After you file a claim, you may hear the word “adjuster” used several different ways, sometimes by the same person on the same phone call. This confusion is common and understandable, because more than one type of adjuster can be involved in a single claim, and they do not all work for the same side. Knowing who represents whom is one of the most important things to understand before you sign anything or accept a settlement.
The insurance company adjuster works for the insurer
When you file a claim, your insurance company assigns an adjuster, sometimes called a staff adjuster or, on larger or catastrophe claims, an independent adjuster hired by the insurer. This person’s job is to investigate the loss, apply the policy language, and recommend or determine a settlement amount on behalf of the insurance company. That does not necessarily mean the adjuster is acting in bad faith, but it does mean their assignment is to protect the insurer’s interests and manage claim costs. In New York, these company-side adjusters must be licensed as independent adjusters under New York Insurance Law Section 2108, and the New York Department of Financial Services (DFS) distinguishes them clearly from public adjusters.
The public adjuster works for you
A public adjuster is licensed to represent the policyholder, not the insurance company, in preparing, documenting, presenting, and negotiating a property insurance claim. According to DFS, “public adjusters are paid by you, not the insurance company,” and when you hire one, “they represent you, not the insurance company,” as stated on the department’s Adjusters, Appraisers & Umpires consumer page. This is the core distinction: one adjuster is evaluating your loss for the company that will pay the claim, and the other is building your case for the amount you are actually owed under the policy.
Why this distinction matters practically
Homeowners and small business owners sometimes assume the insurance company’s adjuster is a neutral party simply documenting the damage. In practice, that adjuster’s estimate reflects the insurer’s assessment of what it owes, using the insurer’s own software, unit pricing, and depreciation assumptions. There is nothing wrong with that arrangement as long as you understand it, but it means:
- You are not required to accept the company adjuster’s estimate as final.
- You are entitled to have your own representative document the loss and negotiate on your behalf.
- A public adjuster’s compensation is typically a percentage of the settlement they help you obtain, which is why no upfront fee is charged for the work.
How licensing works in New York
Both independent adjusters (who work for insurers) and public adjusters (who work for policyholders) must be licensed by the New York DFS. Public adjuster candidates must complete a DFS-approved 40-hour prelicensing course and pass a licensing exam, according to the DFS Insurance Adjuster Licensing page. You can verify any adjuster’s license status through the DFS “Who We Supervise” tool on the DFS license search portal. If someone offers to “help” with your claim but cannot produce a license number, that is a red flag.
What a public adjuster actually does
A public adjuster typically:
- Inspects the property and documents the full scope of damage, including items the insurer’s adjuster may have missed.
- Reviews your policy to identify all applicable coverages, endorsements, and sublimits.
- Prepares a detailed, itemized estimate and proof of loss.
- Negotiates directly with the insurance company on your behalf.
- Handles the back-and-forth communication so you are not managing it alone during an already stressful time.
You can bring in a public adjuster at any stage
Some people wait until a claim has already been denied or underpaid before calling a public adjuster, but you can also involve one right after a loss occurs, before you have submitted anything to your insurer. Either way, in New York, New Jersey, Pennsylvania, and Connecticut, a licensed public adjuster works only for you throughout the process.
Frequently asked questions
Does the insurance company’s adjuster have to tell me if my estimate is too low?
No. The company adjuster’s role is to evaluate the claim on behalf of the insurer, not to advise you on whether you are receiving a fair settlement. That is the role a public adjuster fills.
Can I hire a public adjuster even if I already spoke with my insurance company’s adjuster?
Yes. You can bring in a public adjuster at any point in the claims process, even after you have already had contact with the insurer’s adjuster or received an initial settlement offer.
Is a public adjuster the same as a lawyer?
No. A public adjuster handles the appraisal, documentation, and negotiation of the insurance claim itself. If your dispute escalates to litigation, you would need a licensed attorney.
If you are unsure whether your insurance company’s estimate reflects the full value of your loss, GB Claims LLC offers a free claim review for homeowners and small business owners in Suffern, Rockland County, and across New York, New Jersey, Pennsylvania, and Connecticut. There is no upfront fee for public adjusting services. Call 845-456-6699 or email Claims@GBclaims.com.
This article is general information, not legal advice. Coverage and claim outcomes depend on the specific language of your policy.