Will Insurance Cover a 20-year-old Roof? (2024)

FAQs

Will Insurance Cover a 20-year-old Roof? ›

If your roof is 20 years old or more, some insurance companies will require an inspection before offering coverage. Other insurers may only cover the actual cash value

Homeowners insurance covers roof replacement if the damages are caused by a covered peril such as fire, wind, or hail. Your insurer might refuse to renew the policy if your roof is 20 years or older and it doesn't pass a roof inspection.

The most common reasons your roof could be uninsurable are age, condition of the roof, leaks, poor insulation, and inadequate drainage. But ultimately, what makes a roof uninsurable will vary by insurance company, since the factors considered important with one company may be different than another.

How does depreciation affect a roof over twenty years? Imagine that you pay $10,000 for a new roof with a life expectancy of twenty years. Each year, it would depreciate by one twentieth of its purchase value, or $500.

Most insurance companies will not cover roofs older than 20 years old. Your roof age does matter when it comes to your homeowners' insurance policy. A roof can be extremely expensive to replace, and older roofs (more specifically, roofs older than 20 years) are more likely to sustain damage during a storm.

Yes, insurance companies often have roof exclusions in their policies, which means they may refuse coverage if your roof is old or worn-out. If your roof is approaching or exceeds its expected lifespan, insurance companies may view it as a potential risk and decide not to renew your coverage.

Discontinued Shingles

Most insurance policies cover the use of “like kind” materials. If the shingles on your roof have been discontinued and are no longer available, the insurance company will have to replace all the shingles on your roof even if only one shingle was missing.

An insurance review can absolutely be a good thing for you, but it's best to first have your professional roofing company come out and give your roof a thorough inspection.

Other insurers besides the FHA might not insure a property because of specific items that must be tended to, such as dead trees or ones that pose a risk of collapse on the property and need to be removed. Exposed and outdated wiring and other infrastructure issues could cause an insurer to deny coverage.

And for roofs that are older than 15 years, insurers would have to allow an insurance agent or homeowners to have an inspection on the roof's condition before refusing coverage.

Why does the roofer get the depreciation check? ›

The depreciation check covers the rest of your new roof's cost, which is why the roofer gets it. They get the check because it's what they're owed for completing the roof replacement.

Who keeps the recoverable depreciation check? Once repairs are made, or items are replaced, the homeowner typically receives the recoverable depreciation check, not the contractor or company making repairs. However, the process may vary based on the terms of the policy and the nature of your claim.

The truth is, a 30-year shingle will not really last 30 years. The expected service life of a 30-year product, if properly cared for, is approximately 25 years.

A roof that's 20 years old or more may be ineligible for coverage or only be covered for its actual cash value. Condition: Insurance companies are looking for roofs that are in good condition with no visible signs of wear or tear. Material: A slate roof is considered more stable and may earn you a lower rate.

Actual cash value or ACV roof coverage means that your insurance company agrees to pay you for the value of your roof in its current state. Essentially, depreciation is factored into your claim settlement.

Settlement: You receive the calculated amount from the insurance company minus your home insurance deductible to go towards the repair or replacement of your roof.

A roof that exceeds its expected lifespan can lose its eligibility for reimbursem*nt. If your roof is around 15 years old, you're definitely approaching the cutoff depending on your roof type.

If you find a 15-year-old roof, there is a good chance for tons of normal wear and tear. Such damage falls under general maintenance, which becomes the homeowners' responsibility to repair it. If you have an old roof, you can't file an insurance claim for the repair work.

And for roofs that are older than 15 years, insurers would have to allow an insurance agent or homeowners to have an inspection on the roof's condition before refusing coverage.

Insurance companies usually won't cover a roof that's over 20 years old. Older roofs are more vulnerable to storm damage. That makes them a bad risk for most insurance companies.