How a hail damage roof insurance claim works

This guide is general information, not legal or insurance advice. Your policy controls what is covered and when. Read it, ask your insurer, and contact your state's department of insurance with questions.

1. Confirm the storm and the damage. Note the storm date (a hail map shows which days hail reached the address and its estimated size) and photograph damage to the roof, gutters, siding and windows.
2. Prevent further damage. Tarp leaks and keep receipts; policies usually require reasonable steps to protect the property.
3. Report the claim. Notify your insurer as soon as practical and within any policy or statutory deadline.
4. Meet the adjuster. Having your contractor present helps make sure all damage is seen and measured.
5. Review the estimate. Check quantities, line items and the depreciation applied.
6. Repair. Replacement-cost claims are often paid in two checks: an initial payment, then the remainder after repairs.
7. Close out. Submit proof of completion to recover withheld depreciation, and request a supplement for anything missed; see roofing insurance supplements.

Replacement cost value (RCV) is the cost to replace the roof with like kind and quality. Actual cash value (ACV) is replacement cost minus depreciation for age and wear. On many RCV policies the insurer first pays ACV and holds back the depreciation (recoverable depreciation) until repairs are done. In Texas, insurers may withhold recoverable depreciation until the policyholder shows the deductible was paid (Tex. Ins. Code 707.004). Texas and Colorado regulators also bar deducting a contractor's overhead and profit when calculating ACV.

Many policies in hail-prone states have a separate wind/hail deductible set as a percentage of the home's insured value, typically 1% to 5%, instead of a flat dollar amount. On a home insured for $400,000, a 2% deductible is $8,000. They are common in states including Texas, Oklahoma, Kansas, Nebraska and Ohio.

It can. Some insurers move older roofs to ACV coverage or apply a payment schedule that declines with age; schedules vary by company. Florida limits age-based decisions: insurers may not refuse or nonrenew solely because a roof is less than 15 years old, and older roofs can qualify with an inspection showing at least 5 years of remaining life. See how to find out how old a roof is.

Several states restrict contractors to protect homeowners:

• Texas: contractors may not act as public adjusters or waive, pay or rebate deductibles; contracts of $1,000 or more include a deductible notice.
• Colorado: same bans on deductible inducements and public adjusting, plus a 72-hour right to cancel a roofing contract.
• Minnesota: no deductible payments or inducements, and no interpreting policies or adjusting without a public adjuster license.
• Florida: bans on deductible inducements and unlicensed adjusting, plus advertising disclaimers.
• Oklahoma: no promises to pay or rebate deductibles.

A contractor can document damage, meet the adjuster, and prepare estimates and supplements for the homeowner to submit.