WARNING! Covering deductibles is now illegal per Senate Bill 101

WARNING to contractors! The Senate has passed bill 101 making it ILLEGAL to cover deductibles in any way shape or form (advertising discounts, sign allowances, rebates, coupons, referral fees, etc) http://www.senate.mo.gov/11info/pdf-bill/tat/sb101.pdf

As a homeowner polily-holder, I have never agreed to accpept any compensation for any particular loss as per "Xactimate", or any other dreamed-up calculation methods....it needs to get replaced/made whole...Period.....Three bids...Lowest responsible bidder does the work, or I pay the difference, if I so choose to hire another at more cost.

That's how a free market place works....Some want to keep things complex & the HO in the dark, so as to exploit the situation...That's the reality of it all.....

How is it that a consumer agrees to an insurance policy that includes a deductable as an intregal condition, but when it comes time to access the policy, there should be no deductable? Or, it becomes OK to deceive the ins. co.?.....Just wondering.....

Also,

The proposed change in contractor/insurance company protocol is a contractor can't tell a homeowner they have storm damage and file a claim. The homeowner will need to find out for themselves they infact have storm damage and file the claim. What's been said is after the call has been made a contractor can meet and deal with the insurance company.

Also the law change will make it illegal for a contractor to act as an independant adjuster or vise versa.

What will USAA do? They send out contractors who write up estimate for storm damage?

There's been much talk of the same "bill" in MN in recent years. A few months ago they were said to have decided on it but I've still not heard a verdict.

What about a homeowner who just can't afford to pay the deductible? What if they can't swing $1,000 for example so they just keep the ACV and do nothing? Who wins here? The insurance company???

My Uncle lives in MO and he's said this along with several adjusters I've met from MO, THEY HAVE THE LOWEST QUALITY ROOFERS IN THE USA.

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RooferMark.....Well said!....Comforting to experience a bit of common-sense/sanity, once in a while.....

I'm not sure what the major issue is with this bill. IMHO, the smart contractor doing insurance jobs works closely with the HO to support their estimate with the insurance company anyway. The estimate the contractor provides to the adjuster or sends into the insurance company should always have the HO's signature on it. The HO is the one that has a legal contract with the insurance company anyway.

Using this approach usually has the insurance company contacting that HO's contractor to discuss an agreeable settlement for the claim. In this case, at least some of the leverage has been given back to the Contractor and a much stronger negotiating position. Kind of tough to make a case for the contractor illegally discussing price with the insurance company when the insurance company initiates the discussion. Of course, this approach also means additional sales work is required to educate the Customer and set the expectations differently. IMHO, this makes it more challenging for the out of town storm chaser to operate. I think these types of laws could be strongly in the favor of the competent local contractor if they were enforced properly.

With all that said, most of the crap this type of legislation is supposedly intended to eliminate could be more easily controlled if the states, counties and local municipalities would set up Contractor licensing laws and standards and then enforce them to the fullest extent. This is where legitimate contractors would benefit by banding together to get the appropriate, proper and common sense legislation formulated and passed.

The stratosphere or elsewhere?

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1youngroofer Said: I do 80% of my work in Missouri,and honestly this is not been actually enforced by any insurance company. And as far as the deductibles go,we are still covering them. Theres always a loophole in everything.

basically what Im saying is no companies are actually enforcing this...yet at least

At least this one is smart enough to admit he's not very smart. :laugh:

I do 80% of my work in Missouri,and honestly this is not been actually enforced by any insurance company. And as far as the deductibles go,we are still covering them. There's always a loophole in everything.

basically what I'm saying is no companies are actually enforcing this...yet at least

I realize I'm just a dumb-ass dinosaur, but personally, I've always felt the ins. ind & gov't, are for what it means to us peon's, as one-in-the-same.... ;)

Man it is amazing how much money,influence and power the Insurance industry has. I am constantly awed by the scope of this very large enormous gigantic and massive corporation. B) :) :) B) Deep Down In Florida Where The Sun Shines Damn Near Every Day

That's why effective state licensing works.... ;)

This isn't even an issue.....They've, (stormers), had had this covered, lonnnngggg before this idiotic legislation came along....Not even a slight bump in the road.... :laugh: :laugh: :laugh: