FED UP: Leigh Krautz is upset over insurance outsourcing.
FED UP: Leigh Krautz is upset over insurance outsourcing. Chris Ison Rokcbuild

Contractor frustrated over Marcia repairs outsourcing

LEIGH Krautz is fed up with southern contractors blowing into town after natural disasters, taking local work and lining their pockets.

In the first few weeks after Cyclone Marcia ripped through the region, the Yeppoon builder went out of his way to give local home-owners affected by the disaster "great quotes".

But according to Mr Krautz, the insurance companies won't give him, or other local tradies, a fair go.

"After the cyclone came through a lot of people were calling local builders to get repair work done," Mr Krautz said.

"We all went out of our way to give the best quote. We wasted weeks on end giving free quotes.

"I gave about 10 quotes before I gave up. Of those quotes, I was only contracted to do one of the jobs.

"The insurance companies are giving all the work to southern tradies."

The 44-year-old father of two, who has serviced the Central Queensland region for the past 10 years, said he has lost up to $15,000 worth of work.

"In one instance, clients who I had done work for in the past insisted that I do their repair work, the insurance company asked me to submit a quote and I did," he said.

"A few days later the clients called me to ask if I had sent contractors out because a group of workers were at their house. I told them I hadn't; turns out the insurance company had sent in southern workers.

"There are about 35 out-of-town companies from as far as Perth, Hobart and South Australia in town.

"I'm frustrated and annoyed. I question the quality of the work as well. Are they going to come back 12 months down the track if something goes wrong?

"How can we lose-out on quotes when we don't have to pay for accommodation, travel, meals etc? How can they be cheaper? We live here. It's just an injustice.

"I'm very disappointed with the insurance companies; they're not looking after the locals."

The Morning Bulletin was unsuccessful in attempts to contact the Insurance Council of Australia yesterday.



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