Contingency Contracts in Roofing: What They Are and Why They Protect You

After a storm, the first thing a lot of homeowners hear at their door is "Sign this and we'll handle everything." That sentence makes people nervous. And honestly, it should — but not for the reason most people think.

The nervousness comes from never having seen a contingency agreement before. Nobody explains what the paper actually does. So here's what it does.

What the document actually says

Strip away the legalese and a contingency agreement boils down to this:

> If the insurance company approves the work, you use us. If they deny the claim or the approved amount won't cover the scope, the agreement ends and nobody owes anybody anything.

That's it. You're not writing a check. You're not guaranteeing payment. You're agreeing to a working relationship that only kicks in if the claim is approved.

Why we ask for it before the adjuster meeting

This is the part that trips people up. Why would I sign before I know what's covered?

Because the adjuster meeting is where a good contractor earns their money — and the money doesn't exist yet.

When we show up for your adjuster meeting, we're back on the roof a second time. We're walking the property with the adjuster, pointing out damage they might miss, citing code, pushing back when a line item is short. That work can be the difference between a $6,000 estimate and a $22,000 estimate. We've seen it go that way plenty of times.

If we do all that and you take the approved claim to a cheaper guy, we walk away with nothing. We can't bill for the time. We can't recover the value we created.

The contingency agreement is what makes it rational for us to put that expertise on the table before a dollar exists.

What you're agreeing to

• If the claim is approved, we do the covered work
• You pay your deductible — that's your out-of-pocket
• You do not pay above the approved amount for covered work
• We document damage, attend the adjuster meeting, and prepare supplements if the scope is short

What you're not agreeing to:

• You're not stuck if the claim gets denied
• You're not paying anything beyond your deductible
• You're not giving up any rights under your policy

Read it before you sign

A legitimate contingency agreement is short and plain. If somebody hands you five pages of dense legal text, slow down and ask for a plain-English explanation of anything you don't follow.

Things to watch for:

Assignment of Benefits (AOB). Some agreements hand your insurance proceeds straight to the contractor. That takes you out of the loop and puts the legal exposure on you. Don't sign it.

Cancellation window. Under Texas law you get a statutory window — typically three days — to cancel without penalty. Make sure it's in the document.

What if the scope's too low. If the approved amount won't cover the full scope, what happens? The agreement should spell it out.

Warranty. What's covered, how long, and who's behind it?

The honest version

Storm restoration is front-loaded. The work that decides how a claim turns out — inspection, documentation, the adjuster meeting, supplements — all happens before any revenue comes in. A contractor working without a contingency agreement is working on faith.

It's a mutual commitment. We put our expertise on your claim. You use us if it pays off. That's the fair way to set it up for both sides.

Ask these before you sign

• Is this cancelable in the statutory window?
• Is there an AOB clause? (If yes, ask them to strike it)
• What happens if the claim gets denied?
• Will you be at my adjuster meeting?
• Who handles supplements?

A contractor who answers cleanly and without pressure is one you can work with.