Seeing Risk from Above: How Roof Condition Score Helps Insurers Stay Ahead

May 13, 2025 / 2 min read

In the wake of increasing extreme weather events and rising reconstruction costs, property insurers face mounting challenges in accurately assessing roof-related risks. As the first line of defense against weather damage and typically the largest single component of residential structures, roofs represent both significant exposure and opportunity for carriers seeking to enhance underwriting precision and portfolio profitability.

Verisk’s Roof Condition Score (RCS) delivers a precise, data-driven evaluation of roof health, helping insurers to refine underwriting, pricing, and portfolio management with greater confidence.

aerial-view-of-suburban-street

Quantifying roof risk

Powered by aerial imagery and advanced computer vision analytics, RCS assesses critical roof risk factors and assigns each roof a condition score on a scale from 1 to 5. A floating-point score (0.0 to 5.5) provides even more granularity for sophisticated risk segmentation.

The result: a scalable, consistent view of roof condition across nearly the entire U.S. housing stock.

RCS doesn’t just flag obvious damage. It detects subtler signs of wear—such as algae staining, missing material, or pooling water—that can silently erode a roof’s resilience. Each score is accompanied by detailed condition reasons and a confidence score, offering transparency that helps build trust with policyholders and regulators alike.

Why roof condition matters more than ever

Wind and hail events account for nearly half of all residential claims, with roof damage leading the way. And as the frequency and severity of weather events rise, roof-related losses are becoming even more costly. The average roof replacement today can exceed $28,000—a major exposure for insurers.

Verisk’s analysis shows that properties with lower RCS scores (<3.1) experience loss costs 50% higher than those with excellent roof conditions (>4.7). Yet, nearly 40% of residential roofs nationwide fall into the higher-risk category. That’s a lot of hidden risk waiting to surface.

Actionable roof condition insights across the policy lifecycle

Forward-thinking carriers are leveraging roof condition data as a strategic advantage throughout the insurance lifecycle:

Underwriting and Pricing

Refine rating algorithms with predictive roof condition variables
Match premium to risk more precisely for competitive advantage
Identify high-quality risks that competitors may be overpricing

New Business and Renewal

Strengthen binding decisions by identifying poor condition roofs pre-policy
Develop targeted inspection strategies based on roof condition risk factors
Detect renewal changes such as roof replacements or new damage

Claims Management

Validate claim legitimacy against pre-loss roof condition data
Identify potential fraud through historical condition analysis
Streamline legitimate claims handling for improved customer experience

Portfolio Management

Analyze geographic concentration of roof condition risk
Develop more effective reinsurance strategies
Target marketing toward properties with better roof conditions

Building resilience through data partnership

As climate conditions continue to evolve and social inflation affects claim severity, carriers need partners that are consistently one step ahead. Verisk’s Roof Condition Score is already approved for use in multiple states and continues to expand with enhanced capabilities, including lead identification to support quoting workflows.

By turning roof condition assessment from an informational blind spot into a competitive advantage, insurers can make more confident decisions, protect policyholders more effectively, and navigate an increasingly complex risk landscape.

Ready to learn more?

Roof Condition: Transforming Property Risk Management With Data-Driven Insights

Quantifying roof risk

Why roof condition matters more than ever

Actionable roof condition insights across the policy lifecycle

Building resilience through data partnership