Will My Homeowners Insurance Cost Less if I Replace the Roof?

Understandably, many homeowners prefer to put off having a new roof installed for as long as possible. Still, if your roof is older and frequently in need of repairs, there are some possible home insurance perks you could enjoy from a new roof. One of these is the possibility of lower premiums. Here’s what you need to know about home insurance discounts as you weigh your roof repair vs. replacement options.

Roof Damage Isn’t Always Covered by Home Insurance

Granted, a new roof is a major investment. The average cost for a roof replacement, according to HomeAdvisor, is around $8,000. However, this is an investment worth considering if the roof you have now is more likely to be affected by any of the following types of damage:

• Storm-related damage
• Damage from strong winds
• Leaks and related damage to structures within your home

Also, not all roof-related damage is covered by a typical home insurance policy. It’s common for policies to cover damage from unexpected accidents, like a falling tree, or acts of nature, such as a severe storm. On the other hand, problems resulting from wear and tear or age are usually not covered or eligible for reimbursement. Since a new roof is often less susceptible to costly damage, replacing an older or damage-prone roof can be justified for this reason alone.

Potential Insurance Savings Depend on Several Factors

As for whether or not a new roof may lower your home insurance premiums, this could very well be the case if your provider offers such perks for policyholders. In fact, it’s not unusual for home insurance providers to reward policyholders with discounts for significant home improvements, and a new roof certainly fits into this category. It’s also common for insurance providers to consider several factors when determining if premium discounts can be applied. Some of the more common ones include:

• Materials used for the new roof
• Weather conditions common in the area
• Where the home is located (e.g., whether or not there are trees nearby, etc.)

Discounts for home upgrades generally range from 5 to 35 percent or more, according to some estimates. On an individual level, your provider may also consider the age of your old roof, your claims history related to that roof, and whether or not your new roof is designed in a way that provides added protection from risks common in your area.

Talk to Your Insurance Agent

If you talk to your insurance agent prior to going forward with a roof update, you’ll probably be given a general estimate of what kind of discounts you could receive based on your policy. A more specific figure will likely be given when it’s time to renew, as long as the roof work has been done. You can also ask your agent about home-related risks common in your area. This information can then be used by you and your roofing contractor to make decisions about materials and the nature of your roof installation.

For reliable, affordable homeowners insurance, San Diego homeowners know they can trust Altra Insurance Services. We also provide renters, commercial, motorcycle, and auto insurance Chula Vista. Request a free quote by calling one of our friendly agents today at (800) 719-9972.