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Claim Severity and Insurance Loss Reduction

We understand the importance of balancing claim / loss ratios, insurance losses and claim severity. Learn why Rainbow Restoration is everyone's first choice.

We pride ourselves on our commitment to our clients, and we work diligently to achieve the best possible outcome for every case – but how do we do that? By keeping claim loss ratios low.

What is a Claim Loss Ratio?

A claim loss ratio is an equation that insurers use to evaluate the insurability and profitability of a property. Agents and adjusters typically calculate this ratio by dividing the total losses paid out in claims by earned premiums.

Simply put, total claim value/total earned premiums = claim loss ratio.

A high claim loss ratio may harm a property owner’s insurance rates, causing undue financial burden for the property owner. At Rainbow Restoration, we understand the importance of keeping this ratio low so that property owners can maintain favorable insurance rates, long-term.

Keeping Insurance Losses Low Through Training

Rainbow Restoration technicians don’t prescribe to the “cut and gut” mentality that’s so pervasive in the restoration industry. Our technicians train at our very own state-of-the-art training facility, “Jack’s House.” There, they learn techniques that allow them, in many cases, to repair and preserve damaged materials instead of throwing them out.

Rainbow Restoration technicians dissect affected areas of a home or business to preserve as much as possible (both structure and possessions) – reducing the severity of insurance claims and saving our clients money. For example, if a property has suffered from water damage, our Rainbow Restoration technicians remove only the drywall that has been damaged – not the entire wall or sheet of drywall. Reducing the amount of restoration through surgical precision techniques means smaller claims and a lower claim-loss ratio.

Not only do our technicians complete rigorous new-hire training but also they pursue additional certifications per the Institute of Inspection Cleaning and Restoration Certification, or IICRC. This non-profit institution provides professional certifications for many of our core services. This, in tandem with our commitment to innovation and advanced technologies, allows us to provide superior service to our customers.

Reducing Claim Severity Via Technology

Our commitment to reducing losses extends far past technician training. Rainbow Restoration technicians use only commercial-grade cleaning appliances to remediate damage. Our top-of-the-line hot water extraction cleaners are more effective than DIY equipment and reduce drying times for carpeting of all kinds.

Further, a number of our locations have begun to use the Matterport camera. This all-in-one 3D data platform allows us to map large, complicated, or particularly valuable properties in advance of a loss. Consequently, our team, insurance agents adjusters, and property owners work together toward better loss prevention and mitigation by providing a pre-loss map of the property and its contents.

In the event of a loss at a Matterport-mapped property, our teams can more accurately assess damage, document losses, and help agents and adjusters process claims faster.

Choose Rainbow Restoration for Insurance Loss and Claim Severity Reduction

When you choose Rainbow Restoration for remediation and restoration services, you and your clients can rest easy knowing that we are working toward the very best outcome. By working closely with property owners, agents, and adjusters, Rainbow Restoration can reduce claim loss severity and mitigate future losses.

Simply put, we strive to meet the needs of you and your clients by serving you better.

Connect with a member of our key accounts team to learn how we make disasters disappear! Call for more information.

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