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· Remodeling Contractor
26 Posts
Discussion Starter · #1 ·
I'm about to jump into the very large pool of insurance work, again...

I've done fire rehab & even quoted it out, problem is:

I've never really wrote up the 1st contract the HO signs...
My mother, Marge, (original M in B&M) wrote all the contracts used in the company.
I'm trying to figure out the wording to use to cover my ass as well as the HO's.
Blah blah agree blah blah scope of work blah insurance co blah
I need to cover bases such as:
Dealing with insurance co to cover a scope of work (getting them to pay for "everything" the HO lost)
Being able to discuss changes to the scope (ie: HO had hard word under carpet but just replacing the carpet. Using the hardwood $ to replace other windows not damaged by fire)
Is it safe to "contract" the fact that the co. would be eating the HOs deductible, or just assure the HO you will?

What I hate is I can't ask my mom to show me an old contract...
I guess you really have no idea what you "take for granted"...

So, what I'm asking is:
Can anyone, or many...
Post wording they use in agreements with HOs when the price of the job can't be set b4 it is signed?
Giving the contractor control over dealing with the insurance co directly.

Thanks for listening to my rambling!
And I look forward to the replies

Billy Wheeler
B&M Services

· Remodeling Contractor
26 Posts
Discussion Starter · #3 ·
The files I found when I was cleaning out her house were too new to be from the insurance days (only about 6-7 years saved)
The fire rehab jobs were from 1986-1995, and the contracts I found don't cover the direction this could lead

· Remodeling Contractor
26 Posts
Discussion Starter · #5 ·
I'm not sure if it's the fact I'm using Firefox or I have limited access because I'm "new"...

I can't, for the life of me, find a way to send an IM...

Also, I have the welcome message in my inbox & it says it's "full"
(just the 1 message)

I'd love it if you could forward the info to me, maybe I could reply to your message?

· Remodeling Contractor
26 Posts
Discussion Starter · #8 ·
"Back in the day", the contractors in the area had many problems with the "public adjusters"
Partly because they always had a "brother, cousin, close friend" that was a contractor.
I've quoted about 30 fire rehabs & with the estimating software I have a good grasp on the line items that the insurance will pay for.
Including P&O, Content manipulation, Carpet & the hardwood under it, Landfill fees, R&RE vents, HVAC duct cleaning, Base service charges, Final cleaning...
We also had to fight with the fire fighters, they would bad-mouth the contractors that wanted to drop liturature & it was because they were remodeling "on the side" (2 on 2 off)

Maybe it's different here in the Rockford area,...
Maybe times have changed...
Maybe I should be a public adjuster? 10% just to create a scope of work, not a bad gig...

I'll look into the Craftsman Series of Estimating & see if I can find something that will help
Thanks for the reply!

· Remodeling Contractor
26 Posts
Discussion Starter · #10 ·
I guess I was taught / brought up to follow a different direction as far as this goes.
Say they have an $80,000 loss
You eat their $2,000 deductible, then you give a PA 10% or $8,000
Now, before you even order a dumpster the job is short $10,000
The PA doesn't get the insurance to pay the 10% nor can it get the insurance to eat the deductible...
Sure, I know you add 10 & 10 to the job for P&O, but the company has it's own overhead, doesn't it?
I guess if you don't sub out any of the work what-so-ever, the shortcoming isn't so bad...
Once you sub out the drywall, hvac, electric, & roof... None of them is going to want to eat the 10% you gave the PA to work up the scope.
So, the way I see it is the adjuster that is working for the HO, not the contractor, is costing the HO 10% of their finished product?

If I'm looking at this wrong, PLEASE, tell it to me in a way I can understand. This is the way I see it.
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