If you’re an Xactimate pro, you know the routine: third-party reviewers like Wardlaw Claims show up with “suggestions” aimed at cutting costs, often with threats to reduce your bill by half unless you agree to their proposed one-third reduction. But here’s the deal: their input isn’t legally binding. Wardlaw’s role is to save the insurer money, not to ensure full restoration. So, here’s how to respond when Wardlaw attempts to shrink your estimate.
1. Strategy: Stand Firm on Your Scope and Pricing
Wardlaw may push for a scope adjustment to meet a certain budget, but legally, you’re not obligated to comply. Your contract is with the insured, not the insurer’s cost-slashing reviewers. Xactimate pricing reflects market conditions, actual job requirements, and your overhead – all of which go beyond Wardlaw’s cut-and-dry budget.
Practical Application: If they “recommend” a one-third reduction, remind them you’ve prepared your Xactimate estimate based on on-site assessments and industry standards, not arbitrary cuts. Should they persist with a threat to submit a report cutting the bill in half, politely decline and take the matter back to the adjuster.
2. Strategy: Request Specifics on “Industry Standards”
Wardlaw loves to mention industry standards like IICRC S500 or S520 when recommending cuts. Politely request exact sections or page numbers. Most reviewers lack the detailed knowledge or field expertise to back up their claims, and they often rely on these standards without fully understanding them. You, on the other hand, are following both professional standards and job-specific requirements.
Practical Application: When they bring up “standards,” ask for specifics. Nine times out of ten, they can’t produce any. With their lack of documentation, you can freely keep your scope and estimates as is.
3. Strategy: Push Back on “Cost of Doing Business” Denials
When Wardlaw dismisses items as mere “costs of doing business,” it’s a tactic to reduce what they see as overhead. But items like supervision, setup, and teardown represent real job costs, essential for proper restoration.
Practical Application: Politely, but firmly, let them know “cost of doing business” isn’t a valid denial reason. Emphasize that each line item is justified and part of your service contract with the insured, ensuring their property is fully restored.
If Threatened, Appeal Directly to the Adjuster
If Wardlaw tries to scare you into a reduction with a threat of a 50% cut, you have every right to appeal to the adjuster. Explain that the estimate reflects on-site needs and industry practices and that you prefer to defer to the adjuster’s judgment rather than Wardlaw’s.
Legal Disclaimer: This blog is provided for informational purposes only and does not constitute legal advice. Readers should consult a qualified attorney for any legal questions related to third-party reviews, insurance claims, or other contractual issues.