Can You Provide an Estimate?

 

Do I need an Estimate?

The answer to this question is going to depend on several factors including, whether or not this is an insurance job, if the insurance has released all depreciation or not, and whether or not this is a straight out of pocket bid job.  I will explain each of these scenarios below.

Insurance Claim (RCV, with depreciation)

No, you don't need an estimate.  In almost all cases with storms, this is the situation.  This insurance claim will pay you a portion of the money up front, withhold the remainder, and only release it when I invoice the carrier for it.  Any estimate coming in cheaper than the full RCV can only bill at that price point.  Insurance will not release the full amount if they are billed for the lesser amount, and billing for the full amount with a lesser amount on the contract is straight insurance fraud.  There is no way to 'make money' on this situation legally and this is not what insurance is for.

You do not need estimates for your roof.  Your insurance company will provide the estimate.  The estimate they provide will be based on local material and labor costs that are generally current.  When you ask a roofer for estimates, you are signaling to him that he needs to be 'cheap'.  You are also signaling to him that you don't understand the process or how money is released from the carrier.  As such, you will get a lot of cheap estimates, you'll feel good that you 'beat' the insurance price, and you will get a roof put on.  The problem with this is that to get that cheap price, the roofer put on cheaper materials than he could have if you had shown him your insurance estimate, and you likely saved your insurance company some money.  All of this also cost you your deductible just the same.  

What you need to do is find the best roofer you can.  Do not base it on price.  Your cost is the same.  The roofer cannot pay your deductible.  So, pick the most qualified person for the job and let them do it.  For me, I will take the insurance estimate and then supplement it right off the bat.  This is where I put in all the items that the carrier missed or didn't want to pay for.  When I do this, I often come back with an approved roof scope that is several thousand dollars more than it was.  What does this mean?  It means that you are now getting a lot of upgrades that you would not have gotten before.  As I said, it costs you the same (your deductible), so, I want to install the best quality product I can because I am a top tier roofer.  I do not want to put on the cheapest roof I can.

Insurance Claim (ACV only)

You may want to get an estimate or two.  This is not nearly as common as above.  Generally, this situation catches homeowners off-guard.  However, your roofer needs to see the documents from the carrier in order to help you determine this.  In this case, the insurance company only sends you  a portion of the proceeds, or the Actual Cash Value.  There is no depreciation to be collected so there is no additional money.  In this case, you are footing the bill for most of the roof yourself unless it's a new roof.  Either way, you need to show your roofer the insurance.  In these cases, I will still supplement the claim aggressively because every penny I get from the carrier is a penny you don't have to pay out of your own pocket.  Estimates and bids may be necessary to help determine how much out of pocket you will be.  The 'cheap' roofer is still an issue here so you need to make sure you understand what materials he is using.  You also need to be up front and show the roofer your insurance document if you have it.  He is trying to win the roof job, but he is also now aware of the situation and what he needs to do to make it happen.

Insurance Claim (RCV without depreciation)

You may want to get an estimate or two.  In this case, the carrier has approved your roof and you have a  Replacement Cost Policy, but for whatever reason, they have released everything to you as a lump sum.  This money is expected to be used in full for your roof.  It is unethical to get a cheap roof and save that money for yourself.  However, at the end of the day, it is possible to do.  The same applies in terms of making sure your roofer is clear on the materials and that you are comfortable with the cheaper cost and lesser quality materials he is using for the chance to save a buck.  For me, I will again supplement this claim and upgrade everything I can to make your average roof install be a superior roof install.  I will collect the full amount as I am not in the business of skirting the law or playing in ethically gray areas.

Out of Pocket Bid

Yes, for sure.  This is the only situation where you want to get estimates from several roofers.  You will want to compare all estimates side by side to make sure you are getting what you think you are getting and question any roofers that are cheap or expensive.  I have no problem explaining why my price is where it is.  If your roofer doesn't want to discuss it, or he gets offended, it may be a tell that he is inexperienced or shady.