Title: Be Aware of Restoration Companies
1Be Aware of Restoration Companies
Restoration companies can be a crucial part of an
insurance claim. These companies and contractors
could be needed for emergency services like
water mitigation and boarding up the property to
keep it secure. They can also be utilized for
contents pack out, contents cleaning, debris
removal, and other miscellaneous items. Policy
holders have the option to hire these
contractors for the subsequential repairs as well.
Did you know that you have the right to hire a
contractor of your choice and you dont have to
hire the insurance companys preferred vendor?
This helps put you in control of where your
insurance money is being paid. Here are a few
ways restoration companies and contractors can
make a surplus of money off your claim.
2- Not providing their own estimate.
- Writing a contract for insurance proceeds.
- Not being flexible with their clients needs and
wants. - Charging double the industry standard on
emergency services. - Considering the insurance company their actual
client - First and foremost, most people desire to know
the cost of something be before paying for it.
We have experienced many claims through the
years where contractors begin work before letting
homeowners and business owners how much the job
will cost. Scary! Additionally, we have seen
contractors rely exclusively on the insurance
companys estimate and sometimes those estimates
are not in line with the damages and proper
repairs needed. - This is troublesome because contracts with these
types of contractors may be written for
insurance proceeds. This means you as the policy
holder will pay the contractor all of the
structure payments regardless of the work they
do or do not actually complete. They also might
not be willing to work outside of the insurance
companys estimate which limits you, the
insured, from choosing how your home is repaired. - As the policy holder, you can choose what you
want done to your home. What this means is if
you want to take the opportunity to make some
changes to your home while there is already work
being done in that area, you can. Just know that
the insurance company only owes for what existed
before the loss occurred. You also need to make
sure your contractor is willing to do change
orders. For example, instead of replacing the
free-standing range you can opt for a cook top
and built in oven if thats something youve
been wanting. The contractor should swap those
items in a change order so you can see the price
difference,
3if any. Emergency services can be challenging in
getting an estimate before the work begins
because these services are typically needed
rather quickly. Unfortunately, we have seen
claims were contractors take advantage of the
fact that their services are needed immediately
and upcharge. Be cautious of who you hire for
your emergency services because your insurance
company may not agree with the excessive amount
and you could be stuck with paying out of pocket.