Home contractors around the country are responsible for maintaining, updating, and building onto the properties of their clients. Despite the modern tools and training available to these specialists, like roofers, things can go wrong. Your work schedule may be delayed. A helper might cut corners without telling you. It’s even possible to make a mistake which damages the homeowner’s property or injures someone. The potential for all of these problems occuring and the expenses associated with them is enough to make any contractor reconsider their trade!
However, you can take steps to protect yourself with a roofing insurance policy that covers all of these situations and more. The right insurance takes the stress off so you can focus on those responsibilities without worrying about what might happen in the future.
- The 5 Best Roofing Insurance Companies
- What is Roofing Insurance?
- What Kind of Insurance does a Roofing Company Need?
- Roofing Contractor Liability Insurance
- How Much Does Roofing Insurance Cost?
The 5 Best Roofing Insurance Companies
It’s hard to pick the right insurance company for your needs when there are so many options on the market. To help you get started, here are 5 of the best providers of roofing insurance to explore:
- CoverWallet: Best for Comparing Online Quotes
- Next Insurance – Best for Instant Proof of Insurance
- Prime Insurance – Best for Excess and Surplus Lines Insurance
- Castle Rock Agency – Best for Variety of Coverage
- CNA Insurance – Best for Industry Affiliations
CoverWallet: Best for Comparing Online Quotes
If you want to compare several online quotes to select the best one for you, you may want to consider a digital broker like CoverWallet. They work with several leading business insurance companies and are able to provide you with quotes of these companies in one place.
If you are new to buying roofing insurance for your roofing business either as a general contractor or an independent contractor, you will find their suggestion and educational content very helpful. After you fill in some information of your business, CoverWallet will suggest you the business insurance policies that are relevant to your business.
Lastly, after buying a policy through CoverWallet, you will be able to use their digital dashboard to manage all of your business insurance policies in one place. There are several great features on the dashboard from downloading the certificate of insurance, filing a claim, or renewing the policy.
Next Insurance – Best for Instant Proof of Insurance
If you are about to start a job and need proof of insurance right away, consider Next Insurance. This online insurance company offers instant certificates of insurance for contractors to show on their phones or print out. Plus, everything is easy to access online, including free quotes and claims requests.
Prime Insurance – Best for Excess and Surplus Lines Insurance
Perhaps you work in a particularly hazardous area of roofing, such as on tall or steep buildings, or you have a few large claims in the past. Prime Insurance can help you get insured again using excess and surplus lines insurance policies. This insurer specializes in covering things that other insurers won’t cover, such as contractors working in hazardous or unusual industries.
Castle Rock Agency – Best for Variety of Coverage
If you are looking to create a policy with a wide variety of coverage, Castle Rock Agency is the best choice for you. They can cover everything from libel suits to injuries to subcontractors through their policies. Castle Rock Agency also offers multiple payment plan options for contractors on a budget.
CNA Insurance – Best for Industry Affiliations
If you go to the National Roofing Contractors Association (NRCA) and ask for a reference, they might suggest CNA Insurance. Overseen by NRCA’s Insurance Board of Governors, CNA Insurance has been in business for over a century and has been partnered with the NRCA for over 40 years. They offer a broad range of insurance options, such as cyber risk solutions, inland marine, and umbrella insurance coverage.
What is Roofing Insurance?
There are over 100,000 roofing companies and contractors in the United States, per IbisWorld. Nearly all of these businesses protect themselves from the worst happening with a quality insurance policy. But, what exactly is roofer’s insurance?
If you are looking for roofing insurance, you will find a range of business insurance policies that pay the costs associated with different events that may occur in the course of your daily operations, such as accidents, bodily injury, shoddy workmanship, and property damage.
Roofing insurance is just a general term referring to the business insurance policies that a roofing company might need.
What Kind of Insurance does a Roofing Company Need?
There are different kinds of insurance available for roofing companies. Generally, the options vary depending on the size of your business and whether or not you have employees. An insurance agent is the best person to help you decide which coverage to purchase. Some of the insurance policies that roofers usually get include:
- General Liability: The most commonly selected insurance coverage, general liability covers you against third party injuries and property damages. Read more about Top 6 Providers of General Liability for General Contractors
- Professional Liability: A professional liability policy protects you against claims of shoddy workmanship, incomplete work, or similar claims.
- Inland Marine: An inland marine policy will cover the costs associated with replacing tools and materials that were damaged or lost while in transit from your workplace to a construction site.
- Commercial Auto: Every business with a commercial vehicle should get it covered with a commercial car insurance policy, whether liability only or comprehensive coverage.
- Worker’s Compensation: If you have employers at a roofing company, your state may require that you purchase worker’s compensation that will pay part of a worker’s salary if they are injured on the job.
>>MORE: Insurance for General Contractors: Coverage, Cost, and Providers
Roofing Contractor Liability Insurance
A roofing contractor is required to carry similar insurance policies as a roofing company. The most important insurance policies a roofing contractor needs to have are general liability and professional liability insurance. While general liability covers bodily injuries and property damages of third party, professional liability covers negligence claims. Since a roofing contractor works at someone’s house and his work can cause damages to the home itself. For example, while climbing on the ladder to the roof, he may break the window. That would be covered by a general liability insurance.
If after this work, the new roof is leaking and causes damages inside the house, and the home owner believes that it is due to his negligence and sues him. A professional liability will help cover such a law suit.
Repairing or replacing a roof is a very risky and costly job. Any home owner would require a roofing contractor to have these two policies at least before signing the contract.
A roofing contractor might want to protect his tools and equipment which he invests a lot of money in. He may want to get an inland marine policy, which covers his tools and equipment while they are in transit from his home to a job site or from a job site to another job site and while they are stored temporarily at a job site.
>>MORE: Cheap General Liability Insurance for Contractors
>>MORE: The Top 11 Providers of General Liability Insurance for Contractors
How Much Does Roofing Insurance Cost?
Roofing insurance premiums can vary quite a bit depending on different factors. When you first apply for insurance, the insurer will look at where you operate the business, how many employees you have, and what kind of risks are involved, such as previous claims history. If you have a history of making large claims, your insurance policy’s monthly premiums can be much higher than average.
Since roofers have one of the more dangerous jobs on a worksite, their premiums do tend to be a bit higher compared to those in other industries. According to Next Insurance, roofers can expect to pay between $100 – $200 per month for general liability insurance with an aggregate limit of $300,000 to $2 million. This is compared to a median price of $29 per month for electrician’s general liability insurance or about $41 per month for a similar carpenter’s insurance policy.
Roofing insurance costs vary by companies, be sure to shop around with a few companies or with a digital broker like CoverWallet to compare several quotes before selecting the best one for you.
Does homeowners insurance cover roof replacement?
If your roof is damaged due to cover perils such as wind, rain, or a fallen tree, your home owners insurance should cover the costs to repair or replace the roof.
The dwelling coverage in your home owners insurance policy will pay for the roof repair or replacement costs. It is important to note that you need to pay the deductibles first before the insurance company pays in.
Does homeowners insurance cover roof leak? Should I call my home owners insurance when there is a leak in my roof?
If the roof leak is caused by one of the covered perils, for example a fallen tree or fire or wind, yes, your home owners insurance policy should cover it. If the roof leak is due to a lack of proper maintenance or normal wear and tear.
Whether or not you should call your home owners insurance company when there is a roof leak depends on the cause of the leak as discussed above and how much you think it would cost you to repair the leak. You should get a quote from a roofing contractor first to see how much it would cost you to repair the leak.
If the cost is more than your deductible, you may consider having your home owner insurance pay for it, although your home insurance premium may increase in the future. Otherwise, I may just pay for the repair out of your pocket.
>>MORE: The 9 Best Independent Contractor Insurance Companies
>>MORE: 5 Best Providers of Carpenters Insurance
Final Thoughts
- Roofing insurance includes multiple coverage options, like General Liability, Professional Liability, and Worker’s Compensation.
- It’s recommended that roofing businesses of all sizes get insurance, including medium-sized companies and individual contractors.
- You can find insurance through multiple companies, like Next Insurance, Prime Insurance, Castle Rock Agency, and CNA Insurance.
- You can also use a comparison site to get multiple quotes at once or have insurance agents contact you with quotes for roofing insurance.