Estimating Cost

In new construction, cost estimating and cost management are two important functions of the construction project management team. Cost estimating and management of costs is an important tool for planners during the design phases of a project and provides information concerning the building and its projected budget. The cost estimate also establishes a baseline for project cost at different developmental stages of the project. Cost estimating is a well-formed prediction of the probable construction cost for that particular project.

However, estimating cost for damages sustained by a peril, defective workmanship, defective materials, deviations from standards, and codes is a more complex endeavor. The estimator must have the necessary work experience, education, and understanding as to methods and materials, current costs, codes, causation, and origin, to effectively provide an estimate of loss.

With the assistance of Xactimate® Software, we are able to provide the most up-to-date and reliable pricing information from site-specific databases. These estimates are more accurate, detailed and professional-looking, easy to organize and manage, and offer the ability to sketch out the building. Eighty percent of insurance-repair contractors and 18 of the top 25 property insurers use Xactimate® to calculate the cost of repairs.