We had a flood in our home related to our second story laundry.
We paid the contractor our deductible to get worked started and now that the job has been completed, they are asking for final payment. In the final bill, they outlined a few credits in the original scope of work that didn’t get completed. When I took a closer look at the original scope of work, I found an additional $1900 in other line items that were not completed. I followed up with contractor about the discrepancy and he asked to speak in person.
He just left our home stating that sometimes they have to add “fluff” and “pad” the estimate with line items that may or may not happen so they can make a profit. I kindly said that I am not sure if that’s ethical and that I don’t feel comfortable providing payment for work that was not completed. He said, “it’s illegal to profit from a homeowners claim”. I told him that I’m not trying to profit but that I am not comfortable paying him for work he didn’t do. He then told me that we may just have to pay it back to insurance so “why not just pay us?”. It all really made me uncomfortable. But isn’t it just as unethical and possibly illegal to do what he is doing?
I’m looking for any advice or shared experiences as what to do.
Will we need to pay the money back to the insurance company? Do we need to notify the company of what’s on tonight?
Just to note: this is not a private small contracting business-it is a large, national company.
Homeowners Insurance-contractor wants payment for work not completed.
byu/AgreeableChocolate26 inInsurance
Posted by AgreeableChocolate26
4 Comments
Yes sometimes adjusters their crap in an estimate to make the claim go away. The software isn’t 100% and gives the average price to do work. Some things cost more and some less. In large jobs that may average out. Other times it doesn’t.
Ultimately the contract between you and the contractor is separate from the policy. The adjuster doesn’t give a crap what you actually did, they just want to see a final invoice and give you the final payment
If your adjuster approved the scope and agrees they owe for that scope, the money is yours (less depreciation) if you choose not to do it.
What are the line items? Why doesn’t the contractor just do them?
>But isn’t it just as unethical and possibly illegal to do what he is doing?
What difference does it make? He’s charging you for work he didn’t do. If you don’t want to pay it, don’t pay it.
If you are antsy about the insurance company, send them a check for the $1900 that you don’t pay the contractor.
Don’t pay him for work he didn’t do. What your insurance company pays you for is between you and your insurer, and it’s none of his business.