Public Adjuster
An independent insurance professional hired by policyholders to represent their interests when filing insurance claims. Unlike company adjusters who work for the insurer, public adjusters advocate for the policyholder to ensure fair claim settlements and maximum compensation under the policy terms.
Example
“After their house fire, the Johnsons hired a public adjuster who negotiated a $75,000 settlement compared to the insurance company's initial offer of $45,000.”
Memory Tip
Remember 'PUBLIC' means 'for the people' - a public adjuster works for YOU, the public, not the insurance company.
Why It Matters
Public adjusters can significantly increase your claim settlement, often by 20-40% or more, especially for complex or large losses. Their expertise helps level the playing field against insurance companies' teams of professionals, potentially saving you thousands of dollars in undercompensated claims.
Common Misconception
Many people think hiring a public adjuster will automatically make insurance companies suspicious or hostile toward their claim, but public adjusters are licensed professionals operating within the legal framework. Insurance companies routinely work with public adjusters and cannot penalize policyholders for hiring representation.
In Practice
A business suffers $200,000 in fire damage, and the insurance company's adjuster offers $140,000. The business owner hires a public adjuster for a 10% fee who documents additional damages and business interruption losses, ultimately securing a $190,000 settlement. After paying the $19,000 fee, the business nets $171,000 - $31,000 more than the original offer.
Etymology
From Latin 'publicus' meaning 'of the people' and 'adjust' from Old French 'adjuster,' meaning to make exact or bring to proper state.
Common Misspellings
Compare insurance quotes and save
Related Terms
More in insurance
Other insurance terms you should know
See Also
Need help with spelling?
Instant spelling checker with dialect variants for 2,000+ words.