Insurance market volatility: What roofing owners need to know right now

RCS Influencer Wendy Marvin says roofing owners who will survive the next few years are the ones who treat insurance as a strategically managed necessity, not as an annual headache.

If you own a roofing company and your insurance renewals have been making you cringe, welcome to the club. Market conditions are difficult. General liability, workers' comp, commercial auto, property – it’s all moving in the wrong direction at once, and it’s reshaping how we need to run our businesses.   

Here are some candid thoughts on what’s happening and what roofing owners need to be doing about it.

Current market 

Premiums across every line of contractor insurance are climbing. I’m hearing from fellow owners whose GL insurance has jumped 15-25% or more on renewal – with no claims. Commercial auto is brutal right now, especially for fleets. Workers' comp varies by state, but experience modifiers are being scrutinized harder than ever.   

At the same time, the number of carriers that will write roofing contractors has shrunk dramatically. Some have exited our world while others have tightened underwriting so much that seasoned roofing companies are being non-renewed or quoted high rates. If you’re a new roofing company or one that has high-risk customers, you’re feeling this the most.    

Policies themselves are shifting, too. Exclusions are everywhere – subcontractor work, height restrictions, material guidance. Deductibles are rising as well. Carriers are suddenly requiring robust and documented safety programs and/or drug testing before they’ll even quote you.   

Owners are vulnerable 

Sadly, many owners are finding the coverage gaps at the worst possible time – after an incident. Their policies, purchased last year, may not cover what you think it does today. Endorsements get added quietly. Limits aren’t keeping pace with rising labor and material costs. If your Certificate of Insurance doesn’t match what a GC or commercial client requires, you can lose a job on the spot.

Risk mitigation and controlling costs 

We can’t fix the market, but we can absolutely improve our position within it. A few things that have worked for us and for other owners: 

• Read your policies line by line every year. Don’t just look at the premium, look at the exclusions, sub-limits and any new endorsements. Ask your broker to highlight and walk you through the changes.   
• Work ONLY with a broker who specializes in roofing. Generalists cost you money. Period. Specialists know which carriers are entering, staying or leaving our segment and will coach you on how to choose the best fit for your company. Nurture good relationships with your agent/broker now and ask them to assist you.  
• Invest in your company’s safety and documentation processes. OSHA compliant training, written safety programs, pre-job meetings, incident logs – these aren’t just paperwork; they can directly impact your premiums and insurability.   
• Manage your experience modifier intentionally. Small claims add up, so consider which claims to run through insurance and which to just pay out of pocket.   
• Tighten up your sub agreements. Require proof of insurance, indemnification language and additional insured status. Your carrier may even have a good template for you to use.   

Roofing owners who will survive the next few years are the ones who treat insurance as a strategically managed necessity, not as an annual headache. Know your numbers, know your exposure and keep building the kind of company carriers want to insure.   

Look to your local, state and national associations such as NRCA for additional support and educational opportunities. You’re not in this alone.