ComplaintsforThe Restoration CleanUp Company Inc.

• Initial Complaint

  02/02/2023

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  On 12/31, I had flood damage and called Restoration CleanUp. They were responsive to my needs and sent workers out. When I inquired for cost, they said they'd cap me at 3 days cost and it'd be no problem, still not giving me a total. They said the deposit was $1500.The work they provided was good to help dry out walls and carpet and they answered all my questions on the process, but refused to answer any questions on cost.After the first drying out process which ended on 1/6/23, they stated my walls were wet and they needed them open to continue the process.It was then that I was hit with a supplemental invoice of $1,455. I noticed errors in being charged for overtime rates which they fixed, but wouldn't change charging me 4 hours for the project when all they did was pick up and drop off equipment. Nowhere in the contract is minimum times. They said it was for travel time, which is 40 minutes away from from home.It was then I was given an additional $5,089 invoice for the initial project which also included 8 hours charge for their visit (when it took 2 hours). They refused to charge for time of actual job.

  

  Business response

  03/01/2023

  Thank you for forwarding a copy of the complaint and allowing us the opportunity to respond. 

   

  On 12/31 we received a call for service from *************  ************ had experienced flooding and said his insurance company was going to cover his claim.  Due to the workload brought on by the unprecedented storm we required all claims to pay a service fee of $1,500 to have a crew dispatched to remove the water whether they had a claim number or not.  This was to cover the overtime and double time we were incurring to service all the customers with flooding issues due to the storm. 

   

  ************ was told if he wanted any service beyond removing water, we would agree to place drying equipment and assign a PM to inspect and determine the service strategy.  To move forward with the additional steps ************ was required to sign a written agreement that all expenses his insurance company did not cover ************ would be responsible for.  ************ was also explained that flooding from outside the home was typically not a covered loss by insurance companies unless he had a flood rider on his policy.  ************ said he understood and signed agreeing to the terms.

   

  ********************* was our project manager assigned to ************** account.  ****** met with ************ and ************ told ****** that his claim would be processed through his insurance provider.  ************ asked ****** what he estimated the cost to be.  ****** explained to ************ that with insurance claims the insurance company requires their vendors to put together a very detailed and comprehensive estimate that must cover all work and equipment charges from start to finish in a format set by the insurance provider.  ****** further explained that because of the nature of the loss the completed estimate must be tallied after work has been completed as once submitted it cannot be revised unless an unforeseen issue occurred. 

   

  Once the work was completed ****** submitted the estimate to ************** insurance company who determined ************** loss would not be covered, and ************ would be responsible for the cost of the services provided.  Since the cost of service for an individual is typically higher when self-paying (an insurance provider charges tend to be lower due to the relationship volume discounts) ****** made the conscious choice to hold the costs for *************  ****** supplied the same estimate to ************ as ************** insurance provider had received. 

   

  ****** went over the estimate and explained the format nuances to ************ verbally and in writing.  ****** also advised ************ that ****** could provide him with a more traditional invoice like one a contractor would produce if hired from Yelp.   However, ****** disclosed doing so would require ****** to use a pricing list associated with that estimating formats pricing guidelines.  ****** explained in that format the final invoice for services performed at ************** property would increase the costs of services.  ************ chose to stay with the lower cost estimate.

   

  In summary, had ************ requested us to perform the work and ************ would seek reimbursement from his insurance provider, ****** would have provided an estimate upfront along with a final revised invoice for all realized costs.  Due to ************** instructions to bill his insurance provider ****** followed the estimating and billing guidelines outlined and required by ************** insurance provider.  This was understood and agreed to by ************ when he believed the loss, he had experienced was going to be covered by his insurance company.  It was not until ************** claim was declined by his insurance provider that ************ had a problem with the estimating and billing process.

   

  Please see attached email chain from ****** to *************

   

  Best Regards,

   

  ****

  Customer response

  03/01/2023

   
  Complaint: 18973560
  
  I am rejecting this response because:

  
  

  "Once the work was completed ****** submitted the estimate to ************** insurance company who determined ************** loss would not be covered, and ************ would be responsible for the cost of the services provided.  Since the cost of service for an individual is typically higher when self-paying (an insurance provider charges tend to be lower due to the relationship volume discounts) ****** made the conscious choice to hold the costs for *************  ****** supplied the same estimate to ************ as ************** insurance provider had received. 

   

  ****** went over the estimate and explained the format nuances to ************ verbally and in writing.  ****** also advised ************ that ****** could provide him with a more traditional invoice like one a contractor would produce if hired from Yelp.   However, ****** disclosed doing so would require ****** to use a pricing list associated with that estimating formats pricing guidelines.  ****** explained in that format the final invoice for services performed at ************** property would increase the costs of services.  ************ chose to stay with the lower cost estimate."

  
  

  This claim by the business never happened. They did not work through my insurance. I worked through my insurance directly. My complaint isn't about the work but rather the billing process. They admit to not disclosing any costs to me until work was completed. It was at that time that the invoice revealed being charged to 8 hour work days for projects that took 30 minutes. I was overcharged by this business. 

  
  

  I ended up working with my insurance to get coverage and was reimbursed. I reported this business to BBB because they have a horrible practice when it comes to billing. It is such a shame because I really enjoyed working with **************** and his team. They do good work but the business billing practice is unethical. I hope they practice more transparency for future customers. 

  
  

  This complaint has nothing to do with my insurance. The business asked me multiple times if I was paying through insurance or myself which I stated I wasn't sure as I had an open claim. They refused to provide me any pricing during the process. It felt very unethical but I couldn't stop the work given the state of my home. I was very pleased with their work until the final invoice arrived. Even with it being covered by insurance, I felt the billing practice to be bad business so I felt the need to repot them. 

  
  Sincerely,
  
  **********************************

  

  Business response

  03/07/2023

  When we perform work for insurance partners the billing process is set by the insurance companies along with the format as explained by ****** and understood by *************  As outlined in the email that was attached to our initial response, ****** offered to reformat the final invoice to a time and materials pricing instead of the format ************ was given.  ************ clearly stated he understood the methodology of the billed items when explained by ****** and there was no need to produce an alternatively priced invoice. 
  

  I do not understand what the reasoning behind the complaint as we responded and performed the work requested, clarified the billing questions, gave ************ preferred pricing for the work performed, and offered to reformat the billing (which he declined).  This has all been documented via the supplied email between ************ and ******. Additionally, from ************ his insurance company ended up covering his loss.  This is confirmation that the billing was approved by his carrier and the billing practice is consistent with industry standards for insurance claims as presented to *************  We believe this complaint is unwarranted.   

  Customer response

  03/07/2023

   
  Complaint: 18973560
  
  I am rejecting this response because:

   

  The business is neglecting it's invoicing error where it charged me for 4 hours of work when it only took 30 minutes. It charged me for 8 hours of work for something that took 2-3 hours. That is unethical and the reason for the complaint. This has nothing to do with the actual payment. I paid the invoice once insurance approved coverage to me, not to the business. The complaint is in standing because of the unethical business practices. In the future, I will note to not pay my disputed bills despite no resolution from the company. The business is not understanding the error in their ways. As they gave me no options regarding the invoice, I took the only action I had to report them to BBB, stating to them that I would because of their malpractice. 

   

  Again, to be clear this complaint is strictly about the time placed on the invoice. It has nothing to do with **************** or the work completed. Rather that the company overcharged because of the hourly charges of the invoice for work that wasn't done. When I asked about being charged 8 hours of work for 2-3 hour project, I was told "for travel time." 
  
  

  I have supplied the invoices in question and email threads regarding the hourly questions that were never answered or clarified. I called the business multiple times with no answer. It is clear to me that the business will take no responsibility to the error of their ways. 

  
  Sincerely,
  
  **********************************

*Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business. ↩