The compensator is about $100 and the associated bearings, gaskets and seals should not cost more than $100 so look like the shop wants $1200 for labor. So, depending on shop rate of $100-$125/hour, shop estimates this to be a 10-12 hour job. Consider the job requires the R/R of the outer primary cover, compensator/clutch/primary chain, R/R of the starter, R/R of the inner primary, R/R if the IPB and race and the fact that the bike is a touring model and not a softail 10-12 hours seems a bit excessive to someone that has done that job several times. The first time I did it it took about 8 hours but I had to make a trip to the dealer for some parts. I have't timed myself on the last few times I did this by if all the parts are on hand and Murphy doesn't rear his ugly head, I am sure I could get it done in less that four hours without rushing through it.
Maybe talk to the indy and let him know this might be a DIY project but the OP might need the indy to R/R the IPB and seal. Maybe the indy would come down on the price if he though he was going to lose the work.
This is a DIY project and the OP could save a bunch of money by buying the parts, the trans nut socket, the IPB race R/R tool and fabbing up a home made tool to pull the IPB into the inner primary case (I have a small press) or take the case and bearing to the indy or dealer and have them press it in. May be able to tap it in with socket; never tried. Just need basic hand tools, service manual and a little confidence; it's just turning wrenches. The only challenge for us DIY guys if the large nut on the trans pulley; it can be a PITA to break loose. However, renting a 3/4" electric impact will break it loose. It is very brittle so drilling two 1/4" holes on opposite sides and striking with a chisel will break it; new nut is cheap.
The OP might consider upgrading the compensator to the latest HD iteration in either case; indy or DIY. Seriously, it's not that hard, a bit messy with all the fluid but not a difficult job.
