S B&I SCR ORG1 2-24

SENATE CONCURRENT RESOLUTION NO. 56

(By Senators Tucker and Fitzsimmons)

[Originating in the Committee on Banking and Insurance]

Requesting the Joint Committee on Government and Finance study consumer protection in the event of storm damage to the roofs of residential properties.

    Whereas, Many residents of the State of West Virginia have suffered and will likely continue to suffer natural disasters that damage their homes and particularly their roofs; and

    Whereas, Many West Virginians have purchased property and casualty insurance and rely on such insurance coverage for the payment of repair costs or replacement costs related to the roofs and roofing components of their homes that were damaged by storms, hail and other natural disasters; and

    Whereas, West Virginia residents and roofing contractors may enter into residential roofing contracts with the expectation that payments for the work will be made solely from the proceeds of a property or casualty insurance policy; and

    Whereas, Roofing contractors may induce homeowners to contract with them by means of offering them certain discounts that amount to being a reimbursement of their insurance deductible; and

    Whereas, Homeowners may be induced into entering into roofing contracts because of a belief that all of the moneys due under such contract will be paid by insurance; and

    Whereas, West Virginia homeowners may become legally responsible for part or all of the payments pursuant to such roofing contracts if their insurance carrier subsequently denies all or part of their insurance claim, even though they would not have entered into such contracts but for the expectation of insurance coverage; and

    Whereas, Roofing contractors may expend time and money meeting with homeowners, inspecting roofs, preparing estimates, drafting contracts and purchasing roofing materials in anticipation that payments under roofing contracts will be made by the homeowner’s insurance carrier; and

    Whereas, The Legislature finds that the citizens of the State of West Virginia should be protected from being persuaded from entering into roofing contracts by incorrect or misleading insurance coverage information and monetary inducements that result in them being personally responsible for paying for such roofing work; and

    Whereas, In order to protect West Virginia homeowners, their ability to obtain reasonably priced insurance, their ability to obtain correct insurance coverage information and their ready access to quality roofing contractors need all be considered; therefore, be it

    Resolved by the Legislature of West Virginia:

    That the Joint Committee on Government and Finance is hereby requested to study consumer protection in the event of storm damage to the roofs of residential properties; and, be it

    Further Resolved, That the Joint Committee on Government and Finance report to the regular session of the Legislature, 2015, on its findings, conclusions and recommendations, together with drafts of any legislation to effectuate its recommendations; and, be it

    Further Resolved, That the expenses necessary to conduct this study, to prepare a report and to draft necessary legislation be paid from legislative appropriations to the Joint Committee on Government and Finance.