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Texas Roof Deductible Law: What Homeowners Should Know

What Texas Homeowners Should Know About Roof Deductibles

Every storm season, roofing contractors across West Texas knock on doors with an enticing offer: "We'll cover your deductible" or "We'll waive your deductible so you pay nothing out of pocket." It may sound appealing, but the Texas Department of Insurance says this is illegal.

Texas Department of Insurance Guidance

The Texas Department of Insurance says contractors may not waive, rebate, or absorb a property policyholder's deductible, or help the policyholder avoid paying it. Examples TDI identifies include crediting or rebating the deductible and inflating repair costs to cover it. Insurers may request proof that a deductible was paid.

How the Scam Works

Here's what actually happens when a contractor "covers" your deductible:

  • Your insurance company approves a claim for $15,000
  • Your deductible is $2,500 (so you should receive $12,500)
  • The contractor inflates the invoice to $15,000 to "absorb" your deductible
  • The insurance company pays $12,500 based on the inflated invoice
  • The contractor pockets the full amount and does $12,500 worth of work (or less)

The risk: An arrangement that obscures the deductible can create problems with the insurer, the work scope, and the homeowner's records. Keep invoices and deductible-payment records, and ask your insurer questions directly.

Consequences for Homeowners

Many homeowners don't realize they can face consequences too:

  • Coverage uncertainty — ask your insurer how a deductible arrangement affects your policy and claim
  • Documentation issues — insurers may request proof that your deductible was paid
  • Scope confusion — an inflated or unclear invoice makes it harder to compare documented work and payment
  • Warranty concerns — choose a contractor with a written scope and workmanship terms

How to Spot Deductible Fraud

Red flags that a contractor is committing fraud:

  • They mention "covering" or "waiving" your deductible
  • They offer a "discount" equal to your deductible amount
  • They suggest inflating the scope of work on the claim
  • They pressure you to sign before talking to your insurance company
  • They offer gift cards, rebates, or cash back equal to your deductible
  • They say "everyone does it" or "insurance companies expect it"

Why Candor Never Waives Deductibles

At Candor Construct & Roofing, we believe integrity isn't optional — it's foundational. We will:

  • Never offer to waive, pay, or absorb your deductible
  • Never inflate an invoice or scope of work
  • Always provide honest, transparent pricing
  • Always provide factual roofing documentation and a clear proposed repair scope
  • Always leave claim, coverage, and settlement decisions to you and your insurer

Your deductible is part of your policy. If a contractor offers to eliminate it, decline the offer and ask your insurer or the Texas Department of Insurance for guidance.

What to Do If You're Approached

  • Decline the offer — politely but firmly. Learn more about how to avoid roofing scams
  • Report the contractor — Texas Department of Insurance fraud hotline: 1-888-327-8818
  • Document the interaction — save texts, emails, or business cards
  • Choose a legitimate contractor — one who will never put your home or legal standing at risk

*Candor Construct & Roofing operates with complete integrity. We never waive deductibles or inflate invoices. Call (806) 224-2836 for a factual roof assessment and transparent pricing.*