Here is the statement we use as a heading in Xactimate and in the email heading for supplements. Feel free to copy paste or copy and modify as you feel fit.
Trades Must Be Estimated Correctly
Xactimate was built around fire and water claims where it’s feasible to use separate crews for demolition and remediation. As a result,Xactimate defaults to DMO for all trades to provide a basic scenario to start estimating a claim. This is not an accurate or acceptable method, however, for estimating a roof replacement as well as most other exterior repairs.
If using a roofing crew for removal, the labor rates and workers comp rate is not accurate if left at the default DMO setting. The monetary difference when updating the trade labor rate from DMO to RFG is mainly due to the labor burden and labor overhead because worker’s Comp, GL, tools, etc. are significantly higher than that of a demolition crew. The monetary difference actually has very little to do with the change in wages due to the skill of the trade.
We have reviewed this issue with our GL and WC Carrier and have been advised they cannot and will not provide us with a lower rate for a separate and distinct demolition crew that is performing work on a roof top.
As a result, any line item that has a Remove component in our estimate has been changed to the appropriate trade.