When you own a home, few projects are as significant as roof replacement. While a new roof can increase your home’s curb appeal and value and protect your family and belongings, it can also impact your home insurance costs—often in your favor. Insurers understand the increased protection from a new modern roof, so they highly value this improvement. Here’s a look at how upgrading your aging roof could lead to savings on your insurance premiums:
Why Insurers Care About Your Roof
Your roof is your home’s first line of defense against the elements. A well-maintained or recently replaced roof reduces the risk of damage from storms, leaks, and other costly incidents. It may also be more fire-resistant. That means fewer insurance claims for your home’s structure and possessions that can be damaged when a roof fails.
There are several factors insurers consider when looking at your roof and how it will affect your insurance premium.
The Roof’s Age
Older roofs have wear and tear, even if well-maintained. No roof material lasts forever, so the older your roof is, the more likely it is to fail. That means an increased likelihood of insurance claims.
Material Quality
Durable, impact-resistant materials provide better protection than their cheaper counterparts. Newer roof materials also tend to be more rugged than the technology and methods used in previous decades.
Local Climate
Homes in areas with intense weather benefit significantly from roofs designed to withstand the harsh local conditions. Roofing in Utah needs to be able to withstand brutal winters and harsh summers. A Florida roof should be able to handle intense winds.
Insurance companies view a new roof as a proactive step that will lower the risk of claims. That makes your home a safer bet for them—and a more reliable, comfortable place for you.
Potential Insurance Discounts for a New Roof
Every insurer has different policies, but in general, replacing your roof can lead to several types of savings. Here are some of the ways you might benefit:
Premium Discounts
Many insurance companies offer lower premiums for homes with new roofs. The reduction could range from 5% to 20%, depending on the insurer and the type of roof installed.
Improved Policy Terms
Some insurers will increase coverage limits or lower your deductible for roof-related claims when you have a new roof.
Pro-Tip: Check with your insurance provider before starting a roof project. Understanding the specific discounts they offer can help you choose a roof that meets their eligibility requirements.
The Impact of Roofing Materials on Insurance Costs
Not all roofs offer the same level of protection or expected lifespan. The materials you choose can have a significant impact on your insurance rates.
Homes in wildfire-prone areas may benefit from roofs with fire resistance, like metal options. High-impact-rated roofing shingles may be a better choice for areas with significant hail.
Just as certain materials are better for specific weather conditions, some roof materials may be less suitable. For example, clay tiles are heavy, making them less ideal for roofs that frequently bear the weight of heavy snow.
Your insurance company knows all these advantages and disadvantages and may set your premiums accordingly. That’s why you should check with them before finalizing your material selection.
Roof-related insurance pricing is not universal. Every insurance company has its own methods of evaluating local considerations and material choices.
Pro-Tip: Once your roofing contractor has finished your project, inform your insurance company promptly about the upgrade. That ensures your policy and premiums reflect your current roof materials and age.
Weather-Resistant Features
Consider investing in weather-resistant features that allow your roof to protect your home even better. Climate-appropriate materials are an outstanding first step, but additional features can bring your roof’s protection to the next level.
In snowy areas like Utah, consider ice and water shields. These waterproof membranes provide an extra level of defense against rain and snow. They can also help prevent ice dams. Snow guards or snow brackets are another cold-weather upgrade. These are small spikes your contractor can install. They prevent snow from falling off your roof in large, dangerous chunks.
For wind-prone areas, consider hurricane straps that strengthen the connection between your roof and home, allowing it to handle intense wind better.
Your contractor can help you determine the appropriate features for your climate and home’s structure. Not only are these upgrades that keep your home and family safer, but they may also lead to additional insurance discounts.
Weighing Costs vs. Benefits
The first benefit of many roofing choices is that you will have a better, more substantial, longer-lasting roof. A secondary benefit is the insurance savings you might receive. While higher quality materials or additional features may cost more, many people find the peace of mind they bring worth it. Additionally, insurance savings can offset some or even all of the price of these options.
With lower insurance costs, less frequent need to pay your deductible, and a reduced risk of costly repairs, spending slightly more on your roof can make sense. If paying for the roof you want isn’t in your budget, consider roofing companies with payment plans or financing options.
A new roof isn’t just a functional upgrade–it’s an investment that can lead to significant insurance savings. Before finalizing your roof project, take the time to research your options and consult your insurance provider. That will allow you to make thoughtful decisions that save you money on insurance costs for years or decades.