Overlooked Risks Roofing Companies Shouldn’t Ignore

Most roofing contractors know the obvious dangers, falls, heavy equipment accidents, and unpredictable weather. These risks are built into the job. What’s less obvious, but just as damaging, are the risks that don’t make headlines until they become a crisis. 

Some of the biggest threats to roofing companies don’t come from a missed step on a ladder but from overlooked liabilities that can erode profits, trigger lawsuits, and put a business at risk. Here are three under-the-radar dangers roofing contractors need to get ahead of, before they cost you big. 

 The Unseen Threat of Product Liability

You install a roof. It’s done correctly. Everything checks out. But a year later, the client calls, you’ve got a problem. The waterproofing membrane is failing. The insulation is breaking down. Water is seeping in, and now, the entire structure is at risk. Suddenly, it’s not just the manufacturer’s issue, it’s yours. 

Defective or subpar roofing materials can lead to costly damage claims, contract disputes, and even lawsuits. Many roofing contractors assume they’re protected because they followed the installation specs. But if the manufacturer won’t take responsibility, or worse, has gone out of business, you could be left holding the bag. 

How to Protect Your Business: 

• Vet Your Suppliers: Don’t just trust the name on the box. Regularly audit manufacturers and request test certifications. 

• Keep Detailed Documentation: Every invoice, warranty, and material spec should be easily accessible. If there’s a dispute, you need proof. 

• Secure the Right Coverage: Errors & Omissions (E&O) insurance can protect against liability when materials fail after installation. 

Environmental Violations That Could Shut You Down

Roofing sites generate waste, shingles, sealants, adhesives. But what happens when those materials wash into a storm drain? Many contractors assume this isn’t their problem until they’re hit with a notice from the EPA. In one recent case, a roofing company was fined after stormwater runoff from a job site carried chemicals into a local waterway. The company hadn’t intentionally dumped anything, but failing to implement proper containment measures cost them tens of thousands in fines. It’s not just about compliance, it’s about protecting your reputation. Environmental violations are public record, and once a fine hits the news, your name is attached to it. 

How to Stay Compliant: 

• Understand Stormwater Regulations: Every state has different rules. Know what applies to your job sites. 

• Use Containment Strategies: Filtration barriers, tarps, and designated disposal areas prevent contaminants from spreading. 

• Invest in Pollution Liability Insurance: If something does go wrong, this coverage helps cover cleanup costs and legal fees. 

The Cyber Threat No One Sees Coming

Roofing companies aren’t thinking about cybersecurity until they have to. A mid-sized roofing contractor recently learned this the hard way. A hacker gained access to their system through a phishing email disguised as an invoice. Within minutes, the company’s customer files, financial records, and scheduling system were locked. The demand? A five-figure ransom to restore access. 

 The business shut down for over a week, lost tens of thousands in revenue, and suffered a reputational hit they’re still recovering from. And they’re not alone, construction-related industries are increasingly targeted because they store valuable client data but often lack strong cybersecurity measures. 

How to Protect Your Business: 

• Secure Your Data: Encrypt files, use multi-factor authentication, and back up critical data regularly. 

• Train Your Team: Most breaches happen because of human error—make cybersecurity awareness a priority. 

• Consider Cyber Liability Insurance: If an attack happens, this coverage helps with legal costs, data recovery, and lost income. 

Get Ahead of the Risks—Before They Cost You 

In roofing, experience is everything. But even the most experienced contractors can be blindsided by risks they didn’t see coming. The good news? With the right risk management strategy, you don’t have to be. 

At Townley Kenton, we work with roofing companies to identify and mitigate hidden threats, before they become costly problems. From liability protection to cybersecurity solutions, we help safeguard your business so you can focus on what you do best. 

Want to know where your biggest vulnerabilities are? Let’s talk.

Sources: 

• National Roofing Contractors Association (NRCA) – Material Quality Standards & Best Practices 

• Environmental Protection Agency (EPA) – Stormwater Pollution Prevention Guidelines for Contractors 

• Cybersecurity & Infrastructure Security Agency (CISA) – Cyber Threats in the Construction Industry