that this might not be a popular opinion, but signing a contract saying that you will commit to pay the deductible limits on any property insurance claim cannot be disputed. This is insurance fraud and our lawmakers did make it a Class C misdemeanor with the law change mentioned earlier.
Effects of Waiving Deductibles For Insurance Claims
Over the last three years, Texans have seen the profound impact of inflation in every aspect of their lives. We all know that life just costs more. One of the places that we have seen massive increases has been on Texas homeowners insurance premiums. It has not been uncommon to see annual premiums jump by 50% or more on renewal. And while we will agree that those numbers are insane, they are reality.
With that in mind, ask yourself a simple question. Would you be willing to cut your pay at work if it meant that you got a sale? So why is a reputable roofer going to do that to get the work of doing your insurance roof replacement? The truth is that they are not foregoing any payment. These roofers are inflating the replacement cost of your roof within the insurance claim so that the insurance company will pay for the cost of your wind and hail deductible payment. Yes, they have families to feed and expenses to take care of, but guess what? There is a downstream cost of repairs to you in the form of that annual premium.
Let's do some quick math on this. If your deductible payment is $3,500, which is a nice average around the state, what is the total value the roofing industry has to inflate claims to eat that cost? During the years of 2017 through 2019, Texas accounted for 637,977 hail claims for roof damage. If only a quarter of those claims were inflated to cover the deductible for insurance repairs, the total cost to the homeowners insurance companies was $558,229,875. Do you think that the insurance companies are just going to eat over half a billion dollars? This is a big part of why your premiums have skyrocketed to unheard of levels.
The Right Path For Insurance Roof Replacement
Filing a roofing insurance claim is most likely going to happen to every Texas homeowner, but especially those in the Austin area. When George called us asking about his cash deductible and the roofing company waiving it, we reminded him of the law for roofing contractors and homeowners. Making false claims for work not performed or using cheaper materials than what was billed for is ultimately bad business. Do not let these hustlers take advantage of an already costly situation, leaving you open to criminal charges on the back end. Work with a reputable roofer who is going to use durable materials and charge you the deductible amount.
When it comes to your home, the insurance carrier is not a third party. You are part of this transaction and you must be cautious about committing fraud or else risk serious legal trouble that could reach well beyond any potential cost of deductible for a new roof. George completely understood this and got his roof repair taken care of the right way.
Make the Right Choice
You have a choice when it comes to insurance agencies and roofing contractors. People in Austin and all throughout the state want a fair deal. Insurance For Texans has grown out of a need for people to have better options when it comes to insurance coverage that they can understand. Our agents offer TRUE Texas Home Insurance and work for you and not some big insurance company. You can have the same experience that George did.
We have access to quality carriers specializing in what matters most, coverage for you, your home, and your assets. Let us help you find the right coverage at the best price by looking across the marketplace.
If you are in Austin, or anywhere else in Texas, we have you covered. We are the home of TRUE TEXAS HOME INSURANCE. Give us a call or click that button below today!
