If your roof has been damaged and you’re looking into repairs through your homeowners insurance, you may come across a tempting offer: a roofer claiming they can “cover” or “waive” your deductible. It sounds like a sweet deal, but beware—this practice is not only misleading, it could be illegal.
Let’s break down what you need to know before agreeing to such an arrangement and how it can affect your coverage and your wallet.
What’s the Deal with Deductibles?
When you file an insurance claim, your deductible is the amount you are responsible for paying out of pocket before your insurance policy kicks in. It’s a standard part of most policies and helps keep premiums affordable.
Can a Roofer Legally Pay It for You?
Short answer: No.
In California—and many other states—it is illegal for a contractor to pay, waive, absorb, or rebate your insurance deductible. This is considered a form of insurance fraud because it misrepresents the true cost of the repair to your insurance provider.
Some contractors may try to disguise this practice as:
- “Free roof” promotions
- Advertising credits
- “Discounts” equal to your deductible
- Inflating repair costs to cover the difference
While these offers may sound harmless, they can put both you and the contractor in hot water.
The Risks of Letting a Roofer “Waive” Your Deductible
- Insurance Fraud Charges: Participating in such an arrangement could make you an accomplice to insurance fraud—even if the roofer initiated it.
- Voided Coverage: If your insurance company finds out, they can deny your claim or cancel your policy altogether.
- Shoddy Workmanship: A roofer willing to commit fraud might also cut corners on the quality of their work.
- No Legal Recourse: If something goes wrong with your repair, good luck getting help from a contractor who was never supposed to charge you in the first place.
What Are Your Legitimate Options?
If your deductible feels unaffordable, here are a few safe alternatives:
- Request payment plans directly from your contractor.
- Explore financing through your insurance agency or third-party lenders.
- Ask your insurance agent if other cost-saving options are available under your policy.
Protect Yourself, Protect Your Home
As Sacramento’s trusted insurance experts since 1946, we’ve seen it all. Our advice? Don’t fall for gimmicks. Work with reputable roofers who follow the law and coordinate directly with your insurance company.
Need help navigating your homeowners insurance claim or understanding what’s covered? Contact Eugene C. Yates Insurance Agency today. We’ll make sure you’re protected—honestly, legally, and affordably.