Few things play as big of a role in your restoration business’s finances as your pricing. Today, the restoration collections experts at OCS are examining two of the most popular pricing approaches in the restoration industry–custom price lists and Xactimate pricing–so that you have the information you need to make the right financial decisions for your restoration business.
Independently created custom price lists are lists created by a restoration company without collaborating with another restoration company or relying on a third-party price list. Comprehensive price lists should include every line item your business charges homeowners for during a restoration project. It can include anything from what you charge per hour of labor, to the cost of dehumidifier equipment rental.
While local market rates can play a role in setting your prices, you should primarily determine prices based on your business’s actual cost of services, operating expenses, and healthy profit margins.
The Restoration Industry Association & KnowHow’s Cost of Doing Business Report 2024 found that just under half of survey respondents report using independently created price lists in their restoration business.
Xactimate is a popular estimating software tool used by restoration contractors and claims adjusters. One of Xactimate’s selling points is that it has a “current and local pricing database” that contractors can use to understand the market value of the services they are estimating. Many contractors rely on Xactimate pricing suggestions to set their own prices.
Xactimate’s history provides more further insight into their tool and the company behind it. In 2006, Insurance Services Office bought Xactimate. Verisk was created two years later to be a parent company for Insurance Services Office and Xactimate.
Where does the pricing data in Xactimate’s database come from? According to Verisk, they “analyze an array of market price points from numerous third-party sources, including thousands of daily in-field estimates submitted through Verisk.” Who is submitting estimates through Verisk? Xactware’s 2016 Property Report shared that 89% of the parties uploading estimates through Xactimate were staff adjusters or independent adjusters.
Claims adjusters create estimates in response to claims submitted by contractors. By nature of working in the insurance industry, adjusters’ estimates include suggested prices that are lower than those of the restoration contractors actually performing the work. Because adjusters are disproportionately represented in the estimates submitted through Verisk, it suggests that the data points that are a part of their “current and local pricing database” are likely biased toward the lower pricing included in estimates created by adjusters.
Restoration pricing isn’t one-size-fits-all. Unlike pricing from Xactimate or other third parties, a personal price list is a pricing framework that’s personalized to your business, your local market, and your customer base. Creating a price list also gives you the opportunity to dive into your business finances in detail, understanding what works and what doesn’t work. With this deeper understanding, you can move forward making better-informed business decisions.
At One Claim Solution, we encourage every restoration contractor to create their own price list. If you opt to use Xactimate in conjunction with your personal price list, approach their suggested Xactimate pricing with caution, understanding that it is likely lower than the true going rate for restoration services in your area. When you’re creating estimates in Xactimate, opt to fill in your own customized pricing rather than relying on the suggested Xactimate pricing.
Relying on your own price list is only one piece of optimizing and streamlining your restoration business’s finances. Another piece is successful claims negotiation with adjusters. At One Claim Solutions, we provide restoration claims billing services for restoration contractors nationwide. We manage our clients’ claim billing, negotiating on their behalf to get them higher insurance payouts. Reach out today to see how OCS can increase your business’s collections.
335 E Germann Rd #340
Gilbert, AZ 85297
All rights reserved. Copyright © 2024.
Hi there! I’m Connor, the Account Executive for One Claim. My goal is to guide our contractors through the sales process, ensuring you’re equipped with all the information you need to make your decision and hit the ground running once aboard. We view ourselves as an extension of your business and I strive to make the process an enlightening and consultative one.
My career has primarily been focused in software sales over a few different industries but the last few years were spent helping general contractors solve similar problems to what we’re doing here at OCS! Outside of work, I love spending time with my family, cooking and boating during the summer months.
Hello! I’m Nicole, and I’m here to champion for our employees, recruit for new talent, and impact culture at One Claim Solution. I find satisfaction in supporting a memorable employee experience and bring innovation, problem solving, and strategic view to the process. Nothing is more important than our people, and a healthy culture is my top priority! I have had the pleasure of building my career in various sectors, specializing in small to medium size firms focused on high-growth. My experience is centered around driving and implementing change, leading high-performing teams, and driving process improvements. I am excited to make an impact at One Claim. Outside of work, my family and I enjoy getting outdoors as much as possible to explore beautiful Colorado!
Great to meet you! I’m Elizabeth, and I’m the one behind all the emails and advertisements you’ve been seeing. As the Demand Generation Manager at One Claim Solution, my mission is to connect with contractors like you who need our services. I’m passionate about having an impact on others and I bring a wealth of experience in demand generation and marketing strategy to create moments of delight, curiosity, and education for you.
Prior to One Claim Solution, I had the privilege of building marketing departments from the ground up at companies in a variety of industries, including IT consulting, first protection, and healthcare. Personally, I love being outdoors, playing Dungeons and Dragons and board games, singing, and traveling.
Welcome! I’m Alisha, and I’m here to champion your success as the Director of Contractor Success at One Claim. With a passion for helping contractors thrive, I bring a wealth of experience in onboarding, customer service, and account management to ensure your journey with us is nothing short of exceptional.
Prior to joining One Claim, I had the privilege of scaling SMB and Enterprise Customer Success teams at fast-growing SaaS startups. With over six years of experience at companies like Mavenlink, Teamwork, and ServiceTitan, I honed my expertise in building high-performing teams and fostering proactive, consultative relationships. This background has equipped me with a deep understanding of the challenges faced by businesses like yours, and I’m dedicated to helping you overcome them.
Hi there, my name is Eric! I am the Chief Technology Officer here at OCS, spearheading our technical strategy. I have a background in computer science, graduating cum laude from BYU-Idaho with a Bachelor’s degree in Computer Information Technology.
Before coming to One Claim, I served as the Director of Engineering at Slingshot Technology, Inc., a company later acquired by WorkWave in 2021. My professional journey has spanned both emerging startups and established corporations, with a steadfast focus on cultivating high-trust, low bureaucracy teams and innovating technology using agile methodologies.
In my free time, you can find me flying drones, enjoying the outdoors, and spending time with my family.
Hello, my name is Cam, I’m the COO of One Claim Solution! I come from a management consulting background (Bain & Company) and hold an MBA from the University of Michigan. I have worked at a wide variety of organizations, from Fortune 500 to small-cap, in an equally wide variety of industries. I have over 15 years of experience in operations and strategic growth, and I have spent much of my career focused on developing high-performing tech-enabled service organizations through early stage and high growth phases.
Outside of work, my wife Brittny and I have four kids, ages 13 to 6. As residents of Mesa, Arizona, we love to ski and explore the national parks of the southwest!
Hello, my name is Dan, and I am the CEO of One Claim Solution. I am super excited by everything we are doing at OCS to be the market leading insurance billing specialist that advocates on behalf of our restoration contractors.
My professional experiences are predominantly corporate in nature. My career started at General Electric in finance and accounting. Immediately prior to joining OCS, I spent time as an investor at Bondcliff Partners and management consultant with Bain & Company. I also hold an MBA from the Kellogg School of Management at Northwestern University and got my BS in finance and accounting from Northeastern University.
Outside of the office, I enjoy spending time with my wife, two young children, and our family dog, Whiskey. We live in Charleston, SC and take advantage of the beautiful weather by spending as much time as possible outside at the beach or adventuring around town
Hi, I’m Josh! In 2016, I co-founded One Claim Solution with my partner Jeremy Traasdahl, and I serve as General Counsel of One Claim Solution. Working in the restoration industry, Jeremy and I saw contractors struggling to get paid quickly and fairly and we knew there was a need for change. We founded One Claim Solution to be this change and it’s been my privilege to see our company grow and to advocate for our clients as general counsel.
Outside of my passion for helping the restoration industry, I enjoy spending time outdoors, fly-fishing, hunting, skiing, and coaching my kids’ baseball teams. I’ve been married to my amazing wife for 20 years and we have a beautiful family of 5 children.
Hey, I’m Jeremy! In 2016, I co-founded One Claim Solution with my partner Josh Ehmke. Working in the restoration industry, Josh and I saw contractors struggling to get paid quickly and fairly and we knew there was a need for change. We founded One Claim Solution to be this change and it’s been my privilege to lead our amazing team.
Prior to One Claim Solution, I started my career as an inside sales rep for Avnet, then moved to Pepsico as a district sales manager. Outside of work, I love spending time with my wife and four children, two boys and two girls!
602-491-2588
