Paying a Roofer with Insurance Money

Hi C.,

Years ago, I was a claims adjuster, so I understand your question. Also, I have been out of this industry for several years, so some things have changed. Thus, I am no expert, nor am I giving you any legal advice ;-)

Technically, asking them to waive the deductible is something that is "under the table" and they really don't owe that to you, unless they fill it means them getting the job or not, and they make a verbal agreement with you.

If, you have the check and it's made out to you and the roofer, then you're going to have to use that roofer and submit his final bill to get him paid for the difference, less your deductible.

If, you have the check just made out to you, you can choose another roofer and try to negotiate a better deal. But, ultimately, you'll have to submit the final bill to your insurance and they are only going to pay the difference of what they already paid, the final bill, and less your deductible.

The only way to get it done for less and pocket some money, is to do all the work yourself, and then the insurance should pay you the average amount of 2 or 3 other estimates.

Take care & God bless,
L.

That was a nasty storm wasn't it? Whew! We went through this last year when a big hail storm ripped through town, with a similar payment scheme from the insurance co. (Allstate?)

Our roofer gave us estimates based on the type of shingle: Low end for 850 sq ft was $6K, mid weight Elk brand were $8500 and the high end Elk Canyon's were $12K. Our insurance paid out $8500 total to give us midweight shingles, comparable to the ones that were ruined on our roof.

The roofing company 'gave' us $500 off for putting a sign in our yard and that lowered our deductible that we had to pay. The roofers also wrote up the torn screens, damaged gutter, etc to give us a little extra money to go towards the deductible.

Your roofer should be giving you an estimate for low end and high end shingles. If they seems shady, call another one. I personally wasn't happy with 1derful roofers, Excel was OK, Brickey was decent. GL!!

I would negotiate the contract as if you're only getting from the insurance what the roofer chargers. He shouldn't get paid any more just because you have more coverage. Negotiate the price based on the work, what they charge for similar jobs, and what other companies will charge for the same job.

The way you described the rider sounds like it will be just enough to cover the costs of the roof. I wouldn't try to get more than you're paying (unless the amount is already agreed upon). I'm sure the insurance company is also paying out for other homes if this was a storm-caused incident, and when the insurance company's costs go up they always pass that on to customers by raising premiums.

If they're charging you $4k more for the same job as other houses, I'd contact the insurance company. That doesn't sound kosher to me-sounds kind of like insurance fraud if they're charging more for the same job.
I'd go w/whichever has the better deal & more quality materials.

Typically the insurance company pays you, and you pay your contractor. In this case, I'm not completely sure, but your insurance agent should be able to tell you. With roofing and any other contractor work, I highly recommend having them sign a lien waiver. If the roofer doesn't pay any of their subs, the subs can come back to you for payment. A lien waiver's easy and all you need to do is tell your roofer you'll be requiring this. I'd write it on the contract, too. If you want a copy of one, I can email it to you (Word format). I've had really good luck with CJ Roofing - just FYI.