CODE BLUE - at it again!

Greg Cole

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I just replied to CODEBLUE with this:
"
Sorry Doug, your proposal is unilaterally rejected.

This is why we refuse to work with CODEBLUE. I considered making an exception and sending you the requested information and you come back INSULTING us!

$3593.36 and you come back with $921.48! What a JOKE!


2 days dryout? Ridiculous We were drying a job due to the presence of mold resulted with NO fans. Thus it took five days.

Attempting to pay for equipment that is smaller than what is used? Changing an xl dehu to large? Changing a large air scrubber to a small? This is absurd

Missing after hours service call? No WAY!

5 days of monitoring and you try to pay for 3.9 hours of monitoring. Preposterous

Hepa vacuuming? Required…


When you want to get serious and NOT low ball me I am happy to discuss over the phone. I am available from 2-4pm today.
 

dealtimeman

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This is why we really fuse and would engage homeowner direct and instead of eating time with code blue, we spend the time educating the customer on what we need them to do for us. This works 99 percent of the time.
 

joesclean

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Stick to your numbers!!!! Code Blue is a joke. Contact the homeowners insurance and ask for an adjuster to be signed to the job. The last job I did this Code Blue was kicked off job. Wish you the best
 

Greg Cole

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Every adjuster we've done that with just sends the shit to CODE BLUE. They hate it but are under orders!
We've had two more this week get assigned to these idiots!
SMH
 
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Ralph Pastorelli
Speaking of Code Blue we did a fire board up for a friend of mine that owns rental house yesterday but tenants had not renters insurance, I say the house is a total loss being a two family house and it started and burned bad from the first floor. The fire department busted many window and cut the roof in two places. Fire ran through the second floor pretty good also. My friend calls me and we used 11 sheets of OSB and were done in a couple hours. He has MIDROX insurance a company you might not of herd of. I told my friend I will bill them direct and he signed the authorizations. Take note that there is nothing else for us to do on this job. Well I just got a call from Code Blue asking if we would go do the loss. I told them we already boarded it up 24 hrs ago and that the home owner was a personal friend of mine, so Code Blue not needed because I already was called. They rep then tells me that I have to send billing through them because it's from one of their clients and to not bill home owner or insurance. I then say with a stern voice " Hear me now I will not deal with you on this simple board up claim I will get paid my normal fee from Midrox not a 35 % discounted fee from you" Click I hang up and they called me back and said I will be removed from the vendors list if I don't comply. I say funny thing is I have told you people to remove me several times and you don't seem to listen.....Click So far no call back...lol
 

Desk Jockey

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LOL

Code Blue works both ends. They charge the insurance company a fee for handing the claim, which is reasonable. However they beat the contractors down as low as they can and don't pass those savings on to the insurance companies, they pocket the extra. They bill the insurance companies standard rates and keep the difference. They pay the contractor the negotiated discount.
 

dealtimeman

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As I have stated before, they will continue to operate in such a fashion unit the majority says, like you, enough is enough and we don't want to deal with them.
 

Greg Cole

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LOL

Code Blue works both ends. They charge the insurance company a fee for handing the claim, which is reasonable. However they beat the contractors down as low as they can and don't pass those savings on to the insurance companies, they pocket the extra. They bill the insurance companies standard rates and keep the difference. They pay the contractor the negotiated discount.
Yep! They are assholes!
We got two more that Code Blue is trying to take over! Urge to KILL rising! lol
 
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HydroDude

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Dec 15, 2006
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JB
I received an email Monday, said if I sign up I'd be raking it in by Friday... I was on a commercial water loss few months ago... it was a church I clean on regular bases... I asked if they contacted their insurance carrier yet...by the time I finished setting up I got an email from Code Blue thanking me for accepting their loss and please fill out the following documents... I replied back NO THANKS, I'll provide MY client with the proper documentation to file THEIR claim... Purofirst/clean or who ever they are this week is acting as a third party adm. also...
 

Big Jim

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We refuse to even speak with them. If we find out they are involved we explain to our client that the mitigation invoice will be slashed at least in half. As we are a reputable restoration firm charging fairly and accurately we then do the following. Provide our customers with similar invoices and copies of the payment checks from one of the major insurance carriers so they have evidence that what we say is fair and reasonable is. Then have the insurance company issue payment for whatever amount they came up with. After the payment is received we have the client immediately send a letter of demand for the balance. The letter states that the work has been satisfactorly completed, fair and reasonable prices were charged, and that they (the insurance company) are in default of their obligation. The demand also states that if the balance is not received the insured will take immediate legal action to collect. It's truly unfortunate to have to go through this, however if reputable restorers all followed this guideline ccompanies like Code Blue would soon be out of business.
 

Desk Jockey

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It's truly unfortunate to have to go through this, however if reputable restorers all followed this guideline ccompanies like Code Blue would soon be out of business.
Unfortunately this is a model that is working for the insurance repair industry.

Look for more third party middle men in the future. :errf:
 

Tom Sedwick

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Which Insurance Carriers typically use Code Blue? There is always an adjuster assigned on the carrier side that is working with a company like Code Blue. My recommendation is to call, get that adjuster's information and have a conversation with them. Explain that you are being stonewalled, this is incurred cost of the job and it is being completely documented and accurately invoiced. If you properly document the loss and your total cost, it should actually be simple if you can deal with the desk adjuster that is a direct employee of the insurance carrier. That's just my .02.
 
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dealtimeman

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I agree but with some companies the agreement between the insurance company and code blue is strong and well versed, so they defere as they have been instructed to code blue.

I might try the above mentioned method next time in an attempt to shine more light on the negative practices that code blue is using, all of wich is massive conflict of interest and illegal in the Great state of Texas.
 

Tom Sedwick

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It's helpful when an IA is involved in a claim, too (Code Blue seems to be acting as an IA firm for the carriers). A lot of times, you may believe that you are speaking with a staff adjuster, but they are actually an IA. An IA always reports to a desk adjuster and that desk adjuster always reports to a manager. Moving up the chain of command and explaining your situation will typically be helpful. Don't let them add layers to the process when it's ultimately going to end up on the desk of someone that you could have called in the first place. Getting the homeowner involved is always great, too. I've got all sorts of fun tricks up my sleeve... if they aren't paying for something, tell them that you will not do it. If it causes an issue down the road, the liability is 100% on them. Last, but not least... always ask for them to respond in writing when they say something that is out of line. If they say that they won't put it in writing, then it's more than likely not the truth.
 
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Tom Sedwick

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Don't forget... Code Blue has a contract with the carrier, not the policyholder (your customer). At the end of the day, we are all servicing the customer and are under contract with the customer. The insurance company owes to indemnify the covered loss... not Code Blue. Code Blue is providing a service to their customer...the insurance company. If they cannot provide that service, they wouldn't be around anymore. My recommendation would be to completely work around them. I don't have personal experience with Code Blue, but that's what I would do. The insurance company is under contract with the homeowner and is required to speak with them. If they verbally, or in writing, give you the right to speak with the assigned adjuster, they have to speak with you (in most cases).
 

dealtimeman

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That's what I say, completely go around code blue and don't engage them at all. I like email as you have written(typed) proof if a middle man is in the picture as there email will out them completely.

If you find out it is a middleman just completely go around them and educate the customer through the process.
 
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Big Jim

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Which Insurance Carriers typically use Code Blue? There is always an adjuster assigned on the carrier side that is working with a company like Code Blue. My recommendation is to call, get that adjuster's information and have a conversation with them. Explain that you are being stonewalled, this is incurred cost of the job and it is being completely documented and accurately invoiced. If you properly document the loss and your total cost, it should actually be simple if you can deal with the desk adjuster that is a direct employee of the insurance carrier. That's just my .02.
Generally they are smaller less well known carriers who have little or no confidence in their in house mitigation knowledge. You can try to work with the carriers adjuster but the carrier hired the TPA (third party administrator) for a reason; because they chose not to handle it themselves. Trying to play nice with an in house adjuster who knows little or nothing about mitigation is not likely to yield anything. Most often carriers will follow a TPA's assessment correct or not, and why wouldn't they? They pay a TPA because the TPA has presented themselves as an expert mitigation assessor. Unfortunately I have personally spoken to many TPAs who are embarrassingly ignorant. Without field experience, strong S500 knowledge, and a reasonable view of fair and reasonable pricing why wouldn't they be? We don't waste time playing games, or reduce an accurate invoice in an attempt to expedite payment. The unfortunate truth is their are many restorers who do not document or invoice appropriately. There are also many TPA's and adjusters that attempt to blindly slash every invoice they process because they wish to remain employed. Our invoice is not an invitation to negotiate. We are happy to answer any well founded question, or correct an error. It is not however our job to teach a TPA or improperly trained adjuster the S500. Nor will we debate fair and reasonable pricing. We do offer to documentation that confirms our pricing is fair and reasonable. We have yet to find a single TPA or adjuster interested in receiving it. The most relevant point here is the TPA has no value unless they justify and cover their cost. Their very existence as a business is solely dependent their ability to reduce mitigation invoices; accurate or not.
 
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Desk Jockey

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I've not seen many TPA's that want to negotiate, they generally state what they are paying and what they won't.

Of the Code Blue adjusters they seem very familiar with the IICRC Standards and quote it like the bible. But just like an attorney would, they turn it on you forgetting its a guideline. My issue with them is they are very condescending and micromanage the job from start to finish. Very UN-trusting and difficult people to work with.

Like many here we have done enough work with them to know we don't care to do anymore. I'd just as soon my competition get that work. :twisted:

Unfortunately the TPA's are here to stay. Hopefully future TPA's are not all like Code Blue & Crawford. :errf:
 
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They finally got the hint and have not called me since just before Christmas so I wonder who is the next company in my area being told what to do by them.
 

Big Jim

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I've not seen many TPA's that want to negotiate, they generally state what they are paying and what they won't.

Of the Code Blue adjusters they seem very familiar with the IICRC Standards and quote it like the bible. But just like an attorney would, they turn it on you forgetting its a guideline. My issue with them is they are very condescending and micromanage the job from start to finish. Very UN-trusting and difficult people to work with.

Like many here we have done enough work with them to know we don't care to do anymore. I'd just as soon my competition get that work. :twisted:

Unfortunately the TPA's are here to stay. Hopefully future TPA's are not all like Code Blue & Crawford. :errf:

As a Master Certified Restorer (Water, Fire & Textile) and licensed California General Building Contractor with 28 years experience I would find it difficult to accurately access a loss without ever having been on site at least at some point during the loss. Bottom line..... if you choose to negotiate with an under-trained, inexperienced TPA or adjuster then we all suffer as a whole. Allowing a negotiated reduction on an accurately prepared reasonable invoice only confirms the perception that the carrier was improperly or over charged. To get paid fairly, and discourage abusive practices; do the job right, document properly, use fair and reasonable pricing, and keep your clients informed throughout the process. We get paid in full (steps in the thread listed above), and don't debate. Additionally many insureds drop their carrier after this type of experience. If claims end up being paid in full and the insureds drop the carrier; of what value is the TPA? Money Talks.
 
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Desk Jockey

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The tail can't wag the dog no matter how strongly we protest.

You either learn to deal with it or find other sources of work. I'm not saying don't fight, we'd be foolish not to. I'm saying you're delusional if you think things are going revert back to the good old days.
 
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Greg Cole

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I agree but with some companies the agreement between the insurance company and code blue is strong and well versed, so they defere as they have been instructed to code blue.

I might try the above mentioned method next time in an attempt to shine more light on the negative practices that code blue is using, all of wich is massive conflict of interest and illegal in the Great state of Texas.

CodeBlue is terrible!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
 

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