Insurance Cash Settlement Cost Review
Insurance Cash Settlement Cost Review
Get an independent cash settlement cost review from a quantity surveyor. After an insurance event, we price your insurer's repair scope ourselves and compare it with the settlement offer. You'll find out whether the figure covers the work.
Overview
When you need a cash settlement cost review
A cash settlement cost review checks whether your insurer's settlement offer is enough to cover the work. A cash settlement is money your insurer offers to pay for the repairs after an insurance event. The offer may come with a scope of works, which lists the repairs the figure is based on. We do this for property owners as part of our quantity surveying services.
If you don't work in construction, it's hard to tell whether the figure is right. A scope can only estimate the cost of repairing damage that has been found. Scopes are often based on limited information, with key items missed. Settlements are often based on unrealistic rates.
You might need a review when the offer is lower than you expected and you want to know why. It also helps when you've been offered cash to arrange the repair yourself and want to know it's enough.
What the review covers
What a cash settlement cost review covers
We price your insurer's scope ourselves and check four things.
Is anything missing?
We check that the scope covers all the damage. We also look for the extra items a repair needs alongside the main work. A government guide to reviewing a scope of works lists access, asbestos testing, consents and engineering fees among them.
Quantities
Quantities are how much of each item the scope allows for. We check them against the damage.
Rates
Rates are the prices put on each item for labour and materials. They have nothing to do with council rates. We price each item the way a builder would, at current prices.
The total
We add up every item and compare the total with the offer. If there's a difference, you'll see where it comes from.
If the figure looks low
Is your insurance payout too low?
Your payout may be too low, or it may be right. The only way to know is to price the repair.
Sometimes the gap is large. In one recent claim we reviewed, the offer was roughly half of what the work would cost.
What you get
A clear answer, and the numbers behind it
The review shows whether the settlement covers the work, and where it falls short.
If the figure is fair, we say so.
A review helps you:
- Check an offer before you accept it
- Know what the work should cost
Costings only
We look only at what the work costs.
Who it suits
Property owners with a cash settlement offer
This suits homeowners, landlords, body corporates and commercial owners who have a scope and a cash settlement offer.
It also suits anyone who wants a second opinion from someone who prices building work.
Our other services include insurance rebuild valuations, which help you set your sum insured before anything happens. Construction cost consultancy gives cost advice from concept through to final account.
How it works
How a cash settlement cost review runs
- 01
Send what you have
Send us the scope of works, the settlement offer, any reports and your photos.
- 02
We price the scope
We work through the scope ourselves.
- 03
Gaps costed
We put a cost on anything the scope has missed or priced too low.
- 04
You get the answer
We tell you if the offer is enough.
Why a second opinion
Why get a second opinion on your cash settlement?
A repair or rebuild is a big bill, and the settlement offer decides how much of it is covered. A second opinion lets you check a figure that size, the same way you'd get a second quote from a builder.
If the offer turns out to be right, you can accept it with confidence and get on with the work.
Frequently asked questions
How do you work out whether the offer is enough?
We price the repairs ourselves at today's prices and compare our figure with the offer. If our figure is higher, the offer won't pay for all the work.
Do you need to visit the property?
No, we work from the documents you send, so you don't need to arrange a visit.
Can I get a cash settlement cost review for a rebuild?
Yes, we review cash settlement offers for rebuilds as well as repairs. If the damage means the building will be rebuilt, we check the offer in the same way.
When should I send my scope and offer?
Send them as early as you can, and before you accept or sign anything. If you have a date to reply by, let us know.
Not sure the offer covers the work?
Send us the scope and the settlement offer. We'll tell you whether the figure covers it.