Page 6 - Lawyer Copy of Final Version MPRC COLLATERAL OPTION 4 (8.5 × 11 in) (1)_Neat
P. 6
Apples to Apples Comparison
Based on a Replacement Cost Value (RCV)
of
$1,000,000
How do the three options compare?
MPRC
Uses actual repair costs as
evidence to support the true
Public Adjuster RCV of the amount of loss. This
means your property can be
Insurance Use inflated estimates to fully repaired in a timely
compensate for their fashion and with quality
Company contingency fees. You risk workmanship.
not getting the full RCV
The insurer applies policy POL - value = $1,000,000
because their estimate is
exclusions to minimize the RCV of Actual cost = $1,000,000
above market value.
your claim. Thus scope and costs includes PM fees
will not reflect an accurate value of POL - value = $1,200,000
the amount of loss. Negotiated cost = $850,000
minus PA or lawyer fees
Budget value = $700,000
Xactimate cost = $500,000
includes PM fees
RCV = RCV = RCV =
$500,000 $637,500 $1,000,000
The insurance company only pays You only have $637,500 to repair
$500,000 to repair $1,000,000 in $1,000,000 in damages. Who is
damages. What SHORTCUTS were responsible for the SHORTFALL to
taken? complete the repairs?
