Tri-City Guttering Roofing

FAMILY OWNED AND OPERATED SINCE 1969

Insurance Deductibles

“Will you waive my deductible?”

In an effort to help educate our potential customers, we decided to provide you with the following information - based on the incredible number of times we are asked that question. 

Scenario #1

The roofing contractor wants your business so badly they offer to do the job for less than the insurance settlement so you can pocket some of the insurance settlement money.  Seems harmless right?  Seems like just a “discount”, right? WRONG!  It is insurance fraud for a homeowner to profit from an insurance claim.

Scenario#2
The roofing contractor offers to waive your deductible.  Essentially selling you a free roof system.  Should you be suspicious?  Yes.  This scenario preys on homeowners who cannot afford their deductible or appeals to those who don't want to pay anything for a new roof.  To do this some roofing companies will offer to cut corners, offer a bogus advertising agreement in exchange (such as placing a sign in the yard), commonly pad the bill submitted to the insurer and offer to take only what the insurer pays and not the deductible.  These are not the practices of an honest roofing company.  The insurance company expects the homeowner to pay the deductible out of their pocket.

Most people have replacement cost benefit insurance.  If your roof is damaged by a storm they will will pay the cost to repair or replace that roof.  If you file a claim your insurance company is going to send out an adjuster who is going inspect and  prepare an estimate and issue you a ACV (Actual Cash Value) check.  A large portion of the settlement will be withheld (recoverable depreciation) until the work is completed and a bill is submitted.  The only way the homeowner recovers the remaining portion of the claim is if the work is completed and a bill is submitted that exceeds the amount of the first check issued plus the deductible responsibility.

In order for a roofing contractor to “waive” your deductible cost and still get paid the remainder of the claim, they will need to prepare and submit a fraudulent invoice to your insurer.  The invoice will charge the total cost of the roof settlement and show the deductible was paid for the claim.  Only then will the insurer issue the depreciation RCV (recoverable cash value) check to the homeowner.  Often the homeowner is not aware of what's taking place.  That is fraud.  Once you become a party to the fraud you are as responsible as the perpetrator of it.

You will find some inconsistency in the market place about companies willing to commit fraud. The sad truth is many dishonest roofing contractors have at the heart of their business plan this deductible waiver scam. It should be pretty scary as a consumer to do business with a roofing company willing to commit fraud. 

We recommend you ask your trusted insurance agent about this issue and promptly report companies who practice this
to your insurer.
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