Homeowners in Sydney, Nova Scotia, who suffered damage to their homes in the Thanksgiving Day flood have said they believe some contractors may be inflating bills for repair work.
Resident Jennifer Witham told
CBC News that she “nearly fell off her chair” when she saw the total of a bill submitted from a contractor to her insurer for work done to her basement.
Witham was awarded $40,000 by her insurer to cover the water damage in her partially finished basement.
But she says a contractor charged over $11,000 for around 14 hours’ work.
She said the company charged her insurer for a dumpster that was never there, and the bill also included the removal of sleepers, but “the sleepers around the perimeter of my house are all still there.”
“I really understand people do need to make a profit,” she said, but added that the price, which worked out to about $800 per hour, was unusually steep.
Another resident, Cheryl Campbell, said she was overcharged by a contractor who “had billed for seven blowers when all that was here was one.”
“And he also billed to take out the insulation which wasn't even there,” she said.
Amanda Dean, vice-president Atlantic with the
Insurance Bureau of Canada, said inflated billing is something insurers and customers have to guard against, but that customers should keep an eye on the work as it progresses, and “ask questions.”
Dean said there could be reasons for costly bills, particularly in situations of extreme flooding.
“Contractors would have to bring people in from other jurisdictions to help get people back on their feet,” she said. “That does add, certainly, additional costs.”
But she urged homeowners to be cautious, saying: “If you don't see a copy of the bill, call your insurance representative.”
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