By The Restoration HQ desk · · filed under Tech & AI
Verisk adds a third Xactimate labor-efficiency model
Xactimate moved from two labor-efficiency models to three, adding a "Large Restoration/Remodel" tier meant to bridge service-level work and full rebuilds. It lands on top of the long-running dispute over carriers using the "new construction" setting to lower payouts; courts have mostly sided with carriers that no specific setting is contractually required.
FORVerisk finally gave us a setting that matches how big restoration jobs actually run, so use it and stop leaving labor on the table.
AGAINSTA third setting is just a third thing the desk adjuster can downgrade you on, and now you have to prove which one fits before you even argue the scope.
Consensus vs. contrarianEveryone's framing this as Verisk "listening to restorers." The sharper read: more settings means more discretion, and discretion always flows to the party writing the check. The operator who builds a one-page "why this labor tier" justification into their estimate package turns the new setting into leverage instead of a new loss.
Sources Verisk (on-demand webinar, 2026), www.verisk.com/resources/webinars/on-demand/… context: Insurance Law Hawaii (Apr 2025 ruling), www.insurancelawhawaii.com/2025/04/insureds-…
Terms in this story: Xactimate