The times have changed and in most states the law requires that the homeowner pay their deductible on all insurance claims. You have probably heard some roofers say, “go with us and we will cover your deductible”. That is an illegal sales pitch that in some states such as Texas is a Class C Misdemeanor. You should do your research on this because not only is the roofer held liable but you as a homeowner are as well. Below are a few ways to recover your deductible if it is really that important to you. For the sake of this let us say your deductible is $5,000.00 for your roof replacement.
1. First and my personal favorite is become a part time or full-time employee of a roofing company. In your head you are probably thinking, no way I do not have time for that. You may also be thinking it is beneath you. Either way, I encourage you to consider this option as it is legal and could give you a much-needed side income. In our blog “how much does a roof cost” you would see that our salesperson Bridget made just over $5,000 for her commission. Had it been Bridget’s home, she would have recovered more than her actual deductible. Now if Bridget gets her neighbor, her parents, and a cousin on board she just made an excess of $15,000.00. It is that simple. As an employee of Resi Comm we do not have our salespeople climb roofs unless they are comfortable and knowledgeable. Let us pretend that Bridget chose not to get on the roof, she simply would call one of the field managers to assist in the inspection. Bridget’s commission would go down, but only by 5% in this case. Since Bridget inspected the roof, she received the full commission which makes her a full-time contracted salesperson. Either way Bridget would make enough to cover her deductible and pocket around $8,000.00 on the other 3 roofs she referred to Resi Comm. The bigger the roof, the bigger the commission. Always remember that. This is not a roofing ploy; this is an easy way to cover your deductible as well as make great supplemental income. Most importantly if you trust yourself, you just trusted your roofer.
2. In the first option the deductible was $5,000.00 and we will keep it the same. So, if as an owner I am personally selling a roof I know that my salesperson commission would be around $5,000.00 so technically I could afford to pay your deductible since I am the salesman of this roof. Being the salesman, I know I do not have to pay out the commission to another sales representative. I am telling you right now, that is not going to happen because again it is illegal. How roofers get away with it is they simply just take a smaller profit margin just to get that advertising sign in the yard. Now by doing this, I can almost guarantee you that corners were cut that you as the homeowner would not notice. There is a small chance that the same materials were used but that % is exceptionally low. Why does this matter? There is a possibility of leaks and future damage to the interior of your home.
3. The most unethical way to recover your deductible is to hire a dishonest roofer. Some roofers will send in inflated invoices to the insurance company that surpass the original monies in the claim. These are called supplements. For example, if your roof decking needs to be replaced by law the insurance company must pay for this if it was caused due to roof leaks from a storm. Now let us say the roofer submits a supplement for $2,500 to the insurance company to replace 10 pieces of roof decking also known as ½ or ¾ inch plywood. Now the roofer discusses this with you, and you decide not to do the work. Highly illegal! You now have an additional $2500 you applied towards the deductible. This is insurance fraud so do not let a roofer talk you into this option whatsoever.
4. One of the most common ways to recoup your deductible is to not complete the full scope of work. For example, the fence, gutters, and window screens were on the approved scope of work to complete. The total ACV money for these items is $3,500.00 and the RCV is $5,000.00. Your roofer tells you that if it were his/her home that they would not do this work because it really does not look that bad, instead they would apply the $3,500.00 towards the deductible. The insurance company would only release the additional $1,500.00 if the work is completed or a phony invoice is sent in saying the work was done. As a homeowner you do not have to complete this work however if you do not those items are no longer insurable until they are completed. If the roofer sends in an invoice saying they were done but not, then that is just as illegal as number 2. At the end of the day it is your decision on what to do but do not let a roofer talk you into a decision you may regret later.
To sum it up, option 1 is always the best option in my opinion. You may be thinking wow this was just a way to recruit employees. You would be right, but I have also shown you several ways to recoup your deductible however Resi-Comm will always take the legal and ethical route. Our reputation is everything. Our business only grows through our referrals and through our sales team. If you would like to join our team email us. Look for our blog on “What is the supplement my roofer keeps talks about” coming soon.