This is such a great topic and daily I’m shocked at the level of knowledge and lack of knowledge in our industry.
What is XM8? The insurance company uses an industry-standard software to normalize the restoration-estimating process. These estimates are commercial-mediocrity at its finest. XM8 (or any small estimate writing software) is NOT intended to be an A La Carte process, it’s meant to be standardized so an adjuster that has 30 claims on his plate can jam through them with templates and uniformity according to coverage and current guidelines. Can XM8 be used more efficiently? YES, the problem is, insurance companies don’t make money by paying out on insurance claims. There is no real officiating happening, nobody to make sure claims are unique to its schematic. Most of the time bland and basic line items don’t include everything you do on a project. If you are accepting those terms you are leaving money on the table, not doing the project properly, and cutting corners. A byproduct of all this is why roofers have a bad name.
Ever wonder why sometimes an IA creates the best XM8s? It’s because they are using f9 notes and customizing the line items for the specific proprietary project. Why? Because some get paid a percentage of the claim. Think on that for a minute… Does the insurance company buck these scopes? No, because they know it’s owed to the policyholder… But is it in the insurance company’s best financial interest to amend bad scopes? Also NO, because they save money when they standardize a claim.
What should be supplemented? This is a line you must tread carefully. The question and answer should be, Mr./Ms. Home Owner do you want your project the exact same (plus code) as it was prior to the storm? That answer is always yes and is the foundation of your agreement. (Upgrades are another conversation)
As a professional supplementor, I base mine on the following:
— Waste FactorProper waste factor calculations on that unique roof. If it’s field shingles, starter, IWS, or drip edge.. everything has a proper waste, and setting an expectation of waste, is very important on ordering materials, workmanship and proper profits. This is accomplished by doing some intensive math and proving this math in normal words to the adjuster.
— Missing ItemsMost XM8s are built on a redundancy, whether it’s a mindset or in the software itself, these estimates are done the same way thousands of times in a row. When an adjuster is human and misses something (like D&R of the gutters) we need to add it. It’s our moral and ethical obligation to add these items for the policyholder.
— Code ItemsThis is complex on why they don’t get added (and we can discuss that another day) but the solution is so simple… Yet roofers don’t ask (supplement) or install the required code items. Take the time… Mmmhmm, It takes a bunch of time to learn code but do it or hire someone to do it for you. It’s literally what makes you a good contractor. This is one of the easiest supplements when paired with proper waste factors…
— Unique Items Every home is different and they need to be addressed as such. Look over the property, does it need specific odd items (cornice returns, odd flashing, kick-outs). Make this a priority to look beyond the insurance scope and make your own. Do it right.
— Manufacturer Specifications Most codes are now requiring MS. I know most of y’all roofers are loyal to one brand… So go to their training, learn about the installation process, and be better. Then take that knowledge and send it over to the adjusters as they are NOT roofers, most of the time it takes a kind and upfront conversation to get these items approved and if you’re not doing it, you’re not doing it right…
Do not supplement for things you are not going to do. It’s sketchy and in my book, fraud. Be a professional, even if the project takes longer.
And if you need a supplement done because you don’t know how to do one or (like most) don’t have the time, call a supplement company. My company is Claim Juicer but there are a ton of others out there who can help! Supplementors, drop your info below.
Feel free to ask questions and I’ll do the best I can to help. My PM is always open too. Most of the time I don’t even charge for the info I give out. Just ask.
