Navigating Roofing Insurance and Coverage Changes

As homeowners, dealing with insurance claims and roofing issues can be challenging, especially with shifting trends in the insurance industry. Recent developments have left many homeowners without coverage, leading to questions about how to navigate these changes, especially when roofing claims are involved.

Many insurers now consider roofs 20 years old or older to be too risky, especially if they are made from materials like asphalt, which generally have a shorter lifespan compared to metal or tile roofs. While a metal roof may last up to 70 years, providing peace of mind to both homeowners and insurers, asphalt shingles may only offer 10-20 years of coverage. This disparity affects homeowners who might be forced to replace a roof prematurely to keep their insurance.

What To Do If Your Homeowners Insurance is Canceled

If your insurance is canceled due to your roof’s condition, it’s important to take proactive steps:

1. Understand the Issue: Contact your insurance provider to determine why your roof doesn’t meet their standards. Is it age, damage, or a specific type of material?

2. Hire a Roofing Expert: Have a professional inspect your roof and make any necessary repairs. This documentation will be crucial when approaching insurers for renewed or new coverage.

3. Maintain Records: Keep a detailed record of the repairs, including before-and-after photos, invoices, and certifications. These will support your case when negotiating with your insurer.

4. Shop Around: If your current insurance provider won’t renew your policy, reach out to other companies. Some might offer coverage based on the improvements made, while others may have different criteria for roof coverage.

5. Consider a FAIR Plan: As a last resort, explore a state-run FAIR plan, which provides insurance to high-risk consumers. Keep in mind that these policies are typically more expensive and offer limited coverage compared to traditional insurance. (Note: Colorado’s FAIR plan was approved by the legislature in 2023 and is expected to be up and running in early 2025.)

The Mortgage Dilemma

Canceling your homeowner’s insurance can also have serious consequences for your mortgage. Most lenders require continuous insurance coverage, and if your policy lapses, the lender may step in and purchase a forced-placed insurance policy on your behalf. This type of policy tends to be more expensive and provides less coverage. To avoid this, ensure you address any roofing issues promptly and maintain communication with both your insurer and lender.

Financial Help for Roof Repairs

For those struggling with the cost of roof repairs, particularly seniors, there are several programs available that offer financial assistance:

• HUD and USDA Programs: HUD and USDA are federal programs provide loans and grants to low-income homeowners and seniors for necessary home repairs, including roof replacements.

• Local Initiatives: Many cities and counties, such as Colorado’s Larimer County or Denver, offer home repair assistance through emergency funds, grants, and deferred loans.

• Nonprofit Organizations: Habitat for Humanity and similar groups also provide low-income homeowners, especially seniors, with affordable roofing repairs and modifications:

  • Area Agency on Aging: Many local Area Agencies on Aging provide home modification and repair funds through the Older American Act.
  • Rebuilding Together: This national non-profit organization provides home modifications to enable low-income elderly and people with disabilities to continue living independently. 
    

For seniors in Colorado seeking specific assistance, there are resources available to help with home repairs and financial aid. The Colorado Division of Housing offers programs that can assist with essential home repairs, including roof repairs, for eligible low-income seniors. Additionally, local housing authorities throughout Colorado provide various forms of assistance to seniors. 

Conclusion

As roofing insurance challenges persist, it’s essential for homeowners to stay informed, take preventive measures, and explore alternative resources when insurance companies no longer provide coverage. Taking action early, whether through roof maintenance or seeking financial help, can save you from future headaches and ensure your home remains safe and protected.

For more guidance on roof maintenance or to find a reliable roofing contractor in Colorado, check out the Colorado Roofing Association’s member directory and connect with a trusted professional to make sure your home stays protected.