Below are some common questions we encounter when it comes to roof replacement claims


Why did I receive a check that was less than the cost of my roof repair?

An adjuster will make two main deductions with their estimate of your roof replacement cost: your deductible and “betterment or depreciation”.

What is Betterment or Depreciation, RCV, and ACV?

RCV stands for Replacement Cost Value and is the current retail cost to replace your roof. ACV is Actual Cost Value. Let’s say a roof in the 15thyear of an expected 30-year life is damaged by hail and the replacement cost is $15,000. The RCV would then be $15,000 and the ACV would be $7,500 (or 15/30 of $15,000). The depreciation or additional funds you receive from the claim is the difference between the RCV and the ACV, in this case $7,500. Depreciation is typically paid after you submit your roofing contractor’s final invoice.

How firm is the adjuster’s calculation of my replacement cost?

Because there are many variables in the adjustment process, calculations aren’t set in stone. In fact, it is fairly common for your contractor and adjuster to reconcile a few issues. However, you don’t have to worry about your estimate from Anchor Roofing being different from your adjuster’s. Shingles are made of asphalt, which is petroleum. With oil prices constantly fluctuating, the cost of shingles has changed regularly for the past five years.

Bottom line, what is the cost to the homeowner? In every case it is your deductible and any upgrades.

If I find a roofing contractor who will work for less than the adjuster’s estimate, can I reduce my deductible?

Your deductible always comes first, no matter how much the total project costs. When you choose a cheaper contractor, you are only saving money for your insurance company. By going with a less expensive contractor, you are compromising quality in labor and materials, as the well as the warranty. An invoice that is lower than what the adjuster estimated will decrease the depreciation you will receive.

Is it ethical when roofing contractors say they will cover my deductible?

Absolutely not! When a contractor pays the deductible, it lowers the cost to repair the roof, which is what the insurance company uses to file a claim.

Is it ok to receive a yard sign allowance or referral fees?

It depends, as these payouts are often a disguise for a contractor covering a deductible. If the payment is legitimate, it must be the same amount whether you buy a new roof or not. A referral fee should always be paid separately from the invoice.

How long does it take to get payment after I submit my invoice?

Insurance companies by law must release the money within a few days.

Do I really need to get three bids like my insurance company says?

It depends. We advise potential customers to do their homework while keeping in mind that no matter how many bids you get, your out-of-pocket costs will always be the same: your deductible. The insurance company typically asks customers to get multiple bids to shop around for them, which can pose a problem because cheaper contractors aren’t always better. CONTRACTORS OFTEN REDUCE THEIR PRICES TO COMPETE WITH OTHER BIDS, BUT YOU THEN RUN THE RISK THAT HE WILL BE LESS ATTENTIVE AND USE LOW QUALITY MATERIALS. When you get multiple bids, the real winner is the insurance company, as they are the only group that ends up saving money.