Roofing Insurance Update 2024

why is roofing damage a major concern?

Florida's climate is notorious for its severe weather conditions, especially during hurricane season. Roofing damage is one of the most problematic issues homeowners can face, as it can lead to water infiltration, structural damage, and increased vulnerability to subsequent storms. The combination of high winds, heavy rains, and flying debris can severely impact the integrity of a roof, making it a top priority for homeowners to address.

Florida's Home Insurance Market

Florida's home insurance market has been turbulent, with insurers increasingly dropping policies based solely on the age of a home's roof, regardless of its condition. This has left many homeowners in a precarious position, especially those with mortgages, as lenders require insurance coverage to secure loans. The situation has been exacerbated by the high frequency of natural disasters in the state, making it even more crucial for homeowners to have reliable insurance.

Recent Legislation and Its Impact

In response to the challenges faced by homeowners, Florida implemented new home insurance roof requirements in May 2022. This legislation aimed to provide relief to both homeowners and insurers by addressing key issues related to roof age and insurance coverage.

- Age-Based Coverage Denial: Insurers are now prohibited from denying coverage if the roof is less than 15 years old. For roofs older than 15 years, an inspection can determine if the roof has at least five years of useful life remaining, preventing coverage denial based solely on age.

- Repair vs. Replacement: Roofs that comply with the 2007 building code can now be repaired instead of replaced, even if more than 25% damaged. This provision helps reduce the financial burden on insurers and homeowners alike.

- Reinsurance Program: A $2 billion reinsurance program has been introduced to protect insurers from significant losses during hurricane season.

- Homeowner Grants: Grants of up to $10,000 are available to homeowners to help "harden" their properties against hurricane damage.

Addressing Fraudulent Roof Replacement Claims

In July 2021, Florida passed laws to combat fraudulent roof replacement claims. These laws were designed to prevent roofers from exploiting homeowners after storms and to reduce unnecessary claims that inflate insurance costs.

- Prohibition of Door-to-Door Solicitation: Roofers are no longer allowed to solicit door-to-door post-storm, reducing the pressure on homeowners to file unnecessary claims.

- Claim Filing Deadline: Roof-related insurance claims must be filed within two years, ensuring timely reporting and assessment.

- Coverage Options: New rules allow for policies that pay actual cash value for roofs over 10 years old, rather than the cost of a full replacement.

Importance of roof inspections

Insurers often require roof inspections to assess the condition and structural integrity of a roof. These inspections provide critical information that influences the type of coverage offered. Key factors considered during inspections include:

- Materials: Different roofing materials have varying lifespans and vulnerabilities. Metal, concrete, clay, wood, and asphalt each offer unique advantages and disadvantages.

- Shape: The shape of a roof can significantly impact its susceptibility to wind damage. Gable and hip roofs are preferred in high wind zones due to their design.

- Deck and Overhang: Proper roof deck attachments and minimal overhangs enhance wind resistance, which can lead to wind mitigation credits and lower premiums.

Materials and their impact on insurance

The type of material used for a roof plays a significant role in determining insurance coverage and costs. Here’s a closer look at common roofing materials and their implications:

- Metal Roofs: Known for their durability, metal roofs can last over 50 years and withstand winds of 160 mph or more. They are resistant to insects, fire, and a range of environmental hazards, making them a robust choice but often come with a higher upfront cost.

- Concrete and Clay Tiles: These materials also have a long lifespan of up to 50 years and offer excellent resistance to heavy rain, fire, salt, and insects. Their weight provides great wind resistance, but they can be susceptible to impact damage.

- Wood Shakes and Shingles: These offer a rustic appearance but require regular maintenance and are more vulnerable to fire, insects, and rot from moisture.

- Asphalt Shingles: Popular due to their low cost and aesthetic appeal, asphalt shingles are less durable in Florida’s climate, prone to wind damage, high temperatures, and UV exposure.

the role of roof shape

Roof shape is another critical factor in determining a roof's resilience against hurricanes. In Florida, gable and hip roofs are favored because they have lower slopes and fewer corners where wind can lift the roof. This design compliance with Florida building codes, which require buildings to withstand wind loads ranging from 120 mph to 180 mph depending on location, helps reduce insurance premiums and enhance safety.

Deck and overhang consideration

The design of the roof deck and overhang can affect a roof’s risk for severe storm damage. A larger overhang can allow wind to get under the roof and lift it off the house. Proper roof deck attachments, such as strong double wraps, provide better wind resistance compared to older methods like toenails or clips. Stronger attachments can also qualify for wind mitigation credits, further reducing insurance costs.

Upgrading and Maintaining Your Roof

For homeowners with older properties, upgrading key roof features is essential. New roof installations must comply with the latest state building codes. Despite the high costs, including potential credits from the 2022 legislation, these upgrades are crucial for improving insurance terms and protecting the home.

- Wind Mitigation Measures: Installing additional roof straps or clips through a licensed contractor can significantly enhance a roof's resilience.

- Regular Maintenance: Trimming trees, cleaning gutters, and performing regular roof inspections before hurricane season can prevent damage and reduce risks.

- Reporting Upgrades: Informing your insurance provider about any roof upgrades or repairs can demonstrate reduced risk, potentially lowering your premiums.