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For episode 125 of The DYOJO Podcast we review recent video of the senate hearings lead by Josh Hawley (MS) which include sworn testimony from two policyholders with Allstate and State Farm who were affected by improper insurance claims handling for property damages. The extended video includes sworn testimony from two independent adjusters who worked for insurance carrier Allstate and third party adjusting firm Pilot. Senator Hawley has direct interaction with Mike Fiato who is the executive vice president and chief claims officer for Allstate Insurance Company. Video clips from:
Thursdays are for The DYOJO Podcast - helping contractor's shorten their DANG learning curve. Check out thedyojo.com for more information, the DYOJO blog, and sign up for The DYOJO Wire Newsletter. 
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In the construction and restoration industry, clear communication is the foundation of getting paid for your work. A recent episode of The DYOJO Podcast, titled "Get Paid, Not Played: Managing Client Expectations as a Contractor," dives into a real-world case study that highlights the dangers of misaligned expectations and unclear agreements. The episode unpacks a troubling scenario where a contractor’s attempt to secure payment went awry, offering valuable lessons for contractors on how to protect their earnings and maintain trust with clients. The case study involves a homeowner who filed a hail damage claim after being alerted to the issue by a contractor. The contractor suggested the damage might be covered by insurance, which proved true when the claim was approved. However, tensions arose when the homeowner requested a straightforward estimate for roof replacement. The contractor refused to provide one unless the homeowner shared their insurance scope of work, insisting they deserved the insurance payout since they had flagged the damage. The homeowner, wary of this approach, stood firm, stating the insurance payout was their business. After pushback, the contractor released the homeowner from an outdated pre-work contract but then submitted a surprise $1,200 invoice for unapproved "temporary repairs" and demanded the insurance payment. The homeowner’s insurance adjuster had to intervene, shutting down the contractor’s demands. The homeowner had only paid $375 via Cash App to a technician for a minor fix, which raised red flags about the contractor’s practices. This scenario underscores a common frustration for contractors: investing time, resources, and expertise into assessments and documentation, only for the client to choose a cheaper competitor. As the podcast host explains, contractors often use tools like DocuSketch, detailed photo labels, and Xactimate estimates to create comprehensive claims that secure insurance payouts. When clients take this work and hire someone else, it feels like a betrayal. To mitigate this, some contractors use pre-work authorizations or letters of intent, outlining that their services—such as travel, documentation, and estimating—come with a cost if the client opts out. However, as this case shows, such agreements must be clear, current, and mutually understood to avoid disputes. The episode emphasizes the importance of a clear contract that defines responsibilities and expectations for both parties. A contract should outline what the contractor will do (e.g., assess damage, provide an estimate), what the client is responsible for (e.g., payment terms), and the agreed-upon scope and cost. Without this clarity, misunderstandings can escalate, as seen when the contractor sent a technician for a small repair, paid directly via Cash App, which the homeowner perceived as disorganized or unprofessional. The podcast suggests that contractors should communicate their process upfront, detailing potential outcomes—approval, denial, or partial coverage—and how each will be handled. This transparency builds trust and reduces the risk of surprise invoices or disputes. Another key takeaway is the need for a code of ethics in the industry. The host references the Restoration Industry Association’s Code of Ethics and advocates for a standard of restoring properties to pre-loss conditions using materials of like kind and quality. This principle, dubbed "letting the structure speak," guides contractors, adjusters, and clients toward a shared goal: repairing damage based on its source and extent. By aligning all parties around this standard, contractors can avoid gray areas—like unapproved repairs or inflated invoices—that erode trust. The episode also highlights the contractor’s perspective: the frustration of feeling taken advantage of by clients who benefit from their expertise but don’t commit to the job. To address this, contractors should screen clients carefully and set expectations early, positioning themselves as trusted partners. The host suggests using scenarios like this as training opportunities to refine communication strategies and ensure alignment with clients who value their expertise. Ultimately, getting paid as a contractor requires proactive communication, clear contracts, and ethical practices. By setting the tone early, documenting agreements, and adhering to industry standards, contractors can avoid the pitfalls of surprise invoices and unpaid work, ensuring they get paid—not played.  Will a California Court Finally Follow Through? In this clip from The DYOJO Podcast Episode 123, Jon Isaacson dives into a heated legal battle between Tong and State Farm Insurance over a denied water damage claim. While claims games, tricks, and denials is nothing new, the discussion unpacks escalating tensions, including allegations of discovery violations and obstruction by State Farm. Despite a court order to release documents, a protective order protects proprietary details, while policyholders push for sanctions over delays. Jon also highlights the critical role of industry associations, regional events, and educational outreach for contractors navigating insurance work. Plus, get insights on networking, skill-building, and doing the job right—along with a shoutout to Jon’s books and podcast for trades professionals. Watch this 5 minute episode recap, read the blog post from Merlin Law Group, and keep an eye on Tong vs. State Farm. Listen to TDP on Spotify Listen to TDP on Apple Watch TDP clips on YouTube  Episode 120 of The DYOJO Podcast focuses on the importance of contractors, homeowners, and insurance representatives letting the structure speak during the insurance claims process. The discussion emphasizes the restoration triangle involving policyholders, contractors, and insurance companies. Stressing the need for thorough data capture (TDC) to create defensible estimates, advocating for restoring properties to pre-loss conditions with like-kind materials (LKQ). This episode critiques the us-versus-them mentality between contractors and insurers, urging clear communication and adherence to the standard of restoring properties. Listeners will hear about resources for improving estimating and project management skills in the restoration industry. IN EPISODE 120 of The DYOJO Podcast: 1:59 Who is the customer during an insurance claim with David Princeton 3:56 Let the Structure Speak during an insurance claim 6:24 The Restoration Triangle with Pete Consigli 10:37 The Standard all should follow for insurance claims 17:34 Rant Alert * What does it mean to RESTORE property? 25:38 Creating an accurate scope of work for insurance claims 30:45 Resources for insurance estimating and project management LAST EPISODE 119 Falsifying Insurance Claims Thursdays are for The DYOJO Podcast - helping contractors shorten their DANG learning curve. Join host Jon Isaacson as we explore contractor stories, experiences, and best practices to help listeners thrive in the skilled trades. This podcast clip from The DYOJO Podcast Episode 119 revolves around the risks and challenges faced by construction companies, particularly in the aftermath of storms.  We discuss the importance of making informed decisions to avoid large financial losses and the pitfalls of not doing things correctly, both technically and politically. We remind the audience of our prior series of episodes (starting with TDP 92) reviewing a case in Texas where a contractor sued a school district for non-payment after providing emergency services, highlighting the complexities and potential for bankruptcy. Our discussion also touches on the importance of authority and clear agreements in contracts. Listen to this Clip on Spotify Watch The DYOJO Podcast on YouTube Listen to The DYOJO Podcast on Spotify, Apple, and all platforms Read The DYOJO Blog - for additional information and sources Thursdays are for The DYOJO Podcast - Helping contractors shorten their DANG learning curve  The conversation in this podcast clip, from Episode 119 of The DYOJO Podcast, revolves around the issue of insurance companies potentially altering claim estimates to pay out less than the actual damage. We discuss how independent adjusters, who document damages and write estimates, find their work significantly reduced by insurance representatives. An example is given where an adjuster's $488,000 estimate was changed to $13,000. The conversation highlights the discrepancies between the initial detailed assessments and the final payouts, which often favor the insurance company. The discussion also touches on the role of public adjusters and the need for better communication between contractors and consumers to achieve fairer insurance claim outcomes. Listen on Spotify or other podcast platforms Watch the full episode (119) on YouTube Sources: Prior article - https://www.thedyojo.com/blog/insurance-claims-whistleblowers#/ Video from 60 Minutes - Florida Insurance Carriers Used Altered Hurricane Damage Reports, Whistleblowers Say - https://www.youtube.com/watch?v=j5re7zBzrJk |
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