Public Adjuster

by jim_1 » Sun Oct 10, 2010 02:15 am
Posts: 10
Joined: 09 Oct 2010

A family member's house was a partial fire loss last week and I"m dealing with the insurance adjuster. I've done my research on the policy: full replacement value on Coverage C; full replacement value on Coverage A, but with a depreciation until replacement or repair. I've had an independent strcutural engineer assess the remaining structure of the house, along with an independent contractor to look over the damages. However, many family members and neighbors are urging for the use of a public adjuster to sort out the situation. The PA is suggesting he could get more (within coverage amounts) back; I'm I missing something that I need to pay a public adjuster?

Total Comments: 3

Posted: Sun Oct 10, 2010 02:32 am Post Subject:

The PA is suggesting he could get more (within coverage amounts) back; I'm I missing something that I need to pay a public adjuster?

I think you will find most people who post here, myself included, don't give public adjusters much credit. This is mainly as they promise the world for nothing and seldom can back up their claims.

With that said, I think a public adjuster can be helpful when it comes to a property loss. However, keep in mind that they don't work for free. PA's will usually go as far as to tell you that they "usually" can increase the amount the insurance company pays by so much that their fee is absorbed into that extra payment. Sometimes that might be true... but most often the amount they claim to collect would normally be paid anyway. Property adjusters usually give a quick claim amount based on what they see or know. This amount _often_ increases as additional damages are discovered or actual costs become known. If a PA becomes involved during this time frame then it's going to look like they were the cause of that increase.

On the other hand, sometimes insured's get screwed or are not paid what they are owed. But usually it's easy for the insured to see that this is happening (if you have a repair bill for $10,000 and the insurance is only considering $5,000 then bells and whistles should be going off).

Let me ask... are these family members or neighbors the ones who are going to pay the PA's bill? I also find it very easy to spend someone else's money. Do you feel like you are not being paid enough? Do you feel like you are not being treated fairly?

Posted: Sun Oct 10, 2010 12:45 pm Post Subject:

I also find it very easy to spend someone else's money. Do you feel like you are not being paid enough? Do you feel like you are not being treated fairly?



This is good counsel from tcope. It's pretty much the same when considering getting an attorney involved. If the insurance company is being reasonable, then you can probably argue your own case to try to get an addition $1,000 or $2,000 if that's what you're seeking.

A public adjuster will take about 10% of the recovery amount, so if you can't get at least 111% of what the insurance company has offered prior to the PA's involvement, it's a wasted effort. And if you got 112% -- that's the same money you could have argued for on your own, and been 10% ahead after all is said and done.

Dealing through an attorney is even worse, since they usually want 33% or more.

And as tcope has said, if all these noisemakers on the peripheral are not going to participate in covering the cost of a PA, my advice is to throw a bucket of cold water on them and fend for yourself.

Posted: Mon Oct 11, 2010 11:14 am Post Subject:

Dealing through an attorney is even worse, since they usually want 33% or more.


I feel it's better to hire an attorney only when the worth of your claim is big or when you're absolutely sure of achieving much more in the court of law. Only then it's worth paying this 33%.

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