Homeowners Insurance: How Wind Hail Roof Coverage Works

How Wind Hail Roof Coverage Works - Hey, this is Jeremy from Shine Insurance. And today's topic is the three different ways your roof could be covered if you have a hail storm, or a wind storm caused damage to it. Especially if you live in the Midwest, you know that wind storms and hail storms happen every year. If something happens to your house, how does your insurance policy cover it? Well, let's find out.

Oftentimes insurance companies separate out wind and hail losses with different deductibles and different coverage options on an insurance policy. So what does your insurance policy have? Well, it's one of three things. Let's start with the worst.


The number one worst coverage you could have is no coverage at all. On insurance policies it is possible to exclude wind/hail damage. That means if your roof is damaged by wind, or your roof is damaged by hail, that's right, you've got no coverage at all.


The second type of coverage is better than no coverage at all, but still isn't as good as it gets. That type of coverage is called ACV or actual cash value. And here's what it means, simply put, when you have a loss, if it costs $8,000 to replace your roof, the insurance company is not
going to pay that $8,000.

They're gonna say, Well, it's gonna cost $8,000 to replace your roof, but your roof is 10 years old, so we're gonna subtract or depreciate the age of the roof from the amount of money we're going to pay out.

That could mean it's gonna cost $8,000 to fix your roof, but you only get $5,000 from the insurance company. There's a $3,000 gap there that you're gonna have to cover for yourself.


The third way the roof is covered in a wind or hail loss is really the best way. And that coverage is called replacement cost. Simply it means if it's gonna cost $8,000 to replace your roof, the insurance company is gonna write you a check for $8,000 to get it done.

So the three ways your roof could be covered in a wind or a hail loss are not at all, ACV, which means the replacement cost minus depreciation based on how old your roof is, or replacement cost, which means they'll pay the amount of money it's gonna cost to get your roof back to the state it was in before it was damaged in the storm.

So get out your insurance policy right now. What kind of wind/hail coverage do you have ? Is it ACV? Replacement cost? Or no coverage at all? Do you have a different deductible for wind/hail loss than you do for all other perils or anything else that could happen to your house? Oftentimes they're different.

So we hope you learned a little bit about roof coverage in a wind storm or a hail storm today. If you have questions, please check in with us
at comment box below, and if you like this article, please share it on the bottom of this article, tell others about it. Good information is only great if it's shared with others. Until the next time, have a wonderful day.

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