Yeah, I’ve noticed the same thing. When my garage roof needed replacing, their “market rate” was laughable—like, where are they even getting these numbers? I had to dig up receipts from neighbors who did similar work just to get them to reconsider. It’s like they’re betting we’ll just accept the first offer and move on... Not sure if they ever actually talk to contractors anymore or just rely on old spreadsheets.
Yeah, I’ve run into that too. The “market rate” they quoted for my roof was almost half what every local contractor wanted. I get that insurance companies have to control costs, but it feels like they’re stuck in the past or just hoping we won’t push back. I even called a couple of contractors to double-check, and none of them had ever seen rates that low. Maybe they’re using some outdated database or something... Either way, it’s frustrating when you’re just trying to get your place fixed up right.
It’s wild how out of touch those “market rates” can be. I had a similar thing happen with hail damage on my car—insurance quoted me some number that no shop in town would even consider. I get wanting to keep costs down, but at some point it just feels like they’re hoping people won’t bother to fight it. Have you tried sending them actual quotes from local contractors? Sometimes that gets them to budge a little, but it’s a hassle either way.
“I get wanting to keep costs down, but at some point it just feels like they’re hoping people won’t bother to fight it.”
I hear this a lot, and I get where the frustration comes from. But sometimes I wonder if it’s less about hoping people give up and more about how insurance companies calculate “market rates” in the first place. Are they using outdated data? Or maybe averages that don’t reflect what’s actually happening locally? I’ve seen cases where the insurer’s numbers are based on regional or even national databases, which can be way off compared to what’s happening in a specific town—especially after a big storm when prices spike.
Have you ever looked into whether your policy has any language about “prevailing rates” or “reasonable and customary charges”? Sometimes there’s wiggle room there, but it depends on how the contract is worded. I’m curious—did you get any explanation from your adjuster about how they came up with their numbers? Sometimes pushing for that breakdown can reveal if they’re missing something, like code upgrades or local permit fees.
It’s definitely a hassle, but I’m not sure it’s always intentional lowballing. Sometimes it’s just bureaucracy moving slow... which is its own headache.
One thing I always tell folks is to actually ask for the line-item estimate from the adjuster. Sometimes they’ll lump things together or miss stuff like drip edge or ice/water shield that’s required by code now. Did your roofer give you a detailed invoice showing those extras? That can make a difference in what gets reimbursed, especially if you push back with documentation. Ever compare your roofer’s breakdown to what the insurance paid for each part?