Does Homeowners Insurance Cover Roof Replacement?

The short answer

Usually only when something sudden damages the roof, like wind, hail, fire, or a falling tree. Homeowners insurance does not pay to replace a roof just because it is old or worn out. Even when damage is covered, how much you get depends on your roof coverage type, your deductible, and your roof’s age. And an insurer can require a new roof to renew your policy without paying for it.

Is this you?

Your insurer wants a new roof, and you are wondering if your policy will pay for it.
A storm damaged your roof and you want to know what the claim may cover.
Your renewal says your roof is now covered at actual cash value or on a payment schedule.

Sudden damage vs. wear and tear

Homeowners policies pay for sudden, accidental damage from covered causes. They do not pay for upkeep. The Maryland Insurance Administration puts it simply: policies do not provide coverage for maintenance.

Usually covered (if your policy includes it)	Usually not covered
Wind and hail damage	Old age and normal wear
Fire and lightning	Granule loss and curling from years of sun
A tree or limb falling on the roof	Leaks from poor upkeep or old repairs
Weight of ice or snow	Flood and earthquake (need separate coverage)

There is a catch for older roofs. If a storm hits a roof that already needed work, the insurer may pay only for the storm damage, or only for the part of the roof that was hit. In some coastal areas, wind is excluded and covered by a separate policy.

How much the insurer pays: three ways roofs are settled

Coverage type	How it pays	What it means for an older roof
Replacement cost	The cost to repair or replace at today’s prices, without subtracting for age.	Often paid in two parts. The first check is the cost minus depreciation. The rest comes after the work is done.
Actual cash value (ACV)	The cost minus depreciation (the value lost to age and wear).	The older the roof, the smaller the check. On an old roof, it may not cover much more than the deductible.
Roof payment schedule	A set percentage based on roof age and material, usually for wind and hail damage only.	One insurer’s schedule takes 4 percent off for each year of a shingle roof’s age, up to 75 percent. A 12-year-old shingle roof would get about half the replacement cost.

The Texas Department of Insurance gives an example of how fast ACV shrinks. With a 2 percent deductible and the same storm, the payout drops each year, and for a 20-year-old roof it reaches zero. Read more in our guide to actual cash value roof coverage.

Wind and hail deductibles

Many policies have a separate deductible for wind, hail, or hurricanes. It is often a percentage of your home’s insured value, not a flat dollar amount. The Insurance Information Institute says these usually run from 1 to 5 percent. In Florida, insurers must offer 2, 5, and 10 percent options.

Here is how it adds up. On a home insured for $300,000, a 2 percent deductible means you pay the first $6,000 of a storm claim. A 5 percent deductible means the first $15,000. Look at your declarations page to see which deductible applies to your roof.

Matching and code upgrades

Matching. If only part of the roof is replaced, the new shingles may not match the old ones. Rules differ by state. A model rule from the National Association of Insurance Commissioners (NAIC) says that when replaced items do not match, the insurer should replace enough to give a reasonably uniform appearance. States decide whether to adopt it. Florida has a matching law, but it applies unless the policy says otherwise, and some Florida insurers now cap matching payments at 1 percent of the policy limit.

Code upgrades. When a damaged roof is replaced, local building codes may require extra work, such as new parts the old roof never had. A standard policy may not pay for that. Ordinance or law coverage pays to bring repairs up to current code after a covered claim. Many policies include a small amount, often 10 percent of the dwelling limit, and you can usually buy more. In Florida, policies include 25 percent unless you turn it down in writing, and insurers must offer 50 percent.

When your insurer requires a new roof but will not pay for it

This surprises many homeowners. Deciding whether to insure your home (underwriting) is separate from paying claims. An insurer can say it will not renew unless the roof is replaced, even though the policy will not pay for a roof that is simply old. The Texas Department of Insurance says insurers won’t pay for a new roof just because the old one is worn out.

If that is your situation:

Ask if a repair or certification would be enough. Many insurers accept a roof certification showing years of useful life left.
Check your state’s rules. In Florida, an insurer must allow an inspection before requiring replacement of a roof 15 years or older. If it shows at least 5 years of useful life, roof age alone cannot be the reason to refuse coverage.
Check whether there is real storm damage. If a recent storm damaged the roof, a claim may help pay for part of the job. Never let anyone talk you into exaggerating damage.
Compare other insurers. Some accept older roofs, sometimes with ACV roof coverage.
Plan the cost. See ways to pay for a new roof and how much time you have.

What to check on your policy today

How your roof is settled: replacement cost, ACV, or a payment schedule.
Your wind, hail, or hurricane deductible, and whether it is a percentage.
Your ordinance or law limit.
Any roof endorsement added at your last renewal. Your insurer should tell you if it switched your roof to ACV.
The roof year the insurer has on file. If it is wrong, send proof.

Good to know

When you replace your roof, send your insurer the invoice and permit, and ask in writing to move the roof back to replacement cost. Some schedules reset only when the insurer is told. A new roof may also lower your premium.

Want a local roofer to take a look?

A local roofer can check your roof and tell you whether a repair, a roof certification, or a replacement makes sense. Free, with no obligation.

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Common questions

Will insurance pay for a new roof because my roof is 20 years old?

No. Age and wear are not covered. Insurance pays only when a covered event, like wind or hail, damages the roof, and an older roof may get a smaller check.

Why did my insurer pay so little for my roof claim?

Common reasons are ACV or a payment schedule on the roof, a percentage wind or hail deductible, or the insurer finding that part of the damage was wear and tear. Ask for the adjuster’s estimate in writing and see how the payment was figured.

Do I get the rest of the money after the roof is replaced?

With replacement cost coverage, often yes. Many policies hold back depreciation until the work is finished. Ask your insurer how long you have to complete the work and claim it.

Can I switch my roof coverage back to replacement cost?

Sometimes, after a new roof is installed. Send proof and ask your insurer or agent in writing.

Where to go next

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