Texas Roof Deductible Law

It is a win for reputable contractors as it will punish contractors who waive or otherwise don t collect insurance deductibles from their clients.

Texas roof deductible law.

Under the recently approved texas house bill 2102 any roofing contractor that offers to waive your deductible on your property insurance could be facing criminal charges. Payment of deductible required. Unfortunately due to a poorly worded statute many. It is not a completely new law but rather a clarification and more carefully worded version of the deductibles law that has been around for years.

To get the job texas roofers often offer homeowners a free roof by agreeing to pay the homeowner s insurance deductible. This law takes effect september 1 2019. A new law if approved by gov. Let s say it will cost 20 000 to replace your 10 year old roof after hail damage and your home policy has a 3 000 deductible.

A policy with actual cash value coverage will take into account the age of your roof. So roofers are now required to state in their contract in boldface language that you must pay the deductible under your property insurance policy. Roofers who waive deductibles are cutting corners. A policy with replacement cost will pay 17 000 20 000 3 000.

Roofers who waive deductibles are cutting corners. Take your business elsewhere. The new law entitled payment of insurance deductible goes into effect september 1 2019 and will be located in chapter 707 of the texas insurance code. This is usually done with a depreciation schedule.

Abbott is designed to end the illegal. Under texas house bill 2102 approved in the most recent legislative session roofing contractors who offer to waive a homeowner s deductible on their property insurance policy could face jail time. The first full paragraph states. The new laws texas hb 2102 have to do with insurance claims on roof repairs replacements.

Take your business elsewhere texas insurance commissioner kent sullivan. A person insured under a property insurance policy shall pay any deductible applicable to a first party claim made under the policy see tex. Specifically the payment of the deductible of which the homeowner is responsible for paying. A new state law makes it clear that it s illegal for a contractor or roofer to waive an insurance deductible.

This new law will help further protect consumers said texas insurance commissioner kent sullivan. Hb2102 prohibition against waiving of deductibles available here the waiving of deductibles has been improper in texas since 1989.