Public Adjuster Pros and Cons

Thinking of hiring a public adjuster for an insurance claim? This is a huge potentially expensive decision and tons of people get it wrong. This video will help you see the pros and cons and help you make an informed decision that fits your scenario.

We'll address:
00:00 - Intro
00:47 - Types of Insurance Adjusters
03:23 - What is a Public Adjuster
04:33 - Pros & Cons of a Public Adjuster
10:22 - Should I hire a public adjuster?
11:52 - Mistakes people make with public adjusters

Tell us your public adjuster stories on the comments.

[ShineInsurance]

There are a lot of public adjusters commenting below. Many of them don't like this video. Generally, when folks get all in a tizzy about one of our videos it means there's something to it. If the comments make you wonder what to think, search "can I make a lot of money as a public adjuster". Those videos expose a lot about what's really going on. As we said in the video, there's totally a place for public adjusters (and personal injury attorneys). However, there are a ton of them that will promise the moon so they can take your money.

[Daniel-elsx]

Thank you for the basic advice. But if it wasn’t for my public adjuster I would have only gotten 1k for my roof. Instead I got 30k. I payed 10% charge happily

[shonsavesclaims_]

Love this video. This video is correct when it points out that on average you will be paying approximately 15% of the money recovered by the PA for your claim. It's also a good idea to consider that Public Adjusters typical find about 2.5 times more damage than the insurance company's adjusters find during their inspection. Your insurance company is contractually obligated to pay for this additional damage if reasonable evidence is produced to support the new damage discovered by the PA. You as a Policyholder will also have to honor your responsibilities obligations under your policy. PAs increase your rightful recovery dramatically.

Example: X Insurance Company paid $5, 000 to replace your roof. The average market value in your area to replace a roof properly is $17, 500. The PA is able to negotiate on your behalf to raise the recovery to $20, 000 ($17, 500 roof + $2, 500 interior damage caused by your damaged roof). So... $20, 000 -$5, 000=$15, 000 recovered by your PA. $15, 000-15% PA commission = $12, 750 additional money for your repairs.

You now have $17, 750 free and clear to make repairs because of your PA (2.5 × times more than what X Ins Co. originally tried to pay you without representation).

Here's what's most interesting and startling about a PAs involvement in your claim. The fact that the insurance company pays these enormously larger amounts (sometimes forced by courts to pay their obligation) indicates that the insurance companies understood from the beginning of your claim that these amounts are owed to you according to your policy contract. Imagine if you knowingly tried to cheat or defraud the insurance company out of $12, 500. You would very quickly find yourself facing felony criminal charges. Apparently, thousands of times a day insurance companies across the nation knowingly "underpays" policyholders (remember if you do it to them its fraud).

20 years ago, in my 30s, I was a Sheriff's Deputy. I've seen many private individuals incarcerated for financial crimes. I have never seen an insurance company executive held criminally accountable for what appears to be intentionally defrauding policyholders.

[Astroisoutofthisworld]

What a creative way to try to convince innocent insureds that the insurance industry has the policyholders best interest in mind. P.S. we are not lawyers. We don't bring a "bad" vibe. Unless the adjuster is truly messed up, mentally. Agents do not want claims. Agents are sales people who don't even inform their clients what is in the policy. Your "service provider" is in business ONLY to make a profit for their shareholders. "CLOGGING THE PROCESS" IS WORTH IT if someone GETS PAID THE CORRECT AMOUNT, finally, is it not??

You hire a PA IS NEVER a "bad" idea!! We work on contingency, in most states. WE PAINT THIS PICTURE BECAUSE IT'S TRUE!! Wow, I have hundreds of examples of UNDERPAYMENT BY TENS, HUNDREDS OF THOUSANDS! SEE BELOW

[eddymartinez]

Independent adjusters are hired by the insurance company, not a homeowner. A PUBLIC adjuster is hired by the homeowner, hence the word public.

[justinautobody]

You should interview a Public Adjuster.

[davesmith]

I filed a claim with my insurance one a loss on my house.. It was going to be large and complicated I knew I needed help. I hired a public adjuster to level the playing field. They know the state laws that would benefit me on a denied claim.

[davidmatias]

Had a backed-up plumbing issue .my kitchen sick overflowed and damaged some of the lower cabinets and lots of the finished basement. Had a PA over to assess the damages he mumbled and tried to beat around the bush when I asked about the percentage fee, I asked again and finally said 30% but for you 25%. For 25% ill do some research even if it takes me 40 hours of work.

[eddymartinez]

I don’t think you’re cut out to be talking about this. You’re very biased on the insurance side and not very knowledgeable on what an adjuster is and how they operate. Stick to insurance.

[Blazenfury]

This video is loaded with bias and misinformation. I appreciate that you took the time and tried to help people, but you have a clear anti public adjuster agenda. Insurance companies make money, in part, by not paying top dollar on claims. Getting a PA holds the insurance company accountable. In my personal experience, the PA will get you more than the 20% they cost.

[MrSoftballfreak]

It's very interesting reading all of this. The best way to describe this is that all situations are different. I have witnessed both sides of the spectrum. What the very most common thing here is to do is, whether a PA or IA or whatever, YOU HAVE GOT TO DO WHAT IS RIGHT BASED ON THE DAMAGES IN FRONT OF YOU AND WHAT YOU ARE MORALLY OBLIGATED TO REPORT!!!!
The best thing any and all of us can do is know who your client is. Sure you may represent the policy holder or the insurance company and you are paid by that specific one. What everybody needs to do is know WHO or WHAT you represent.
Let's use a home as an
Is your client the policy holder?....NO!!!
Is your client the insurance company?....NO!!!
Is your client the home....YES, ABSOLUTELY!!!
If you treat what you are reporting damages on as your client, you can't go wrong.

[kevinleon]

I have worked with many commercial insurance companies … please don’t believe they are in your best interest … some good points here, but clogging the process is not at all one of them. Also, 10-15% is so arbitrary .. if you had a 2, 000 claim that in actuality was a 30, 000 case of damage would the 10% share for your experienced representation bother you?

[marimoreno]

Lol. Continue watching if you want an insurance guy (that makes a living on charging you to protect your belongings and paying out as little as possible when something happens to your belongings) telling you that you shouldn't hire a public adjuster whose job it is to get insurance to pay out as much as possible for you.

[jennaladefensora]

Here where I live in the Midwest the PAs are charging right off the bat 20%-30% and what usually happens they play the game of no estimate on the paper work. There is hardly any information of the cost of labor, cost of materials, etc...Hell you do not even get to pick out the brand or color of shingles because it is not listed on the contract. So, when you get the money from the insurance and it is over and above what you think it might cost, because again there is no information, the fraudsters keep every freakin penny. I read the contract and refused to sign but there are many people that get screwed.So, many of them are fraudsters and should go to jail for stealing money from their customers. They especially prey on minorities...

[TheLegendaryLinx]

Always hire a public adjuster regardless!!! Make sure they are from a reputable company! Trying to navigate this on your own is a headache and too much energy take away from life responsibilities. Insurance companies only care about saving money period!!

[ryancoons]

Paying 15% to a public adjuster is better than getting only $10, 000 for $50, 000 of damage.

[csinalabama]

You can hire a lawyer by the hour or on a contingency basis. Just my opinion, but I think you should be able to hire a PA on the same basis. It would be nice to have the option.

[deadlymig]

You’re wrong on many things. An good PA can “unclog” the whole process and. Make it go by way faster. And your wrong about usually going to an agent for help because it is in their best interest for you NOT to make a claim in fact they discourage people many times so they won’t. Some may be good at helping you get a good policy but when it comes time to apply it they are not your friend. Everything you’re saying sounds very biased

[GardeniaLimo]

Great video, Thank you. I got worst scam public adjustor, Charged me 25% even he does not pay me the 75%. Insurance company doesn't respond my calls and the check does not even cover 30% of the the cost to rebuild the damaged area. Please advice

[imthevictorr]

I have a public adjuster that is claiming he can get me nicer things replaced. example he used is if you totaled a toyota he can get you a porche. I laughed.