D2D glossary / Roofing terms
What is a contingency agreement in roofing sales?
Contingency agreement: A contingency agreement is a contract where a homeowner agrees to hire a roofing company if their insurer approves the claim. If the claim is denied, the agreement normally ends with nothing owed.
Storm restoration reps use it at the first visit, before the insurance adjuster has inspected. It lets the contractor meet the adjuster and work on the claim knowing the job is theirs if the insurer pays.
Some states regulate these agreements, for example by giving the homeowner a right to cancel when a claim is denied. Texas and Colorado also bar contractors from waiving or paying the insurance deductible. A rep should know the rules of the state before using the form.
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Contingency agreement: quick answers
What is a contingency agreement in roofing sales?
A contingency agreement is a contract where a homeowner agrees to hire a roofing company if their insurer approves the claim. If the claim is denied, the agreement normally ends with nothing owed.