Your estimators need to become experts on the estimating platforms you are using. Where does that price come from? Is it the right price for this job? What is and is not included in that line item? What technology will allow your estimator to create a scope more accurately – and not worry so much about the sketch? Those technologies are out there – and they are not as expensive as you might think – especially when you consider what you may be leaving on the table.
Your estimators need to take the time to document – in the estimate – what they are doing and why. If you need to change a price – do it – don’t be afraid it will be rejected. But explain why. Framers in your area are now charging x and your additional soft and hard costs for those framers mean you need to charge what you put in the estimate. Supply chain issues have caused your lumber and drywall costs to rise unexpectedly. Put a hyperlink in your estimate to where you are getting your materials, so the adjuster can verify your price.
The art of negotiation starts with knowing what it is going to really take to do a job well and making enough of a margin to allow your business to grow.
And when that adjuster tries to stonewall you, don’t be afraid to let the insured know what is going on. The insured wants quality work done for a fair price – and that is what you are doing. If you need to climb the ladder, it’s best done with the insured as your partner.
We at Restoration CrossCheck are here to help guide you through the adjuster negotiation process and break through those stone walls.
