Texas Roofer Explains Insurance Deductibles for Roofing Claims

[@JohnEdwardBert]

Deductible waiving has always been wrong and common. Fortunately Texas passed a new law (Sept 1 2019) closing some loopholes in poorly written laws of old. Who puts a thumbs down to this video? Seriously, someone shooting the messenger.?

[@RoofingInsights3.0]

There are plenty of haters of this message. We need more people to like/comment who supports doing it right

[@travisdiekmann8923]

I have done the "marketing credit" for the sign in the yard in the past, but it's been years. Discussing the deductible as being similar to a medical co-pay has helped in getting the entire amount collected, as has educating homeowners on the risks that they are taking using a contractor who eats deductibles.

[@RoofingInsights3.0]

Marketing credit is still waiving it. Good job on educating owners

[@pinnacleroofing9841]

@@RoofingInsights3.0 I use the same explanation of comparing it to a copay at the Dr. " It costs x for the procedure, insurance is covering everything but your copay, that you pay straight to the Dr. Here with your roof, I'm like the Dr. so that pays to us at the end."

[@jenniferclark4806]

We have always collected deductibles. I am thankfully with Conrad’s roofing, a company that has done this right from the start. I appreciate the insight! I lived in TX for 10 years, now I’m back home in Tulsa, OK.

[@RoofingInsights3.0]

That is awesome! Thanks for sharing!!! Glad to see people doing it right

[@austinballard9713]

I worked for AVCO in Addison Tx. Theyre a great employer! In the short amount of time I worked there I learned a ton. I wish I could go back but I had a family emergency. I had to move and definitely wanna get back in the game

[@pinnacleroofing9841]

We always collect deductibles. To be honest, when I was just starting out I paid a fair amount of them because I lacked the confidence in my ability to survive in business, 12 years later, we always collect them. I have come to a similar realization as your guest, we run a tight ship, we have nothing but 5 star reviews, we've never had a logged complaint and now my reputation is a monster of its own that I guard with precious fidelity.

[@Universal_rr]

We never waive them we just raise the bar on value and service! We have a dedicated team member on every roofing job just for quality control! We have a laminated copy and a power point presentation showing why it’s illegal in Texas to waive deductibles!! Once they see the law in a third party credible format we have no problems collecting full deductible. Train your people how to handle their objections and to have great service!!

[@RoofingInsights3.0]

Good practice, looks like you doing it right!

[@jimrodgers4149]

I wonder if AVCO feels the same way about the new UPPA laws in Texas. It is illegal for a contractor to even talk to an insurance company on the homeowners behalf without the insured physically present or on the phone. Just wondered when he mentioned about holding the insurance companies to their policies. It is now illegal for a contractor to talk about policy at all.

[@davidreineke1758]

It is only illegal for a contractor to represent themselves as having an adjuster's role. Saying to a customer "Yes I can get your claim approved" or such. It is fine for them to say "Yes you have hail damage in my opinion and this what it COSTS to replace your roof but is up to your insurance company to approve". Most insurance companies still ask for a roofing professional's estimate and will work with them to make sure the repairs are done correctly. It's also illegal for an insurance company or adjuster to tell the customer which contractor they should or shouldn't use for their repairs.

[@raelyncoroofing6729]

Those who waive a deductible are not being trained appropriately, focusing on money only and not focusing on taking care of the customer. Texas will crack down on these deductible waivers with the new bill one of these days.

[@RoofingInsights3.0]

It’s mental shift that needs to happen

[@thecoolclips1]

Love the video! Its hard to collect deductibles in OK. If customers are insisting I cover it, I'll write up to show the money I'm due to collect and let the aftermath fall to client (weather insurance holds back additional from the 2nd check or not). Granted waving deductibles can be easier for me bc I make the majority of my income from commercial work.

[@RoofingInsights3.0]

Thanks for being hobest

[@circularebin]

When customers ask us to waive the deductible, we tell them there’s not enough profit margin in an insurance claim payout to be able to do that. Too many insurance adjusters are writing half-ass estimates, depreciating the materials, some non-recoverable, and won’t pay overhead and profit. So, the profit margin just isn’t there anymore.

[@RoofingInsights3.0]

What market are you in? Do other contractors in your area waive deductibles?

[@circularebin]

Roofing Insights In TN. The only people I heard of waiving the deductible, are fly by night companies that roll in after large storms. The quality of work is some of the worst we’ve seen. Many people have now become cautious about using someone that’s not local. Of course, when the lead times are huge, there are plenty of impatient people that end up using one of the low bidders. 6 months later, they regret not waiting. As far as I know, there are no local contractors waiving the deductible.

[@unpopularopinion149]

@@RoofingInsights3.0 I’m in Raleigh NC and I’ve lost $16,000 roofs from people who are working with someone that waives a $2500-$5000 deductible. I don’t want to work with a customer like that anyways.

[@AtascositaGarden]

Brother, a deductible is a home owner’s legal and financial responsibility. That’s their out of pocket expense in case their insurance company approves their claim for a roof replacement. The deductible is part of the total cost to replace the roof. Any contractor who is waiving/eating the deductible is only loosing money, hurting their company and breaking the law. I’ve never waived the deductible and never will. Yes I’ve lost some sales, people wanted me to waive or “help” with their deductible but I stand my ground. As a Project Manager/Sales Person, we have to be in control, coach the customers correctly, and be up front from the beginning. Is like any other kind of insurance where a deductible has to be paid. All the jobs I’ve done have been for insurance proceeds. Its a win win for the customer as they get a new roof for 2k or 3k or 5k (deductible amount) instead of paying for a whole roof themselves. Is a no brainer. Thankfully in Texas is illegal to waive or eat deductibles. Also insurance companies may ask for proof that deductible was paid in order for them to release the Recoverable Depreciation $. I haven’t seen a single reason to waive a deductible as all my jobs are for insurance proceeds. Keep up the great work. Keep the Roofing business clean.

[@thomasa2821]

I have no idea whether the lady was being honest or not; but a lady to whom we offered a bid called our office today to tell us that an AVCO rep offered to waive her deductible plus offered a $100 off. I hope that this owner can keep all of his guys on board with not waiving deductibles. As well, I hope that all of his prospects are aware of this policy; its a good policy for everyone to have. We would all make more money if deductibles weren't waived; but you can't get the idiots amongst us to understand that.

[@RoofingInsights3.0]

🤦‍♂️ I wouldn’t believe everything owners say. They will always keep trying

[@jtname4756]

@@RoofingInsights3.0 just like you can't believe everything roofing contractors says. these companies forget its the owner purchasing a product with their hard earned cash and its the company trying to get that cash for there services.i have had two roofing sales people give me estimates on a roof and neither one could give a breakdown of the cost associated with the purchase of a roof. Its not brain surgery to figure out an itemized cost of the material, labor cost and any additional misc costs. The response from the salesman is that i never has anyone ask me for these details and I'm not privileged to those details. My answer is very easy, if you can't be transparent with your estimate then i don't need your business. I will find an honest roofer who has nothing to hide. When estimates are 20,000 dollars you have every right to demand the details. My recommendation is to turn the bidding process over to your attorney to negotiate and write the contract so you don't get scammed.

[@robertomontesdeoca2253]

Any company basic values are ethic and lawful

[@troycasanova]

In texas can a roofing company offer a discount? Not waive the full deductible but just a 10% off deductible, thnx

[@davidreineke1758]

No, as of September, 2019. All discounts or rebates are now illegal.

[@michaelvan6675]

When customers tell me another roofer is paying their deductible I tell them that is insurance fraud, they may not get caught right now, but they’ll keep doing it and once they are caught it’s going to open an investigation and audit of their books which could come back on you later. Not worth it.

[@christph3118]

Michael Vanlerberg I’ll take my chances

[@JR-hs5tp]

Always charge the deductible. Part of the initial conversation. My job is to get the scope of work correct with the insurance company and no matter what in the end your only out of pocket is your deductible. If they push I always ask in some regard why they think a company needs to pay them to get their work, must need work pretty badly for a reason. We work closely with insurance companies and dont want to risk our livelihood. They keep pushing, they're not a customer I want. Thanks for the vid!

[@homesteadroofing]

Education up front. We're in Colorado and never, ever get asked to pay a deductible.

[@RoofingInsights3.0]

Colorado is competitive, good job!

[@rubencardenas669]

We are in TX, we don't waive/credit deductibles. We lose a job here and there to that but not often and those homeowners aren't our customer base anyway. Our customers value our value. - Two Brothers Roofing

[@carlosbustos376]

Yes sir every time

[@RoofingInsights3.0]

Good for you

[@carlosbustos376]

Try educating customer about contractors coming around eating deductibles

[@RoofingInsights3.0]

We do it a lot

[@abrahamislas8585]

Roofing company’s milk the insurance in supplements. Now they can milk the customer too collecting deductibles.

[@pinnacleroofing9841]

Milk the homeowner? a homeowner buys a policy knowing full well what a deductible is and picks the monthly plan and deductible that suits them, often a deductible that reduces the yearly cost of the plan, then when they have a claim, they don't want to pay that either, seems to me it's the contractor getting soaked coming and going

[@ciasavant]

"Salesmen" need to learn how to SELL!

[@richardgibbens8364]

I collect only for the work I’m responsible for. So if the claim is 15k and I only do the roof which is 10k Per the insurance paperwork then I collect 10k.

[@RoofingInsights3.0]

That has nothing to do with deductible

[@richardgibbens8364]

It does have to do with deductible in the end. Homeowners are always wanting the roofer to pay the deductible so in this case you would only be collecting 9 of the 10k for the roof. The reason why I say this is there are company where I’m at that will take the 15k and only do the roof and run when the roof was only 10

[@christph3118]

Richard Gibbens way it should be..You are the kind of company I would hire on the spot!

[@davidreineke1758]

The customer will still pay their deductible out of pocket based on the 15K claim. If the they decide to pay it on the incidental damage or the roofing costs is up to them. If the ACV on the claim will cover the roofing costs they can do that but can't recover depreciation on other work not completed.

[@MurkedStat]

I still don't believe it's "illegal." Link me

[@RoofingInsights3.0]

🤦‍♂️

[@pinnacleroofing9841]

"believe" what you like - it is, at least here in my state of Colorado

[@pinnacleroofing9841]

when you SUCK at sales all you have is price, p.s. will someone kill that damn fly on the desk