Get Paid for Work Conducted

By Randall C. Resch                                                 

Sometimes tow truck scenarios go horribly wrong. Due to one operator’s wrongful (and illegal) actions, while in process of an active impound, a vehicle’s owner was fatally killed by a wrecker aggressively departing a complex.

As a consultant for this case, I worked many billable hours in which I reviewed law enforcement investigations, depositions, medical reports, witness statements, and other case documents.

In my usual manner, I kept detailed accounting of time and involvement. As consultant to these kinds of cases, I maintain professionalism, subsequently conveyed in a final, 24-page, 10,000-word, written opinion. Note: Preparing a 10,000-word statement that encompasses comparisons and rebuttal facts (in exact order) something that makes sense to the case, is no simple process.

Setting the Stage

In preparing this type of work, beyond any initial pre-qualifying conversations with case attorneys, I submitted my résumé and rate sheet. To be selected as a subject matter witness or consultant, the work must ultimately be approved by the insurance carrier overseeing the claim.

My “Letter of Agreement” was approved and signed, confirming that I was officially hired to participate. However, due to the on-again, off-again communication with the attorney firm involved, the case ultimately settled out of court — as such cases often do.

After the case settled out of court, the attorney lightheartedly encouraged me to submit a final invoice for my time and effort. Acting in good faith, I billed just under $10,000 for the total number of hours worked.

Fast forward a month awaiting no response from the case attorney, I re-submitted the bill asking for confirmation. Days passed, no response. Taking this lack of response as a red flag, I called the attorney directly.

Through his fumbling words and plentiful excuses, he advised the invoice was forwarded to the insurance carrier and I should expect a call from the carrier. Another red flag!

Enter the Defensive

Several days passed. While I was in my office at work, I received a call from the insurance representative — let’s call him Reggie Ripoff. Reggie began the conversation by saying, “Your fee is waaaay too high,” insisting I was out of line with what other consultants charged, and that there was “no waaaay” he’d authorize payment.

In one fell swoop, he offered me “fifty percent of the total.” Remaining my usual calm self, I engaged in what became a mildly heated conversation. Reggie stated, “It’s my job to negotiate invoices down,” in a tone that was nothing short of accusatory. His condescending manner continued as he added, “I deal with tow truck companies all the time, and this bill is just like the others.”

Note: I’m not a tow truck company!

Know that I’m a junkyard dog when it comes to being ripped off and accused of something I’m not guilty of. I ceased further discussion with him and sent a barrage of formal letters to the case attorney, the attorney group partners, including one directed to the insurance carrier and Mr. Ripoff.

The letter’s contents made it clear I was prepared to sue all named parties. I dropped names like “Dear Insurance Commissioner,” the State Bar Association, the Legal Regulatory Board, Yelp — even my mom and wife, if I had to! I stated plainly that I was ready to sue for the full amount (and more), including travel expenses, noting that my hourly rate was $350.

Read Em’ and Weep

And, wouldn’t you know it, the firm’s partner messaged me immediately that she would review my complaint and get back to me in a few days. Nearly a week later, the original case attorney emailed me stating, “You’ll have a check in the full amount in a week.” Six days later, a certified envelope arrived with payment in-full.

The message of this story is simple: when you’ve done the work and your documentation is solid — right down to the final defining details — make your presence known. One thing’s for certain: like you, I don’t work for free. And I get incensed when someone tries to hoodwink me, especially after they’ve signed my Consultation Service Agreement.

Don’t let the insurance industry dictate the total amount of your invoices. Yes, there’s a reality that unscrupulous towers gouge, cheat, pad and over price services not actually conducted. But many more towers are professional and ethical demanding they are paid for work conducted and carefully documented.

If you haven’t attended Bob and Eric Fouquette’s Recovery Billing Unlimited seminars at any of American Towman’s Tow Shows, do yourself a favor and make it a priority. Their sessions are packed with practical, informative guidance. You’ll learn the proper tools for submitting well-prepared invoices to insurance companies and claim agents — and most importantly, how to get paid for the work you honestly do.

A reminder: if you're the kind of company submitting dishonest invoices with trumped-up fees, you deserve to be prosecuted to the fullest extent of the law — that’s insurance fraud, and it should land you in jail. Tow and recovery work isn’t cheap. When the insurance industry finally acknowledges that fact, perhaps they’ll stop playing games and start paying reasonable rates for honest work — not reacting only to inflated, questionable invoices.

Operations Editor Randall C. Resch is a retired, veteran, California police officer, former tow business owner and industry advocate. As consultant and trainer, he authored and teaches tow truck operator safety courses approved by the California Highway Patrol. For 55-years, he has been involved in the towing and recovery industry. In 29-years, he has contributed more than 760-safety focused articles for American Towman Magazine, TowIndustryWeek.com and is a frequent seminar presenter and beauty pageant judge at tow shows. In 2014, he was inducted to the International Towing and Recovery Industry Hall of Fame, was the 3rd recipient of the industry's "Dave Jones Leadership Award," and is a member of American Towman’s Safety Committee.

Email Randy at rreschran@gmail.com.