October 2021

When it comes to storm related insurance claims, partial approvals are going to happen. Some contractors just accept the adjuster’s initial findings and leave thousands or even millions of dollars on the table. Experienced contractors view a partial approval as part of the process and actively work to convert those initially small claims into large, profitable jobs. 

What are partial approvals and what can contractors do about them?

A partial approval is when an insurance carrier only approves replacement for part of the roof and/or siding. If the contractor feels strongly that the job requires a full replacement or additional trades, he or she can submit a partial approval supplement along with supporting documentation to attempt to get approval for a full replacement. 

Let’s say you’ve inspected a 30 square roof and found enough storm damage to warrant a claim. An adjuster may agree that a section of the roof was damaged by hail but will only approve replacement of 5 of the 30 squares. In order to get the other 25 squares approved, you need to determine if the supplement is Product Related or Damage Related. (In our experience, it’s about a 50-50 split.) Both scenarios require additional documentation. 

What type of Documentation do you need?

If the argument is Damage Related, additional damage photos and photos of test squares need to be taken and submitted along with a thorough list of accessories and components not included in the original scope of loss. (This is why you should use your inspection checklist on your inspection!) Some states even have building code requirements that limit the number of repairs that can be made on a roof, like the Florida Building Code 25% Rule. If there is a code requirement in your area, submit that, too.

If the argument is Product Related, then you need to include documentation that the shingles or siding are discontinued, unavailable, etc. ITEL reports with the receipt, letters from the supplier, or “do not mix” documentation from the manufacturer should be included with the supplement.   

How many partial approvals should you supplement?

Experienced contractors will know from the inspection if the house has sustained enough damage to warrant a claim. That, combined with proper documentation will allow you to easily know which partial approvals to focus on fighting and which ones to shift to retail jobs if the homeowner still wants a full replacement. 

Should you use a 3rd party supplementing company to process partial approval jobs?

For contractors that are inexperienced with challenging roofing and siding partial approvals or repairs, a 3rd party supplementing company can be a good option. A roofing supplement company will be able to quickly determine if enough documentation exists to move forward. 

Learn more about documentation you should use on every job on Elite’s YouTube channel.

If you’re new to the roofing business or just getting into storm restoration, you’ve likely heard the word “supplement” (or Supplement) thrown around but probably don’t have a good grasp on what it means. Let’s walk through what a supplement is and how supplementing will benefit your roofing company.

What is a supplement?

A roofing supplement or contractor supplement is when a contractor asks for additional materials, labor, or trades to be added to the insurance claim. An adjuster may not include enough shingles, ice and water shield, siding, etc. on the scope of loss to get the job done correctly. In some cases, these missing items are required by local building code. When this happens, a contractor writes a new Xactimate Estimate to include those missing items and submits it to the insurance company for approval. Contractors must also include supporting documentation such as photos, measurements, local code requirements, and invoices to explain why these funds are needed.

Why should you supplement?

Well, the simple answer is so you get paid what you deserve.

While we don’t believe the insurance company is the enemy, they sometimes make mistakes. It’s up to the contractor to find and correct those mistakes, not just for their business but also for the homeowner. Homeowners hire roofing contractors to be the expert on filing, settling, and managing insurance claims. Supplementing is a great opportunity for roofing contractors to demonstrate their expertise. When done correctly, it can improve customer service and even generate more referral leads.

How many of your jobs should you supplement?

You should review all your jobs to see if there is a need to file a supplement (there usually is). Supplementing roofing jobs is all about consistency and process. Having a standardized process for more thorough inspections makes it easier to determine if an insurance job requires a supplement and makes it easier to file one.

The best way to do this is to give your sales reps very clear rules on how ALL roof inspections are performed. Top contractors use inspection checklists and photo checklists to make sure they correctly document all of the damage and materials required to install the job. The person putting together your supplements will then compare the adjuster’s scope of loss to the inspection checklist and photos taken by the rep to see if there are any discrepancies.

While this type of process may add an additional 15-30 minutes to what your sales reps are currently doing, it will benefit your roofing business in several ways. In terms of supplementing, contractors will earn more money and get paid faster. When it comes to operations, the same process used for supplementing can also result in more accurate material orders and prevent “fire drills” like driving to a supplier to pick up materials when a crew is waiting on the roof.

How much can supplementing really make you?

At the end of the day, supplementing is like anything else – you get what you put into it. Roofing Contractors will typically earn $2,000-$6,000 per job when they supplement. That means a possible 10-25% increase in yearly revenue.

This increase in revenue means you get paid what it actually costs to do the job correctly. You spend time and money to make sure you have the right amount of material, follow local building codes, use installation best practices to comply with manufacturer warranties, etc.

Even the insurance carriers agree you should be paid for those things. But the catch is, you must ask for it. Bottom line, if you’re not taking the time to supplement, you’re losing money on every single job.

Why should you consider a 3^rd party supplementing company like Elite Claim Solutions?

It takes time to learn the intricacies of supplementing. You need to know Xactimate and Symbility, code items in your area, how to document and so on and so forth. AND you have to learn how to ask for supplements using the carrier’s language. Now, some contractors have the time, dedication, and staff to do it on their own. More power to them.

But if you’re a small roofing company or a contractor just getting into insurance restoration, you may not have the time to do it yourself. After all, storm roofing is all about sales. Anything that takes you away from sales hinders your revenue and business growth. 

You need somebody on your side who has a solid background in supplementing and gives you all the tools you need to get the supplements approved. If that is the case for your business, using a supplementing company like Elite Claim Solutions is a good option for you.

With Elite, there is no need for you to have in-depth Xactimate supplementing knowledge. We do all the heavy lifting and build honest supplement packages for you.