If you’ve been in construction long enough, you’ve probably seen an insurance estimate that conveniently “forgets” Overhead and Profit (O&P). Carriers often deduct it, argue it isn’t owed, or try to hold it back until the very end of a job — if they pay it at all.

But let’s be clear: O&P isn’t a bonus. It’s a necessity.

Every contractor knows that jobs come with more than just material and labor costs. Running a business means trucks, crews, scheduling, supervisors, office staff, insurance, equipment, and yes, a fair margin so you can stay profitable. That’s why the industry standard is 10% overhead and 10% profit.

Insurance companies, however, often frame it differently. They’ll say O&P doesn’t apply unless a “general contractor” is hired, or they’ll claim it isn’t part of “actual cash value.” The result? They withhold that 20% while homeowners — and contractors — are left shortchanged.

Here’s the problem:

• Homeowners don’t always realize the insurance check is missing these funds.

• Contractors either have to eat the cost or explain why the job can’t be completed for the payout.

• Carriers benefit by holding back money that should flow to the people actually repairing the damage.

This is where Atlas Adjusting steps in.

We work directly with the claim to make sure:

• O&P is properly applied on multi-trade claims.

• Carriers don’t wrongfully withhold payment.

• Contractors get the funds they need to complete quality work without cutting corners.

• Homeowners get peace of mind knowing their contractor is fully covered for the scope of work.

At the end of the day, contractors deserve to be paid fairly for the real costs of doing business. And homeowners deserve a repair done right, not one compromised by missing dollars.

Atlas bridges that gap, ensuring you’re not leaving money on the table — and that your clients are fully funded to restore their property the right way.

If you’re a contractor tired of fighting O&P battles alone, let’s talk. Atlas Adjusting makes sure insurance pays what’s fair — so you can focus on building, not battling.