When you file a restoration claim, your insurance company will almost always recommend a specific contractor or give you a list of "preferred vendors." This sounds helpful, but there's a business reason behind it that most homeowners never hear about.
Insurance companies use Third Party Administrators (TPAs) to manage networks of restoration contractors. These TPAs negotiate volume pricing — meaning the contractors agree to charge less in exchange for a guaranteed flow of jobs. For the insurance company, this is smart business. For your home, it can mean compromises.
Tennessee insurance law is clear on this point: you are the policyholder, and the choice of contractor is yours. Here's what you need to know:
Your insurance company may suggest contractors, but your policy does not require you to use them. Any licensed, insured restoration company in Tennessee is a valid choice.
Choosing your own contractor does not give your insurance company the right to pay less. If your contractor's pricing is within industry standards, they must cover it.
A valid claim is based on the type of damage and your coverage, not on who you hire. Denying a claim because of contractor choice could constitute bad faith.
If your insurance company's preferred vendor provides an estimate that seems low, you have every right to get an independent estimate from a contractor of your choice.
This conversation is simpler than most homeowners expect. Here's how to handle it:
Report the damage and provide basic details about what happened and when.
Say: "Thank you, but I've already selected my restoration contractor. I've chosen Resto Experts — they're IICRC certified, licensed, and insured in Tennessee."
Give them our company name, phone number ((901) 519-2580), and let them know we'll coordinate directly with their adjuster on documentation and scope.
We communicate directly with your adjuster, provide all required documentation, and manage the claims process on your behalf.
Some adjusters will try to discourage you from choosing your own contractor. Here are the most common pushback tactics and exactly how to respond:
They say: "Our preferred vendors can start faster."
You say: "Resto Experts offers 60-minute emergency response, 24/7. They're already on their way."
They say: "Using our vendor will make the process smoother."
You say: "I appreciate that, but I've chosen my own contractor as is my right under my policy. Resto Experts has experience working with all major insurance carriers and will coordinate directly with you."
They say: "We can't guarantee coverage if you use a different contractor."
You say: "My coverage is based on my policy and the type of damage, not on which contractor I choose. I'd like to proceed with my selected contractor. If there's an issue, please put that in writing."
They say: "Our vendor's estimate may differ from yours."
You say: "Resto Experts uses Xactimate, the same estimating software your adjusters use. Our estimates are based on industry-standard pricing for the Memphis market."
No. Your insurance company cannot deny a legitimate claim because you chose your own contractor. Your policy is a contract that covers specific types of damage regardless of who performs the restoration. If your claim is denied for this reason, it may be grounds for a bad faith complaint with the Tennessee Department of Commerce and Insurance.
Insurance companies negotiate volume discounts with preferred vendors through Third Party Administrator (TPA) programs. These vendors agree to lower pricing, faster turnaround, and specific documentation formats in exchange for a steady stream of referrals. While this saves the insurer money, it can mean less thorough work, lower quality materials, and corners cut on your restoration.
Yes. Your insurance company must pay the reasonable and customary cost of restoration regardless of which contractor you choose. If your contractor's estimate is within industry standards (which Resto Experts' always are), your insurer is obligated to cover it. They cannot reduce your payout simply because you didn't use their preferred vendor.
A TPA (Third Party Administrator) is a company that manages restoration vendor networks for insurance companies. TPAs like Contractor Connection, Code Blue, and others act as middlemen. They often impose strict pricing limits and timelines on contractors, which can result in rushed work or cost-cutting on your property. When you choose your own contractor, you bypass the TPA entirely.
Simply tell your adjuster: 'I've chosen Resto Experts as my restoration contractor. They're IICRC certified, licensed, and insured in Tennessee.' Provide our contact information and let them know we'll coordinate directly with them on documentation and scope of work. You don't need their permission — just inform them of your choice.
Call Resto Experts and we'll walk you through the entire process. We'll even help you communicate with your insurance company.
Call (901) 519-2580IICRC certified technicians ready to respond now. We work directly with your insurance company.
