If you are like most roofing contractors, insurance renewal time
is one of your least favorite times of the year. Despite your best
efforts to provide loss-control services to reduce claims, the cost
of insurance continues to rise. You rely on your agent to get you
the best rates, and yet you continue to hear the reason for rising
rates is not the result of your claims history but a consequence of
the roofing industry's high-risk nature.
Unfortunately, many roofing contractors do not have a fighting
chance in the traditional insurance market regardless of having
successful businesses. The property and casualty insurance
industry's financial results for the first nine months of 2012 show
better loss ratios combined with higher investment income for
insurance carriers compared with 2011.
A year ago, many industry experts predicted a looming hard
market (significant rising insurance rates), and, though this now
looks unlikely, it still is anticipated insurance rates,
specifically for workers' compensation, will rise. With a
fluctuating market and increasing amount of claims being denied by
carriers, it is easy to see insurance carriers hold the
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