One of the toughest parts about owning a home is knowing when to replace your roof. A few missing shingles may not seem like a big deal to you, but your homeowners insurance company may see this as a red flag.
The reason for this is your roof — along with your home’s systems and foundation — is what keeps your house intact. Once your roof starts showing signs of deterioration, that’s a telltale sign to insurers that it’s only a matter of time before it goes kaput.
However, there are insurance companies that specialize in insuring homes with high-risk features, including older or damaged roofs. In this guide, we’ll explain how to get homeowners insurance with a bad roof.
Can you get homeowners insurance with a bad roof?
Yes. In fact, it’s possible to get homeowners insurance with a bad roof even after you’ve been denied coverage. Some insurance companies actually specialize in insuring homes with bad roofs or other risks that standard insurers won’t touch.
But high-risk homeowners insurance can cost a pretty penny. Additionally, coverage is typically only provided on an actual cash value basis. That means if your 20-year-old roof is damaged in a windstorm, you’ll be reimbursed for the roof’s replacement value minus 20 years of depreciation.
But if you need temporary coverage while you save for a new roof, or if you’re selling your property and don’t want to put any more money into it, getting coverage through a high-risk insurance company is a suitable option.
Roof requirements for homeowners insurance
Insurance companies place a lot of importance on roof condition when determining a home’s coverage eligibility and rates. Generally, there are four key insurability factors insurers look at.
Roof age
If your home has a newer roof, you’ll likely see lower rates — maybe even a policy discount. If your roof is more than 15 or 20 years old, coverage will likely cost more and your insurer may only agree to cover the roof at its actual cash value.
Roof condition
The better condition your roof is in, the less you’ll have to pay for homeowners insurance. Insurance companies are more likely to overlook your roof’s old age if it’s in pristine condition or has no visible sign of wear and tear.
Roof type
Insurers will also consider what your roof is made of. Metal roofs are the most structurally sound, so they’re usually the cheapest to insure. Conversely, wooden roofs are viewed as an insurance risk since they’re not fire resistant. Insurance companies in areas with high fire risk may refuse to insure homes with wooden roofs.
Roof shape
Your roof’s shape can also impact your rates. Gable roofs (upside down V shape) and hip roofs (four-sided) are the most common shapes. Gables are generally more at risk of wind damage, so they generally cost more to insure than hip. Homes with flat roofs are usually the most expensive to insure.
What to do if your insurance is canceled because of a damaged roof
If you receive a policy cancellation notice, you’ll have around 60 days to replace your damaged roof or find a new home insurance policy.
Provided that your roof isn’t badly damaged, you’ll likely be able find a company to insure your home. But ultimately, you’ll have to weigh the costs and benefits of keeping the roof as is and paying higher rates versus investing to repair your roof and paying lower rates.
But if you don’t repair or replace your roof, you face having to pay significantly higher rates with a company that is willing to take on that risk. Roof replacement also lessens the chance of further damage to your home down the road.
How to get home insurance with a bad roof
An old or damaged roof can make your home insurance rates more expensive, or worse, potentially cause you to be denied coverage from some companies. But it is possible to get a homeowners insurance policy, even if your roof needs to be repaired.
Here are five steps to get home insurance with a bad roof:
Assess your roof's condition. Take a look at your roof to determine the extent of damage and deterioration. Get a roof inspection from a contractor or roofing company and take pictures of any damage you see. Depending on the situation, you may need to hire a professional or use a drone to take pictures to avoid putting yourself in danger.
Gather information. Before you can get a quote for a home insurance policy, you'll need to have all the information about your roof. Document the age, location, type, and condition of your roof as well as any proof of maintenance or proof of repairs before speaking to an insurance expert.
Get a quote. Look for insurers that specialize in high-risk homes or offer coverage for homes with bad roofs. Research online, ask for recommendations, and compare multiple policies by getting a quote through Policygenius.
Understand coverage limitations. Given the condition of your roof, it is important to know what limitations or exclusions may be included in a potential policy before you make a purchase. Depending on how much damage you have, you may need to consider temporary coverage while repairing or replacing your roof.
Purchase coverage. Once you know what your options are, choose a policy and make a payment so your coverage is active.
How much does it cost to repair or replace a roof?
The average cost of roof repair/replacement is around $9,206, with a range of anywhere from $5,886 to $12,796, according to Home Advisor. [1] But costs will vary widely depending on the cost of roofing materials and labor in your area.
For example, basic builders-grade asphalt shingles may only cost around $3 per square foot, whereas higher-quality composite shingles are known to cost as much as $15 per square foot installed.
There are a number of other factors that impact roof replacement costs, including:
How easy it is to access to your roof
Your home’s condition
Cost of permits and licenses
Whether you’re replacing or re-roofing, or placing new shingles over old ones. Re-roofing is generally the cheaper option.
What is considered an old roof?
Insurance companies generally consider a roof older than 15 years to be old. If you live in an area where roof damage from wind and hail storms is common, like Florida or Texas, you may see higher home insurance rates or coverage restrictions like actual cash value protection.
Will homeowners insurance cover a 25-year-old roof?
Whether or not homeowners insurance will cover a 25-year-old roof or not likely depends on where you live and what kind of shape the roof is in. If your house is in a state with a fairly mild climate, like Idaho or Oregon, you'll likely have no problem finding an insurer to cover a roof with more than a couple decades under its belt. But if you live in a Southern U.S. state where tornado and hurricane risk is high, you may have a more difficult time finding coverage with a standard provider.
How the age of your roof impacts your home insurance rates
One benefit of replacing your bad roof is you'll typically be rewarded with lower home insurance premiums.
Here's how much you stand to save on your home insurance rates by replacing your roof:
Company | Average annual cost with old roof | Average annual cost with new roof | Savings | |
|---|---|---|---|---|
$1,907 | $1,482 | $425 | ||
$1,765 | $1,441 | $324 | ||
$1,818 | $1,534 | $284 | ||
American Family | $1,795 | $1,514 | $281 | |
Auto-Owners Insurance | $1,499 | $1,348 | $151 |
Methodology: Annual rates are based on our analysis of home insurance premiums provided by Quadrant Information Services in March 2022 for ZIP codes in all 50 states plus Washington, D.C. Annual rates for old roofs are calculated by averaging the cost of policies for a roof that's 10 years old, 15 years old, and 20 years old with each carrier.
Frequently asked questions
How many shingles need to be missing for insurance to replace a roof?
Because each company is different and insurance laws vary from state to state, there is no specific number of shingles that guarantees an insurance company will replace your roof. If you think your roof is damaged badly enough to file an insurance claim, document the damage and reach out to your insurance agent.
How can I get insurance to pay for my roof replacement costs?
To get homeowners insurance to pay for a new roof, you'll first need to call your insurance company and see if the damage is covered by your policy and file a claim. Once you submit your claim, your insurance provider will likely send out an adjuster to inspect the roof damage and determine a proper valuation. In it's approved, your insurer will offer you a settlement amount and, if you're happy with the amount, you'll find a qualified roof contractor either through your insurance company or on your own.
What makes a roof uninsurable?
Every insurance company is different, so the factors considered important for roof coverage may be different from one insurer to the next. That said, the most common reasons your roof could be uninsurable are age, condition of the roof, leaks, poor insulation, and inadequate drainage.
