Do Roofing Contractors Cover Deductibles?
You have submitted a claim through your insurance company after a storm and are starting to obtain quotes for repair. You have contractors that say “Yes we can cover your deductible” and others that say “No we cannot cover your deductible.” Obviously as a homeowner suffering a loss, the less out of pocket quote sounds like the better option, however a roofing contractor cannot legally pay your deductible because that is considered insurance fraud.
A homeowner’s insurance policy is actually a contract between the general contractor, the homeowner, and their insurance company. This policy outlines the responsibilities of each party when an unforeseen event occurs such as a hail storm, hurricane, or other natural disaster when a claim needs to be filed. In the contract, there is a section that explains what the homeowner is responsible for (the deductible) and what the insurance carrier is responsible for such as code items or sheathing. It’s not just the insurance companies that have financial responsibility if something happens; all homeowners have responsibilities as well. Homeowner’s that chose not to pay their deductible are technically committing Insurance Fraud.
In order for a contractor to cover your deductible - funds need to be taken away from another portion of your claim or the estimate is inflated to account for those missing funds. If a contractor willingly and knowingly inflates an estimate to cover the cost of a homeowners deductible, that is considered insurance fraud. Insurance rules, regulations and laws have been put in place to protect all parties involved in the claims process. An ethical contractor will never advise a homeowner they do not need to pay the deductible, out of pocket, portion of their claim.