Roof damage is one of the most common issues homeowners in Louisiana face, especially due to the frequent storms, hurricanes and severe weather events that hit the state. As a homeowner, having a solid understanding of your roof insurance policy is critical to ensure you’re properly covered when disaster strikes.
Unfortunately, many homeowners don’t fully understand the fine print of their insurance policies until they’re in the midst of filing a claim.
In this blog, we’ll walk through some of the key elements of roof insurance policies in Louisiana, what you should look for and how to ensure you’re adequately covered.
Hurricane and Named-Storm Deductibles
One of the most important features of roof insurance policies in Louisiana is the hurricane and named-storm deductibles. These are separate deductibles that apply specifically to damage caused by hurricanes or named storms as declared by the National Hurricane Center.
These deductibles are typically higher than standard deductibles for other types of damage, often expressed as a percentage of your home’s insured value. For example, if your home is insured for $300,000 and you have a 5% hurricane deductible, you’d be responsible for paying the first $15,000 in repairs before insurance kicks in.
Replacement Cost vs. Actual Cash Value
Roof insurance policies will often reimburse you for roof repairs based on either replacement cost or actual cash value (ACV). It’s important to understand the difference, as it affects how much you’ll receive after filing a claim.
If you have a policy with replacement cost coverage, you should receive coverage for the full cost of replacing your roof with new materials without considering depreciation. If your policy covers replacement costs, you’ll get a payout for the actual cost of replacing the damaged roof.
ACV policies, on the other hand, factor in depreciation. This means you’ll receive less than the cost it takes to replace the roof. The older your roof, the more it has depreciated, and the less you’ll get paid out.
Louisiana’s extreme weather conditions can wear down roofs over time. Know the coverage you have and decide whether upgrading to a replacement cost policy makes financial sense for your investment.
Matching Exclusions
A matching exclusion is a clause in some insurance policies that allows insurers to only replace the damaged portion of your roof without covering the cost to ensure the new materials match the undamaged areas. If a storm damages part of your roof and the replacement materials don’t match the existing roof due to fading, age or unavailability, you might be left with a patchwork roof unless your policy specifically includes matching coverage.
Wind and Hail Exclusions
You may be surprised to know that some Louisiana insurance policies exclude coverage for wind and haildamage – two of the most common causes of roof damage in the state. With Louisiana being highly vulnerable to hurricanes and severe storms, having these exclusions could leave you financially responsible for repairs after a storm.
Make sure your policy covers wind and hail damage, or consider adding a rider to your existing policy if these perils are excluded.
Contact us at Kandell, Kandell & Petrie Law Firm
Understanding the details of your Louisiana roof insurance policy can make all the difference when disaster strikes. Make sure your policy offers comprehensive coverage, including wind and hail protection, and be aware of any matching exclusions or high hurricane deductibles that could affect your payout.
If you do experience damage to your roof or receive a claim denial letter from your insurance company, contact our New Orleans team at KK&P Law Firm right away to discuss your options.
