What is a supplement? This is a question that has been getting asked a lot lately and is shocking when I hear it. Although it probably shouldn’t be with the industry changing month to month. It’s like comparing night to day to what it used to be. For those of you that are new to the industry and a good reminder for the veterans, we used to be able to trust Xactimate and if we didn’t trust that Xactimate we had great success with submitting a bid or a lump sum. This used to be the normal, yes you can still get bids and lump sums approved and if you can, do it, but I see two massive profit eating weaknesses with big business insurance companies and getting these bids and lump sums approved.
First off the insurance game is cutthroat and I’m not talking about our industry, the insurance restoration industry. I’m talking about the big business insurance industry. We see it on TV and social media and even get spam calls telling us to switch to Geico or get better rates with Allstate. The drive to keep rates low has a very negative byproduct on the back end ACV and metal exclusions aren’t the only way they cut these rates. It happens on the claim side too. Think about it, you’re a big business insurance company CEO that wants more customers but you’re too expensive. What are you gonna do? I think we know the answer, you’re going to cut something out and lately it’s been on the claim side.
The second issue lies with desk adjuster training, years ago desk adjusters knew a lot about building and construction. When you got on the phone with one of them you could simply explain why you needed a line item and if it was warranted it would be approved. Now an added struggle is potentially getting a green adjuster that you have to train while their employer keeps a thumb on them, while they know nothing about roofing and while not talking about the policy. It seems like the deck is stacked against us, it’s not impossible but it’s harder now than ever.
To summarize this I would say supplementing is like creating your bid with an explainable necessary and approvable document that supplements their bid. Therefore making it an easier approval. All we’re doing now is playing their game and winning.