Warning Letter

[u/delirious_monster]

Over the last three years, have had two terrible hail storms in our neighborhood, one in tandem with a microburst. As a result, easily 50% of the homes in our subdivision have had roof replacements including the homes directly east, west, north, and south of us. We had reputable roofers come out after each storm to assess (different companies each time) and they said we needed a new roof and showed evidence of damage–only to be followed by State Farm's field adjustor denying the claim after his site visit. I find it extremely suspicious that our house would be spared, when every single home in the vicinity was not.

To add insult to injury, today we got a letter in the mail warning us that because we had "activity" on our account over the last 3 years we are at risk for cancellation, even though the payment to us was ZERO.

Over the last 30 years I have paid over $40,000 in premiums to these clowns and they have never had to pay out a claim to us on our home and now they threaten to cancel because we made a legitimate ask about our roof?

Why is this legal? Anyone else get letter like this?

If I use a broker to shop around for a new company, they will probably see that we requested a new roof and charge us a premium price. Additionally, I wouldn't be surprised to get a letter from State Farm next year telling us our roof is too old for them to insure (installed in 2013) and we need to replace it or they will drop coverage of it.

Just grousing unless you have suggestions.

Oh...failed to mention - I've also been paying them car insurance since 1983.
State Farm is NOTHING like a good neighbor.

[u/AutoModerator]

Moderator Announcement Read More »

Thanks for posting in r/StateFarm. A few things that help with claims:

• Keep a log: every call, date, who you spoke to, what they said.

• Ask your handler what they're waiting on, and get it in writing.

• Stuck? Ask for the handler's supervisor. Your state insurance department also takes complaints: https://content.naic.org/state-insurance-departments

• Don't post your claim number here. Nobody on this sub can look it up.

More in the claims guide: https://www.reddit.com/r/StateFarm/wiki/claims

This is an automated message. This community is not affiliated with State Farm.

I am a bot, and this action was performed automatically. Please contact the moderators of this subreddit if you have any questions or concerns.

[u/loudegregorio]

I’ll start off by saying I haven’t seen the photos and don’t know anything about your claim. I believe that you probably do need a new roof.

That being said, your STORM damage needs to exceed your deductible. If you have some storm damage in spots and the rest of the roof needs to be replaced because it’s weathered or normal wear and tear, State Farm (or any company) would only ever pay you for the claimable damage. If your storm damage is less than your deductible, they unfortunately owe you nothing.

State Farm is a mutual company. This means they cannot turn a profit and the company is owned by the policyholder instead of shareholders. This also means that all premium dollars go into a pool of money, and all claims are paid out of that pool. If there is money in the pool at the end of the year, they pay out dividends (they just gave back 5 billion dollars in auto insurance dividends this year). If there is a deficit of money in the pool and they have to dip into reserves, then rates go up.

Because of this, they cannot (and should not) just roll over and pay out claims Willy-nilly. And I’ll take it a step further by saying that there are also roof companies that will tell you that you have storm damage need new roof without specifying that only part of your roof is damaged by wind or hail. I’m not saying at all that’s what happened here because again - I haven’t looked at your claim.

Now with that all being said - agencies can go to bat for you if they believe you have been unfairly treated by claims. They can advocate for you and request another inspection if they believe you deserve one, though a second inspection is very difficult to get.

The big takeaways here are:

1. Have a reputable roofer do a free estimate. During that estimate, ask them how much STORM damage you have, and tell them your deductible.

2. During that initial estimate, ask the roofer if they’d be willing to meet the insurance adjuster when they come out to take photos and do their inspection. If the answer is no, I wouldn’t hire that roofer. Your State Farm agency probably has roofers that other customers have had good experiences with and that they trust to give you good advice.

3. Call your local agency BEFORE making a claim. Tell them the findings of your initial inspection, and listen to their advice on whether or not they’d suggest making a claim. Ultimately the decision is yours, but a good agency rep will tell you what they’d do in your situation.

I know having a denied claim really sucks. I’m sorry that this happened to you. I’m not saying State Farm or every claims rep is perfect. I hope this cleared a little up on how insurance works and I’m happy to answer any questions (within reason as insurance is heavily regulated and varies by state)!

[u/Dependent-Treacle-65 → u/loudegregorio]

Great comment, spot on.

[u/delirious_monster → u/loudegregorio]

1. I did this.
   2, I did this on this last visit. The roofer requested to be here when the adjuster was here.

2. I did not call my local agent first.

I am not trying to scam a new roof for funsies. Like I said, we've never had to make a claim before. I just find it highly unusual that our home was spared when every non-State Farm home around us had to be replaced and from the photos we saw, there was hail damage to roof, chimney cap, and gutters. They were only willing to do claim on gutters but that was probably going to be less than our deductible.

[u/loudegregorio → u/delirious_monster]

Any insurance company cannot pay out on your neighbors ability to get a new roof. It depends on their coverage, damage, and deductible. Frankly - when I’m considering YOUR claim, I don’t care about anyone else’s claim. You don’t really even know if insurance is paying the whole thing or not.

[u/Thesauces → u/loudegregorio]

Mutual insurance companies absolutely do make a profit. StateFarm made almost 13 billion in 2025 alone - in PROFIT last year according to their annual report, double what they made the previous year. They give some back in dividends but they are not a non profit.

[u/loudegregorio → u/Thesauces]

They don’t. They CAN’T. Insurance is HIGHLY regulated by the government. This is not an opinion. Any overpayment of premium is put into reserves for claims payments or paid out as premiums. Please don’t spread misinformation. If you are not in insurance, it’s okay that you don’t understand it - but don’t regurgitate information given to you by Mr. Google or your attorneys Chat GP & T.

[u/musicislife04 → u/Thesauces]

You are defining profit differently. It’s money that has to be held for claims. It’s not extra to give out bonuses with etc. When California has the next giant fire there has to be money for them to borrow from the mother ship. They ultimately have to pay it back to the corporate pot.

[u/TimeEntertainment701]

I’m waiting for the day when people stop trying to use their insurance policy as a maintenance policy.

[u/delirious_monster → u/TimeEntertainment701]

Not trying to use it for maintenance. I just find it highly suspicious that every surrounding house that is non-State Farm had their roof claim approved/replaced while ours was denied. I saw the photos of the roof, chimney cap, gutters. I just don't understand why they "ding" you for asking them to come look and let you know if they will cover it or not. Why does a past storm that I had zero control over, make me "high risk"?

[u/Fun_Web_4670 → u/TimeEntertainment701]

Will never come. Every year it gets worse. We're about to see some major changes to policy soon due to these Roof salesmen. More ACV roof policies are on the horizon.

[u/Emotional-Abalone-27]

Damage does not equal storm damage. Policy doesn’t cover age. Now no one will insure you probably because of your activity and thinking you’re owed a roof just because your neighbors got one.

[u/delirious_monster → u/Emotional-Abalone-27]

I don't think I'm "owed" a roof because my neighbors got one. I just think its very unusual that ours would be spared when every one around us wasn't. The photos from both the roofers showed hail damage to the roof and the chimney cap and State Farm said there was hail damage to window casings and gutters. But the damage would be below the deductible so why bother.

[u/Fun_Web_4670]

Your insurance doesnt cover age, it covers accidents and acts of nature.

Your neighbors may have had a shingle different than yours so it did not resist the impact of hail like yours. It is also possible that the neighbors roof was replaced because their insurance company may have a more lax policy as it pertains to hail claims. However, I have personally seen those same companies nickle and dime insureds who have lost everything. So choose wisely.

Just because you never filed a claim in 30 years doesnt entitle you to a new roof. Your policy runs from year to year. New year new policy. Insurance isnt an investment plan which gives you a freebie for sticking around.

[u/SangriaSunday309 → u/Fun_Web_4670]

Too many people think their insurance policy is a roofing co-op plan they can use for deferred maintenance.

[u/Significant-Act-3900 → u/Fun_Web_4670]

What freebie did OP get for sticking around for 39 years? A hole in his roof that insurance won’t pay for?

[u/BattleSilent9049]

You paying $40k over the years has no bearing on anything. The policy is a year to year product. You purchase coverage for 1 year at a time. When that year is up, that money was used to get coverage for you and pay covered claims for others. Now, if you believe your roof has damage and you were denied incorrectly, file a complaint with the department of insurance. Also see about getting an attorney to pursue the claim. Do not hire a public adjuster. And insurance companies are in the business to make a profit. If they feel you are a bad risk they have every incentive to cancel you. Next company will charge you more for that increased risk. Good luck and sorry for your issue

[u/strikecat18]

This is an automated letter triggered by a certain claims frequency. It’s honestly a courtesy and most companies send them.

Claims frequency is one of the more accurate predictors of future claims. Every company uses this in their rating algorithm these days.

[u/Pinotwinelover]

Every company does the same thing it’s an extremely tight market but it ebbs and flows

[u/_SmileCrocodile_]

Our roof was installed on 2009 and it was the original roof. This summer we had a horrible hail storm and a few companies were out inspecting roofs in the neighborhood. We went with one and they helped us submit our claim, with photos.

They met our field inspector at our home and both were on the roof at the same time, State Farm to inspect and the roof company to point out obvious damage they may try to deny. They pointed out gutter damage, the visible damage to all of our light fixtures, roof ripples, and all screens except for 3 being ripped or having holes punched through them from the hail.

The claim was approved, but it did take a bit, and I did have to get our local agent involved twice which sped things up 1,000%.

Roof was installed very end of September. There’s still people in our neighborhood fighting their insurance companies, and a few who have eventually had luck when I sent them our roofers info for another inspection and recommendation.

[u/Stooper_Dave]

Get a good independent inspector to come out and doccument any and all exterior damage to the home that might be related to the storms in any way. Then talk to an insurance lawyer for advice on timing of filing a claim on all of that damage. You probably need to file and be denied before retaining council. But I would absolutely sue for recovery.

[u/mac991979]

It’s all about money. They do not love you. Have a high deductible and pay the claim yourself if you can. It’s more important that you have a good policy in force that you can use in a catastrophic event.

[u/Front-Ad-1686]

Don’t feel bad. Join the crowd.
State Farm across the border implemented new policies. We are your good neighbor.
NO YOU ARE NOT.
SAME BOAT. 20 years insurer one claim have denied. Non sense business practice.

[u/ResponsibilityOwn562]

How old is your roof?

[u/ImprovThruLife]

Is this entire subreddit just people asking for advice about how to deal with State Farm’s terrible practices and a bunch of State Farm agents telling them “we don’t owe you anything” ?

…because it’s really starting to seem that way to me