As we celebrate Haag’s 95th anniversary in 2019, we are looking back at some of the noteworthy projects Haag Engineers and Consultants have been involved with over the last 95 years. Each month in 2019, this blog will feature one unique, important project, as selected by our senior staff. This month, we’re featuring Haag Education’s Haag Certified Inspector- Commercial Roofs program, and we’re doing a special 2-part feature “Assessing Hail Damage: Issues with “Functional” vs “Cosmetic” Damage”.

Assessing Hail Damage:

Part 1 – Issues with “Functional” vs “Cosmetic” Damage

By Justin Kestner, P.E., Steve Smith, P.E., and Jim Chaney, CPCU

As the season turns to fall, we will focus on something that falls from the sky in much of the U.S. – hail.  This is the first of a two-part series on hail damage.  The second part will be in next month’s blog.  This post focuses on wording choices used in hail reports to describe hail effects.  Part two will focus on proper hail inspection protocol, damage criteria, and so forth.  This post was written by two Haag engineers and by a Haag Education Co. instructor, the latter of whom has been an adjuster and provided adjuster training for years prior to joining Haag Education.  To be clear, it is this instructor who addresses policy provisions in this post, and it is the responsibility of the adjuster to know and apply each policy. 

For those of us who have been assessing hail-caused damage to roofs for some time, the terms “functional damage” and “cosmetic damage” have been tossed around quite commonly over the years.  But as insurance policies and case law have evolved, so too should your vernacular when it comes to hail damage assessment.

Some of you may have read a 2018 Haag article on hail and metal roofing or a read a CLM article on the same subject (http://clmmag.theclm.org/home/article/Testing-Your-Mettle).  A recent court ruling in Indiana has shed light yet again on the subject of hail damage with respect to insurance claims (https://www.plrb.org/courtopinions/090419north.pdf).

The court in this decision, denied an insurance company’s motion for summary judgment to dismiss an accusation of bad faith.  The ruling cited the definition of hail damage applied by an engineer (not a Haag file, by the way) retained by the insurance company to evaluate “shingle” roofing.  Per the plaintiff’s allegation, the engineer defined hail damage as “functional damage” while the policy covered “cosmetic shingle damage”.  While the case itself has yet to be decided, the issue of cosmetic versus functional damage is one worth addressing.

Casual use of the term “damage” – either cosmetic or functional – by an expert can have major implications depending on a particular insurance policy.  It is not the role of the engineer or roof consultant to interpret an insurance policy or make coverage decisions.  Those tasks are solely the role of the insurance adjuster.  Instead, the expert should clearly state what the hail did and did not do.  Some basic examples follow.

• Hail dented gutters, downspouts facing south and west, window frames facing south and west, flue caps, and metal apron flashing.  Hail did not fracture shingle reinforcements.
• Hail dented metal roof panels but did not rupture or puncture the panels, compromise panel seams, or compromise fasteners.  Hail also dented skylight frames but did not fracture the skylights.
• Hail fractured PVC membrane at the rate of 10 fractures per roofing square.  The PVC membrane requires replacement.
• Hail did not fracture the TPO membrane but dented and fractured underlying polyiso insulation.  Laboratory testing by Haag Research & Testing Co. determined that the insulation did not sustain a measurable loss of R-value.
• Hail fractured modified bitumen (mod-bit) base flashing at the rate of 1 bruise per 10 linear feet along east and north parapets. Also, hail ruptured the aluminized coating on the smooth mod-bit membrane but did not fracture the membrane reinforcements.  The membrane could be re-coated to remediate the effects of hail.
• Hail spalled granules from the nominally flat mod-bit membrane, exposing asphalt at the rate of 4 spalls per roofing square. Hail also fractured the membrane reinforcement at the rate of 1 fracture per square of roofing.  The fractures could be repaired, and the granules could be replenished economically.

If a client tasks an expert with answering a specific question, however, then the expert should answer that question as best as he or she can.  For example, if the question is, “Did hail functionally damage the roof?”, then the client should advise the expert if there is a specific definition of “functional damage” the carrier is using that needs to be applied.  If there is no governing definition, the expert will be left to state their own definition. [A longstanding definition of functional damage used by Haag is a reduction in the water-shedding capability or expected service life of the roofing material.]  If the question is, “Was hail damage to roof cosmetic or functional?”, then questions arise as to the definitions of both functional and cosmetic damage.

Otherwise, the expert could consider referring to dents in metal, insignificant granule loss, or other such hail effects that did not shorten the service life or reduce the water-shedding capability of the roof or appurtenances as “cosmetic effects” or “cosmetic conditions”.  By clearly stating what hail did and did not do to the roof and by avoiding the term “damage”, the inspector enables the insurance adjuster to perform his or her role of applying the policy and making coverage decisions.

Several courts in various states have addressed the issue of what constitutes “direct physical damage” under an insurance policy.  In almost all cases thus far, courts have ruled that cosmetic changes in roofing materials caused by wind or hail are “damage” under the insurance policy.  That, however, does not mean that the cosmetic changes are covered damage.  Whether those conditions are covered will depend on the policy wording.  Even if there is a cosmetic damage exclusion or similar endorsement on the policy, coverage will vary depending on the specific policy wording and occasionally on the state in which the loss occurs if a court in that jurisdiction has made a ruling that sets a precedent.

About the Authors:

• Justin Kestner is the CEO of Haag Global and the President of Haag Engineering Co., where he also serves as a Principal Engineer.  He is a licensed engineer in 17 states and has inspected thousands of roofs.
• Steve Smith is the Director of Haag Research & Testing Co. and a Principal Engineer at Haag Engineering.  He has co-authored several papers on hail damage and has inspected thousands of roofs.  He is a licensed engineer in 6 states and can be reached at ssmith@haagglobal.com.
• Jim Chaney is the Director of Curriculum and Senior Instructor for Haag Education Co.  He has 12 years of insurance adjusting experience and an additional 12 years as a full-time trainer.  He was also a community college adjunct faculty member developing and teaching insurance claims courses for five years.  Jim has an all-lines adjuster license in Texas and has been approved to teach adjuster CE in multiple states.  He can be reached at jchaney@haagglobal.com.

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Haag Education celebrates 10 years of HCI-Commercial

The Haag Certified Inspector program began setting the damage assessment standard for roofs in 2007 with our HCRI-Residential (since changed to HCI-Residential) program.  Immediately, Haag Education was inundated with questions about when a similar program would be released for commercial (flat roof) systems.  Work immediately began on the new program and in September 2009, we presented our first HCI-Commercial class to a sold-out crowd in Irving, TX.

HCI-C quickly started to make its own mark in the industry among the more experienced adjusters, consultants, engineers, and commercial roofers.  Damage assessors with the HCI-C professional designation were able to inspect roofs with more accuracy, efficiency and with more confidence.

The HCI-C program teaches students how to accurately identify and document hail/wind damage, installation issues, manufacturing issues on many types of commercial roofs including built-up, single-ply membrane (thermoplastic & thermoset), polymer-modified bitumen, SPF, metal and vegetated roofs.  In addition to the roofing types, inspectors also learn about different coatings and issues that are specific to flat/commercial roofs.

As the commercial roofing industry evolves, so does our HCI-C program.  Haag’s Research & Testing division, along with Haag’s engineers in the field, keep their fingers on the pulse of the industry.  As a result of continuing changes to the industry, Haag Education introduced our HCI-C 2.0 version in 2018, a major overhaul of the program including some all-new class activities to enhance the learning experience.

In the last 10 years of HCI-C, nearly 3,700 industry professionals have earned the HCI-C designation and set themselves apart as premier commercial roof damage assessors.  The first 10 years of HCI-C have contributed to changing our industry damage assessment standards, and Haag intends to keep the momentum going forward into the next decade of the Haag Certified Inspector program. Stay tuned for more updates on HCI-C and Haag’s next big industry changer!

Haag Construction Consulting – 2nd Anniversary of the 2017 Hurricane Season (Harvey, Irma, Maria)

We are quickly approaching the second anniversary of the exceptionally busy 2017 Hurricane season. The 2017 storm year began with Harvey, the stubborn gulf storm which camped out over Houston and the entire coast of Texas for 7 days in August. We then saw Irma and Maria deal back-to-back blows to the Caribbean, with property claims activity extending through the Keys into Central Florida.

Haag’s Construction Consulting (HCC) business unit has received of a great deal of activity in all areas of the US affected by the heightened 2017 season. Even as we pass the two-year mark of these storms, Haag Consultants continue to receive new assignments weekly. In addition to our 2017 hurricane work across the mainland, Puerto Rico assignments have continued at a very steady pace. We are now progressing from the initial damage assessment phase into the controversy and litigation phase.

Haag Construction Consulting’s work in Puerto Rico has included hospitals, shopping malls, high-rise office buildings, resort hotels, retail centers, government facilities, and mid and high-rise condos. As with any coastal vacation area, Puerto Rico is heavily populated with mid- and high-rise condos, apartments, and resort hotel properties.

Multi-family or commercial property assignments usually involve HCC inspection teams of four to eight consultants for anywhere from two to six days to carry out the initial site inspection activities. As the site inspection is concluded, our teams then move to the production of repair estimates and reports, which involves sorting through thousands of site photos and hundreds of pages of scope notes. We translate those notes and photos into a very thorough, supported scope analysis and repair estimate.

The quality work of our dedicated team of Construction Consultants has led to happy clients, which in turn has created additional work in Puerto Rico, and all 2017 hurricane-effected areas. Haag Construction Consulting prides itself on being the premier construction consulting firm, and we appreciate our clients who recognize the value of our work.

Thanks to all of our HCC staff for making our success possible, and a HUGE thank you to the Haag Engineers and Haag Technical Services staff who have also supported our efforts throughout the Gulf Coast and the Caribbean. This month, HCC Senior Consultant Bill Bain is completing an 18-month full time clerking project (!). Senior Consultant Brandon Alaniz continues to travel to and from Puerto Rico several times a month. Our entire HCC staff deserves recognition for keeping non-cat domestic projects running smoothly, while these catastrophe projects have demanded our attention and resources. A special shout-outs to Stoney Kirkpatrick, Terry Taylor, and Kevin Kianka who have all played key roles in supporting our continuing effort.

By Brandon Alaniz, Senior Construction Consultant

Brandon Alaniz is an experienced construction consultant, with more than 15 years in the construction industry. He is responsible for maintenance, and completion of all consulting services and related work product. His emphasis is building reconstruction, restoration, equipment and machinery cost, and remediation cost for the insurance industry. Preparation of construction loss estimates and restoration / remediation management services for losses that are either repaired by the owners and need constant supervision to expedite or losses that require this service to fast-track a project without the need of a general contractor, to insure the favorable / equitable conclusion of a loss. Experience in many forms / types of construction and restoration including; multi-family dwellings, educational, municipal, hotel/motel, and multi-story.

Haag Helps Repair Military Base in Iraq

In early 2017, Dan Behrens, P.E., Haag Senior Engineer, (Minneapolis) traveled to Iraq and spent time living and working on an active military base while he worked to inspect an airplane hangar for damage at a US military base. In Dan’s own words, here is a brief summary of Dan’s trip and inspection in an active war zone:

I was initially asked to inspect a large hangar for some roofing and siding issues, possibly attributed to either wind, construction, foundation movement, or blast effects. It became obvious upon arrival that the issues included the main structural frame and secondary structural members, and that the primary cause of damage wasn’t wind-related.

The hangar in question was built on an Iraqi air force base for our (one time) friend and ally, Mr. Saddam Hussein, in the 1970s or ‘80s. In July 2003 however, Google Earth imagery shows two large holes in the roof, when the United States military was in the process of invading Iraq to depose our enemy, Mr. Saddam Hussein (times had changed). I noted that the repairs were of varying vintage, so it’s possible the hangar was damaged during the first Gulf War in 1991 as well.

Being an active war zone, my accommodations consisted of a private containerized housing unit with a bathroom with running water. I ate my meals at the same dining hall as the soldiers, airmen, and marines. It is protocol on base that service members carry weapons at all times. It was a bit unsettling to grab for the last cookie versus someone with an M4. (I let them win.) I lobbied for a weapon to carry just in case, but they said no. I was left with nothing but my steely gaze and razor wit for defense. Luckily, neither were needed.

All in all, the trip was a great experience; it was striking how young most of the service members were. To paraphrase Burke, it was humbling to see kids standing ready in the night to visit violence upon those who would harm us.

I have to say a big thanks to the team at Haag who supported me during this trip.

My thanks go out to the team who stayed home; this wouldn’t have been possible without their help. Most especially my wife, Kim, who stayed home with our three-month-old twins – I was happy to find that my house key still worked when I got home. In addition, Tami Fugle, John Ortenblad, Richard Herzog, and Rob Danielson in MN and Jeremy VanLeeuwen in KC all covered inspections for me or otherwise cleaned up my messes. Thanks also to Patrick and Rob at Haag Technical Services for their help on drafting for the final report.

I’ve attached a few photos. The military was very much down on photographing anything operational, so no pics of the vehicles, drones, or artillery batteries.

Here is the report-writing environment. It’d been awhile since an outgoing artillery barrage, so I’m actually sitting in the seat.

The image below shows the hangar siding condition, with the Iraqi side of the base in the background.

The image below shows the hangar siding condition, with the American side in the background.

This image shows some truss members struck by rounds.

Daniel B. Behrens, P.E.

Daniel Behrens graudated from the University of Minnesota with a Bachelor of Civil Engineering. He is a Senior Engineer at Haag Engineering Co. in Burnsville, Minnesota, and is licensed as a Professional Civil Engineer in 13 states. Mr. Behrens is currently a member of the American Society of Civil Engineers and the American Institute of Steel Construction. Mr. Behrens has been with Haag Engineering since 2009, and has inspected and assessed damage to hundreds of roof structures. His primary areas of consulting are structural evaluations, roofing systems, general civil engineering evaluations, moisture source evaluations, and building envelope evaluations. Mr. Behrens helps develop and present continuing education seminars as an instructor at Haag.

GIS & Laser Scanning for Oil & Gas Company — Haag Technical Services

For over five years, Haag Technical Services (HTS) has provided superb geographic information system (GIS) services and project management for a large oil and gas company in Houston, TX. What started as high-level consulting for facility laser scanning projects has grown into a team of eight GIS professionals working full time for the client to provide analysis and in-depth QA/QC on all incoming surveyor data including pipelines, wells, and related infrastructure. The client relies heavily on HTS staff to make sure data meets both industry and client-specific standards. Marcie Deffenbaugh, the GIS Manager for HTS, is an integral part of developing and maintaining these client-specific standards and corresponding tools that are required for data collection and delivery. These standards are crucial to the validation process and ensuring that incoming data is of the highest quality. Once projects have passed data validation processes, they are loaded into the client’s corporate system where different teams use the data for planning and analysis. Above all, the data is a critical part of the client’s safety procedures. For example, detailed information on buried pipelines is available to all stakeholders through web mapping platforms and is relied upon daily for One Call purposes to avoid line strikes. Without the hard work and dedication of the HTS GIS Team, this data would not be available.

In addition to data validation and standards development, the HTS team also assists with UAS projects for the same client. Kevin Kianka, the Director of Operations for HTS, is FAA Part 107 certified and is often asked to consult on projects that utilize drones for data collection. Due to their size and complexity, facility sites are often documented with drones and laser scanning equipment. Mr. Kianka has assisted with data collection and processing for many of these projects and has also provided valuable insight for how to improve collection methods and reduce costs.

Based on the different data formats and large datasets that accompany many of the projects for this client, HTS saw an opportunity to develop an online viewing platform that would allow users to see and interact with their data without having to download expensive software. Mr. Kianka and Ms. Deffenbaugh worked with other Haag team members to create the Haag Global GeoPortal, an interactive web mapping application where users can view GIS data, drone imagery, 3D laser scans, panoramic photography, and relevant project documentation all from their desktop or mobile device. Although the GeoPortal was built to serve the needs of one client, it has grown into a must-have tool for many of Haag’s other clients, including engineering and insurance customers.

Through their years of service and high-quality work for this oil and gas client, HTS has become a trusted part of the client’s work. Everyone on the team provides their own expertise, and together they have helped build a complex and highly functional system for their client that ensures data quality and reliability. HTS is excited for the continued partnership with this client along with the innovations and improvements they can continue to provide.

Marcie Deffenbaugh is the Manager of GIS Services for Haag Technical Services, a division of Haag Global, Inc.  In this role, Ms. Deffenbaugh oversees initiatives related to GIS planning, system design, and system administration. She also manages a staff of GIS technicians, analysts, cartographers, and project administrative assistants who provide data validation and project management services for oil and gas clients. As the primary liaison between the client management teams and Haag Technical Services personnel, Ms. Deffenbaugh provides technical consulting services on a regular basis.

As we celebrate Haag’s 95th anniversary in 2019, we are looking back at some of the noteworthy projects Haag Engineers and Consultants have been involved with over the last 95 years. Each month in 2019, this blog will feature one unique, important project, as selected by our senior staff. 

Haag’s Ice Ball Testing– IBL-7

Laboratory Hail Testing

Haag Engineering Co. has performed hail impact testing of various building materials for decades. Our first ice ball launcher was developed in 1963 and helped Haag set the standard for hail damage assessment in the industry. Our maiden launcher, now dubbed the IBL-1 (Ice Ball Launcher Number One) was used to research the affects of hail on cedar shake roofing. It used compressed air and a trigger-operated solenoid valve to propel an ice ball through a barrel and onto a test specimen.  Since then, Haag has developed additional means to propel ice balls and continue in the footsteps of our predecessors. Other iterations of Haag ice ball launchers included larger air reservoirs, quick-acting pressure release mechanisms, and latex tubing. These were utilized in different configurations to achieve the perfect launch. Our current ice ball launcher, the IBL-7, was so successful, Haag obtained a patent for the platform (US Patent No. 6,769,287) on August 3, 2004.

Others in the industry realized the need to test roofing materials to gain a better understanding on their hail resistance and to help develop better, more hail-resistant roofing products. The first hail testing standard (UL-2218) was introduced in 1996. This standard brought a new lexicon to the roofing industry, namely, the term “Class 4 Shingle”. The UL-2218 standard, rates the impact resistance of roofing materials into four classes, Class 1 through Class 4. A product bearing a Class 4 rating could then be touted as having superior hail resistance and would bring a sense of security to any homeowner purchasing a Class 4 roof, albeit a false one.

Unfortunately, the UL-2218 never replicated the effects of hail very well because the test involved dropping steel ball bearings from different heights onto roofing products, rather than launching simulated hailstones. Although the thought of dropping a steel ball bearing from heights up to 20 feet sounds impressive, there are serious flaws in this procedure. Some roofing products, including asphalt shingles, are somewhat flexible and perform relatively well when struck by a ball bearing moving at speeds much slower than actual hail.  Strong, rigid materials, like concrete tiles would shatter when hit by a steel ball and often couldn’t achieve even a Class 1 rating.  The unfortunate truth is products like natural slate and concrete tiles, that are stronger than fiberglass matts coated with asphalt, would shatter due to the momentum transferred from the steel ball into the product.

A second hail testing standard entered the roof testing market in 2005. This standard (FM-4473) utilized ice balls propelled at the free-fall speeds of hail, to simulate the effects of hailstones striking a roof covering, rather than steel balls. Not only was this test standard more realistic than the UL-2218, because it replicated actual hail impacts, but Factory Mutual (FM) obtained a Haag IBL-7 to develop the protocol.  Over the years, the Haag IBL-7 has been used for product testing for roofing products, solar panels, skylights, automobile covers, siding, and other exterior claddings. The IBL-7 has also been used by our laboratory (now Haag Research & Testing Co.) on numerous forensic tests and research projects involving roofing products, siding, vehicles, bricks, windows, roof appurtenances, air-conditioners, insulation, and mechanical components.

Haag Research & Testing Co. continues the Haag tradition of applying science and sound engineering principals in product testing and forensic analysis. Our team uses cutting edge equipment that goes far beyond that imagined in 1963 when we launched our first ice ball. Now we can test roofing products in a wind simulator with speeds up to 180 mph, propel giant hailstones up to 4 inches in diameter, and even measure the thermal performance of roofing insulation to determine if hail-caused dents had any effect on the insulation R-value.

Steve R. Smith P.E. is the Director of Research & Testing and a Forensic Engineer. Mr. Smith is based out of Haag’s national headquarters in Flower Mound, TX.

For the First Time – Get Haag Certified Online!

Over the course of Haag’s 95 years in business, Haag has earned the reputation as the cream of the crop of failure and damage consultants. From our work on high profile jobs, to our innovative research and peer-reviewed papers, to our training and education, Haag has consistently been the standard bearer for quality and integrity in the failure and damage industry. The Haag Certified Inspector (HCI) programs are some of the most recent offerings impacting the industry we serve.

Since the early 1980s, Haag has taught hundreds of courses to thousands of adjusters and contractors. In 2007, Haag Education rolled out its first certification program for residential roof (steep slope) inspectors. Haag’s Certification programs tested and “certified” students on their comprehension and understanding of Haag’s damage assessment methods and principles.

In 2019, we are excited to also celebrate the 10^th anniversary of our second Certified Inspector program on Commercial Roofs. The HCI-Commercial Roofs program was introduced in 2009 in response to industry demand following the success of HCI-Residential Roofs program. In 2014, Haag Education introduced our third certification on Wind Damage, which certifies those inspecting wind claims on anything related to building envelope from the foundation to roof covering.

Now, for the first time in the history of the Haag Certified Inspector program, Haag Education is happy to announce that industry professionals can now become Haag Certified online! Haag debuted our online version of the HCI-Residential Roofs certification in early February. Our customers are thrilled with the value  and convenience of completing the entire HCI-R program from the comfort of their home or office!

Here are some important things to know about taking the HCI-R course online:

• The introductory price for the course is only $599 (compared to $949 for classroom)
• Students must have completed  100+ residential roof inspections to qualify for the HCI-R course (eligibility verification/references validated during registration).
• Students completing the online HCI-R program will receive the same certification as those who take the course in the classroom.
• Students have up to 30 days to complete the entire course and the test. (The course will take 12-14 hours to complete, and you are allowed up to 4 hours to take the final exam).
• The final exam is administered by a third-party online proctoring company and can be completed from your home or office computer (webcam and audio required).
• You will be provided a secure PDF of the course textbook. It may be viewed in an online viewer or it may be saved to your desktop.
• Final exam is open book (online textbook may be referenced)
• CE Credit is not yet available for the HCI-R online program. Applications pending.

Set yourself apart from the crowd. Join the ranks of the 18,000+ current Haag Certified Inspectors and become a more accurate, confident and efficient residential roof inspector by earning your Haag Certified Inspector – Residential Roofs certification online today!  Now more convenient and less expensive than ever before!  Visit www.haageducation.com/learn today.

Ryan Holdhusen oversees the management and strategic growth of Haag Education. He manages Haag’s line of seminars, certification programs, and products/tools. He assess product concept, development, marketing, sales and operations. Ryan has been with Haag since May 2002.