Third Party Administrators (TPAs) have the potential to be part of a high performing business mix for restorers. The idea of assignments being doled out from the insurance company during slow patches, with low referral fees and little headache is appealing. However, the amount of effort and technical skill required to perform TPA work has increased over the last 10 years. So how can individual businesses turn the effort and technical skill needed for these assignments into a competitive advantage with profitable results? Let’s look at what we know about the work provided through these services.

When working with TPAs, it’s important to recognize that you have outsourced two different sales and marketing responsibilities. The first is your promise to the insurance company. There are many pages to an agreement with TPAs, but the core promise is that your operation will take the work given, perform to acceptable standards, and deal fairly with all parties. The second promise is to the individual homeowners. Contractors are often portrayed as being their best option to reduce the number of hurdles in a bad situation.