An underpaid claim usually is not one big mistake. It is a stack of missing line items that each look small and together add up to thousands of dollars.
Below are the nine we find missing most often. Each one comes with a sentence on how to spot it on your estimate. Before that, a quick note on the two numbers every estimate carries.
RCV and ACV in one minute
RCV means replacement cost value: what it costs to replace the damaged item with a new one. ACV means actual cash value: replacement cost minus depreciation for age and wear.
Most policies pay ACV first and hold the depreciation back until the work is done. Look at the bottom of your estimate for both figures. If you only see one, ask which one you were paid. We explain the holdback in our post on recoverable depreciation.
The nine things
1. Ice and water barrier and other code items. Local code can require a waterproof membrane along eaves and valleys. Spot it by searching the estimate for "ice and water" or "membrane." If the line is not there, ask why. Minnesota's rule on this is in our post on code upgrades.
2. Starter and ridge. New shingles need a starter strip at the eaves and ridge cap at the peak. Spot them by looking for those two items by name. If the roof is being replaced and they are missing, the estimate is short.
3. Steep and high charges. Steep roofs and tall houses cost more to work on because of safety gear and slower pace. Spot it by checking for a pitch multiplier or a "steep" line. A three-story house with no such line was priced as if a worker could walk it.
4. Drip edge. This is the metal strip at the roof edge that sends water into the gutter. Spot it by counting linear feet. If the estimate has none, or fewer feet than your roof's perimeter, something was skipped.
5. Flashing. Chimney, wall, and skylight flashing often get reused instead of replaced. Spot it by looking for "step flashing," "counterflashing," or "chimney flashing." If the roof is new and the flashing is old, a leak will show up at exactly those spots.
6. Decking replacement. Rotted or damaged sheathing under the shingles has to be fixed before new ones go on. Spot it by looking for a per-sheet or per-square-foot decking line. Many estimates have none, since nobody sees the decking until the old roof is off.
7. Overhead and profit. When a job needs a general contractor to coordinate several trades, such as roof, gutters, and siding, overhead and profit (often 20%) is typically owed. Spot it by checking the totals page. If three trades are on the estimate and no overhead line is, ask.
8. Interior damage from a covered peril. If hail or wind opens the roof and water gets in, the ceiling and insulation are owed too. Spot it by checking whether the estimate has any interior section at all. Rain through a worn roof is a different story, which is why the cause matters.
9. Detached structures and fences. Garages, sheds, and fences are often covered under separate limits and are easy to forget. Spot it by looking at your policy for "other structures" and then at the estimate. If you have a damaged shed and the estimate does not mention it, it was not looked at.
What this looks like in dollars
A homeowner in Minnesota got a first offer of $5,517 on a hail claim. The carrier had paid for a few metal items and called the rest minor. After the full scope was documented and argued, the final approved amount was $38,021.
That is one claim, not a promise, and nobody can honestly guarantee a result. The point is that the first number was built from a short list of items, and the long list was there all along.
How to check your own estimate
Get the full itemized estimate, not the summary page. Ask for the adjuster's photos too. Then walk your roof with a roofer you trust, or look at pictures, and check the nine items above.
Write down what is missing and send it to the carrier in an email with photos. Be specific: "line items for drip edge, 260 linear feet, are not on the estimate." Vague complaints get vague answers. For more on the tactics behind short estimates, see our post on how carriers lowball.
When the estimate is fine
Sometimes it is. A newer roof with light hail and a clean estimate is what a fair claim looks like. If a roofer prices the same repair and lands close to the carrier, you probably have your answer.
We say that on the consultation call, and we would rather you hear it from us than pay for a review that confirms it. You can read how our process works if you want to see what a review includes.
The honest answer
Underpayment is rarely dramatic. It is a missing line here, a skipped charge there, and a unit price a little low. The estimate looks professional, so people assume it is complete.
It is the carrier's estimate, not yours, and it was written by someone whose employer is paying the bill. Check it against the nine items, ask for what is missing, and put the request in writing.