Posted On: July 9, 2005, 9:00 pm CDT

Posted By: Roger Poe

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Perhaps Allstate and certain other insurers would like to explain why their "fair and reasonable" 2002-2005 pricing in Texas and in Florida is historically much less than generally intrinsic fair market "Square" (100 SF) cost pricing.

A 2004-2005+ Shingle Square Re-Roofing Cost Estimation Value Example-(Without sales tax);

$54.00 30 Year Shingles
$ 7.50 30# Felt
$ 2.00 Fasteners
$ 2.00 Edge-Valley-Etc. Metals
$16.00 Liability Insurance
$60.00 Workers Compensation
$100.00 Labor (Remove-Replace)
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$241.50 (No Permit/Dumpster-Dump Fees)
$ 24.15 10% Overhead
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$261.65 Sub-Total
$ 26.17 10% Profit
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$287.82 Roofing Contractor Square Example

Add 20+% more for Primary-General Contractor Overhead and Profit markup..;

$287.82
$ 28.78 10% Overhead
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$316.60 Sub-Total
$ 31.66 10% Profit
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$348.26 Primary-G.C. Grand Total

$3.48 per square foot to perform life endangering work outdoors (in really hot conditions), at least 1-2 stories off the ground, verses a comparable price to install decent carpet INSIDE the same 1-2 story structure, seems like a fair trade price example...for the high risk environment.

Low-balling construction costs can become public knowledge by examining insurers own claim settlement practices. A collection of enough of those kind of claim estimates, and insurers unfair-uncompetitive trade practices can show up.

Bad stuff happens when profits are more important than people, and ones' pretend otherwise...

Roger Poe R.S.
rogerpoe@acnet.net