How Restorers Are Getting Paid Faster by Insurers/Adjuster (Using AOB)

If you’re in the restoration business, you’ve likely dealt with the frustration of waiting on insurance payments. It’s a struggle that eats into cash flow, delays projects, and creates unnecessary headaches. For many restorers, Assignment of Benefits (AOB) agreements seem like a solution—but they don’t always speed things up.

Josh Ehmke, Co-Founder and General Counsel of One Claim Solution (OCS), has firsthand experience with these challenges. In his work, he’s seen what it takes to navigate insurance claim delays, document properly, and ensure restorers get paid. Let’s dive into the realities of payment timelines, the tactics insurers use, and how you can protect yourself and your business.

Understanding Payment Timelines for Assignment of Benefits (AOB)

When you’re working under an Assignment of Benefit (AOB), payment timelines can vary widely. Here’s what affects how quickly (or slowly) you’ll see your money:

• Policy Language: The fine print in a homeowner’s insurance policy determines what’s covered and how quickly claims are paid. Understanding this is key to managing expectations.
• State Prompt Pay Statutes: Many states have laws requiring insurance companies to pay claims within a set period, typically 30–45 days. Unfortunately, enforcement of these laws can be weak.
• Adjuster Behavior: Not all adjusters are alike. As Josh points out, one adjuster may work quickly and fairly, while another sitting in the same office might drag their feet for weeks—or months.

Timelines range from as little as 1–2 weeks to several months. The inconsistency can make planning tough, especially for busy restorers juggling multiple projects.

Learn more: Assignment of Benefits (AOB): What Every Restorer Needs to Know

The Tactics Insurance Companies Use to Delay Payments

Insurance companies are skilled at delaying payments. It’s not personal—it’s business. They know that the longer they delay, the more likely you are to settle for less. Here’s how they do it:

• Deliberate Stalling: By dragging out the claims process, insurers hope to devalue claims. Restorers facing cash flow issues may accept reduced payouts just to keep their business running.
• Weak Enforcement of Laws: While states have laws to protect consumers, they’re often not enforced strongly enough to deter bad behavior. This leaves restorers and homeowners stuck in limbo.

These tactics aren’t just frustrating—they’re designed to wear you down. Knowing how to navigate them can make all the difference.

The Importance of Documentation: Your Best Defense

When it comes to getting paid, documentation is everything. As Josh says, “Only document the portion of the job you want to be paid on.” In other words, if you don’t show what you’ve done, you can’t expect to be reimbursed for it.

Best Practices for Restorers

1. Document On-Site: Capture everything while you’re on the job. Don’t rely on memory once you leave.

2. Use Reliable Tools: Apps like magicplan make it easy to document work in a clear, professional way. Photos, notes, and measurements can be organized and ready for adjusters.

3. Be Thorough: Don’t cut corners. Every detail, from initial damage to completed repairs, should be included.

Proper documentation doesn’t just help you—it helps adjusters, too. When they can see clear evidence of the work you’ve done, it’s harder for them to justify delays or denials.

How OCS Helps Restorers Get Paid Faster

For restorers who don’t have the time to chase down insurance companies, One Claim Solution offers a practical solution. Here’s how OCS makes a difference:

• Immediate Responsiveness: When adjusters call, OCS answers. Missing a call often means your claim gets pushed to the bottom of the pile.
• Dedicated Claims Handling: Unlike restorers who are busy on-site, OCS focuses solely on pushing claims through.
• Proprietary Software: OCS’s system tracks claims to ensure nothing falls through the cracks. Alerts and reminders keep the process moving.

With OCS, you can focus on what you do best—restoration—while they handle the headaches of dealing with insurance companies.

Practical Tips for Restorers to Outsmart Insurance Delays

1. Understand Policy Language: Before starting a job, review the homeowner’s insurance policy to know what’s covered.

2. Leverage State Statutes: Familiarize yourself with your state’s prompt pay laws and use them to hold insurers accountable.

3. Master Documentation: Invest in tools and processes that make it easy to capture every detail of your work.

4. Stay Persistent: Follow up regularly with adjusters to ensure your claims aren’t forgotten.

5. Partner with Experts: Consider working with a claims management company like OCS to handle the legwork for you.

Conclusion

Insurance claim delays are a frustrating reality for restorers, but they’re not unbeatable. By understanding payment timelines, recognizing insurer tactics, and prioritizing thorough documentation, you can take control of the process. As Josh Ehmke says, getting paid isn’t just about doing the work—it’s about showing it clearly and staying on top of the claims process.

With the right strategies and support, you can outsmart even the most stubborn insurance companies and claims adjusters and get the payments you’re owed—faster and with less stress.

READ MORE:

Common Pitfalls in Restoration Scope Creation: How to Avoid Costly Errors and Omissions