Supplemental payments

Those that use a third party for supplements, do you pay them off RCV or ACV of the net supplement?

Neither. We’re charged flat monthly rates and they have volume based cost breaks.

Most third party supplement companies work off of a % of supplement amount. That seems to range between 10 to 15%. So if you handed them a job where the SOL was $10,000 and they increased it to $15,000 with their supplement efforts, they would get the % of the difference, $5,000. It’s a performance based system which is what you want I would think. I’d never work with a flat rate system, what’s their motivation to get the max supplement amount available?

I looked at their site and that flat rate looks to be specific to an estimate only. It lists supplements as a separate service.

I don’t know how you could even do estimates at a flat rate unless it varies depending upon what is included. But who cares? Supplementing is where the money is at. Anybody can write a mediocre estimate. And if you’re just sending in your estimate as your supplement, you’re going to leave tons of money on the table.

Man if you have ever taken advice from some random guy on the internet…You should strongly consider contacting Mark Craney @ RestorationAi.

These guys have developed an incredible supplementing process and software to not only help you ID potential supplements that most overlook, but the system itself generates all the necessary wording, supporting documentation, and photos all in one perfectly worded package. Each supplement order starts with a 3rd party waste report. The waste report alone is worth its weight in gold, as it explains in great detail how adjusters bundling cap and starter as waste, shorts the contractor(us) by nearly a couple grand per deal, obviously depending on roof size and complexity.

I was a bit skeptical at first, just because the supplement guys we were using were doing fairly well. But I paid $225 for 5 supplements and waste reports. Mark (the owner I assume) did a Zoom/Skype call with me to walk me through my first supplement using RestorationAi. To make a long story short, $6,511.23 was the total additional supplement paid on what was originally a $13k roof WITHOUT even the slightest of dispute or negotiations from the Field Adjustor.

What cost me about $55 and 2 hours max yielded a $6500 return AND more importantly, the ability and knowledge to write extremely well supported supplements that as of today stands at a 3 out of 4 being fully approved for the original requested amount, and 1 of the 4 was fully approved minus O&P, as it was roof only.


Thanks for the compliments and happy it worked out for you.