Preferred Vendor for Insurance Inspections

Good afternoon everyone,

A number of local insurance agents I work with in my area are now being asked to use “preferred vendors” for their insurance inspection needs when writing policies through certain carriers such as Security First.

As you can imagine this has cut into a portion of my business so I am considering sub contracting to one of these preferred vendors to supplement work back into my schedule.

Are any of you sub contracting with any companies for inspection work? If so which ones and are there any issues to be aware of?

It appears Inspection Depot is the preferred vendor for Security First and Citizens.

Just looking to get some feedback if you don’t mind sharing.



If you do it, you are part of the problem.

So what would be your solution Steve? Please enlighten me.

I also agree but do not know the answer. It hurts my biz as well but I will not work for those pieces of crap. Try marketing to homeowners. That is what I do. GOOD LUCK. Same companies are the reason we have to risk our lives taking pictures that prove NOTHING.

Be prepared to work twice as hard for half the pay…that’s all I can say. I tried it for awhile and will not go back to that rat race.

That is why I as a GC have not hired anyone to do them. There is not enough profit to be split and mutually beneficial with anyone :frowning:

I wish I had the answer. If I did, I would certainly share it with all professional inspectors. I believe that these “preferred vendor” programs borderline on racketeering. I also consider them (preferred vendors- aka old WCEs) thieves for stealing fees from professional inspectors. Until we all take a stand and refuse to work for them to starve them from their labor pool, I think there is very little we can do- other and working hard to form personal relationships with agents and underwriters. If we all stood together and starved them of labor, the mighty preferred provider would not be able to meet their contractual obligations of delivering inspections and reports in a timely manner to the companies that utilize their cheap labor and the “quality assurance” program that they sell.

Steve, that will never happen. There are always those willing to do the $5.00 drive by pictures and the $250 home inspection that includes a wind MIT and 4 point. Until people value themselves and their work this sh*t will continue.

Thank you for explaining. I do see your point and agree with a lot of what you all are saying. I also do not believe this practice is going away anytime soon. In fact its only becoming more prevalent.

I’ve put in countless hours marketing and forging business relationships with some of the local agents here. However, those agents that write Security First are being directed to use their preferred vendor program. I still do receive referral work when those agents write through another carrier but anytime they place a customer through Security First the work goes to the preferred vendor. In many cases the agents are not happy with the turn around time or the protocol required when an inspection item is question but their hands are tied for the most part.

I will continue to market and hopefully this will blow over but I also must put food on the table at the same time. The reality is I have huge time gaps in my schedule now and could use the work.

Bradley - Thanks for your reply also. I will always consider compensation vs time/labor. I judge from your response the pay was not very good? I would like to know more detail but understand if that is a bit too personal. You can shoot me a PM if you do not mind sharing.

It will not “blow over”. This has been going on for the last five years. Prior to the SoP getting adopted, there were entities trying to eliminate items for the SoP that home inspectors could inspect. The plan was, to make it so that the technical stuff, like removing an electrical panel cover for instance, had to be done by an electrician. Roofs by licensed roofers, etc. Had the SoP been adopted in the early form, most of the home inspectors would have been put out of business.

The same entities have found a new way to eliminate the home inspector. Insurance inspections. I have had several prospective clients call from Broward County, asking for 4-point inspections and wind mits only, because, their agent says that is all they “really” need. I give them other options.

The 40 dollar wind mit guys, the 150 dollar 4-point guys, are getting the bulk of these inspections. I had one person tell me her agent said that “her guy” could do all the inspections for $150.00.

Even though the new Durango has a V-6…It still doesn’t get started for less than $200.00!

Most bundle wind mit and 4 point for $150. I lose much business to them.