Roofing Insurance Laws in Virginia

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Bureau of Insurance Administrative Letter 2025-06 (Oct. 31, 2025) declares depreciation of labor and nontangible items an unfair claims settlement practice under Va. Code § 38.2-510, citing the Commission's dwelling and homeowners content regulations at 14 VAC 5-341-10 et seq. and 14 VAC 5-342-10 et seq. One qualification. Section 38.2-510 is a general unfair-claims-practices statute and does not name labor depreciation; the specific prohibition rests on the Bureau's interpretation in AL 2025-06.

VA Bureau of Insurance Administrative Letter 2025-06 (Oct. 31, 2025) - official PDF · Virginia SCC Bureau of Insurance - Administrative Letters index · Va. Code § 38.2-510 - Unfair claim settlement practices

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The standard homeowners loss settlement condition at 14 VAC 5-342-70 obligates the insurer only to repair or replace with like kind and quality. It carries none of the NAIC matching language on reasonably uniform appearance or quality, color, or size that other states adopted, and no matching provision appears elsewhere in 14 VAC 5 Chapter 342, including the property exclusions at 14 VAC 5-342-60. Like kind and quality is undefined as to matching, and no Virginia Code section or Commission bulletin supplies a definition.

14VAC5-342-70. Loss settlement condition (Va. Admin. Code, official) — uses only 'like kind and quality', no matching language · 14VAC5-342-60. Exclusions applicable to property coverages (Va. Admin. Code, official)

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Va. Code § 59.1-618(A) (Residential Property Owners Protection Act, Title 59.1, Ch. 61) bars a contractor from knowingly or willfully paying, waiving, or rebating all or part of an insurance deductible applicable to payment for repairs to residential property. The same section bars inducement rebates and requires the deductible disclosure in at least 12-point font, or half the largest font used in the solicitation or advertisement. Section 59.1-620 makes any violation of the chapter a prohibited practice under the Virginia Consumer Protection Act, which routes enforcement through § 59.1-200 and § 59.1-196 et seq. Enacted 2026 cc. 657, 658; effective January 1, 2027. A genuine discount is not a rebate, but the estimate you submit must state the discounted price. The carrier then pays proportionally less, so the homeowner still owes the deductible against the lower number. Financing the deductible is lending, not waiving it, and stays lawful.

Va. Code § 59.1-618 — Prohibited conduct; prohibited advertisements (official Virginia LIS code) · Va. Code Title 59.1, Ch. 61 — Residential Property Owners Protection Act (incl. § 59.1-620 enforcement)

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Va. Code § 38.2-1845.1 defines public adjusting as soliciting, investigating, negotiating, adjusting, or advising a policyholder on a first-party property claim to effect settlement on the policyholder's behalf, including advertising or holding oneself out as doing so, and defines a public adjuster as anyone compensated directly or indirectly for those services. Section 38.2-1845.2(A) bars engaging in the business of public adjusting without a Commission license, which requires an exam, fingerprints, and a $50,000 bond. The exemptions at § 38.2-1845.3 run to six categories only, including estimators furnishing technical assistance to a licensed public adjuster; none covers contractors or roofers. Licensure does not cure the bar for the roofer doing the work. Section 38.2-1845.12(C) bars a public adjuster from any financial interest in the claim beyond the contracted fee and defines financial interest to include participating, directly or indirectly, in the reconstruction, repair, or restoration of the damaged property. Subsection (D)(1) bars referrals to entities the adjuster owns or that pay referral compensation, and subsection (L) voids any contract or power of attorney giving the adjuster effective authority to choose who performs the repair work. Penalties are at § 38.2-218. Section 59.1-618 imposes no freestanding ban on a contractor negotiating a claim; the bar comes from the Title 38.2 licensing statute. What § 59.1-618(B)(1) adds, effective January 1, 2027, is a disclosure: roofing solicitations and advertisements must state in 12-point or larger type that no contractor may engage in the unauthorized practice of public adjusting. Subsection (B)(4) requires a good-faith itemized and detailed estimate of services and materials before a repair authorization, and (B)(5)-(6) require contract notices, including 14-point bold language telling owners to contact their insurer about coverage, deductibles, and policy terms before signing. Section 59.1-620 makes any violation a prohibited practice under the Virginia Consumer Protection Act.

Va. Code § 38.2-1845.1 — Definitions ("public adjuster"; "public adjusting") · Va. Code § 38.2-1845.2 — License required of resident public adjusters · Va. Code § 38.2-1845.3 — Exemptions from public adjuster licensing (no contractor carve-out) · Va. Code § 38.2-1845.12 — Standards of conduct; no financial interest, incl. repair or restoration of the adjusted property · Va. Code § 38.2-218 — Penalties (up to $5,000 per knowing or willful violation of Title 38.2) · Va. Code § 59.1-618 — Prohibited conduct; roofing advertisement disclosure re unauthorized public adjusting (2026 cc. 657, 658, eff. Jan. 1, 2027) · Va. Code Title 59.1, Ch. 61 — Residential Property Owners Protection Act (full chapter, incl. § 59.1-620 VCPA enforcement)