Thank you this video, Alena. I’m training for adjusting, so anything and everything is helpful to know. Controversial? I for one don’t see it that way. You define everyone’s role fairly. And a give great description of the concept of “give and take”. Thanks again.
Every supplement I see now is fluffed to do 1 of 3 things. 1. Open up negotiations to try to give and take to get the price higher. 2. Open up a possibility for a re inspection from a senior adjuster or an engineer. 3. Begin the appraisal process. It amazes me the amount a roof would cost if we allow the supplements. I just kicked one back TODAY requesting $1,400 a SQ for a roof in Minnesota. Just a regular 6:12 pitch 1 story laminate shingles roof. Retail for this roof is about $450 a sq. So it amazes me that since insurance is paying it should cost $950 a SQ more than retail? Oddly enough I wrote the estimate for $804 a SQ and that’s where it will stay. My point. Just because it’s a line item in xact doesn’t mean it should be used! A well written roof estimate holds north of 40% profit at least these days. This should be enough!
Every single claim I see from the carriers is underpayed on certain small but indefensible items but the dig in anyway as if the cash were coming out of the adjuster pocket... Two examples theygive the tear off size for underlaymentwithnothing for waste, trimming or lapping. And on drip edge they pay the perimetermeasurement with no waste or laps... Also on vents and penetrations no removal...only replace...
Having been an adjuster and now a contractor, I can tell you that most adjusters are hog tied with very strict estimating practices per the carrier they work for. Their estimates are closely scrutinized in most cases as well. That is why it seems that they may be holding back funds, or pushing back on small items. In many cases, it’s simply not their decision. As far as roof vents go, it is an industry-wide understanding that those come off with shingle tear-off. Getting approval for additional labor to remove turtle vents (for example) is usually going to be a hard no. Can we please be careful with saying things like “leverage the homeowner/policyholder”. Those phrases paint contractors in a very bad light. Especially to the insurance industry.
I have been having troubles getting insurance to agree to overhead and profit, and supervisor hours, every single insurance I have ever worked with claims that overhead and profit is not covered under their policy, but we don't have copies of the policy. I have seen many cases in court where it is ruled that exclusions for overhead and profit are bad faith and can't be enforced, but adjusters will demand you show that I can practice law in order to take me seriously, and general don't respond at all when trying to argue for it when talking with them. Me and my team are all pretty new to estimating against insurance, and don't really know what to do, and it is causing a lot of loss for me and the contractor. Any ideas on what we can do to force them to respond, and to force them to agree to GCOP?
You can't force them to do anything because you are not the policy holder. I would recommend leveraging the policy holder into the conversation. I have a training that I did recently where I go over how to write a letter sowing how to leverage the homeowner. It's about 45 min into the training and you can register to go watch it at: www.estimatemastery.com/webinar-replay-evrgrn57609741
For starters, using words like “against” and “force” isn’t going to get you very far on any claim negotiation. You’ve got to understand where the adjuster is coming from (and what he/she is already dealing with), meet them where they are, and try to create a positive discourse.
I need to learn this boldness to ask for what is needed. Thank you!
Thank you this video, Alena. I’m training for adjusting, so anything and everything is helpful to know. Controversial? I for one don’t see it that way. You define everyone’s role fairly. And a give great description of the concept of “give and take”. Thanks again.
Well, thanks for this nice comment Michael! I can tell you're going to be one of the "good ones" on the other side of our industry :)
I have never argued cost of doing business! Even when there is a line item. Thank you for this. I hear it all the time.
Alena thanks for all you do. ❤
Every supplement I see now is fluffed to do 1 of 3 things.
1. Open up negotiations to try to give and take to get the price higher.
2. Open up a possibility for a re inspection from a senior adjuster or an engineer.
3. Begin the appraisal process.
It amazes me the amount a roof would cost if we allow the supplements. I just kicked one back TODAY requesting $1,400 a SQ for a roof in Minnesota. Just a regular 6:12 pitch 1 story laminate shingles roof.
Retail for this roof is about $450 a sq. So it amazes me that since insurance is paying it should cost $950 a SQ more than retail? Oddly enough I wrote the estimate for $804 a SQ and that’s where it will stay.
My point. Just because it’s a line item in xact doesn’t mean it should be used! A well written roof estimate holds north of 40% profit at least these days. This should be enough!
Do you have a training specific for resconstruction not just roofing. Seems like everything is focus on rooofing.
Absolutely I do! Email me at info@estimatemastery.com to see how we can help with any contractor doing work for insurance proceeds.
Every single claim I see from the carriers is underpayed on certain small but indefensible items but the dig in anyway as if the cash were coming out of the adjuster pocket...
Two examples theygive the tear off size for underlaymentwithnothing for waste, trimming or lapping. And on drip edge they pay the perimetermeasurement with no waste or laps...
Also on vents and penetrations no removal...only replace...
Having been an adjuster and now a contractor, I can tell you that most adjusters are hog tied with very strict estimating practices per the carrier they work for. Their estimates are closely scrutinized in most cases as well. That is why it seems that they may be holding back funds, or pushing back on small items. In many cases, it’s simply not their decision.
As far as roof vents go, it is an industry-wide understanding that those come off with shingle tear-off. Getting approval for additional labor to remove turtle vents (for example) is usually going to be a hard no.
Can we please be careful with saying things like “leverage the homeowner/policyholder”. Those phrases paint contractors in a very bad light. Especially to the insurance industry.
Hi Alena, would you have a method of scoping a home that would make transferring the items in X8 easier/quicker?
I'm sorry. could you rephrase the question?
Yes, basically some sort of tick sheet I can use on site.@@EstimateMastery
I have been having troubles getting insurance to agree to overhead and profit, and supervisor hours, every single insurance I have ever worked with claims that overhead and profit is not covered under their policy, but we don't have copies of the policy. I have seen many cases in court where it is ruled that exclusions for overhead and profit are bad faith and can't be enforced, but adjusters will demand you show that I can practice law in order to take me seriously, and general don't respond at all when trying to argue for it when talking with them. Me and my team are all pretty new to estimating against insurance, and don't really know what to do, and it is causing a lot of loss for me and the contractor. Any ideas on what we can do to force them to respond, and to force them to agree to GCOP?
You can't force them to do anything because you are not the policy holder. I would recommend leveraging the policy holder into the conversation. I have a training that I did recently where I go over how to write a letter sowing how to leverage the homeowner. It's about 45 min into the training and you can register to go watch it at: www.estimatemastery.com/webinar-replay-evrgrn57609741
For starters, using words like “against” and “force” isn’t going to get you very far on any claim negotiation. You’ve got to understand where the adjuster is coming from (and what he/she is already dealing with), meet them where they are, and try to create a positive discourse.