In the restoration and reconstruction industry, the presence of Third-Party Administrators (TPA’s) is an unfortunate necessity for a variety of reasons. From the limitations imposed by low staff at insurance agencies to the aftermath of disaster events that surpass the capacity of a single provider, TPA’s have become integral to the industry on many levels. Insurance agencies are relinquishing control of an increasing number of vital steps in the claims process to TPA’s, and in doing so, they are making life more difficult for service providers and property owners alike.
A restoration company working with insurance providers might come to expect a certain level of hoop-jumping in order to do business. This is because it’s less work to secure a lead from an insurance company than it is to harvest one organically. For this reason alone, the extra work required to play in the insurance claim game, and the lower profit gained from these projects are offset by the near zero cost to source the lead in the first place.