The season for severe weather, including hailstorms, has arrived for Denver residents, so it is critical that residents develop a complete understanding of how roof insurance works, according to Farmers Insurance District Manager Jared Seyl Denver.
Denver is known to experience hailstorms from March to October, and these storms can take a tool on roofs. For this reason, Denver residents should understand roof replacement costs, the limitations of roof insurance, and actual cash value, according to Seyl.
Seyl said that homeowners should check to see if their insurance companies cover open perils/ all risk or only named perils. The later limit their coverage, which may be unhelpful in the event of a damage-causing hailstorm.
In addition, homeowners should check to see if they have coverage for the replacement costs of their homes, including their roofs. If not, their claims will be settled based on the actual cash values, or the depreciated values, of their roofs at the time that their losses occurred. In this situation, insurance companies take into consideration factors such as the depreciation rate, the roof’s lifespan, and the roof’s age.
Furthermore, homeowners should know what their insurance coverage limits and deductibles are, according to Seyl. In some situations, homeowners receive deductible waivers for large losses.
Jared Seyl Denver said that because every insurance company is different, homeowners would be wise to do research and shop around for the best coverage for their unique needs. The reason for this is that even though some companies limit their coverage, others have chosen not to do so.
Farmers Insurance remains a leader in today’s insurance industry due to its passion to help its agents as well as its customers. It offers 50-plus financial service and insurance offerings designed to meet its customers’ varied needs both in the United States and in other parts of the world.