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Common Misunderstandings Contractors Have About Water Damage Insurance Billing

Learning the myths vs. the facts of water damage insurance billing

Insurance billing is one of the hardest parts of running a water damage restoration business. Even contractors who’ve been at it for years run into roadblocks and frustrations with the claims process. The reality is that water damage insurance billing is complicated, and there is a lot of misinformation and incorrect impressions out there that make it even more complicated for water damage contractors to navigate.

At One Claim Solution, our insurance billing specialists work with water damage contractors every day to help them optimize their claims processes. Here are some of the most common misconceptions we hear when it comes to the water damage insurance billing process and what the truth is.

Misunderstanding: “It’s Not Worth Fighting for Small Line Items”

Everybody hates pushback. But some water damage contractors dread pushback so much that they don’t bother billing for line items they expect pushback on. Things like PPE, administrative fees, or small material costs often get left off estimates just to avoid an argument with the adjuster.

The problem is that skipping “small” charges adds up. Across hundreds of jobs, these missed items can mean thousands of dollars in lost revenue each year. They’re valid charges for real expenses your company incurs, and they deserve to be included. The solution isn’t to avoid the pushback. It’s to get better at responding to it and justifying your expenses so that you can negotiate more successfully.

Misunderstanding: “Working Harder = Getting Paid Faster”

Many water damage contractors believe that if their AR team just works harder, they’ll get paid faster. The reality is that hard work can’t accomplish much when your invoicing strategy and processes are broken. Spamming adjusters with emails and calls is more likely to lead to frustrated adjusters, which often means slower responses and less generous negotiation results. Plus, working your team harder but not smarter is almost guaranteed to lead to employee burnout.

The reality is smart processes, not sheer effort, are what make the difference. A well-trained AR team following clear routines will beat an overworked team operating in chaos every time.

Misunderstanding: “Xactimate Price Data Reflects the Market Average”

Adjusters often like to frame Xactimate’s pricing database as a fair reflection of what the “average” contractor in your area charges. But that’s not what Xactimate data actually measures.

According to Verisk (Xactimate’s parent company), the database is created using “completed bids” and “in-field estimates.” But most of those estimates don’t come from restoration contractors. Verisk’s own reporting showed that 89% of estimates uploaded to Xactanalysis came from independent or staff adjusters, not contractors.

That means the pricing data is heavily skewed—and not in favor of water damage contractors. Adjuster estimates aren’t based on actual work performed; they’re written to counter contractor invoices and with lower prices. Because those numbers get included in the pricing database, they artificially deflate the rates that Xactimate suggests. If you view Xactimate pricing data as an accurate reflection of what your competitors are charging, you may make the mistake of lowering your prices. This leaves you working with razor-thin, unsustainable margins, just to compete with prices that aren’t necessarily actual prices. 

The reality is that Xactimate can be a useful tool, but it isn’t gospel. Use it strategically, edit prices when needed, and don’t assume the database represents true market rates.

Misunderstanding: “The Right Technology Will Fix Everything”

It’s easy to think that adding a shiny new software tool will solve your billing problems. CRMs, project management tools, and billing platforms can all help, but they’re not silver bullets. Technology only works if your people are trained to use it, and if it’s supported by clear processes. Rolling out a new tool without consistent training or accountability often makes things worse. Your AR team ends up with more confusion instead of more efficiency.

The reality is that technology is a powerful tool, but only when it’s paired with the right people and processes. Think of it as support, not a standalone solution.

Misunderstanding: “If the Insurance Company Always Pushes Back, My Prices Are Too High”

Adjusters are trained to push back. It’s just a part of the negotiation process. But many contractors, especially ones new to the industry or claims billing, assume that pushback automatically means their charges are invalid. As a result, they lower their invoice just to get the claim moving. 

The reality is that pushback doesn’t mean you’re wrong. If your charges are valid and documented, stand by them. Consistency and persistence pay off in the long run.

Misunderstanding: “Struggling With Water Damage Insurance Billing Just Part of the Job”

This is one of the most damaging assumptions contractors make. Many believe that claims billing will always be painful and that chasing insurance companies, fighting over line items, and waiting endlessly for payment is just part of running a restoration business. They find themselves becoming resigned to the consistent denials and pushback.

The reality is that it doesn’t have to be that way. With the right processes, team training, and technology, you can make your water damage insurance billing far more efficient and tolerable. And if you’d rather not build all of that yourself, it may be time to consider outsourcing your claims billing.

OCS’s Water Damage Insurance Billing Experts Fight For You

Insurance billing doesn’t have to drain your time, money, and morale. At One Claim Solution, we’ve already developed the processes, technology, and expertise to handle claims billing at scale. Our team negotiates with adjusters, tracks claims, and keeps the process moving so you can get paid fairly and faster, without the daily grind and frustrations.

If you’re ready to spend less time fighting over billing and more time growing your business, partner with One Claim Solution. Contact us today to learn how we can help level the playing field for your water damage company.

Connor Trahan

Account Executive

Hi there! I’m Connor, the Account Executive for One Claim. My goal is to guide our contractors through the sales process, ensuring you’re equipped with all the information you need to make your decision and hit the ground running once aboard. We view ourselves as an extension of your business and I strive to make the process an enlightening and consultative one.
My career has primarily been focused in software sales over a few different industries but the last few years were spent helping general contractors solve similar problems to what we’re doing here at OCS! Outside of work, I love spending time with my family, cooking and boating during the summer months.

Nicole Liesenfelt

Director, Human Resources

Hello! I’m Nicole, and I’m here to champion for our employees, recruit for new talent, and impact culture at One Claim Solution. I find satisfaction in supporting a memorable employee experience and bring innovation, problem solving, and strategic view to the process. Nothing is more important than our people, and a healthy culture is my top priority! I have had the pleasure of building my career in various sectors, specializing in small to medium size firms focused on high-growth. My experience is centered around driving and implementing change, leading high-performing teams, and driving process improvements. I am excited to make an impact at One Claim. Outside of work, my family and I enjoy getting outdoors as much as possible to explore beautiful Colorado!

Elizabeth McGlone

Demand Generation Manager

Great to meet you! I’m Elizabeth, and I’m the one behind all the emails and advertisements you’ve been seeing. As the Demand Generation Manager at One Claim Solution, my mission is to connect with contractors like you who need our services. I’m passionate about having an impact on others and I bring a wealth of experience in demand generation and marketing strategy to create moments of delight, curiosity, and education for you.

Prior to One Claim Solution, I had the privilege of building marketing departments from the ground up at companies in a variety of industries, including IT consulting, first protection, and healthcare. Personally, I love being outdoors, playing Dungeons and Dragons and board games, singing, and traveling.

Alisha Yartzoff

Director of Contractor Success

Welcome! I’m Alisha, and I’m here to champion your success as the Director of Contractor Success at One Claim. With a passion for helping contractors thrive, I bring a wealth of experience in onboarding, customer service, and account management to ensure your journey with us is nothing short of exceptional.

Prior to joining One Claim, I had the privilege of scaling SMB and Enterprise Customer Success teams at fast-growing SaaS startups. With over six years of experience at companies like Mavenlink, Teamwork, and ServiceTitan, I honed my expertise in building high-performing teams and fostering proactive, consultative relationships. This background has equipped me with a deep understanding of the challenges faced by businesses like yours, and I’m dedicated to helping you overcome them.

Eric Terry

CTO

Hi there, my name is Eric! I am the Chief Technology Officer here at OCS, spearheading our technical strategy. I have a background in computer science, graduating cum laude from BYU-Idaho with a Bachelor’s degree in Computer Information Technology.

Before coming to One Claim, I served as the Director of Engineering at Slingshot Technology, Inc., a company later acquired by WorkWave in 2021. My professional journey has spanned both emerging startups and established corporations, with a steadfast focus on cultivating high-trust, low bureaucracy teams and innovating technology using agile methodologies.

In my free time, you can find me flying drones, enjoying the outdoors, and spending time with my family.

Cam Smith

COO

Hello, my name is Cam, I’m the COO of One Claim Solution! I come from a management consulting background (Bain & Company) and hold an MBA from the University of Michigan. I have worked at a wide variety of organizations, from Fortune 500 to small-cap, in an equally wide variety of industries. I have over 15 years of experience in operations and strategic growth, and I have spent much of my career focused on developing high-performing tech-enabled service organizations through early stage and high growth phases.

Outside of work, my wife Brittny and I have four kids, ages 13 to 6. As residents of Mesa, Arizona, we love to ski and explore the national parks of the southwest!

Dan Doud

CEO

Hello, my name is Dan, and I am the CEO of One Claim Solution. I am super excited by everything we are doing at OCS to be the market leading insurance billing specialist that advocates on behalf of our restoration contractors. 

My professional experiences are predominantly corporate in nature. My career started at General Electric in finance and accounting. Immediately prior to joining OCS, I spent time as an investor at Bondcliff Partners and management consultant with Bain & Company. I also hold an MBA from the Kellogg School of Management at Northwestern University and got my BS in finance and accounting from Northeastern University.

Outside of the office, I enjoy spending time with my wife, two young children, and our family dog, Whiskey. We live in Charleston, SC and take advantage of the beautiful weather by spending as much time as possible outside at the beach or adventuring around town

Josh Ehmke

Co-Founder and General Counsel

Hi, I’m Josh! In 2016, I co-founded One Claim Solution with my partner Jeremy Traasdahl, and I serve as General Counsel of One Claim Solution. Working in the restoration industry, Jeremy and I saw contractors struggling to get paid quickly and fairly and we knew there was a need for change. We founded One Claim Solution to be this change and it’s been my privilege to see our company grow and to advocate for our clients as general counsel.

Outside of my passion for helping the restoration industry, I enjoy spending time outdoors, fly-fishing, hunting, skiing, and coaching my kids’ baseball teams. I’ve been married to my amazing wife for 20 years and we have a beautiful family of 5 children.

Jeremy Traasdahl

Co-Founder

Hey, I’m Jeremy! In 2016, I co-founded One Claim Solution with my partner Josh Ehmke. Working in the restoration industry, Josh and I saw contractors struggling to get paid quickly and fairly and we knew there was a need for change. We founded One Claim Solution to be this change and it’s been my privilege to lead our amazing team.

Prior to One Claim Solution, I started my career as an inside sales rep for Avnet, then moved to Pepsico as a district sales manager. Outside of work, I love spending time with my wife and four children, two boys and two girls!