Homeowners & Tenants Insurance
Adjusters, Appraisers & Umpires
After you declare a loss, an adjuster will be sent by your insurance company to examine the damage and give you an estimate of the cost of repair or replacement. You may also get an estimate from your own contractor to compare with the insurance company’s estimate. If you need assistance, your agent or broker may be able to help you fill out a claim form, gather the necessary documents and materials and provide very general guidance. It is, however, up to you to prove your loss to the company.
If you are unfortunate enough to experience a major loss such as a fire or severe windstorm which badly damages or destroys your home, and you reach an impasse in negotiating a settlement with your insurance company, you may want to consult an attorney or hire a licensed public adjuster to act on your behalf with your insurance company.
While many consumers can resolve property claims by dealing with their insurers and the assigned adjuster directly, sometimes consumers or businesses will decide they would prefer that someone else handle the insurance claim on their behalf.
In order to do business in New York, Public Adjusters must be licensed by the Department of Financial Services.To find a licensed public adjuster, visit our list of Public Adjusters licensed in New York .
Public adjusters are paid by the insured, not the insurance company. The amount of the public adjuster’s fee is usually expressed as a percentage of the amount recovered and is negotiable, but by law may not be higher than 12.5% of the recovery amount. The adjuster must obtain a signed compensation agreement from you in which the amount of compensation is clearly stated. The agreement you sign to hire a public adjuster may be cancelled without penalty up to midnight of the third business day after the date on which you have signed the compensation agreement. In addition, public adjusters may not solicit your business between the hours of 6 p.m. and 8 a.m.
It’s important to keep in mind that if an insured hires a public adjuster, the insurance company may or may not agree with that person’s estimate of the scope of damage.
The insurer is not obligated to accept the damages claimed by a public adjuster, though the insurer may negotiate. The insurance company is obligated to settle the claim in accordance with the terms and conditions of the policy it issued to the insured. Whatever the outcome of the claim, the consumer remains responsible for the Public Adjuster’s agreed upon fee.