Is Xactimate the BEST Option for Mitigation?

 From the desk of Klark Brown (no AI was used in the writing of this creation)
 

It’s a fair question, right?

 
First, let me run for cover. I expect hate missiles and possibly even an attempt to be canceled. When we start to discuss Xactimate, it brings out a rainbow of emotions in people. Both love and hate. 
 
Let me clear the air. If you have ever read my content and coaching, I am often heard providing alternatives to Xactimate for a host of reasons. That is usually met with die-hard fans hearing what they think I am saying…and that is that Xactimate is not good. In general, it is a very powerful tool and software.  That said, I feel a few factors exist that create negative impacts on contractors’ businesses. Let me Explain. 
 

What's wrong with Xactimate?

 
Honestly nothing. It is a software program. A tool. A program designed to assist in creating an accurate estimate for...
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Tom Sawyer was way ahead of his time

By Klark Brown  (no AI used in this writing)

 

 Outsourcing your obligations like a BOSS!

This short story can be read here: [Tom Sawyer- Whitewashing the Fence]

Ben Tally: “Say – I’m going in a swimming, I am. Don’t you wish you could? But of course, you’d druther work – wouldn’t you? Course you would!”

Tom contemplated the boy a bit, and said:

Tom: “What do you call work?”

Tom: “Why, ain’t that work?”

It doesn’t take long to see how easy it is to manipulate someone to do your work FOR THEM. To pass along operational responsibility to another and make them feel obligated and almost excited to do it.



THIS MIGHT STING A LITTLE

To get right to the point of this mindset detour…..this is what is happening to the disaster recovery specialists that perform work where insurance carriers and their multiple tentacles of control are involved.
They have slowly (and effectively)...

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The Big Scary SCOPE CREEP

   TABLE OF CONTENTS

  1. What is Scope Creep?
  2. Examples of Scope Creep. 
  3. 5 Common Causes of Scope Creep
  4. How Do I Avoid Scope Creep?
  5. Conclusion

 

Scope creep can occur when a project’s completion requirements exceed the planned requirements. 

When this happens, the project runs the risk of being completed late, over budget, and lacking in quality. 

It can also severely deteriorate your relationship with clients, referral partners, and subcontractors.

It is such an important topic that I wanted to spend a few minutes today sharing more information and ways to foresee it and avoid it. 

WHAT IS SCOPE CREEP?


 Every project should begin with agreed-upon project requirements, including a project timeline, budget, boundaries, and incremental and final deliverables. A clear and solid contract should be in place outlining the mutual agreements. 

 When a project’s requirements go beyond those included in the original plans...

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What Lies Beneath- A Roofers Tale

Missed Opportunities or Knowledge

 

You just might owe hundreds of clients an apology.

Apologies are a very hard thing for people to wrap their heads around because ego and pride get in the way.

Stay with me here for a moment.

You must first start out by knowing that my article here is a resource to improve.
As pretty much an optimist, I believe the overwhelming population of the world, and in this case, the roofing industry means to do the best they can for their client.

But this elusive thing called education just always dances around.

If you are currently in or have even been in the roofing industry for any period of time, it is quite likely that you have missed a few opportunities to truly deliver for your client. Again…not the intention (let’s hope), but from knowledge.

If this does not pertain to you, reach around and pat yourself on the back because you are up at the ninja level.

As a 20-year veteran and very knowledgeable MITIGATION expert, I have seen...

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Lets talk about Client Onboarding

 

Let's talk onboarding.

In 2016, I met a guy named Andy McCabe.

He was making videos on LinkedIn. I liked what he was saying but I really was drawn to his desire to stand up and talk about things no one else was, and things that most avoided from fear.

We spoke for a while and developed a MOVEMENT called Restoration 2.0.

A reboot

A newer version

An update

An exit from the Matrix.

The carriers were getting more brazen and stronger with their tactics outlined in Delay, Deny, Defend.

A profit driven system applied to the claims process.

Carrier relationships that built incredible companies were no longer as strong and many had deteriorated with the expansion of the MRP's and growth of TPA's.

Quality and Customer service had been removed as KPI's and replaced with Claims Ratios, claims shrink and lowering of overhead by limiting site visits ( pushing the documentation onto the contractor).

Frustration was building.

Franchising was exploding (MRP's) and the quality of work in the industry...

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You can charge what you want if you're willing to walk into a Bentley Dealership!

In a secluded area of Fort Lauderdale, FL - a coastal town with generational wealth building by the minute - there is a luxurious complex where Bentleys are daily drivers, and sit under carports. 

 

All of America’s rich and famous have been there, and many have a mansion on the water for their yachts to be parked behind. The cost of merely owning the yachts is so stinking high it would make maggots gag. The cost of real estate in that luxurious spot probably attracts vultures in human form if you are picking up what I’m laying down. 

 

I managed to stay there and work a large loss in one of the luxurious complexes where the “stinking high” costs are chump change to those living in the area. 

I can’t imagine living that way, but dammit, I wouldn’t mind trying! I must admit, while I cant say its my cup of tea - I prefer mountains and countryside - I can definitely say that I was blown away by the luxurious...

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Is this FRAUD?!

We turned this one over to the APA. 

Guess where it went from there?! 

 


 

Here is the scenario.
Comment at the end and let us know what you think! 

  1. Invoice for complete (agreed upon) services. 
  2. Packout from fire.
  3. Liberty Mutual.
  4. QuickBooks invoice sent to insured.
  5. Liberty RECREATED the invoice, with contractor logo and all, with lowered unit rates.

 

Can you imagine the STONES?

Of Course their reasoning is inaccurate, but that's beside the point.

We posted a letter on Facebook and tagged the company that the adjuster was referring to.
We thought we’d share it here… but we’d love to hear your perspective.
Be sure to drop us a comment below. 

“Greetings Liberty Mutual Insurance, I'd like to extend my knowledge base and services to you and your organization.

I will actually do this once at NO FEE, as I think the overall Net Gain will help and impact endless parties.

From a factual standpoint, I'd like to clear up...

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12 Steps to FREEDOM in your Restoration Business!

I don’t expect you to believe everything I say, but you have to know I wouldn’t lie to you. 

I have some unique and great experiences. 

I have been very fortunate to have some amazing mentors and peers bring me into their universe and grant me the opportunity to see things I may have never otherwise seen. 

I have always gone against the grain, like cutting a big juicy Texas brisket. 

Do things others have and certainly do things people say can’t be done. 

One of those is the current trail I have been on the last few years. I have been on a path to showcase what we (in this restoration/ emergency services industry) have come to accept as truth. And that is that somehow, our process and direction is owned by and steered by insurance carriers. 

I am not a fool and recognize how large  they (insurance carriers) are and the power they yield…..but being righteous is a super power.

Education and confidence is the...

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You don’t want to find yourself inside Klarks head.

 Trust me when I say,

"You don’t want to find yourself inside Klarks head."

But if you happen to find yourself there, or at least in his presence, this is the kind of shit you’d hear.

This was a random BLURT moment in the office last week. I had to share it.
I know you know him well enough to know that he speaks what he thinks, especially when he thinks it will help someone. 

The analogy was striking. It really speaks to an issue that we hear about every day.

"Imagine being a restaurant owner and going to alll the grilled cheese making classes every year.

That's what a large percentage of the restoration industry does. The owners and leaders LOVE going to drying classes. They LOVE to get certifications. 

The pursuit of being a better technician often supersedes the need for becoming a better business owner/leader.

 Why? 

So they can get a small percentage points more dry in a small fraction of time faster?

How does that help thier BUSINESS?"

...

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Everyone is talking about it. What are you doing about fuel?

 

Everyone is talking about what to do about fuel. 

What are you doing in your company to compensate for the added cost?

 

Costs are up. 

Adjusters are still resisting invoices. 

 

So what will you do… what are you doing?

How can you run a profitable business with inflation, and rising fuel prices?

 

Was 10/10 good enough to cover fuel costs last year? Is it good enough to cover costs now? 

“Add a line item for fuel surcharge.”

That's what everyone is saying you should do. Even the mothership of Xactimate (Verisk) has empowered the contractors to bill for increased fuel cost. (Don't take our word for it.)

So Xactimate says its ok to bill... but we are getting feedback that adjusters are stalling. It seems to have caught a lot of adjusters off guard. They don’t have a copy & paste argument for that one… yet. 

But they will. They got knocked back on their laurels, but they work for massive...

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