Why This Matters
After years of insurance fraud and unethical practices in the roofing industry, Florida enacted strict laws to protect homeowners. These laws, primarily found in Florida Statute §489, regulate how contractors can market their services, handle insurance claims, and structure contracts.
Understanding these laws helps you identify legitimate contractors from those cutting corners or operating illegally. If a roofer offers to "cover your deductible" or asks you to sign a blank contract, they are breaking the law—and putting you at risk.
Key Florida Statutes
These are the primary laws that govern roofing contractors and insurance claims in Florida
§489.147
Prohibited Property Insurance Practices
The primary law governing roofing contractors and insurance claims in Florida. This statute establishes what contractors can and cannot do.
§489.126
Contractor Deposit & Payment Requirements
Regulates how contractors handle deposits and payments, including the 10% initial deposit limit for residential work.
§489.140
Florida Homeowners' Construction Recovery Fund
A fund of last resort that provides homeowners protection when a licensed contractor fails to fulfill their obligations.
§627.7142
Homeowner Claims Bill of Rights
Outlines the rights homeowners have during the insurance claims process, including timelines and requirements.
What Contractors CANNOT Do
These practices are prohibited by Florida law—if a contractor does any of these, walk away
Waiving or Paying Your Deductible
It is a third-degree felony for a contractor to knowingly pay, waive, or rebate all or part of an insurance deductible. This applies to any method—cash, credits, discounts, or 'free' upgrades equal to your deductible amount.
Penalty: Third-degree felony, up to $10,000 fine per violation, license revocation
Offering Gifts or Incentives for Claims
Contractors cannot offer rebates, gift cards, cash, coupons, or anything of value in exchange for allowing a roof inspection or filing an insurance claim.
Penalty: Up to $10,000 fine per violation, disciplinary action
Acting as a Public Adjuster Without License
Contractors cannot interpret your policy, advise you on coverage, or adjust your claim unless they hold a separate Public Adjuster license. We provide documentation—you or your adjuster handle the claim.
Penalty: Up to $10,000 fine, license suspension
Soliciting with Non-Compliant Advertising
All marketing materials that encourage contacting a contractor about roof damage claims must include specific disclosures about deductible responsibility and insurance fraud penalties in specific font sizes.
Penalty: Up to $10,000 fine per violation
Contingency Contracts Without Dollar Amounts
Contractors must provide a good faith estimate with itemized costs in any repair agreement—even for insurance jobs. Open-ended contracts with no dollar amount are not permitted.
Penalty: Contract violations, disciplinary action
Referral Fees for Insurance Claims
Contractors cannot pay or receive compensation for referring services paid by insurance proceeds. This prevents kickback schemes that inflate claim costs.
Penalty: Up to $10,000 fine, disciplinary action
Required Advertising Disclosures
Any advertisement encouraging homeowners to contact a contractor about roof damage claims must include these statements
YOU ARE RESPONSIBLE FOR PAYMENT OF ANY INSURANCE DEDUCTIBLE
It is insurance fraud punishable as a felony of the third degree for a contractor to knowingly or willfully, and with intent to injure, defraud, or deceive, pay, waive, or rebate all or part of an insurance deductible
It is insurance fraud punishable as a felony of the third degree to intentionally file an insurance claim containing any false, incomplete, or misleading information
These disclosures must appear in a font size at least 12 points and at least half as large as the largest font used in the advertisement. This applies to door hangers, business cards, flyers, pamphlets, emails, and more.
Contract Requirements
What must be included in every roofing contract under Florida law
Good Faith Estimate Required
Every roofing contract must include a detailed, itemized estimate of the cost of services and materials. This applies even when insurance is paying—we cannot use open-ended 'whatever insurance pays' contracts.
Price Can Change After Adjuster Review
Florida law recognizes that the final price may differ from the initial estimate after the insurance adjuster reviews the claim. This is normal and legal—we don't violate the law when supplemental items are approved.
10% Deposit Maximum
For residential work, contractors cannot collect more than 10% of the contract price as an initial deposit before work begins, with some exceptions for special-order materials.
Written Contract Required
All residential roofing work over $2,500 requires a written contract that includes the contractor's license number, total price, and description of work to be performed.
The Truth About Deductibles
Your insurance deductible is your responsibility—period. Any contractor who offers to pay, waive, absorb, or "work around" your deductible is committing insurance fraud and putting you at legal risk.
Common Deductible Scams to Avoid:
- "We'll cover your deductible" or "Free roof with your deductible"
- Offering "credits" or "discounts" equal to your deductible
- Inflating the claim to absorb the deductible
- "Free" upgrades that just happen to equal your deductible
Assignment of Benefits (AOB)
Understanding what an AOB is and why we don't require one
What is an AOB?
An Assignment of Benefits (AOB) is a document that transfers your insurance claim rights to a third party, like a contractor. When you sign an AOB, the contractor can deal directly with your insurance company.
AOB Reform in Florida
Florida has enacted significant AOB reforms to prevent abuse. Contractors using AOBs face strict requirements including providing itemized estimates and specific contract language.
Our Approach
We do NOT require you to sign an Assignment of Benefits. We provide documentation and estimates, but you maintain control of your claim and your relationship with your insurance company.
Florida Homeowners' Construction Recovery Fund
Florida maintains a special fund to protect homeowners when a licensed contractor fails to fulfill their obligations. If you've been harmed by a licensed contractor's actions, you may be eligible for compensation from this fund after exhausting other remedies.
Key Points:
- Covers claims against licensed contractors (like us)
- Maximum recovery of $50,000 for residential roofing claims
- Acts as a fund of last resort after civil remedies are exhausted
- Does not cover unlicensed contractors—always verify licenses!
How RSA Operates Within the Law
We're proud to operate fully within Florida law—here's our commitment to you
Written Estimates with Dollar Amounts
Every proposal we provide includes a detailed, itemized breakdown with specific dollar amounts—never open-ended contracts.
You Pay Your Deductible
We never waive, pay, absorb, or rebate any portion of your insurance deductible. It's the law, and it's the right way to do business.
Documentation, Not Adjusting
We provide professional documentation—photos, measurements, Xactimate estimates—but we don't adjust your claim or interpret your policy. That's your adjuster's job.
No AOB Required
You keep control of your claim. We work with you to provide what you need, but you deal directly with your insurance company.
Licensed & Accountable
Our work is backed by our contractor's license (#CCC1328396), the Florida Homeowners' Construction Recovery Fund, and our 7-year craftsmanship warranty.
Transparent Process
We explain everything clearly—what we do, what we charge, and how the insurance process works. No surprises, no hidden fees.
Red Flags: Signs of an Unethical Contractor
Watch out for these warning signs when choosing a roofing contractor
Official Resources
Verify information and check licenses through these official Florida sources
Work with a Contractor You Can Trust
We operate fully within Florida law and are proud to be transparent about our practices. Schedule your complimentary roof assessment with a contractor who does things right.
Questions? Call us: 855-443-ROOF