Right to Repair Clauses: Your Rights When the Carrier Sends Their Contractor

"Right to Repair" clauses are becoming more common in insurance policies. These provisions give the insurance company the option to repair your property directly using their own chosen contractor, instead of paying you the cash value of the loss.

On the surface, this might sound convenient — the insurance company handles everything. In practice, it gives the carrier enormous control over the quality, scope, and cost of repairs to your home.

How Right to Repair Works

When a carrier invokes their right to repair, they select and pay a contractor directly to perform the repairs. The homeowner doesn't receive a check — the money goes straight to the carrier's chosen contractor.

The problem is that this contractor works for the insurance company, not for you. Their incentive is to keep the insurance company happy — which means keeping costs down, not maximizing the quality of your repairs.

Managing the Carrier's Contractor

If the insurance company sends their contractor, treat them exactly the way consumer protection agencies recommend you treat any contractor working on your home. In California, the Contractors State License Board has extensive guidance on homeowner rights:

1. Verify the contractor's license. Call the CSLB at (800) 321-2752 or check their website. Licensed contractors must post a $12,500 bond.
2. Ask for references.Visit homes where they've done work and review the quality.
3. Get a written contract that states the work, the price, completion timeline, and materials to be used.
4. Don't allow excessive down payments. In California, contractors can only collect $1,000 or 10% of the total cost, whichever is less.
5. Schedule payments based on completed work.Don't let payments get ahead of the work actually done.
6. Document everything with photos before, during, and after repairs.

Common Problems with Carrier Contractors

• Substandard work quality— preferred vendors are often selected for price, not quality
• Skipping scope items— doing only what the carrier authorized, not what the home actually needs
• Using cheaper materials— substituting lower-grade materials for what was originally in the home
• Rushing the timeline— completing work quickly at the expense of thoroughness
• Not pulling permits— skipping required building permits to save time and cost

Protecting Yourself

Even if you accept the carrier's contractor, you have every right to monitor the work, demand quality, and raise concerns. Keep a detailed log of the work being done, take daily photos, and don't sign off on completed work until you're satisfied it meets professional standards.

If you encounter problems with the carrier's contractor, document everything in writing and notify both the contractor and the insurance company. If the issues aren't resolved, consult with a public adjuster or attorney about your options.