Claim Reimbursement Delay Calculator

Insurance reimbursement rarely arrives quickly. This calculator sizes the cash-flow carry cost.

Claim value

Days to first payment

Days to final payment

Cost of capital

Total carry cost

$17,140

Weighted days outstanding

163

Effective claim haircut %

4.45%

How the math works

Weighted days = (first + final) ÷ 2. Carry = claim × cost of capital × (days ÷ 365).

Push for a 50% advance within the first 60 days. Carriers will often agree when a licensed GC contract and signed proof of loss are on file — two documents that should exist before the first payment conversation.

How to Use

Enter claim value.
Enter days from loss to first payment.
Enter days to final payment.
Enter cost of capital %.
Read total carry cost.

Frequently Asked Questions

Typical lag?

Simple claims (single-peril, small): 30-60 days. Multi-peril with multiple contractors: 90-180 days. Complex or disputed: 180-540 days. Prompt-pay laws in some states (NY, FL) require first payment within 30-60 days.

Managing lag?

Keep public adjuster involved. Submit partial proofs of loss at each 25% completion. Request partial payments in writing. Document contractor payment deadlines — many carriers accelerate when they see the clock running.

Cost of capital?

Use construction line of credit rate (prime + 1-4%), revolving rate, or owner's opportunity cost of cash. Conservative: 8-12%. Aggressive: 5-6%. In high-rate environments, delay carry alone eats 5-10% of claim value on 12-month lag.