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  1. #1
    Join Date
    Jan 2009
    Posts
    2

    Question Insurance claim for vinyl siding

    My retired parents have lived in the same house for 18 years. A few months ago yard signs for a specific contractor began popping up all over the neighborhood. A representative of the contractor came to the door and informed them that because of a large hail storm the previous year they could file a claim with their insurance to have the siding replaced. They could barely remember the storm and although the aluminum siding was a bit worn and dingy they had never noticed any storm damage. At first they were skeptical but when neighbors starting getting claims approved and got quality vinyl siding installed they relented and signed up. The contract stated that they would replace the siding for whatever amount the insurance paid and would even drop the deductible in exchange for them putting up a yard sign. My parents are on a fixed income and the house is their main asset so it seemed crazy not to accept windfall even it didn't feel 100% kosher.
    Now that they have been approved for 19k my mother has become upset that the contractor did the exact same job for the next door neighbors for 8k and the neighbors down the street were also allotted a new roof by their insurance for about the same 19k claim check. She asked me to sit in on a meeting with the contractor. When I mentioned the cost differential he immediately offered an upgrade of slightly thicker vinyl but said that it was all he could do. Any other work done on that claim would be insurance fraud. He also claimed that they were doing some jobs at a loss and only profited on the aggregate of all claims.
    I know this sounds like a classic case of looking a gift horse in the mouth. My mother is not a greedy person but she is very frugal and is upset that some of the money can't go to other home repair projects that have been on hold for budget reasons. Personally, I think she has to come to terms with the fact that she is getting a windfall even if it means excessive profits for company very adept at gaming the system. I'd be curious to know how any of you feel about this. Also, what is a fair price for vinyl siding on mid-sized two-story colonial in the Philly area?

  2. #2
    Join Date
    Mar 2009
    Posts
    1,387

    Thumbs up Re: Insurance claim for vinyl siding

    Howdy run do not walk for 3 other bids an be sure to have the bids for the siding now on the home an separate bids for any other type of siding you might want. While waiting you need to find out if anyone looked at the roof as your post appears to be a claims settlement for a hail claim to the siding. If no one looked request the insurance company inspect the roof for the same date of loss as the siding as hail likely damaged both at same time and thus only one deductible. Now review the settlement on the siding the insurance company likely owes the full replacement of the hail damaged siding with like kind and quality- so damaged aluminum gets settled to be replaced with aluminum at currant costs. You can decide to replace it with any siding of you choice. The insurer only owes usually (state specific settlements differ) what the aluminum would cost. So if you pick one that costs more you must pay the increased cost( betterment).
    Here is the bigee- the insurance company contract likely states they owe the repair or replacement cost less depreciation = the actual cash value at the time of damage less the deductible. Most then have coverage to claim the withheld depreciation once the work is done- only up to what you spend -see above for what was owed. Some insurers pay the full replacement cost minus the deductible in full. If this is how your parents claim was settled then you can purchase any siding of your choice and if you replace it with a less costly siding you keep the difference. However more the norm is to settle for the replacement cost less depreciation= actual cash value less deductible. and 6 months is allowed for the replacement then you submit the final bill for the insurer to then pay the withheld depreciation.

  3. #3
    Join Date
    Mar 2009
    Posts
    1,387

    Default Re: Insurance claim for vinyl siding

    Ok so now the hail damage claim is damage to your folks home and the repairs are up to them ___insurance only funds the repairs. Its your folks money to spend as wisely as if they earned it....

    So shopping for the best deal is their choice an always get more then one bid. Check out the contractor before you hire with BBB and get references and go inspect the jobs that have been done over a year ago...
    I have 20+ years experience handling hail claims. My bias opinion run- from contractors that want to absorb the deductible. Get itemized bids that say exactly what will be done at what cost and when the job will be completed and find out yourself what building permits must be obtained from the building department before any work is done and only pay one the final building permit inspection is done and work passed.
    When replacing siding great time to consider adding more insulation some siding now has it added to it an other method is to add insulation over the existing siding and then install new an other is to remove all and add a house wrap, insulation, and new siding. So get bids and ask questions- get the best bang for your parents bucks again the insurer is only funding by contract the monies are your folks.
    Oh an have the roof inspected by 3 roofers too to see if there is any hail damage not just the insurer rep.
    Best of outcomes....

  4. #4
    Join Date
    Mar 2008
    Location
    nova scotia, canada
    Posts
    1,522

    Default Re: Insurance claim for vinyl siding

    all im gonna say is that it looks like a scam. i dont know any reputable contractor that goes door to door and tells the homeowner they need work done. myself and many other pros have told a homeowner that something needs to be fixed while looking at something else while giving a quote.
    fire up the saw and make some dust

  5. #5
    Join Date
    Sep 2009
    Location
    florida
    Posts
    598

    Default Re: Insurance claim for vinyl siding

    The scam has been going on for about a yr now. Ive had 5 different contractor knock on my door wanting to explore for hail damage. I laughed at them and told them it hasnt hailed her in 30 yrs..

    Google insurance hail damage scams...........



    http://ask.metafilter.com/164122/Roofing-scam

    http://intranet.brenau.edu/dnn/Stude...S/Default.aspx
    Gizmo

    Cut it 3 times & it's still to short.
    Inventor of the Miter Master Plus.

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