Insurance Claims Basics

Policy language you must know

Explain these clearly and the homeowner will trust you. Never act as a public adjuster or negotiate the claim unless you're licensed to.

RCV (Replacement Cost Value)

Full cost to replace with like kind and quality.

ACV (Actual Cash Value)

RCV minus depreciation. The first check is often ACV.

Recoverable depreciation

Released once work is completed and invoiced on RCV policies.

Deductible

The homeowner's share. It must be paid — waiving it is insurance fraud in many states.

O&P (Overhead & Profit)

Typically 10% + 10%, often warranted when three or more trades are involved.

Code upgrades (ordinance & law)

Items required by current code — drip edge, ice & water, decking — that may be covered.

Supplement

A documented request for missed or under-scoped items after the initial estimate.

The adjuster meeting

Be on the roof with the adjuster. Have your test squares marked, photos organized and measurements ready. Stay professional and factual — point to evidence, not opinions.