Glossary

Xactimate

Estimating software from Verisk that adjusters and contractors use to price repairs line by line from regional unit-cost price lists.

Also called: Xactimate estimate, Xactimate software

Xactimate is claims estimating software made by Verisk. It is widely used by property insurers, independent and public adjusters, and restoration contractors to write repair estimates. The adjuster enters measurements and damage, often from a sketch or aerial imagery, picks line items such as drywall, paint or shingle tear-off, and the program prices each one from a regional price list that is updated regularly. Overhead and profit, sales tax and depreciation appear as separate lines, so a finished estimate shows replacement cost, the depreciation withheld and the actual cash value.

Using the same software does not guarantee the same number. Estimates diverge on the scope of loss, on quantities, on which line items are chosen, and on whether contractor overhead and profit is included. A contractor's bid is often higher than the insurer's Xactimate estimate for those reasons rather than because anyone made an arithmetic error.

Ask for the complete estimate, not the summary page. Compare it with your contractor's bid line by line, and send invoices or written bids for any item priced below what local work costs. Missing items can be added through a supplemental claim. The guide on Xactimate, contractor bids and estimate disputes covers the comparison in detail.

Last reviewed October 10, 2026

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Related terms

Scope of loss The written list of damaged areas and repairs an adjuster decides are needed and covered, which becomes the basis for the estimate and the payment. Adjuster The person who investigates a reported loss, decides what the policy covers and how much it will pay, and negotiates the settlement. Supplemental claim A request for more money on a loss you already reported, usually for damage found or costs incurred after the first estimate was written. Public adjuster A licensed claims professional hired by the policyholder, not the insurer, who documents and negotiates the claim for a fee, usually a share of the payout. Replacement cost What it would cost to repair or rebuild with materials of like kind and quality at today's prices, with no deduction for age or wear.

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