How Most Insurance Claims Work


You may be asked to get several estimates. Going with the lowest price will only get you less than quality materials, poor labor, and lack of service after the fact. It will not put any extra money in your pocket because the difference between “fair market price” and your lowest bid cannot be applied toward your deductible. The insurance company won’t release all of your money until the job is done. They get a final invoice from your roofing company. Your insurance company will keep any savings. Submitting a false final invoice is roofing insurance fraud.


The paperwork you receive from your insurance adjuster is only an estimate for roof repairs – it is not a final settlement, and is negotiable. Adjusters are busy and may miss something or overlook an important aspect of your claim. Because of this, we recommend having Berryman Roofing at your home when your insurance adjuster arrives to inspect your property for damage.


Berryman Roofing will work with you to get your home fixed. All you are responsible to pay is your deductible and nothing else. If you have a large deductible, we’ll work with you to get your roof replaced. Berryman Roofing will walk you through the claims process step-by-step and handle all of the hard work to make sure your home gets the attention it needs.



My First Claim Check/Net Claim


When all negotiations are final and your insurance company agrees to pay your claim, they will typically cut a first check. This is a partial payment, minus your deductible, and is usually only enough for your contractor to buy materials and get your work started.


Many times, the first check will be co-endorsed to your mortgage company. If your check is co-endorsed, you’ll need to get a signature from your mortgage company and deposit the check in your bank before starting work. If your check is not co-endorsed to your mortgage company, simply deposit it in your local bank. Your bank may or may not have a policy of holding insurance funds for 7-10 business days.



How Does My Depreciation & Deductible Work?


Most policies cover full replacement cost minus your deductible. Your deductible amount depends on the type of policy you have with your insurance company. Sometimes the deductible for your roof is different than the deductible for the rest of your home. If your not sure about the amount of your deductible, as your roofing contractor or insurance adjuster.


Your insurance company may also hold back depreciation. Depreciation is the amount of your settlement that is not paid unless you need it to finish fixing your home. Most insurance companies will not cut a depreciation check until you have met your deductible amount, and your contractor has submitted a final invoice.


If you do not use all of your depreciation to get your home fixed, your insurance company will subtract your deductible from the final lower-priced invoice rather than the total claim originally allowed. This means your insurance company will match, not exceed, your contractor’s “fair market value” bid, minus your deductible.

After the final invoice is submitted, your insurance company, and sometimes your mortgage company, may want to do a final inspection to be sure that all of the work billed has been completed in a workmanship like manner with quality materials before releasing the second depreciation check.




What About Supplemental Claims?


With rising material and labor costs in storm environments, like the coastal area, it may be necessary to file a supplemental claim. In this case, your insurance company will issue a third check that is beyond the original claim to cover the rising costs. This check may also be co-endorsed with your mortgage company.