Why Does Insurance Pay For Roof Replacements? What Homeowners Owners Need to Know
Summary
TLDRIn this video, Adam Benzeman, the Roof Strategist, addresses homeowner hesitancy in using insurance for roof damage. He emphasizes the importance of educating property owners about the high cost of roof maintenance and the potential for reduced lifespan due to damage. Benzeman advocates for a patient, caring sales approach that informs customers, helping them make confident decisions about insurance claims. He uses analogies, such as comparing a roof's service life to a vehicle's, to illustrate the financial implications of not addressing roof damage, encouraging homeowners to view insurance as a service protecting their investment.
Takeaways
- 🏠 Homeowners may resist using insurance due to fear of making a claim, which can lead to missed opportunities for necessary repairs.
- 💬 Effective communication and education are crucial to help property owners make informed decisions about their roof repairs.
- 🔑 Adam Benzeman, the 'Roof Strategist', emphasizes a sales style that educates rather than aggressively pushing homeowners to file claims.
- 📈 Roofs are the most expensive maintenance item on a house and have a service life that can be compromised by damage, necessitating replacement sooner than expected.
- ⚠️ Damage to a roof can void the manufacturer's warranty, further emphasizing the importance of addressing roof damage promptly.
- 💰 Insurance covers roof replacements to protect the homeowner's financial interests and to prevent more expensive problems from arising later.
- 📊 The cost of roofing materials is increasing at a rate higher than historical stock market performance, making it more costly to replace a roof over time.
- 🚗 Using analogies like a vehicle's service life can help homeowners understand the implications of not addressing roof damage and the potential costs involved.
- 🏢 Insurance companies are interested in preventing future damage to the home, which can become significantly more expensive and complicated to repair.
- 📝 Filing a claim for roof damage is not only about immediate repair costs but also about protecting the homeowner's investment and potential future savings.
- 📚 Adam offers a free 'Pitch Like a Pro' roofing sales training video library as a resource for further education on sales techniques and strategies.
Q & A
Why might homeowners be reluctant to file a claim on their insurance for roof damage?
-Homeowners might be reluctant due to fear of the claim process, not recognizing the significance of minor damage, or a misconception that the roof is still in good condition despite potential issues.
What is the speaker's name and what is his role?
-The speaker's name is Adam Benzeman, and he is the 'Roof Strategist', who provides sales training and strategies for the roofing industry.
What is the main purpose of the speaker's sales approach?
-The main purpose of his sales approach is to educate property owners about the importance of addressing roof damage, leading them to make informed decisions rather than using aggressive sales tactics.
What are the three main reasons insurance companies cover roof replacements?
-The three main reasons are: 1) The roof is the most expensive maintenance item on a house, 2) The lifespan of the roof is shortened by damage, and 3) There is a need to prevent future problems from arising.
How does the lifespan of a roof get compromised by damage?
-The lifespan is compromised because damage from hail or wind can void the manufacturer's warranty and lead to a shortened lifespan due to exposure to elements like UV rays, which can cause the shingles to deteriorate or dry rot.
What financial implications does a shortened roof lifespan have for a homeowner?
-A shortened roof lifespan means the homeowner may have to replace the roof sooner than expected, incurring additional out-of-pocket costs that they had not planned for when initially purchasing the roof.
Why is it important to address roof damage to prevent future problems?
-It is important because once roof problems extend into the home, they can become significantly more expensive and complicated to repair, and can lead to liability and financial responsibility falling on the homeowner.
How does the speaker use an analogy to explain the importance of addressing roof damage?
-The speaker uses the analogy of a new vehicle, like a Ford F-150, that has its expected lifespan reduced due to damage or theft. This helps the homeowner understand the concept of a reduced lifespan and the need to act before the situation worsens.
What is the impact of rate increases on the cost of a roof replacement?
-Rate increases can significantly raise the cost of a roof replacement over time. For example, a $15,000 roof today could cost over $25,000 in five years with a 10% quarterly increase.
What is the speaker offering as a free resource for those interested in his sales training?
-The speaker is offering a free copy of his 'Pitch Like a Pro Roofing Sales Training Video Library', which is organized by category and serves as a comprehensive reference tool for various sales topics.
How can the speaker's approach benefit both the homeowner and the insurance company?
-The approach benefits the homeowner by ensuring they understand the importance of addressing roof damage and protecting their financial investment. For the insurance company, it helps maintain a good relationship with policyholders and ensures that claims are filed when necessary, preventing potential future complications.
Outlines
🏠 Overcoming Homeowner Reluctance in Roof Insurance Claims
In this segment, Adam Benzeman, the 'Roof Strategist,' addresses the common reluctance of homeowners to file insurance claims for roof damage, even when they have been paying premiums regularly. He emphasizes the importance of educating property owners about the significance of addressing roof issues promptly. Benzeman introduces a sales analogy, comparing it to leading a horse to water and making it thirsty, rather than forcing it to drink. He advocates for a patient, customer-centric approach that focuses on guiding homeowners to make informed decisions about their roofs. The speaker outlines his intent to educate viewers on the reasons why insurance companies cover roof replacements, using a three-point rationale and a mock role-play scenario to illustrate his points.
🚗 The High Cost of Delayed Roof Repairs and Insurance Claims
This paragraph delves into the financial implications of delaying roof repairs and insurance claims. Benzeman uses the analogy of a new Ford F-150 truck to explain how the lifespan and value of a roof can be compromised by damage, similar to how a vehicle's lifespan is reduced by wear and tear or theft. He points out that not addressing roof damage can lead to more expensive replacements in the future due to increasing costs in the roofing industry. The speaker also highlights the potential for future interior damage if the roof issues are left unaddressed, which insurance may not cover if a claim was not filed initially. Benzeman concludes by encouraging homeowners to consider the long-term financial and practical benefits of using their insurance to protect their investment, and he offers a free resource for further sales training.
Mindmap
Keywords
💡Insurance
💡Claim
💡Premiums
💡Roof Replacement
💡Service Life
💡Warranty
💡Deterioration
💡Financial Interests
💡Rate Increases
💡Analogies
💡Educational Sales Approach
Highlights
The resistance of homeowners to use their insurance despite paying premiums regularly.
The fear of making a claim and its impact on losing deals, especially for smaller damages.
The importance of educating property owners to make informed decisions about their roofs.
Introducing a sales style that encourages customers to make their own decisions.
The analogy of leading a horse to water and making it thirsty to represent a non-aggressive sales approach.
The introduction of Adam Benzeman, the Roof Strategist, and his mission to help teams achieve income goals.
Three main reasons insurance companies cover roof replacements.
The roof being the most expensive maintenance item on a house.
The impact of damage on the lifespan of a roof and the voiding of manufacturer warranties.
The financial implications of a reduced roof lifespan and the need for premature replacement.
The prevention of future problems as a reason for insurance coverage.
The increasing cost of roofing and its compounding rate compared to the S&P 500.
The use of a car and truck analogy to explain the importance of addressing roof damage.
The potential for increased out-of-pocket costs if homeowners delay roof replacement.
The risk of future interior damage not being covered if a claim is not filed.
The empowerment of homeowners to make informed decisions about their insurance claims.
Offering a free copy of the 'Pitch Like a Pro Roofing Sales Training Video Library'.
Transcripts
sometimes homeowners or property owners
are resistant to using their insurance
even though they've been paying their
premiums month over month or there's
fear about making a claim and oftentimes
we lose those deals and sometimes those
deals are on more marginal or smaller
damage because the homeowner doesn't see
it as significant the roof seems fine
it's not leaking i don't want to do
anything about it now we'll handle it
later well guess what that's on us
that's on us because we did not
communicate educate and inform our
property owners to make a wise decision
on what they should do about their roof
and what i'll be teaching you now is a
sales style on this analogy
you know what they say right the saying
you can lead a horse to water but you
can't make it drink well what i'll be
teaching you is how to lead the horse to
water but getting the horse really
thirsty along the way now this works
really well as long as you're patient
you really care about your customers
experience
versus some of the more forceful or
aggressive sales tactics where you
command and tell your homeowners what to
do and direct them and push them into
getting that claim filed and that that's
kind of like a holding a bucket of water
and tossing it in the horse's face
two very different approaches in my
opinion the education approach works a
whole lot better because for guiding the
horse and getting the horse thirsty so
the decision is at their own free will a
decision that that homeowner feels
confident about that they say hey i made
the right choice which means they don't
cancel and they love working with you so
let's get to it first i just want to say
welcome or welcome back my name is adam
benzeman the roof strategist and
everything i do here on our youtube
channel and in my podcast and in my
all-in-one sales training and sales
system is designed to help you and your
team smash your income goal and give
every customer an amazing experience and
that amazing experience starts by
winning the customer through informing
them on what they're actually facing now
let's get to it first there are three
main reasons
that insurance companies cover roof
replacements what i'm going to do first
in this video is highlight to you what
those three reasons are and then i'm
going to do a little bit of mock role
play to show you exactly how i explain
this to homeowners so i'm going to lay
the foundation for you and then we'll
get into a story number one is the roof
is the most expensive maintenance item
on a house okay most expensive
maintenance i'm just going to use mate
for short and
what i mean by that is people replace
hvac units and these things right the
appliances last so long
a roof
is a service item on the home there's a
service life on the roof it has to be
replaced most of them i know i'm going
to get some oh well not stone coated
steel knot
not uh metal roofing in the last
lifetime if they're damaged they need to
get replaced for an asphalt roofing
system
it has a a wear life that we expect when
we are a homeowner let's say you bought
a roof for yourself you buy a brand new
roof we write a 20 000 check and you're
saying hey this is going to last me 30
years well if storms come through the
life span of the roof is compromised so
lifespan
is and what i'm going to say compromise
i'm just going to say it's shortened
okay the lifespan is shortened
now no one can wave a
magic wand and say it'll be seven years
less or five years ten years less but
the truth of the matter is that when
hail or wind impacts a shingle or
damages shingles if the manufacturer's
warranty was still applicable it's now
void because that's the fine print on
the warranties and the lifespan has been
compromised whether it's hail or wind
hail we have the matting exposing to the
uv rays which again over time there's
more granulos and the shingles begin to
deteriorate or dry rot essentially
so that homeowner was expecting the roof
to last 30 years that might last 20
which means
insurance covers your financial
interests it's your assets that's why we
pay insurance so you wrote a check for
20 grand expecting to not have to write
another one for 30 years well guess what
you might have to write one in 15 and
that's coming out of your pocket that's
why the insurance company covers it and
the fine the final reason here is to
prevent any future problems from arising
because roof problems are expensive
enough but once they creep their way
into the home things start getting a
whole lot more expensive a whole lot
more complicated and no one wants that
so it's in the insurance company's best
interest so now
we know the logic it's the most
expensive maintenance item on the home
the lifespan of the roof is shortened
and there are future problems here is
how we tie it all together now one last
piece that i just want to add the most
expensive maintenance item on the home
right well generally speaking i know
we've had some pretty wild
rate increases here i mean up to 20
quarterly the
price of roofing is compounding at a
higher rate than than the s p 500 has
performed over the last 50 years we are
seeing just
wild rate increases so a roof today at
today's rate increases and i just ran a
really simple projection just to spell
this out a fifteen thousand dollar roof
today at a ten percent
excuse me oops ten percent quarterly
increases which by the way we see these
rate increases from our suppliers over
five years that roof's gonna cost over
twenty five thousand dollars so what i
the reason i share this with you is
that's again that's in five years so
even if the homeowner
has a claim they don't wanna do anything
about it and then they have to replace
the roof five years sooner that's a net
ten thousand dollars more that they have
to pay for their roof
this is a big deal so the insurance
company knows it's the most expensive
roofing goes up you have to spend more
money to replace your roof out of pocket
later it's going to cost you a ton more
money because the price is compounding
so now how do we make this easier to
understand for homeowners i love using
car and truck analogy so i'll say this
mr homeowner imagine you buy yourself a
brand new ford f-150 and it's 45 000
and you expect you're the kind of person
that that will buy a vehicle and run it
through its life you're like i'm going
to have this thing for the next 200 000
miles well what if something happened or
the vehicle was stolen and
driven ragged right and then recovered
and you say hey this thing's only going
to last me another 25 000 miles or 50
000 miles you were expecting 200 000
mile life service life from from your
investment in your new truck well now
all of a sudden you find out it's only
going to last you another five more
years aren't you gonna do something
about it otherwise it's up to you you're
going to buy a brand new vehicle ten
years sooner five years soon or whatever
the case is than you expected this is
why people decide to pursue the roof
claim with their insurance because it is
the most expensive maintenance item
meaning it will wear out if you choose
not to do anything even with the small
damage we found the lifespan of the roof
will be reduced which means that you
will be required at some point in time
to replace that and if that's not in a
future insurance claim that will be
coming out of pocket and the rate goes
up tremendously and then the last thing
is that when there is damage we don't
want the insurance company nor us nor
you want any future damage occurring in
the home
now worst case if any of the areas we've
identified on your roof do become
problematic and there is interior damage
the insurance company won't cover it
unless you filed a claim so if this
happens three years from now you're kind
of outside that opportunity of taking
action on using the insurance
all of that liability and financial
responsibility falls on you and for
those reasons the people we serve even
if the damage seems marginal or smaller
the property owners decide to say hey
you know what i've been paying my
premiums month over month year over year
and i am protecting a financial
investment of mine
it is my right to use the service which
insurance is a service that i've been
paying for
and there you have it now i hope this
video helps you communicate clearly to
homeowners by leading them like a horse
to water to make an informed decision
and taking the time to educate them on
the true matters of why the insurance
company covers the roof and feel free to
use my story about the ford f-150 or
reference the vehicle that they have in
the driveway hey thanks for joining me
today and just because our time's about
to wrap up
doesn't mean you're in my time has to so
if you haven't yet done it i'd like to
get you a free copy of my pitch like a
pro roofing sales training video library
it's available right here it's every
video i've ever done organized by
category for easy binging and it's a
great reference tool on key topics like
objections and pitching and canvassing
i also have some starter paths for new
people so owners it might be a good
thing for you to pass on to your team
and if you like this video you're going
to like a whole lot more because youtube
thinks you're really going to dig this
one i'll see you soon
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