The software used by the Hurricane Sandy adjusters to create theestimates contributed to claims being underpaid.

"Xactimate is part of the problem," said Bach. "It is atool. The pricing system is only as good as the person who isinputting the information and the homeowners always end up on theshort end of the stick."

The issue is not with the software, but with the numbers used tocreate the estimates. "The Xactimate price guide is a massiveproblem," says Major." Xactimate says if the price is different,you have to change it. CAT adjusters are instructed not to changethe pricing in Xactimate. You have to price it correctly, but mostadjusters don't know how to use it to price estimatescorrectly."

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