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What does a Private Adjuster do?

Luke Arthur
Luke Arthur

A private adjuster is an individual who works in the insurance industry to help facilitate a fair settlement between an insured and an insurance company. Private adjusters have to be knowledgeable about many different areas in the insurance industry. Private adjusters are hired by individuals to help them understand their policy, estimate the loss, and then determine what a fair settlement would be.

Understanding an insurance policy can be a difficult thing to do. Insurance policies are worded in a very technical manner and insurance adjusters are highly trained individuals who know how to understand these policies. The average person is not going to be able to understand the majority of the policy.

Man with hands on his hips
Man with hands on his hips

When an individual has a loss, the insurance company is going to send out a trained adjuster to assess the damage and try to settle the loss with him or her. The adjuster is working for the insurance company and is highly trained in this area. This provides the insurance company with the advantage in this process. A private adjuster is hired by an individual to help him understand what his rights are in the process. The private adjuster can read the policy and help the customer understand what it says.

The next thing a private adjuster is going to do is assess the damage to the property. Adjusters have to be very knowledgeable about the property they are going to be assessing. If an adjuster works in home insurance, he or she has to understand the basics of the building industry and how to determine the value of a piece of property.

Many times, private adjusters are going to use sophisticated software programs to help come up with the value of a loss. These programs are used by the insurance industry to ascertain the value of each component of a piece of property that was damaged. With the help of this program, the private adjuster can come up with a fair replacement cost value.

Once the value of the property has been determined, the private adjuster is going to help the individual get a fair settlement. Private adjusters will often communicate with the adjuster from the insurance company about the loss specifically. When this happens, the insured is going to have a much better shot of getting a fair settlement from his insurance company.

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