Repair out of pocket ? or File a insurance claim after a Wind storm?
When a severe windstorm strikes, homeowners are often left with the daunting task of assessing the damage to their property. One of the critical decisions to make is whether to file an insurance claim or handle the repairs out-of-pocket. This decision can be influenced by the actual cost of repairs compared to the deductible amount, as well as the extent of the damage, particularly when it comes to roof replacement.
Understanding Deductibles and Repair Costs
Insurance policies typically come with a deductible, which is the amount homeowners must pay out-of-pocket before their insurance coverage kicks in. For example, if a policy has a $1,000 deductible and the repair costs are $1,500, the homeowner would pay the first $1,000, and the insurance would cover the remaining $500. However, if the repair costs are less than or close to the deductible amount, it might be more cost-effective to handle the repairs independently.
In the event you file a insurance claim and the damages to your home do not exceed your deductible amount, your insurance company will now have a record of the damages. If not repaired it could possibly lead to a temporary drop in coverage until repairs are made if not made in a timley manner. If damages are not temporarly mitigated and subsequent damages occur to your home it is possible coverage will not be given or completly droped by your insurance carrier completly due to negligence.
When to Consider Roof Replacement
The roof is one of the most vulnerable parts of a home during a windstorm. Minor damages, such as a few missing shingles, might not warrant a full replacement and can be repaired at a relatively low cost. However, if the damage is extensive, such as large sections of the roof being torn off or significant structural damage, a full replacement might be necessary. Generally, if the cost of repairing the roof exceeds 50% of the cost of a new roof, it is advisable to consider a full replacement. In such cases, it would be wise to consult a reputable roofer to assess the damage and recommend the best course of action.
Cost vs. Deductible: Making the Decision
Minor Damages: For minor damages that cost less than or close to the deductible amount, it is often more economical to pay for the repairs out-of-pocket. This avoids the potential increase in insurance premiums that can result from filing a claim.
Moderate Damages: If the repair costs are slightly above the deductible, homeowners should weigh the benefits of filing a claim against the potential long-term costs of increased premiums. In some cases, paying a bit more out-of-pocket might be more beneficial in the long run.
Major Damages: For significant damages, especially those requiring a full roof replacement, filing an insurance claim might be the best option. The high cost of a full replacement can far exceed the deductible, making the insurance coverage essential.
Conclusion
Deciding whether to repair damages out-of-pocket or file an insurance claim after a severe windstorm involves careful consideration of the actual repair costs versus the deductible amount. For minor to moderate damages, handling repairs independently can save money and maintain a clean claim history. However, for major damages, particularly those requiring a full roof replacement, utilizing insurance coverage might be the most practical solution. By having a qualified roofer / contractor evaluating the extent of the damage and the associated costs would be a wise descion so homeowners can make informed decisions on how to best protect their property and financial well-being.