Recapture

 

Roofing and Related Building Product Manufacturers and Distributors

How to Recapture millions of dollars of missed building product sales revenue

By Larry Burtis, President/CEO – ICCOA / 3RSystems, LLC

Review

Before finding a solution, you first need to understand the problem

The problem:  The estimated annual missed sales revenue of the top five USA roofing and related building product manufacturing and distribution companies comes in at over one billion, five hundred million dollars.  The primary source of the problem:  Lack of advanced and proven contractor customer training. 

Besides a severe lack of advanced training, the foremost challenges currently faced by property damage insurance restoration contractors are overcoming UPPA (circa 2010) and breaking free from the Stockholm Syndrome-esque belief that using the same repair estimation software program as P&C insurance adjusters are required to use gives them an advantage.  As the P&C insurance industry and their lobbyists knew, once restoration contractors had completely bought into their UPPA and estimation software program schemes, P&C insurance would be able to save billions of dollars every year by unfairly and improperly underpaying or fully denying legitimate insured property damage claims en masse.

Unauthorized Practice of Public Adjusting (UPPA) law, which, as a leading national expert on the subject, I have repeatedly written about and presented on, gave P&C insurance what is, for all intents and purposes, license to steal by prohibiting restoration contractors from being able to negotiate their insured customers property damage claims with their P&C insurance companies as they had been able to do in the past.  The primary P&C insurance industry mandated insurance adjuster repair estimating program known as Xactimate, was developed by Xactware, which is a company owned by Verisk Analytics.  Verisk Analytics is a company that is owned and controlled by major global financial players including companies that control the P&C insurance industry.

In that position, as long as restoration contractors continue to buy into the myth that Xactimate gives them an advantage, or at least believe that its use allows them to somehow level the repair estimating playing field, P&C insurance will be able to continue to exert a high degree of control over how insurance restoration contractors customer’s property damage claims are paid.  The estimated annual missed sales cost to restoration contractors as a result of those challenges comes in at approximately five billion dollars from which the over one billion, five hundred million dollar annually missed building products sales revenue figure mentioned above would have otherwise come from.

In regards to the leadership of roofing and related building product manufacturers and distributors, operating under the same mindset as they did pre 2010 before the problems mentioned previously did became a problem is why they continue to fail to achieve the building product sales revenues they should be achieving.  Company investors and shareholders who likely have no substantive understanding about how the building products manufacturing and distribution industry or the insurance restoration contracting industry really works simply trust that investor relations departments are getting them the best possible ROI (based on the numbers shown, they likely are not).

Company directors with experience in unrelated industries may have impressive resumes but they likely possess none of the necessary knowledge about how the building products manufacturing and distribution industry or the insurance restoration contracting industry works.  C-Suite execs who do understand how the roofing and related building products industry had worked in the past (pre 2010) but do not understand how, as a result of the negative sales killing changes made over the past fifteen years, it now works to their disadvantage, need to learn how the building products industry can and should be working in the present.  They, along with their national, regional, and local management staff as well as their ultimate sales force, which is their contractor customers, suffer greatly from a lack of understanding of how the insurance restoration contracting industry really works.

Recently introduced multi-million dollar contractor paid roofing and related building product distribution company CRM subscription programs which, by my calculation, will likely produce an extremely high ROI for the PE investors, may be helpful to contractors in terms of increasing efficiency but they offer nothing in the way of helping insurance restoration contractors to advance their skills and overcome the hurdles placed in their way by the P&C insurance industry and their sycophants.

Reposition

The Solution to the Problem

The key to building product manufacturers and distributors recapturing those hundreds of millions of dollars worth of annually missed building product sales revenues is in repositioning their company’s business perspective, model, and approach.  The first step towards achieving that goal is in recognizing who the people are that make up their true sales force which is, ultimately, their many thousands strong contractor customer base – the same people who pay building product manufacturers and distributors billions of dollars every year for their products.  The next step is in making the quite small but necessary investment into getting the advanced and proven contractor training that I propose below into their contractor customers hands ASAP.  Until they do, their roofing and related building product manufacturing or distribution company will never overcome the financial deficiencies they have been and are now experiencing.

Recapture

Simple Common Sense

The proactive roofing and related building product manufacturer and/or distributor who follows the 3RS Review, Reposition, Recapture model which clearly requires they provide their thousands of contractor customers with the needed training will be able to achieve a substantial competitive edge over their competition as they are also able to recapture those hundreds of millions of dollars in previously missed building products sales revenue.  It will also, most certainly, get the positive attention of both current and future investors and shareholders.

Once insurance restoration contractors are properly trained on how to overcome those P&C insurance industry placed hurdles, they are then able to price their restoration contracting work at real, true, and accurate (RTA) free market repair pricing and account for and get paid for all of the legitimate damage that P&C insurance adjusters regularly intentionally omit. The annual Recapture benefit then accruing to the building product manufacturer and/or distribution company that makes the training program available to their contractor customers is illustrated by the Recapture examples shown further down this page.

Insurance restoration contractors will be able to help their insured customers to maximize their legitimate property damage insurance claims which will then make it possible for them to order all of the currently unordered hundreds of millions to billions of dollars-worth of additional roofing, siding, and related building materials needed to fully complete the repair work.  They’ll also be able to complete more work in much less time.

As illustrated under the Proof of Concept (POC) ‘Past Pro Contractor Student Endorsements’ and the Xactimate alternative 3RStimax© restoration contractor favored repair estimation platform examples shown below, restoration contractor’s profits will dramatically increase as they achieve higher per job pricing, achieve more and higher payments for GC Overhead and Profit, and help their insured customers to, in more cases than not, avoid the need to hire public adjusters, appraisers, or attorneys.  As word continues to spread about the availability and the success of the program, contractors will be drawn to and will want to bring their business to the building products manufacturer and/or distributor who makes the 3RSystems, LLC advanced insurance restoration contractor training program available to them.  All of the above will also help their valued contractor customers to remain viable long beyond the typical three to five year contracting company life span.

Through the above, once instituted, the participating building products manufacturing and/or distribution company who sponsors the training will be able to recapture those hundreds of millions of dollars in annually missed product sales revenue from their contractor customers.  On a conservatively based average projection, each newly 3RSystems, LLC trained contractor will achieve an additional $250,000 in restoration contract sales per year and earn an additional five to ten percent per job profit.  From that $250,000 per contractor figure, $78,750 or roughly 31.5% will go to pay for the needed roofing and related building products that would have previously been left unordered.

Simple building product annual sales revenue Recapture examples:

Recapture example 1:  $250,000 x 30,000 contractors = $7,500,000,000 dollars-worth of annual additional contractor insured customer sales.  $7,500,000,000 x 31.5% = a recapture of $2,362,500,000 dollars-worth of additional roofing and related building products annually ordered from the participating building products company.

Recapture example 2:  $250,000 x 20,000 contractors = $5,000,000,000 dollars-worth of annual additional contractor insured customer sales.  $5,000,000,000 x 31.5% = a recapture of $1,575,000,000 dollars-worth of additional roofing and related building products annually ordered from the participating building products company.

Recapture example 3:  $250,000 x 10,000 contractors = $2,500,000,000 dollars-worth of annual additional contractor insured customer sales.  $2,500,000,000 x 31.5% = a recapture of $787,500,000 dollars-worth of additional roofing and related building products annually ordered from the participating building products company.

NOTE:  Contractors who use Xactimate pay an average of $2,000 per year for a subscription.  Once trained through this program, they will be able to replace Xactimate with our 3RStimax© restoration contractor favored repair estimation platform that is included free as part of the training.  P&C insurance cannot mandate the use of XM8 or Symbility and there is no advantage in doing so – except to the insurance companies that mandate that their insurance adjusters use one or the other.  Insurance company paid adjusters don’t “prescribe” what repairs are needed, the contractor, who is the expert, “describes” what repairs are needed.

Spreading the word across the USA and beyond

3RSystems, LLC is no longer offering our repeatedly proven insurance restoration contractor training program directly to contractors for purchase.  Instead, 3RSystems, LLC is now offering the complete program to roofing and related building product manufacturers or distributors with the expectation that the chosen licensee get the program into the hands of all of their valued contractor customers en masse ASAP.  In doing so, to the great benefit of both the licensee and their valued contractor customers, they will immediately be in a position to begin to achieve the kinds of positive results shown in the “Simple building product annual sales revenue Recapture examples”.

Instead, 3RSystems, LLC is expanding our all out massive action promotion to insured property owners across the USA and beyond that illustrates to them, the great benefits of hiring a 3RSystems, LLC trained insurance restoration contractor to complete their property damage repairs.

What does help them to learn how to accomplish that goal is our exclusive and proprietary 3RS Insured Property Owners Storm Damage Recovery Guide©.  Through the guide, which is based on my forty years of proven construction, insurance, and winning Pro Se legal experience and is only available from 3RSystems, LLC trained insurance restoration contractors, helps insured property owners to better understand how the insurance claims process should really work and how to stand up to recalcitrant P&C insurance company representatives when they attempt their usual delay, deny, defend tactics.

It really is no more complicated than that.  The key to Recapturing those missed billions of dollars-worth of product sales however is by getting our one of a kind advanced insurance restoration contractor training program into the contractors hands without delay.  The 2025 storm season is fast approaching, so the time to act is now!

Times up, guys!

 

Total manufacturer or distributor investment:  $2.25M   

Feel free to contact 3RSystems, LLC on how to move forward – before your competition does.

======================================================================

Got questions or concerns about the program or otherwise? 

Feel free to send them to me through the Contact link on this website

Thanking you in advance for your thoughtful consideration!

 

 

 

Copyright © 1996 – 2025 3RSystems, LLC All rights reserved

 

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Radically transforming the insurance restoration industry business model

By

Larry Burtis, President – 3RSystems, LLC

 

 

 

 

Review

The insurance restoration industry at a crossroads

Although there are others, the foremost challenges currently faced by property damage insurance restoration contractors are overcoming UPPA and breaking free from the misbelief that using the same repair estimation software program as P&C insurance adjusters are required to use gives them an advantage.  As the P&C insurance industry and their lobbyists knew, once restoration contractors had completely bought into their UPPA and estimation software program schemes, P&C insurance would be able to save billions of dollars every year by unfairly and improperly underpaying or fully denying legitimate insured property damage claims en masse.  

Unauthorized Practice of Public Adjusting (UPPA) law, which, as a leading national expert on the subject, I have repeatedly written about and presented on, gave P&C insurance what is, for all intents and purposes, license to steal by prohibiting restoration contractors from being able to negotiate their insured customers property damage claims with their P&C insurance companies as they had been able to do in the past.  The primary P&C insurance industry mandated insurance adjuster repair estimating program known as Xactimate, was developed by Xactware, which is a company owned by Verisk Analytics.  Verisk Analytics is a company that is owned and controlled by major global financial players including companies that control the P&C insurance industry.  In that position, as long as restoration contractors continue to buy into the myth that Xactimate gives them an advantage, or at least believe that its use allows them to somehow level the repair estimating playing field, P&C insurance will be able to continue to exert a high degree of control over how insurance restoration contractors customer’s property damage claims are paid. 

Keeping “Free Enterprise” free – across America and beyond

“A wise and frugal Government, which shall restrain men from injuring one another, shall leave them otherwise free to regulate their own pursuits of industry and improvement, and shall not take from the mouth of labor the bread it has earned.” – Thomas Jefferson’s first Inaugural Address, 1801

The estimated annual missed sales cost to restoration contractors as a result of those challenges which also means that insured property owners were underpaid on their legitimate property damage insurance claims by the same amount, comes in at approximately five billion dollars. The estimated annual missed sales cost of those challenges to the top five USA roofing and related building product distribution companies comes in at over one billion, five hundred million dollars.    

The unfortunate result of the above is that the ultimate end users of those building products, which are the many thousands of insured property owners from across the country who are victimized by whatever natural disaster caused the damage to their properties each year, are sadly made victims a second time by their greedy and self-serving P&C insurance companies.  That always has been and will always be unacceptable. 

Aside from P&C insurance industry greed, the primary reason behind those billions of dollars-worth of annually missed sales?  Lack of advanced, substantive, and proven storm damage insurance restoration contractor training and the failure of roofing and related building product manufacturers and distributors to invest a tiny fraction of the billions of dollars paid to them each year by their contractor customers in such training that, once put in place, would allow them to recapture those annually missed sales. 

It is a serious mistake for building product manufacturers and distributors to believe that their contractor customers will remain uninformed. 

Contractor training seminar programs that are presented by talented and experienced people are helpful.  Such training however, repeatedly provides less than complete training because several of the key essential and ultimately most important elements and perspectives taught by 3RSystems, LLC restoration contractor training are not and cannot be taught by anyone else.    

Recently introduced multi-million dollar contractor paid roofing and related building product distribution company CRM subscription programs which, by my calculation, will likely produce an extremely high ROI for the PE investors, may be helpful to contractors in terms of increasing efficiency but they offer nothing in the way of helping insurance restoration contractors to advance their skills and overcome the hurdles placed in their way by the P&C insurance industry and their sycophants.  Building product manufacturing and distribution company directors, investors, and shareholders are likely oblivious to the problems mentioned because C-Suite execs are either also oblivious to the problems or, although knowing, have failed to inform their directors, investors, and shareholders who need to be made aware.  Currently, they, their contractor customers, and the millions of insured property owners from across the country who do need to made aware of the problems, are indeed and in fact, now being made aware through the efforts of 3RSystems, LLC.   

“Conventional wisdom is often long on convention and short on wisdom.” – Warren Buffet

Reposition

A powerful, positive, and necessary change in perspective 

With the passing of the failed Biden administration and the repositioning of both minor and major approaches to how the country is run, we are embarking on a tremendously positive and common sense sea change that will dramatically improve the lot of all American citizens.  The same holds true as it pertains to what this writing is all about.  That will only happen however, if those who are in the best position to make the necessary changes (i.e.), roofing and related building product manufacturers and distributors, make the investment, and take the positive actions needed to bring about the change.   As I promised in the video, it is my commitment and my goal to see that they indeed do so forthwith.       

Recapture

On separate occasions a number of years ago, I directly and personally made the following perfectly clear to a severely misguided big city District Court Judge and a wayward State insurance commissioner; “The truth never changes but it does change that which is not”.  With this writing, I also make it clear to anyone who might believe themselves to be so clever that they can continue to keep the truth hidden, that, as both the District Court Judge and the State insurance commissioner found out, they cannot and will not.   

By, per my experienced recommendations, repositioning their efforts into making sure that their tens of thousands strong army of valued contractor customers do learn the truth and are properly trained, those UPPA, Xactimate, and various other hurdles which are at the heart of the problem, will be greatly minimized if not made entirely of no consequence.  The proactive building products manufacturing and/or distribution company that makes that happen will then be able to rise to a #1 top level position in the industry.  It will also, most certainly, get the positive attention of both current and future investors and shareholders.  

The lack of advanced and comprehensive insurance restoration contractor training that teaches restoration contractors how to overcome the hurdles mentioned has resulted in more restoration contractors leaving the business than coming into it.  

Common Sense

Once insurance restoration contractors learn how to overcome those P&C insurance industry placed hurdles, they are then able to price their restoration contracting work at real, true, and accurate (RTA) free market repair pricing and account for and get paid for all of the legitimate damage that P&C insurance adjusters regularly intentionally omit. The annual Recapture benefit then accruing to the building product manufacturer and/or distribution company that makes the training program available to their contractor customers is illustrated by the Recapture examples shown further down this page.   

Insurance restoration contractors will be able to help their insured customers to maximize their legitimate property damage insurance claims which will then make it possible for them to order all of the hundreds of millions to billions of dollars-worth of additional roofing, siding, and related building materials needed to fully complete the repair work – that were previously left unordered.   They’ll also be able to complete more work in much less time. 

As illustrated under the ‘Past Pro Contractor Student Endorsements’ and the 3RStimax© alternative restoration contractor favored repair estimation platform example shown on the Home page of this website, restoration contractor’s profits will dramatically increase as they achieve higher per job pricing, achieve more and higher payments for GC Overhead and Profit, and help their insured customers to, in more cases than not, avoid the need to hire public adjusters, appraisers, or attorneys.  As word spreads about the availability and the success of the program, competitors contractor customers will be drawn to and will want to bring their business to which ever building products manufacturer and/or distributor that makes the 3RSystems, LLC advanced insurance restoration contractor training program available to them.  All of the above will also help their valued contractor customers to remain viable long beyond the typical three to five year contracting company life span.

Through the above, once instituted, the participating building products manufacturing and/or distribution company will be able to recapture those hundreds of millions of dollars in annually missed product sales revenue from their contractor customers.  On a conservatively based average projection, each newly 3RSystems, LLC trained contractor will achieve an additional $250,000 in restoration contract sales per year and earn an additional five to ten percent per job profit.  From that $250,000 per contractor figure, $78,750 or roughly 31.5% will go to pay for the needed roofing and related building products that would have previously been left unordered.

Simple building product annual sales revenue Recapture examples:

Recapture example 1:  $250,000 x 30,000 contractors = $7,500,000,000 dollars-worth of annual additional contractor insured customer sales.  $7,500,000,000 x 31.5% = a recapture of $2,362,500,000 dollars-worth of additional roofing and related building products annually ordered from the participating building products company.

Recapture example 2:  $250,000 x 20,000 contractors = $5,000,000,000 dollars-worth of annual additional contractor insured customer sales.  $5,000,000,000 x 31.5% = a recapture of $1,575,000,000 dollars-worth of additional roofing and related building products annually ordered from the participating building products company.

Recapture example 3:  $250,000 x 10,000 contractors = $2,500,000,000 dollars-worth of annual additional contractor insured customer sales.  $2,500,000,000 x 31.5% = a recapture of $787,500,000 dollars-worth of additional roofing and related building products annually ordered from the participating building products company.

NOTE:  Contractors who use Xactimate pay an average of $2,000 per year for a subscription.  Once trained through this program, they will replace Xactimate with our 3RStimax© restoration contractor favored repair estimation platform that is included as part of the training.  A small portion of that $2,000 savings could then be used by the contractors who receive the program to pay a nominal one time fee to the building products manufacturer or distributor who provides the program to them.

Beginning in the fall of 2024, 3RSystems, LLC began aggressively promoting our exclusive and proprietary 3RS Insured Property Owners Storm Damage Recovery Guide© to additional millions of insured property owners from across the country.  The promotion instructs insured property owners with insurance covered damage that, for best results, they contract their insurance covered property damage claims with 3RSystems, LLC trained restoration contractors who are the only contractors who can provide the guide to them.  The guide, which is based on my forty years of proven construction, insurance, and winning Pro Se legal experience, helps the insured property owners to better understand how the insurance claims process should really work and how to stand up to recalcitrant P&C insurance company representatives when they attempt their usual delay, deny, defend tactics. 

It really is no more complicated than that.  The key to Recapturing those missed billions of dollars-worth of product sales however is by getting our one of a kind advanced insurance restoration contractor training program into the contractors hands without delay.  The 2025 storm season is fast approaching, so the time to act is now! 

An overview of the training and a preview of the guide can be seen through Home page link of this website.  

Total manufacturer or distributor investment:  $2.5M   

Feel free to contact 3RSystems, LLC on how to move forward – before your competition does.

======================================================================

Got questions or concerns about the program or otherwise? 

Feel free to send them to me through the Contact link on this website

Thanking you in advance for your thoughtful consideration!

Larry Burtis – President, 3RSystems, LLC

 

 

 

DISCLAIMER

Other than offering an experienced opinion in reference to the above, none of the above is or should be construed as tax, insurance, investment, or legal advice.  Neither the writer nor the company or companies mentioned gives tax, insurance, investment, or legal advice.  If you need such advice it is recommended that you consult with a licensed professional practicing in the area of your concern.