To All Authorized Members,

It’s hard to believe that we have turned the page on another year. It sure doesn’t seem like a year ago when we were celebrating the end of 2023, a record year for HMI and our Authorized Member Network.

Maybe it's because 2024 was a blur from beginning to end. HMI blew past the record number claims we received the previous year, by the end of August.  We ended the year having received 60% more claim assignments than in 2023. Members of our Network turned those assignments into sales generating nearly twice as much revenue as any prior year in company history! Truly extraordinary.

HMI supported five major weather events last year requiring the use of deployed crews due to the volume of claims received. A record number of crews deployed to support our clients throughout the year. It’s worth noting that while hurricanes and other catastrophic storms play an important role in our services, the majority of assignments HMI receives are generated by thunderstorms, ice storms, or other “local” events. 2024 was no different, we were on pace for a record year even before Hurricanes Helene and Milton came ashore last fall.

As usual, storm work on residential properties was only part of the story last year. Through HMI, members of our Network generated millions of dollars in revenue by providing preventative and storm recovery services on a variety of commercial properties, including retail, resort, camping, and golf courses.

For those of you who were on the receiving end of all that activity, we truly value your support and commitment to the HMI program. Collectively, we are making a difference by growing demand for quality workmanship, superior customer service, and above all, professionalism.

I also want to offer my personal congratulations to all the top performers from last year. We have many companies in our Network that routinely sell 80% or more of all assignments we send them. It’s rewarding to see companies of all types excel under HMI’s program.

What to Expect in 2025

So, what are HMI’s plans to continue increasing the value of your Network membership in 2025? We have a lot happening that you will benefit directly from, including the addition of at least one important new client for our emergency tree removal service. We completed a successful pilot test with a large insurance carrier last fall and expect to launch a comprehensive program with them ahead of this year’s storm season. We have also grown market share with existing carrier clients because of our program's proven success and outstanding service from members of our Network. This means you will be seeing even more claim volume from carriers you are already familiar with.

HMI is continuing to expand our back office to provide timely support for members and clients as our tree removal and consulting services grow. Gretchen Piechottka’s customer service team is expanding this year to continue improving our response times as claim volume increases. Doug Malawsky is also looking to add both an arborist and horticulturalist to his team. HMI's consulting business is becoming increasingly transactional, requiring additional capacity to meet client demands. I'm also happy to introduce everyone to Patti Streeter, who joined HMI this month. Patti is working alongside Lisa Day to reduce payment cycle times. This is a topic I know we are all focusing on.

Important Pricing Changes

Please note that we will be implementing a small 1/2% increase to our sales assistance fee (from 12%-12.5%) effective on all jobs completed on or after April 1, 2025. This is necessary to offset increases we are being assessed by one of our largest channel partners. Please be certain to consider this increase as you are quoting work on HMI jobs that will be completed on or after April 1.

Penalty for Incomplete Files: “If there isn’t a picture of it, it didn’t happen!”

As you are all aware, we have been pleading with Network members to submit a "complete set" of photos on each HMI file. While many arborists/estimators have responded by consistently providing solid photographic documentation on every file, far too many files are still not meeting minimum requirements.

Why does this matter? At best, poor photographs slow down approvals, payments and cause adjuster complaints about HMI’s program for missing key service level requirements. At worst, they cause rejections and write-offs, which we see every day.

In an effort to eliminate this issue, HMI will be implementing a new policy later this year, whereby an incremental 1% fee may be charged on files that do not contain the sufficient number or type of photos. The fee is intended to encourage arborists to follow our minimum requirements, or offset the additional costs HMI incurs to get files audited, approved, and paid when they don’t. You will be hearing much more about this policy before it goes into effect later this year. However, right now is a great time to emphasize taking more and better photos with your teams. Please know that we hope to never assess this fee to any of our members.

Remember, it’s easy to take and upload pre-labeled photos using the HMI Connects mobile app. Download for iPhone or Android at no cost. We're working with our IT team to address performance challenges experienced with the app following major weather events. Stay tuned for updates as this effort progresses.

As you can see, there’s a lot happening at HMI this year! Stay ready, as many experts feel that macro weather patterns are likely to produce a major winter storm in the south this year, and early hurricane season forecasts are predicting another active season with 15 named storms, seven hurricanes and three of them CAT3 or higher. On top of that, HMI is adding at least one new major client. It promises to be another busy and productive year for HMI and our Authorized Member Network.

Thank you to all of our members.  Stay safe!