My Insurance Provider Sent Me a Check for My Roof—Now What?
Getting approval from insurance to repair or replace your roof can be a major relief, especially when you get your first check from the insurance company. However, while that money has been sent to fix your roof, some homeowners still wonder: Can I just take that check to the bank and use the money on whatever I like? My insurance company just sent me a check for my roof, but now what should I do with it?
As experienced roofing professionals here at Dolan Roofing & Construction, we can’t stress enough the importance of using that money to fix your roof immediately, rather than simply cashing the check and forgetting about it. Not only does cashing that check without fixing your roof leave your roof compromised, but it leaves money on the table, too—a lot of it. Here’s why you shouldn’t just take that insurance check to the bank.
Insurance Doesn’t Give You the Full Payout Immediately
For the most part, insurance payouts for a new roof are delivered in installments. The first half of your insurance payment will arrive soon after your roof replacement or repair is approved by your provider.
However, the second half of the payment depends on completion of needed roofing work. Most insurance providers will give you a 12-month window to complete the work, and only after they’ve confirmed that you replaced or repaired your roof will they deliver the rest of the money.
In other words, if your provider approves $15,000 to replace your roof, they’ll only give you $7,500 or so upfront. If you simply cash that check and don’t repair your roof, you’re leaving another $7,500 on the table!
Depreciation and Inflation Add Up
For some homeowners, the plan isn’t to forgo roofing work entirely. They may say, “Okay, my insurance company sent me a check for my roof, but what if I simply don’t use it on my roof right now?”
While this can be tempting, it isn’t a good idea for a few reasons. First, there’s the aforementioned window to complete roofing work. If you wait more than 12 months to fix your roof, you likely won’t receive the rest of your money.
The other reason is that, even if you do receive all the money now, your roof will depreciate the longer you wait to replace it, and the cost of a new roof will increase. While it may cost $8,000 to replace your roof right now, the cost may balloon to $10,000–$12,000 over the next five years. This is because roofing material prices increase with each passing year—and sometimes by quite a lot all at once, as we’ve seen in the recent past.
However, the money you received from the insurance company won’t be increased, which means you’ll be left to pay the difference out of pocket.
Greater Insurance Liability
Fixing your roof is about much more than just, well, fixing your roof. Your roof protects the inside of your home, too, from things like moisture intrusion. Repairing or replacing your roof as soon as you need to just makes sense when it comes to protecting your home.
If that’s not enough, consider this: if you cash an insurance check without replacing your roof and your roof fails, your insurance provider won’t cover the additional damage. In other words, you’ll be left paying for your new roof out of pocket as well as any repairs needed for the rest of your home that may have occurred due to leaks.
Dolan Roofing Is Here to Replace Your Roof!
If you’re thinking, “my insurance just sent me a check for my roof, now what?,” the answer is simple: fix your roof! Keeping the money and delaying a roof repair may seem like a good way to get cash you need now, but the reality is that you’ll wind up paying dearly for it in the long term. It’s much better to put the money toward your roof, reducing your insurance liability and protecting your home from damage.
At Dolan Roofing San Antonio, we specialize in roof repairs and storm restoration. Our expert roofers are professionals when it comes to fully replacing your roof and protecting you for the next storm that comes along. If you’ve been approved for a roof repair or replacement, get in touch with our experts today to fully restore your roof!
* NOTE: DRC and its authorized representatives are NOT acting as Public Insurance Adjusters and will not negotiate with insurance on Customer’s behalf.
