Insurance restoration work has become a major part of the roofing industry, especially in areas prone to hail, hurricanes, or high winds. On paper, it looks like a win: the homeowner gets a new roof with little out-of-pocket expense, and the contractor gets paid by the insurance company.
But as many roofers know, insurance jobs aren’t always the golden ticket they seem to be. In fact, they can sink your time, drain your team, and kill your margins — unless you know when to say yes and when to walk away.
Here’s a breakdown of why insurance work isn’t always worth it — and when it absolutely is.
The Hidden Headaches of Insurance Work
1. Delayed Payments
One of the biggest downsides is cash flow. Payments from insurance companies can take weeks — sometimes months — to arrive. In the meantime, you’re paying crews, buying materials, and managing overhead.
2. Tight Margins
Insurers often lowball the initial claim. Unless you’re skilled at supplementing, you might be stuck working a job for less than it’s worth. Even with supplements, the added back-and-forth can erase your profits.
3. Bureaucracy and Paperwork
Insurance jobs come with red tape: adjuster meetings, photos, Xactimate line items, supplements, depreciation recovery, etc. If you don’t have someone dedicated to managing that process, it eats up your time and kills job momentum.
4. Homeowner Confusion or Mistrust
Many homeowners don’t understand the process. That means more hand-holding, more questions, and more potential friction. If they think you’re “just after the insurance money,” it can hurt trust — and your reputation.
5. Adjuster Conflict
Sometimes adjusters simply don’t want to pay. You might have to fight tooth and nail to get fair compensation, which takes diplomacy, experience, and thick skin.
When Insurance Work Is Worth It
Despite the downsides, insurance work can be extremely profitable — when handled right. Here’s when it makes sense:
✅ You Have a Dedicated Insurance Coordinator or Supplementing Partner
If someone on your team (or a third party) is handling the paperwork, negotiations, and supplements, your production team can stay focused on what they do best: building roofs.
✅ You’re in a Storm-Heavy Area
In storm zones, insurance work is often the only work. If you’ve got storm damage leads coming in, knowing how to work with insurance becomes essential — not optional.
✅ You Know How to Educate the Homeowner
Roofers who can clearly explain the insurance process, advocate for the client, and set expectations tend to close more deals and have fewer issues down the line.
✅ You Supplement Like a Pro
If you know how to fight for what the job really costs, insurance work can be even more profitable than retail — especially on large jobs like commercial, multi-family, or steep-slope re-roofs.
✅ You’re Working with Adjusters, Not Against Them
The best roofing sales reps know how to build relationships with adjusters, not create conflict. If you can be cooperative and firm, you’ll win more approvals and faster turnarounds.
Bottom Line: It’s About Systems, Not Just Sales
Insurance work can be profitable. But it only works if you treat it like its own division of your business — with the right systems, personnel, and expectations in place.
If you’re running insurance jobs the same way you handle retail jobs, you’re probably losing money, time, or both.
The best roofing companies know when to take insurance jobs — and when to pass. They don’t chase every claim. They choose the right battles. And most importantly, they protect their margins while delivering real value to homeowners.