It truly is upsetting when you think about it. After all, people, for some reason, trust their insurance companies. They think that their agents are actually looking out for them. They believe that their insurance providers are always fair and honest. This is not always the case. In fact, unfortunately, in many instances, it is just the opposite.
Insurance companies distribute literature, create videos, post blogs to their websites, and use other forms of propaganda, all with a similar theme- "be leery of shady contractors that knock on your door." They often paint the contractor in a bad light. They insinuate that most contractors that actively pursue and perform insurance repairs are evil, deceitful, or are somehow committing a crime. They like to use words like "scams," "shady," and "fly-by-night."
The reality is that most insurance restoration contractors are honest, hardworking people. Chasing storm repairs is far from easy and the rewards only come to those who outwork their competition. Committing fraud or implementing shady practices is not worth it for insurance contractors and those who take part in them are few and far between.
The reward for contractors that specialize in insurance repairs comes from the jobs themselves. They can make a profit from the insurance approval. Plus, since most contractors that perform insurance repairs tend to work within the same geographical area for an extended period of time, it only behooves them to perform the work properly and timely. This way, they will get more business from friends and neighbors.
Also, many of these contractors tend to perform the same type of repairs over and over again. For example, a contractor that specializes in hail damage repairs may consistently perform cedar roofing replacement or aluminum siding replacement. Certainly, contractors that perform the same type of job over a long period of time will be better at it than one that only performs that type of job every so often.
In fact, most insurance restoration contractors operate like well oiled machines, with a proven system of assisting homeowners with the claims process and performing top-grade installations.
Knowing this, it is sad how insurance companies and those inside the insurance industry try to paint the contractors as less than trustworthy. Are there shady contractors out there? Of course there are. There are dishonest companies within every industry, including the insurance industry. Can anyone say AIG?
Insurance companies do not want contractors to generate business through homeowners insurance claims because this is money out of their pocket. But, the fact remains that people pay for and carry insurance in order to be protected and covered in the event of a loss. All these contractors do is assist homeowners with this process. Insurance contractors are a homeowner's best advocate- not insurance companies.
Remember, your insurance company, with rare exception, has an obligation to its owners and stockholders to increase profits. Unfortunately, this obligation often gets in the way of their obligation to you as the consumer. So, in a way, all an insurance contractor does is allow for the consumer to receive what is rightfully theirs under the provider's obligation as the insurer. If an insurance company does not want to honor this obligation, they should not be in the business of insurance.
So, the next time you stumble upon information or propaganda from the insurance industry that slanders insurance restoration contractors or casts them in a negative light, remember that their motive is not to protect you from shady contractors. It is to protect their bottom line.