What does an insurance adjuster actually do, and do they work for you?

When you file a property claim, the insurer assigns an adjuster to investigate, inspect the damage, review the policy, and determine what is covered and for how much. That person is an employee or contractor of the insurance company, and their evaluation reflects the insurer's interpretation of the policy. This is not adversarial by design, and most claims are handled properly, but understanding whose interests they represent explains why their initial estimate and your contractor's estimate frequently differ, and why accepting the first number without review is often leaving money on the table.

Three types exist. Staff adjusters are insurer employees. Independent adjusters are contractors hired by insurers, common after catastrophes when claim volume spikes. Public adjusters are licensed professionals you hire to represent your interests, typically paid a percentage of the settlement, commonly around ten percent though states cap it in some cases. Public adjusters can be genuinely valuable on large, complex, or disputed losses, where the difference between estimates exceeds their fee by a wide margin, and unnecessary on straightforward small claims.

How to work the process well. Document everything before cleanup with photographs and video, and keep damaged items until the adjuster has seen them where safe to do so. Obtain your own detailed contractor estimates rather than relying solely on the adjuster's software-generated figure. Read your policy, particularly whether you have replacement cost or actual cash value, since replacement cost policies often pay actual cash value first and release the remaining depreciation only after repairs are completed and documented, which people fail to claim. Keep a written log of communications. If you disagree with the settlement, most policies contain an appraisal clause allowing each side to name an appraiser with an umpire resolving differences, which is faster and cheaper than litigation and is underused. State insurance regulators accept complaints and have authority insurers respond to.