Why storm claims surprise people
In Ohio, a spring hailstorm, a summer windstorm, or a fall or winter wind event is one of the most common reasons homeowners file a claim, and the roof usually takes the hit. It’s also when many people learn for the first time how their deductible and roof coverage actually work.
Three parts of your policy decide what you get paid: your deductible, whether wind and hail have their own percentage deductible, and whether your roof is covered at replacement cost or actual cash value. Here’s how each one works, in plain English.
Your all-perils deductible
Most homeowners policies have a flat deductible, often $1,000, $2,500 or $5,000. It’s the amount you pay toward a covered claim before insurance pays the rest, and it applies to most causes of loss: fire, theft, a burst pipe, a fallen tree.
A higher deductible lowers your premium, but only choose one you could comfortably pay out of pocket on a bad day. Many Ohio homeowners now use the policy for larger losses and handle small repairs themselves, since several claims in a few years can affect your rate or renewal.
Wind and hail percentage deductibles
Many policies in Ohio now carry a separate deductible just for wind and hail, written as a percentage, commonly 1% or 2%. The key detail: the percentage is of your home’s dwelling coverage limit (Coverage A), not of the damage.
For a home insured for $350,000:
$1,000 flat deductible
Deductible amount: $1,000
You pay before insurance kicks in: $1,000
1% wind/hail deductible
Deductible amount: $3,500
You pay before insurance kicks in: $3,500
2% wind/hail deductible
Deductible amount: $7,000
You pay before insurance kicks in: $7,000
The percentage also grows as your dwelling limit increases with inflation each renewal. If you have one, the declarations page usually shows it as “Wind/Hail Deductible: 1%” or similar, right next to your regular deductible.
Replacement cost vs. actual cash value on your roof
Replacement cost (RC) pays what it costs to replace your roof with new materials of like kind and quality, minus your deductible. Your roof’s age doesn’t reduce the payment.
Actual cash value (ACV) pays replacement cost minus depreciation for age and wear. An asphalt shingle roof is often expected to last 20 to 25 years, so a 15-year-old roof may already be more than half depreciated. On an older roof, ACV can mean a much smaller check.
More carriers are moving older roofs to ACV, or using a roof payment schedule that pays a set percentage based on the roof’s age and material. A policy can still say “replacement cost” for the house and have an ACV or scheduled-payment endorsement just for the roof, so look for roof-specific wording on your declarations or endorsements.
One more detail: with replacement cost, many policies first pay the ACV amount, then pay the rest once the roof is actually replaced. Keep your contractor’s invoice.
Same storm, very different checks
Here’s one hail claim under five common policy setups. The home is insured for $350,000, the roof is 15 years old, and a new roof costs $18,000. For ACV we assume 60% depreciation, so the roof’s actual cash value is $7,200.
Replacement cost with a $1,000 flat deductible
Deductible amount: $1,000
Insurance pays: $17,000
Replacement cost with a 1% wind/hail deductible
Deductible amount: $3,500
Insurance pays: $14,500
Replacement cost with a 2% wind/hail deductible
Deductible amount: $7,000
Insurance pays: $11,000
Actual cash value with a 1% wind/hail deductible
Deductible amount: $3,500
Insurance pays: $3,700
Actual cash value with a 2% wind/hail deductible
Deductible amount: $7,000
Insurance pays: $200
Same house, same storm, same roof, and the check ranges from $17,000 to $200. These figures are for illustration only; every policy and claim is different.
Questions to ask before the next storm
-
What is my all-perils deductible?
-
Do I have a separate wind/hail deductible? Is it a flat amount or a percentage, and what is that in dollars?
-
Is my roof covered at replacement cost, actual cash value, or a roof payment schedule?
-
How old does my insurance company think my roof is? (Let us know if you’ve replaced it.)
-
What would it cost to lower my wind/hail deductible or move my roof back to replacement cost?
Let’s review it together
The best time to understand your deductible is before you need it. A newer roof, or impact-resistant shingles, can sometimes improve your coverage options or earn a discount, so tell us about any roof updates.
The Hosket Ulen personal lines team is happy to walk through your policy and compare options. Call 614-339-1771 or email to schedule a quick review.
