question about insurance claim for roof replacement

7 Replies

We had hurricane damage on our personal roof and had a roofing company work with us through the insurance claim process.  Insurance company gave us 15k.  There was other areas of the house damaged but apparently we can use the whole check just towards the roof.  The roofing company told my wife that their price was based on insurance company amount rewarded as we never got a written estimate.  This seems strange to me and I am tempted to get more estimates as 15k for our roof seems steep.  Its a 2700 sq ft home with detached garage in Florida but its two stories and I can't imagine more then 2000sq ft of roof total.   Is this normal or should I demand detailed estimate and shop around?  I feel somewhat obligated as the company worked with us through the whole process but I also don't want to overpay.

@Andrew Hartigan , I’m in the northeast so my price may be different. I just had my roof and detached garage stripped and re shingled this summer. 34 square is the size, pretty similar to yours. My cost was 15,900. We had estimates from 12k-22k. I took the middle. Good luck.

Definitely get at least one more quote. It sounds like a fishy way of doing business.

But in their defense, if they helped you through the insurance process and are reasonably priced compared to other contractors, that should earn them a few extra points when you’re making a decision.

20 square roof for 15k seems crazy high to me. I do know that roofing prices are extremely location specific though. Here in illinois roofs tend to go in the 250 to 300 a square - thats for tearoff and arch shingles. The further north and east you go, the more they are per square.

But at 15k for 20 squares, thats 800 a square. Something isn't right there. Granted, if you're in a hurricane area like that where everyone else is trying to get their roof done, you may be stuck with getting what you can.

But even in the super expensive areas, I don't think I've ever heard of someone charging $800 a square for roofing. Not residential anyway.

I would get another bid. The next one that comes out, tell them you need to see their numbers in the 250 to 300 per square range and see what they say. Sometimes its better to give a contractor a number and tell them thats what you're paying then to let them bid on it.

Even at 250 to 300 a square that may even be overpriced. I thought florida was cheaper than Illinois for roofing. But again, maybe not. 

If you're right about it being 20 squares (which seems low for a 2700 sq ft home even if its a two story and if you're including a detached garage), then 750 to 800 a square just seems like massive gouging. 

But also keep in mind that prices definitely go up when you're dealing with storm areas too. 800/square though? Even that seems beyond normal to me.

Thanks for all the feedback.  I will get a few estimates and let the original company know that I need a written estimate.

I spent 30 years as an insurance adjuster. Your adjuster should have provided you with a written copy of their estimate at the same time you received the settlement draft. Insurance adjusters issue a form of payment called a draft. It looks like a check but it has some additionally accounting hurdles to leap before it is honored by the insurance companies bank. It is just a safeguard and will not impact your claim settlement.

Cashing the draft will not trigger a release of all claims. Put it in the bank as soon as possible. A draft can take up to 15 days to clear.

It is up to you to get estimates and choose a roofer for your repair. If you cannot find a roofer to make the repairs for the insurance companies estimate then you should contact your adjuster and request a re-inspection. 

How to find a roofer. During a catastrophe migrant roofers show up that are from out of town. Some great, others not so much. Find an old phone book and look for someone local who has been doing this a while. Hopefully you find a company that has a warranty they will honor.

The next thing is choosing the roof covering. Once that is over you are pretty much home free. 

Originally posted by @George Skidis :

Find an old phone book and look for someone local who has been doing this a while.  

Great tip! But I think they're in museums now :)

Free eBook from BiggerPockets!

Ultimate Beginner's Guide Book Cover

Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!

  • Actionable advice for getting started,
  • Discover the 10 Most Lucrative Real Estate Niches,
  • Learn how to get started with or without money,
  • Explore Real-Life Strategies for Building Wealth,
  • And a LOT more.

Lock We hate spam just as much as you

Create Lasting Wealth Through Real Estate

Join the millions of people achieving financial freedom through the power of real estate investing

Start here