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Safeguarding Texas Roofs: Tackling Insurance Fraud and Storm Chasers In Texas, where roofing is unregulated at the state level, homeowners and businesses often find themselves vulnerable to bad actors. The absence of licensing requirements means that storm chasers, fraudulent contractors, and deceptive insurance practices can leave property owners with substandard roofs and financial headaches. That’s why industry leaders like Sarah Ramon and AJ Huckaby have been advocating for stronger consumer protections. In a recent conversation, they highlighted the urgent need for roofing regulation, the dangers of insurance fraud, and how RCAT continues to fight for Texas homeowners dealing with roof storm damage. This blog expands on their discussion, diving into the risks homeowners face and how contractors can help build a more trustworthy roofing industry. Catch their full conversation here: https://www.youtube.com/watch?v=mfjQu4qtxi4 Why Texas Needs Roofing Licensing The Texas roofing industry is in a unique and challenging position. Without state-mandated licensing, virtually anyone can claim to be a roofer, leading to an influx of unqualified contractors, particularly after storms. “We need licensing in Texas—not to make it harder for people to enter the industry, but to hold bad actors accountable,” AJ Huckaby explains. “Storms hit Texas frequently, and every time, we see an influx of people who suddenly call themselves roofers.” Texas experiences more hailstorms per capita than most states, leading to repeated roof insurance claims and opportunities for fraud. While homeowners assume their contractors are professionals, the lack of oversight allows unqualified individuals to operate freely, often leaving behind faulty roofs and uninsurable homes. RCAT has fought for official licensing for more than 40 years, but legislative hurdles and resistance from groups opposing regulation have made progress difficult. The Threat of Storm Chasers and Insurance Fraud Storm chasers contractors who travel from state to state following severe weather—are a major issue in Texas. They often undercut legitimate businesses, perform subpar work, and disappear before homeowners realize something is wrong. AJ recounts, “After Hurricane Harvey, contractors flooded the Coastal Bend area. Many didn’t pull permits or obtain windstorm certificates, leaving homeowners with roofs that were no longer insurable.” One of the most common tactics fraudulent contractors use is waiving deductibles. While this may sound like a homeowner benefit, it often leads to insurance fraud. In 2019, RCAT successfully helped pass a deductible law making it illegal for contractors to waive deductibles. “Waving deductibles has always been illegal, but there wasn’t an enforcement mechanism,” Sarah Ramon explains. “Now, there are penalties, and homeowners need to understand that participating in this practice puts them at legal risk.” The Push for Roofing Registration Given the challenges of passing full licensing legislation, RCAT is advocating for a roofing registration program. Under this plan, contractors would be required to register with the state, providing proof of insurance and basic business credentials. “If you’re contracting directly with a homeowner, you should be registered,” AJ states. “It’s not about limiting business—it’s about ensuring accountability. If a homeowner has a problem, they should be able to find a registered contractor’s information with the state.” This simple step would allow Texas to track roofing businesses better and weed out unqualified or dishonest contractors without creating an unnecessary burden on legitimate professionals. Red Flags Homeowners Should Watch For Choosing a roofing contractor can be a daunting task, especially after a storm when many companies flood the market. Homeowners should be aware of these red flags to avoid falling victim to fraud: No Physical Address or Local Presence – If a contractor lacks a verifiable business address or operates out of a P.O. box, they may be a storm chaser. Pressure to Sign Immediately – Reputable contractors give homeowners time to review contracts; high-pressure sales tactics are a major warning sign. Unbelievably Low Bids – If a bid is significantly lower than others, it may indicate the use of substandard materials or poor workmanship. Requests for Large Upfront Payments – Legitimate contractors do not demand full payment before any work begins. Be cautious of anyone requesting a large deposit. No Proof of Insurance or Licensing – Always ask for proof of liability insurance and, if applicable, any industry certifications. Vague or Incomplete Contracts – A contract should clearly outline materials, costs, and a timeline. Avoid contractors who refuse to provide written agreements. Waiving Deductibles – This is illegal in Texas and a clear sign of fraudulent business practices. Unwillingness to Provide References – Established contractors should have no problem sharing references from past clients. By recognizing these warning signs, homeowners can protect themselves from scams and ensure they hire a trustworthy roofing professional. Protecting Homeowners from Unlicensed Public Adjusting Another major issue in Texas roofing is the unlicensed practice of public adjusting. Many homeowners assume their roofer will handle their roof insurance claim, but Texas law prohibits contractors from negotiating with insurers on behalf of homeowners. “A roofing contractor should never say, ‘We’ll get your roof bought,’” Sarah warns. “That’s illegal. They are not licensed to negotiate claims, and homeowners can end up in a legal gray area.” Currently, only about 3% of Texas insurance claims involve a licensed public adjuster. This means most homeowners are left to navigate claims on their own, often relying on contractors who may not fully understand insurance policies. RCAT is working with the Texas Department of Insurance and other industry groups to clarify the law and ensure that contractors can provide documentation without crossing legal lines. How RCAT Continues to Advocate for the Industry RCAT remains at the forefront of legislative efforts to protect homeowners and roofing contractors in Texas. The organization’s Safe Roofs Over Texas initiative allows homeowners to submit letters directly to legislators, advocating for better consumer protections. “We’re not just fighting for roofers—we’re fighting for homeowners,” Sarah emphasizes. “Our goal is to create an industry where consumers can trust their contractor and know their roof will last.” Many homeowners facing a hail damage insurance claim or roof leak insurance claim may not know how to find a reputable contractor. As roofing professionals, contractors have a responsibility to educate homeowners, follow ethical business practices, and support initiatives that promote accountability. Support Roofing Accountability in Texas Texas homeowners and contractors alike have a stake in creating a more reputable roofing industry. By supporting RCAT’s efforts, spreading awareness about deductible fraud, and pushing for fair regulations, we can protect both businesses and consumers. If you're filing a roof damage insurance claim, it’s crucial to work with a contractor who adheres to ethical business practices. Avoid contractors who promise to waive deductibles or handle everything with your insurance without involving you. To learn more, visit RCAT.net or advocate for change through Safe Roofs Over Texas. Together, we can build a stronger, more ethical roofing industry in Texas. Watch the full conversation with Sarah Ramon and AJ Huckaby here: https://www.youtube.com/watch?v=mfjQu4qtxi4
In Texas, where roofing is unregulated at the state level, homeowners and businesses often find themselves vulnerable to bad actors.
The absence of licensing requirements means that storm chasers, fraudulent contractors, and deceptive insurance practices can leave property owners with substandard roofs and financial headaches.
That’s why industry leaders like Sarah Ramon and AJ Huckaby have been advocating for stronger consumer protections.
In a recent conversation, they highlighted the urgent need for roofing regulation, the dangers of insurance fraud, and how RCAT continues to fight for Texas homeowners dealing with roof storm damage.
This blog expands on their discussion, diving into the risks homeowners face and how contractors can help build a more trustworthy roofing industry.
Catch their full conversation here: https://www.youtube.com/watch?v=mfjQu4qtxi4
The Texas roofing industry is in a unique and challenging position.
Without state-mandated licensing, virtually anyone can claim to be a roofer, leading to an influx of unqualified contractors, particularly after storms.
“We need licensing in Texas—not to make it harder for people to enter the industry, but to hold bad actors accountable,” AJ Huckaby explains. “Storms hit Texas frequently, and every time, we see an influx of people who suddenly call themselves roofers.”
Texas experiences more hailstorms per capita than most states, leading to repeated roof insurance claims and opportunities for fraud.
While homeowners assume their contractors are professionals, the lack of oversight allows unqualified individuals to operate freely, often leaving behind faulty roofs and uninsurable homes.
RCAT has fought for official licensing for more than 40 years, but legislative hurdles and resistance from groups opposing regulation have made progress difficult.
Storm chasers contractors who travel from state to state following severe weather—are a major issue in Texas.
They often undercut legitimate businesses, perform subpar work, and disappear before homeowners realize something is wrong.
AJ recounts, “After Hurricane Harvey, contractors flooded the Coastal Bend area. Many didn’t pull permits or obtain windstorm certificates, leaving homeowners with roofs that were no longer insurable.”
One of the most common tactics fraudulent contractors use is waiving deductibles.
While this may sound like a homeowner benefit, it often leads to insurance fraud.
In 2019, RCAT successfully helped pass a deductible law making it illegal for contractors to waive deductibles.
“Waving deductibles has always been illegal, but there wasn’t an enforcement mechanism,” Sarah Ramon explains. “Now, there are penalties, and homeowners need to understand that participating in this practice puts them at legal risk.”
Given the challenges of passing full licensing legislation, RCAT is advocating for a roofing registration program.
Under this plan, contractors would be required to register with the state, providing proof of insurance and basic business credentials.
“If you’re contracting directly with a homeowner, you should be registered,” AJ states. “It’s not about limiting business—it’s about ensuring accountability. If a homeowner has a problem, they should be able to find a registered contractor’s information with the state.”
This simple step would allow Texas to track roofing businesses better and weed out unqualified or dishonest contractors without creating an unnecessary burden on legitimate professionals.
Choosing a roofing contractor can be a daunting task, especially after a storm when many companies flood the market.
Homeowners should be aware of these red flags to avoid falling victim to fraud:
By recognizing these warning signs, homeowners can protect themselves from scams and ensure they hire a trustworthy roofing professional.
Another major issue in Texas roofing is the unlicensed practice of public adjusting.
Many homeowners assume their roofer will handle their roof insurance claim, but Texas law prohibits contractors from negotiating with insurers on behalf of homeowners.
“A roofing contractor should never say, ‘We’ll get your roof bought,’” Sarah warns. “That’s illegal. They are not licensed to negotiate claims, and homeowners can end up in a legal gray area.”
Currently, only about 3% of Texas insurance claims involve a licensed public adjuster.
This means most homeowners are left to navigate claims on their own, often relying on contractors who may not fully understand insurance policies.
RCAT is working with the Texas Department of Insurance and other industry groups to clarify the law and ensure that contractors can provide documentation without crossing legal lines.
RCAT remains at the forefront of legislative efforts to protect homeowners and roofing contractors in Texas. The organization’s Safe Roofs Over Texas initiative allows homeowners to submit letters directly to legislators, advocating for better consumer protections.
“We’re not just fighting for roofers—we’re fighting for homeowners,” Sarah emphasizes. “Our goal is to create an industry where consumers can trust their contractor and know their roof will last.”
Many homeowners facing a hail damage insurance claim or roof leak insurance claim may not know how to find a reputable contractor.
As roofing professionals, contractors have a responsibility to educate homeowners, follow ethical business practices, and support initiatives that promote accountability.
Texas homeowners and contractors alike have a stake in creating a more reputable roofing industry.
By supporting RCAT’s efforts, spreading awareness about deductible fraud, and pushing for fair regulations, we can protect both businesses and consumers.
If you're filing a roof damage insurance claim, it’s crucial to work with a contractor who adheres to ethical business practices.
Avoid contractors who promise to waive deductibles or handle everything with your insurance without involving you.
To learn more, visit RCAT.net or advocate for change through Safe Roofs Over Texas. Together, we can build a stronger, more ethical roofing industry in Texas.
Watch the full conversation with Sarah Ramon and AJ Huckaby here: https://www.youtube.com/watch?v=mfjQu4qtxi4