Will a New Roof Lower Your Homeowner’s Insurance?

If you’re in the market for a new roof, we don’t blame you for trying to cut costs where you can. Roof replacements—whether voluntary or involuntary—are expensive projects.Luckily, new roofs are among the various home improvement projects that can lower insurance.

If your roof qualifies for savings, you might see a 5 to 35% reduction in your premium. But before you bank on an insurance discount for your new roof, know that several factors come into play, and discounts are not guaranteed. 

Factors that Determine Your Insurance Rate

You might think that any significant home upgrade will lower your insurance, including roofs. Before asking, “will a new roof lower my homeowners insurance,” you need to know how insurers review claims—why you need a new roof, and your timing makes the biggest difference. 

Reason for Replacement

In general, you need to voluntarily upgrade or replace your roof to be eligible for lower insurance premiums. Most companies will award a discount as a thank you for improving your home’s quality and prioritizing safety. But if you need a new roof due to a disaster—or after a mandatory inspection—a roof replacement could actually increase your rates.

Consider how many claims you’ve made on your existing roof, as multiple insurance claims could hike premiums. If your roof replacement follows a partial repair after last year’s hurricane damage, be prepared for a possible increase, not a decrease.

Age

Newer roofs can warrant better insurance rates because they offer better protection for your home against extreme weather. New roofs also have lower risks of mold, leaks, or pest problems. For this reason, some companies provide a “roof age discount.”

However, if your roof is over 20 years old, many providers consider it a liability—you may have difficulty finding someone willing to insure a roof that’s more likely to require replacement soon.

Roof Factors that Affect Your Insurance Premium

A new roof doesn’t automatically guarantee lower premiums. If getting an insurance discount for a new roof is your goal, you should go over your plans with your insurance provider to see if a discount is possible first. Roof type, the materials used, and whether your new shelter meets certain criteria will determine your new rate.  

Roof Shape

The shape of your roof will affect your homeowner’s insurance costs. For example, homeowners in areas prone to hurricanes or high areas homes have a better chance of securing a discount if they choose a hip-style roof. These have four sides and are typically the most costly to build. That said, insurance companies appreciate hip roofs with 30-degree angles because they fare best in hurricane weather.

Gable roofs look like an upside-down V, making them vulnerable to high winds. These roofs may cost more to insure.

Flat roofs are less common because water can pool on the flat surface and cause damage, which worries insurance companies. Flat roofs also have the shortest lifespan.

Roof Material

Photo: pamspix / E+ / Getty Images

Some materials withstand environmental impact better than others, so the materials you choose can drastically change your insurance costs. Roofs with the lowest premiums are asphalt, slate, metal, and concrete. Wooden roofs cost about $150 more a year to insure than other types of roofs.

• Wood: Least-fire resistant and might require added fire protection for coverage. In areas with high risks of wildfires, providers may refuse to insure your wooden roof.

• Asphalt shingles: Affordable and can be installed on top of an existing roof, but are susceptible to decay, rot, and removal. 

• Slate: Low maintenance and is resistant to high winds, fire, insects, and rot. They’re also heavy, susceptible to hail, and expensive. High replacement costs could increase insurance premiums.

• Metal: Very durable and resistant to fire, rot, and insects. They reflect sunlight but dent easily when there’s hail. These can be costly to install.

• Concrete: Protects against hail, high winds, and heavy rainstorms.

Impact-Resistant Roof Discount

If inspectors certify your roof as “impact-resistant,” you may get a discount through your provider in some states. Eligible roofing materials must meet Underwriters Laboratories or the Insurance Institute for Business & Home Safety’s Class 1 through 4 standards.

Note that shingles with Class 4 ratings—the highest in the business—are usually 30 to 50% heavier, so it’s important to ensure your home can handle the extra weight.

Wind Mitigation Inspection

If your home is in a state susceptible to hurricanes—such as Florida, South Carolina, or North Carolina,, for example—you could save hundreds on your homeowner’s insurance by passing a wind mitigation inspection. An inspector will inspect the roof, but will also consider windows and doors. To pass the test, your inspector will examine:

• The roof seals

• How the roof attaches to the home, specifically the nails and connectors

• Specific coding requirements

Secondary Water Resistance (SWR)

If your roof has Secondary Water Resistance (SWR) or a Sealed Roof Deck, you may qualify for bigger discounts. Qualifying SWRs are underlayments applied to the sheathing or foam adhesive, and do not include standard underlayments or hot-mopped felts.

How to Get an Insurance Discount for a New Roof

Upon installing your upgrading your roof, contact your insurance provider to clue them in. You’ll have to provide new photo documentation, which is an important step to get all potential discounts. Be patient; the approval process could take several weeks. In addition, your insurance provider might:

• Request additional paperwork

• Ask for clarification on detailed aspects of your claim

• Inquire about your roof’s warranty

For the best chance at lower premiums, don’t DIY this project. Hire a certified and licensed roofer. The claim can be denied if you file a claim and can’t prove the work was done by a licensed professional. Of course, roofs with damages related to negligence will rarely meet discount criteria, so prioritize regular roof maintenance to keep it in the best shape possible—no matter how new your covering is.