Major storm or roof hail damage.
Roof hail damage insurance claim depreciation.
According to one experienced roofing contractor insurance companies heavily scrutinize claims for roof repair and replacement.
Example of acv vs.
This difference could amount to thousands of dollars depending on the age of your roof.
Learn how depreciation is calculated by insurance companies.
The age and condition of your roof will play a big part in the value of your hail damage claim.
When you make a claim for roof damage the insurance company will write you a check for the actual cash value acv of your roof less your deductible.
For example if your roof is 25 000 new and is 15 years old on the date of a claim and the insurance company attributes a rate depreciation of 1000 per year on the roof then they will subtract the depreciation from the value of the new roof and only pay you the.
The insurance adjuster depreciated the roof 50 an arbitrary number based on its age so the actual cash value of the roof is now 5 000.
The recoverable depreciation also happens to be 5 000 10 000 replacement value less 5 000 actual cash value.
You should also be aware that with recoverable depreciation and the roof age and insurance company can withhold.
Actual cash value will give you the depreciated value at the time of the loss on your roof.
The full replacement cost of the roof is 10 000.
If you live in an area where roof damage from windstorms and hail is prevalent or possible the decision you make about this coverage could mean the difference between paying out just your homeowners policy deductible or your deductible plus depreciation costs.
Due to the amount of recent storm damage claims in north carolina and shady out of state roofing company practices insurance companies are now auditing 1 out of every 3 claims.
The acv is the amount it would take to replace your roof minus the depreciation calculated.
If you profit in any way from your insurance claim such as not paying your deductible or pocketing any insurance money you and possibly your contractor are.
