Most of the people are not aware of the difference between an insurance claim adjuster and an insurance company adjuster. An insurance claim adjuster is an independent professional who evaluates your claim. Whereas an insurance company adjuster is someone who will work directly for the insurer. There is a chance that the insurance company adjuster might work in the company’s favour, protecting its interests.
When you understand the difference between the two, you can choose the one wisely, affecting your claim’s outcome. Read on to know the difference between the two.
What is an Insurance Claim Adjuster?
An insurance claim adjuster refers to a public adjuster who is an independent professional who is hired by a policyholder and not by the insurance company. Their role is to represent the insured’s interests throughout the claims process. Their role is to help you get a fair payout for your claim.
Public adjusters are licensed professionals who ensure to follow certain rules and are experienced too. If you have experienced serious damage, then you must hire them. The claim is complicated when handled alone.
What is the Role of an Insurance Claim Adjuster?
A public adjuster is someone who takes care of the work involved in your claim. They will visit your property, analyze the damage, and even figure out how much it will cost to get the repair done.
An insurance claim adjuster will also go through your policy to understand what is covered under your policy.
Here are a few responsibilities of a claim adjuster:
- Inspecting the damage to your property
- Collecting evidence
- Writing reports about the loss
- Estimate the cost of repair
- Reviewing the insurance policy
- Filling and submitting claim paperwork
- Dealing with the insurance company
Basically, an insurance claim adjuster acts as someone who will help you and advocate throughout the process.
What is an Insurance Company Adjuster?
An insurance company adjuster is someone who works directly for the insurance company. Their work is to review your claim and even decide how much the company should pay you based on the policy.
They are not independent adjusters, but full-time employees of the insurance company.
What is the Role of an Insurance Company Adjuster?
The company adjuster also inspects the damage and gathers information. They may take pictures, ask you questions, and review any documents you provide, such as repair estimates or receipts.
Here are a few responsibilities of an insurance company adjuster:
- Visiting the damaged property to assess the loss
- Collecting photos, documents, and evidence
- Reviewing your insurance policy and coverage
- Deciding how much the insurance company should pay
- Explaining approved or denied parts of your claim
Their role is to make sure the company pays what it is required to, but no more than that.
How Their Roles Are Different
Who They Represent
The biggest difference between the two adjusters is who they work for.
- A public adjuster works for you.
- A company adjuster works for the insurance company.
This doesn’t mean company adjusters are unfair, but their job is to protect the company’s interests. Public adjusters, on the other hand, focus only on your best interest.
How They Approach Your Claim
Because they have different bosses, they often look at the same claim in different ways. A public adjuster may argue that more damage should be covered or that repair costs are higher. A company adjuster may try to keep costs lower for the insurer.
Most claims that involve both sides become a negotiation between the two adjusters.
When Should You Hire a Public Adjuster?
For Big or Complicated Claims
You don’t need a public adjuster for every claim. If you have minor damage, like a small car dent or a little water leak, you can usually handle it yourself.
However, people often hire public adjusters when:
- There is major damage to their home
- The claim is very complicated
- They feel overwhelmed by the process
- They don’t understand their insurance policy well
After disasters like hurricanes, fires, or floods, many homeowners choose to work with a public adjuster.
If Your Claim Is Disputed
Some people hire a public adjuster after their claim is denied or they feel the insurance payout is too low. In these cases, the adjuster can review everything and try to negotiate a better settlement.
What is the Difference Between Fees of a Public Adjuster and an Insurance Company Adjuster?
Public Adjuster Fees
Public adjusters usually take a percentage of your final insurance payout as their payment. This means you don’t pay them up front, but they take part of your settlement at the end.
Some people are comfortable with this because they believe the adjuster will help them secure a much higher payout than they would on their own.
Company Adjuster Costs
You do not pay the insurance company adjuster. Their salary or fee is covered by the insurance company.
How to Decide What’s Best for You
If your claim is small and simple, you probably don’t need a public adjuster. But if your claim involves significant damage, substantial financial losses, or significant stress, hiring a lawyer could be helpful. Some people also hire public adjusters just to avoid the headache of dealing with the insurance company.
Moreover, each adjuster works for a different side, and there can be disagreements sometimes. A public adjuster may push for more money, while a company adjuster may push to limit the payout.
That’s why good documentation is very important. Photos, repair estimates, receipts, and detailed records of damage help both sides understand what really happened.
Final Thoughts!
The main difference between an insurance claims adjuster and an insurance company adjuster is who they represent. A public adjuster works for you, while a company adjuster works for the insurer. Both have important roles in the claims process, but their goals are not the same. Knowing this can help you understand what to expect and decide whether you need extra help with your claim.