What the Insurance Adjuster Profession Entails

You might have heard the term “insurance adjuster” before, but you may not know exactly what this individual does. You should probably know at least a little of what goes into this job. It’s possible that at some point you may need to speak to an insurance adjuster if you filed a claim with your insurance company and are waiting on the results.

You should also know why insurance adjusters might reduce your claim amount. That’s a significant portion of their responsibility, and while it may upset you if that happens, you need to know the thinking that goes into such a decision.

What Does an Insurance Adjuster Do Every Day?

If someone becomes an insurance adjuster, they may work for an insurance company fulltime, but they might work as a freelancer who’s not tied to any one particular company. You might hear people use the terms “insurance adjuster” and “claims adjuster” interchangeably sometimes.

An insurance adjuster investigates the kind of insurance claims that people make every day. If you think about how many individuals file claims, it makes sense how busy an insurance adjuster stays. It’s not the kind of job where you typically sit around with nothing to do.

An adjuster looks at claims and determines how much money a person should get, if the adjuster believes they should get anything at all. A little more goes into it than that, though, so let’s take a closer look at the process of claim adjusting.

It All Starts with the Investigation

Let’s imagine a scenario for a moment. A motorist hits another vehicle. The driver in the car that the other motorist hit gets out and sees that they’ve sustained some serious vehicle damage. They exchange insurance information and go through the whole process that follows a car wreck.

When the driver with the damaged vehicle gets home, they will contact their insurance company. If they live in a no-fault state, that means their insurance will likely cover the accident damage and not the insurance of the driver who hit them.

It’s at this point that the insurance company will appoint an adjuster to the case. They will investigate. They will do so by contacting the police and looking at the car accident report. They might look at the crash site. They may look at any pictures or video of the wreck. They will look at the car and the damage to it as well.

They Will Determine Liability Next

Next comes the point where the insurance adjuster determines who’s liable for the crash. They will then give the company for which they work that information. They’re basically telling the insurance company whether they should pay the claim or whether they should dispute it.

Payout Calculation

If the insurance adjuster feels that the assertion of the person who filed the claim has some validity, then they will tell the insurance company that, and they will also try to put a specific dollar amount on how much the insurance company should pay. They will usually look at precedent when determining the proper amount. It’s likely the adjuster has seen many such cases before, so they will have no issue telling the insurance company how much the car’s repairs will cost.

The Negotiation Process Comes Next

Next, the insurance adjuster will agree with the company on how much they will offer to the person who filed the claim. If the driver accepts the amount the adjuster says, then that’s where the adjuster’s job ends.

They will go on to their next assignment. An adjuster will usually have many open cases, similar to what you will see with a lawyer or someone who works in the child custody field.

Defense of the Insurance Company Might Become Necessary

If the driver feels that the insurance adjuster and the company that they represent did not offer them a fair number, then they might contest the matter in court. That happens fairly often. If the driver retained a lawyer’s services, then their attorney might encourage their client to fight if the lawyer feels the insurance company did not offer the driver of the damaged vehicle a fair amount.

In that case, the insurance adjuster will fight on behalf of the insurance company. They will provide all the evidence they can to back up their assertion that the claimant should get less money.

That’s part of why the insurance company pays the claims adjuster. They’re working for the insurance company to make sure they pay less. 

Usually, the driver and their insurance company, with the claim adjuster’s help, will come to terms. The case might go all the way to trial, but that doesn’t happen very often.

Insurance Adjusters Work for the Insurance Company, Not for You

Remember when you encounter a claims adjuster that this person does not work for you. They work for the insurance company. They have the insurance company’s best interest at heart, since that’s their profession.

You Might Not Like This Person Very Much

You may not like a claims adjuster very much because they may seem antagonistic to you. If you feel that way, it’s not surprising. Why should you look kindly on a person who’s trying to take money out of your pocket, especially at a time after a car wreck when you feel particularly vulnerable?

The reality is that insurance adjusters have a negative reputation, much like criminal defense lawyers. It seems like they’re trying to take money away from the little guy and keep it in the pocket of the big corporations.

There’s some validity to that viewpoint. Remember, though, when an adjuster denies your claim, it’s not personal. They’re just doing their job.

To combat what you perceive as an incorrect claim assessment, you need a skilled lawyer. They should have the background to get you a sum you regard as being closer to the number you should get for the car damage that you must have a mechanic repair.