When damage strikes (whether it be in the form of flooding or fire) and you’re forced to file a home insurance claim, an adjuster will be sent out to examine your property and determine what compensation you are owed. However, it’s important to note that you are not required to work with the adjuster provided by your insurance company—in fact, you probably shouldn’t.
It’s likely in your best interests to hire a public adjuster. And while you might be wondering why you should hire a public adjuster when an insurance adjuster is sent for free to do the same thing, there are actually very important differences that set them apart.
A public adjuster works alongside you to file insurance claims and negotiate a fair settlement, while insurance adjusters (also known as independent adjusters) are looking to represent the insurer’s liability, and have their employer’s best interest in mind. Let’s dive deeper into the differences between the two types of adjusters, and understand why a public adjuster might be the right option for you.
What’s the Difference Between an Insurance Adjuster and a Public Adjuster?
An insurance adjuster only has one goal: to save money for the insurance company. Although they may operate under the guise of helping, they are not looking out for your best interests. Rather than ensuring that you get a fair and accurate settlement, they are trying to give you the least amount of money possible. This is typically accomplished by manipulating the complicated ins and outs of the insurance claims process, and capitalizing on loopholes you likely don’t understand.
Meanwhile, a public adjuster works only for YOU and operates entirely on your behalf. They are experts in the property claim process, and can anticipate what tricks an insurance company is going to try to pull to minimize your payment. Their goal is to make sure you get the money that you deserve, and to hold the insurance company to its promises.
Pros and Cons of a Public Adjuster
Now that we have quickly gone over the differences between a public adjuster and an insurance adjuster, let’s talk about the pros and cons of hiring a public adjuster.
Pros
Higher settlement
One of the biggest advantages of hiring a public adjuster is their ability to negotiate a higher settlement payout than if you were to file a claim on your own. In fact, they typically can get their clients 4 times (Or more!) the amount of money they would have normally been paid out.
A public adjuster has handled thousands of insurance claims, and has experience putting pressure on insurance companies to negotiate a fair payment. They can anticipate the technicalities that may hurt your payment, and know how to communicate with your insurance company in a way that cuts through the nonsense and gets at the heart of the issue.
Guidance Through the Claim Process
There’s nothing unintentional about insurance policies being confusing. They’re filled with complex jargon and professional language on purpose. The goal is to make it hard for you to understand so you slip up somewhere along the process, and give them a reason to pay you out a lower settlement. With our expertise in insurance, we can decipher the complicated language and nuances.
Hiring a public adjuster can significantly improve your understanding of your coverage. Their role involves guiding you through your policy, clarifying its terms, documenting all potential losses, and identifying overlooked areas. Many individuals who manage their claims independently miss out on substantial amounts due to misconstrued policy language, often amounting to $10,000.00 or more.
Saves You Time & Stress
Most people will go the majority of their lives without having to file a significant property damage claim. So, when disaster does strike, it can be overwhelming and confusing to know where to begin. This is where a public adjuster will step in to help. You don’t need to become an insurance expert overnight because they’ll take care of all the claim details for you.
They aim to lessen your stress and save you valuable time. Between juggling work and family, the task of handling an insurance claim can only add to your already overloaded plate. That’s why a public adjuster takes on the task of inspecting and assessing the damage to your property.
They then provide an estimate of the repair costs, accomplishing this in half the time you might have taken if you were to do it by yourself. Think of them as your helping hand, taking on the hard work so you can focus on what matters most.
Cons
Fees Reduce Payout
Unfortunately, public adjusters’ services are not free of charge. They are typically paid by taking a certain percentage from the insurance claim you receive (usually around 10% to 15%). This percentage is usually agreed upon beforehand, and is paid only after your insurance claim has been approved and the amount is finalized.
While this may reduce your total payout from the insurance claim, it’s important to remember that despite the percentage taken by the public adjuster, you still often end up receiving more from your insurance company than you would have without their help. Essentially, the services of public adjusters often pay for themselves, as they help you gain a much larger settlement.
Some Adjusters Don’t Handle Small Claims (But We Do!)
If your claim is of a smaller magnitude, it might be more beneficial for you to handle it yourself. Not every public adjuster is willing or equipped to manage smaller claims. Hence, getting clarity on this from the beginning is crucial.
Meanwhile, at Fortitude, we stand out from the rest! We are ready and willing to assist you regardless of the size of your claim. However, it’s worth noting that not all public adjusters bring the same level of experience or skill to the table. Therefore, thorough research and a careful selection process are essential when choosing a public adjuster.
Timing Can Delay the Process
When is the best time to involve a public adjuster? The short answer is the sooner the better. If you wait to hire a public adjuster until your claim is denied, the process can be significantly delayed. Although most public adjusters have no issues helping with denied claims or disputing a settlement, they would much rather get it done right the first time!
That’s why hiring a public adjuster right away is important if you want to speed up the process. Insurance companies are great at getting policyholders to agree on things that ultimately hurt them financially. A public adjuster will help prevent this!
Should You Hire a Public Adjuster?
Using a public adjuster comes with many perks, such as saving you time and making the claims process less of a headache. However, the most significant benefit is that it can lead to you getting a larger payout. Simply put, public adjusters are insurance professionals who are there to serve you (not the insurance company) and make the insurance claim process smoother and more profitable. If all these things sound great to you, then you’ll likely want to hire a public adjuster as soon as possible.
Not sure what to do before a property damage insurance claim? Unsure if you are able to get a higher settlement? If you are interested in learning more or getting a free estimate, contact us today!
