[Blueblaze]

Originally Posted by rsmurano

None of this makes sense. I know many Chevy and fords that are 50 years old that are worth many times the original cost of the car, so if they are insured, they better pay up if an accident occurs.
As for insurance, why would insurance companies pay for a 15 year roof? Roofing wears out with age, not sure in 15 years but at some point they stop providing protection. I would think that if an inspector checks the roofing and it has much more life to it at 15 years, then the insurance company should insure it for the same price as the year before but with any normal increase for inflation. This is what the new law should state, not that everyone has to buy a new roof after 10-15 years. Just like a car, your insurance doesn’t cover wear items like tires, engine repairs, paint, etc..

You don't cover a 50-year-old antique Ford or Chevy with an ordinary policy automobile policy from State Farm, and you know that. You insure it as an investment for what ever value your specialized insurer agrees to. And then you agree to not drive more than x times a year, and only for special events.

Pull your head out and think about it.

A roof is a deprecating asset, exactly like your every day driver in your garage. In a sane state, you insure it for the depreciating value, exactly like your car. You don't go begging your insurer for a new roof every 10 years any more than you beg for new tires on your car.

THAT'S the solution to this idiotic mess.

[Bay Kid]

Some insurance companies now want you to replace older hot water heaters.

[jrref]

Originally Posted by Bay Kid

Some insurance companies now want you to replace older hot water heaters.

And they should because you never know when they will leak and possibly cause a lot of water damage.

[Boffin]

Originally Posted by blueblaze

here's a crazy idea. Ever hear of depreciation? If you wreck your 15 year old chevy, you don't expect state farm to buy you a new one. So why do you expect state farm to buy you a new roof if a tornado blows away your 15-year-old roof?

I'll tell you why. Because that's the only kind of insurance you can buy in florida -- full replacement cost coverage.

All of the fraud the insurance industry blames on our high rates is due to their own dumbass insistence on selling these stupid full-replacement-cost policies on a depreciating asset.

they have basically forced everyone to find some way to buy a new roof they don't need every 10 years, and sooprise, sooprise, the roofing scammers found a way. It's the dumbest part of living in florida. And what did our brilliant legislature do? Did they mandate depreciating insurance to fix this absurd situation? Oh, hell no. They just made sure that your insurance company can screw you to the wall with rates beyond imagination, while continuing to sell you the same idiotic full-replacement coverage on your 15-year-old roof. At least before, you got a new roof periodically. Now, instead of spending your money to replace it, you'll spend the same money on insurance and live with your old roof. Or, you'll just give up and play the game -- let some roofing scammer make your insurance company buy you a new roof next time there's a big storm.

Dumb... Dumber... Dumbest.

[kkingston57]

Originally Posted by tophcfa

Cannot deny coverage, but can make coverage ridiculously unaffordable. How about making fraudulent roof claims a crime, and then correspondingly reducing insurance premiums for responsible homeowners?

Fraudulent claims are already a crime. Many fraudulent roof claims occur when the homeowner signs an Assigment of Benefits Contract(AOB) and this enables the roofer to treat the claim as if he was the homeowner. I was in the insurance adjusting biz. If an insured and/or the roofer with an AOB contract makes a claim and the insurance company denies the claim, the insured or the rooger can file a suit. If insurance company loses, insurance company will have to pay the claim, their costs to defend the lawsuit and the attorney fees for the insured or roofer. If the insurance company wins the suit, they will have to pay their attorney fees and costs and can(in some circumstances) recover this money from the insured. This is rare. It is a losing propostion to fight these claims. I do not have the statistics, but do believe that the insurance company has to win a high % of the claims in order to come close to breaking even(they can never come close to breaking even)

[kkingston57]

Originally Posted by bimmertl

Here's how the state backed (financially backed by all the citizens of Florida) insurer of last resort is doing.

Citizen’s Property Insurance facing 900 new lawsuits a month

Thanks for sharing the article.

[kkingston57]

Originally Posted by Flyers999

I used to do roofing up north for a few years in my younger days. I never replaced a roof that was not leaking, or it was not visually so far past its warranty that it was decaying before your eyes.
A little while ago I got a knock at my door. It was a roofer who claimed to be sent by my insurance company. He examined my roof, showed me pictures of it and claimed it was hail damage. I needed to replace my roof or my insurance would be dropped. I immediately called my insurance rep and she verified that the roofer was indeed from my ins company. So I checked my attic and crawl spaces to look for leaks. If your roof is leaking, you will find out quick. I could find nothing, bone dry. My roof was 17-years old ; it was a 30 or 35 year warrenty; I was going to replace it in three years anyway.

Again, why would anyone replace a roof that's not leaking?

To anwer your ?, because they can and the property owner gets a brand new roof for the deductible. I was in the insurance adjusting biz for 40 years. Roofers have learned to game the system. Agree with you 100% about the leaking. Most, if not all, of the claims are for worn out roofs which have minor cosmetic damages.

It is not a hard sell for the roofer, when they promise a brand new roof and the homeowner signs over their rights under an AOB(Assignment of Benefits) contract.

If you want to see more fraud, wait till the next big hurricane. Fortunately for TV this probably will not cause damage, but will cause huge increases in the premiums as we share the risk and will pay huge claims for damages to other places in Florida.

[kkingston57]

Originally Posted by HJBeck

Thought I read that the Insurance companies will be able to prorate roof coverage based on its age. ??

Not in a regular homeowners policy, but your idea would work(hopefully)

[kkingston57]

Originally Posted by rsmurano

None of this makes sense. I know many Chevy and fords that are 50 years old that are worth many times the original cost of the car, so if they are insured, they better pay up if an accident occurs.
As for insurance, why would insurance companies pay for a 15 year roof? Roofing wears out with age, not sure in 15 years but at some point they stop providing protection. I would think that if an inspector checks the roofing and it has much more life to it at 15 years, then the insurance company should insure it for the same price as the year before but with any normal increase for inflation. This is what the new law should state, not that everyone has to buy a new roof after 10-15 years. Just like a car, your insurance doesn’t cover wear items like tires, engine repairs, paint, etc..

Your idea does seem to be practicle and could help stop the "free roof" claims.I was in the insurance adjusting biz in Florida for 40 years. Replacement cost policies have been the norm since I started. Do not know why you can not buy an ACV(actual cash value) policy from a normal insurance company(I did work for Lloyds and they offered to sell an ACV policy) but do suspect that the lenders/mortgage company had a lot to do with this as they, also, want to be protected.

Even if an ACV policy was made available I ? if there is a market for this type of policy. Insureds want a policy which will pay for the damages less the deductible.

[Topspinmo]

Originally Posted by mikreb

Beginning July 1st insurance companies in Florida can no longer deny coverage if the roof is under 15 years of age. If the roof is 15+ years old and insurance company requires roof replacement to continue coverage you can hire a licensed inspector to examine the roof. If the inspector determines there is a minimum of 5 years of life left on the roof the insurance company cannot deny new coverage or renewals.

Wrong, they just cancel the policy it you roof over the limit so you you will have to get new roof or they will not insure home. Insurance can cancel policy when contract up, the don’t have to renew it. So, what this does make everyone have to have new roof.

[kkingston57]

Originally Posted by RVJim

Ridiculously unaffordable? More like priced appropriately for the risk. Free market at work and I wouldn’t have it any other way. Everybody loves a free market economy until the pricing isn’t to their liking.

Free market in Florida was destroyed after Hurricane Andrew hit S. Florida in 1992. Many good strong national insurance companies would not sell insurance in S. Florida after that storm and a lot of people could not buy homeowners insurance in S. Florida. If another big storm hits Florida, watch out.

[Topspinmo]

Originally Posted by kkingston57

Free market in Florida was destroyed after Hurricane Andrew hit S. Florida in 1992. Many good strong national insurance companies would not sell insurance in S. Florida after that storm and a lot of people could not buy homeowners insurance in S. Florida. If another big storm hits Florida, watch out.

See, that should be against law if the are licensed to sell insurance then it all the states or none. Health and home insurance should be single payer let government make the billions and not privileged private insurance companies. But. When know how insurance is insured from lobbyist payoff.

[Flyers999]

Originally Posted by kkingston57

Free market in Florida was destroyed after Hurricane Andrew hit S. Florida in 1992. Many good strong national insurance companies would not sell insurance in S. Florida after that storm and a lot of people could not buy homeowners insurance in S. Florida. If another big storm hits Florida, watch out.

(Thank you for you earlier, informative reply to me.)

In New Jersey, a similar thing happened. After a bad hurricane, insurance companies refused to insure homes on the coast. So, the state stepped up and underwrit the insurance for those homes. I'm not sure if NJ is still doing this, but I wanted to ask you,since you do have experience in the industry, if you see that ever happening in FL?