Public Adjuster vs Carrier Adjuster: What's the Difference?

When disaster strikes, navigating the insurance claims process can be a confusing and overwhelming experience. The choice of who represents your interests during this process—whether a public insurance adjuster or the carrier’s adjuster—can significantly affect the outcome of your claim. While the carrier’s adjusters work for the insurance company to protect their financial interests, public adjusters exclusively serve as advocates for policyholders, ensuring claims are handled fairly and maximizing settlements to what is owed.

Understanding the differences between these two types of adjusters is essential for property managers, contractors, and other professionals responsible for overseeing commercial or multifamily properties. This guide explores the responsibilities, motivations, and methods of both public and carrier adjusters, empowering you to make informed decisions.

Contact Us Now!

The Role of Public Insurance Adjusters in the Claims Process

A public insurance adjuster is a licensed professional hired by policyholders to advocate for their best interests during the claims process. Their role includes managing the entire claims process, evaluating damages, interpreting policy language, preparing documentation, and negotiating settlements. Public Adjusting is a contingent-based industry and Public Adjusters are typically paid a percentage of the claim settlement, aligning their success with that of the policyholder.

By contrast, carrier adjusters are employed by the insurance company and are tasked with assessing damages on behalf of their employer. Their primary objective is to minimize the insurer’s financial liability, which leads to undervalued settlements or denied claims.

Public adjusters often play a pivotal role in ensuring that policyholders fully understand their coverages and receive the compensation they are owed. Consumer advocacy groups like the National Association of Public Insurance Adjusters (NAPIA) emphasize that public adjusters provide a critical balance to a system that often favors insurers.

Public Adjuster vs. Carrier Adjuster: A Comparative Process

Navigating an insurance claim involves multiple steps, and the approach of a public adjuster versus a carrier adjuster can vary significantly.

Initial Assessment

• Public Adjuster: Conducts an extensive detailed inspection of the property, documenting all damages and identifying policy coverage that applies.
• Carrier Adjuster: Often performs a quicker inspection, many times overlooking both obvious and hidden damages, especially areas that might increase the settlement amount.

Documentation

• Public Adjuster: Assists the policyholder in organizing all necessary documentation, such as photographs, repair estimates, and proof of loss statements. This ensures nothing is overlooked and the claim meets all policy requirements in order to satisfies the insured’s obligations under the policy.
• Carrier Adjuster: Typically requests documentation from the policyholder but may not provide proactive guidance on what is needed.

Negotiation

• Public Adjuster: Advocates on behalf of the insured directly with the insurance company, using thorough documentation, knowledge, and experience to fight for what is owed.
• Carrier Adjuster: Negotiates solely for the insurer’s interest, often offering a lower settlement to minimize costs.

A study by the Florida Legislature’s Office of Program Policy Analysis and Government Accountability (OPPAGA) found that policyholders who used public adjusters received settlements that were, on average, over 700% higher than those handled by carrier adjusters alone.

The Risks of Relying Solely on Carrier Adjusters

Relying solely on a carrier adjuster can leave policyholders vulnerable to unfair practices. Insurance companies frequently employ strategies aimed at reducing payouts, including:

1. Underpaying Claims: Carrier adjusters may undervalue damages, particularly when policy language is open to interpretation.
2. Delaying Claims: Delays in processing claims can pressure policyholders to accept lower settlements.
3. Denying Coverage: Without proper representation, legitimate claims may be denied due to technicalities or insufficient documentation.

When to Hire a Public Insurance Adjuster

Understanding when to hire a public adjuster is key to maximizing your claim. Some scenarios that warrant their expertise include:

• Complex Claims: When damages are extensive or involve multiple coverage types, a public adjuster’s expertise will help navigate the intricacies of the claim.
• Disputes: If the insurance company disputes the scope of damages or the claim amount, a public adjuster can present a stronger case on the policyholder’s behalf.
• Large Losses: For commercial properties, multifamily residences, office buildings, retail centers, or facilities like distribution centers, R&D, schools, and hospitals, significant claims require detailed documentation and negotiation skills that public adjusters excel at providing.

Property managers and facility administrators often juggle numerous responsibilities, making it challenging to dedicate time to the claims process. A public adjuster can manage the process from start to finish, ensuring that the claim receives the attention it requires.

The Benefits of Working with Trusted Public Insurance Adjusters

At Velocity Public Insurance Adjusters, we believe in putting the policyholder first. Our team provides personalized support throughout the claims process, from evaluating damages to negotiating settlements.

Our philosophy is grounded in the idea that policyholders deserve a fair and transparent process. By working with us, you gain:

• Expert Representation: We have many years of experience in commercial and residential construction, interpreting policy language and presenting compelling evidence to insurance companies.
• Thorough Documentation: Our adjusters meticulously document every aspect of your claim to ensure no detail is overlooked.
• Advocacy You Can Trust: As advocates for policyholders, we work tirelessly to secure settlements that reflect the full scope of your damages.

Navigating the Claims Process with Confidence

The difference between a public adjuster and a carrier adjuster boils down to representation. Carrier adjusters work for the insurance company, often prioritizing cost savings over fairness. Public adjusters, on the other hand, champion the policyholder’s interests, ensuring claims are handled fairly and transparently.

By choosing to work with a public adjuster, property managers and other professionals can avoid common pitfalls like underpayment or unjust claim denials.

Take Control of Your Claim Today!

Don’t face the claims process alone. At Velocity Public Insurance Adjusters, we specialize in helping policyholders navigate the complexities of insurance claims with confidence. Schedule a free claim and policy review today and see how our expertise can make a difference.