A public adjuster is an insurance claims adjuster who advocates for the policyholder in appraising and negotiating a claimant's insurance claim. Aside from attorneys and the broker of record, public adjusters licensed by state departments of insurance are the only type of claims adjuster that can legally represent the rights of an insured during an insurance claim process. A public adjuster will be most beneficial when it is clear that the insurer will pay the claim and the only issue is the proper identification and valuation of the loss. Most public adjusters charge a percentage of the settlement (with the percentage being lower for larger losses (over $250,000)), with the average charge being between 10% to 15%, although some states cap the fee. Primarily they appraise the damage, prepare an estimate and other claim documentation, read the policy of insurance to determine coverages, and negotiate with the insurance company's adjuster.
There are three classes of insurance claims adjusters: staff adjusters (employed by an insurance company or self-insured entity), independent adjusters (independent contractors hired by the insurance company) and public adjusters (employed by the policyholder). "Company" or "independent" adjusters can only legally represent the rights of an insurance company.
Outside the United States of America, public insurance adjusters are commonly called (or translated into English as) "insurance loss assessors" (or simply "loss assessors") and staff adjusters or independent adjusters are called or translated as "insurance loss adjusters" (or simply "loss adjusters"). However, there is a clear distinction between a loss adjuster, who works on behalf of an insurance company, and a loss assessor who works on behalf of a policy holder.
Other articles related to "public adjuster, adjuster, adjusters":
... clear when a policyholder may benefit from hiring a public adjuster, the most benefit is likely to be realized if they are engaged immediately in case of a loss ... Shortly after the insurance company receives notice of a loss, an adjuster representing the insurance company will visit the policyholder to gather facts ... or inadequately expressed answers to the adjuster's questions may reduce the amount that can be claimed ...
... In the two first instances, and the fourth, the adjuster operates on behalf of the insurer ... Adjusters may handle "property claims" involving damage to buildings and structures, or "liability claims" involving personal injuries or third-person property damage ... Some adjusters handle both types of claims and are known as "Multi-Line" adjusters ...
Famous quotes containing the word public:
“From a bed in this hotel Seargent S. Prentiss arose in the middle of the night and made a speech in defense of a bedbug that had bitten him. It was heard by a mock jury and judge, and the bedbug was formally acquitted.”
—Federal Writers Project Of The Wor, U.S. public relief program (1935-1943)