Your Hail Claim Was Paid — Just Not Enough

An underpaid insurance claim is a settlement that acknowledges covered damage but funds only part of the cost to repair it, and it is far more common in Texas than an outright denial. Our property damage claim attorneys in San Antonio see homeowners accept a check believing the claim was honored, then discover the roofing contractor’s number is three times higher. A payment is not a resolution, and Texas law gives you tools to pursue the difference.

San Antonio sits in one of the most hail-prone regions in the country. Bexar County records damaging hail nearly every spring, and the resulting claim volume pushes carriers toward rapid, formulaic adjustments. A property insurance attorney in San Antonio evaluates whether the carrier’s scope matched the actual loss, because underpayment usually results from what the estimate left out rather than from a disputed unit price.

Recognizing an underpayment requires comparing the carrier’s estimate against a real repair scope. The items below are the ones most frequently missing.

What Carrier Estimates Leave Out

• Building code upgrade costs. Current code may require ice and water shield, additional fasteners, or ventilation the original roof lacked. Ordinance and law coverage funds this, and it is routinely omitted.
• Decking replacement. Damaged or delaminated decking discovered during tear-off is a real cost that estimates written from the ground never capture.
• Full slope replacement and matching. Repairing a portion of a slope with unavailable matching shingles leaves a patchwork roof; Texas policies often require reasonably uniform appearance.
• Soft metals and secondary structures. Gutters, downspouts, vents, HVAC condenser fins, garage doors, window screens, fences, and detached buildings sustain hail damage and are frequently skipped.
• Interior damage. Ceiling stains, insulation, and paint from leaks the storm caused belong in the claim.
• Overhead and profit. Where a repair requires three or more trades, general contractor overhead and profit is customarily owed.
• Recoverable depreciation. Replacement cost policies withhold depreciation until repairs are complete, and homeowners often never submit for the holdback.

Read Your Deductible Carefully

Texas homeowner policies increasingly apply a percentage windstorm and hail deductible rather than a flat dollar amount. A one or two percent deductible on a $450,000 dwelling limit is $4,500 or $9,000 — not the $1,000 many homeowners assume.

That structure creates a denial-by-arithmetic effect. A carrier that scopes $8,200 in damage against a $9,000 deductible produces a zero payment, and the homeowner concludes the roof was undamaged. An independent scope that correctly captures code items, decking, and soft metals can move that number well past the deductible.

What Texas Requires Insurers to Do

The Texas Prompt Payment of Claims Act sets binding timelines. Under Chapter 542 of the Texas Insurance Code, an insurer must acknowledge the claim and begin investigation within 15 days, accept or reject within 15 business days of receiving all requested items, and pay an accepted claim within five business days of notice.

Violations carry statutory interest plus attorney’s fees. For weather-related claims, Chapter 542A applies a penalty calculated as the judgment rate under Texas Finance Code Section 304.003 plus five percent, and it requires written pre-suit notice at least 61 days before filing suit stating the acts complained of, the specific amount claimed, and attorney’s fees incurred.

Using the Appraisal Clause

Nearly every Texas homeowner policy contains an appraisal provision, and it is the most direct route to resolving a dispute over amount rather than coverage. Either party may invoke it. Each side selects a competent, independent appraiser, and the two select an umpire; an agreement between any two of the three sets the amount of loss.

Appraisal is generally faster and cheaper than litigation, and awards frequently exceed the carrier’s original estimate by a wide margin. It does not decide coverage questions, so a carrier arguing the damage was wear rather than hail may resist or contest the process. Invoke it in writing and select an appraiser experienced with the specific building type.

Steps to Recover the Balance

Request the carrier’s complete estimate, adjuster report, and photographs in writing. Obtain a detailed line-item repair scope from a qualified contractor written in the same estimating format the carrier uses, which makes discrepancies obvious rather than arguable.

Submit a written supplement identifying each omitted item with supporting documentation and applicable code citations. Many underpayments resolve at this stage without formal proceedings. Preserve physical evidence — do not discard removed shingles or replaced materials until the claim is resolved. If the carrier refuses, the Texas Department of Insurance complaint process creates a record, and litigation remains available.

Watch the Clock

Texas insurance code claims generally carry a two-year deadline, and most policies contain their own suit limitation provision — often two years and one day from the date of loss. The 61-day pre-suit notice period runs inside that window, so waiting until the final months leaves no room.

Homeowners with unresolved claims from prior storm seasons should confirm their deadline immediately, since supplements and negotiations do not extend the limitation period unless the carrier agrees in writing.

Have Your Settlement Reviewed

If the check you received will not cover the repairs your roof actually needs, the gap is worth examining before you cash out the claim or run the deadline. The Law Office of Bryan A. Woods handles property insurance and consumer disputes for San Antonio homeowners. Call (210) 824-3278 or reach the firm here.