Legal Definitions - insurance adjuster

An insurance adjuster is a professional who investigates insurance claims to determine the extent of a policyholder's loss and the amount the insurance company should pay. They act on behalf of the insurer to assess damages, verify facts, and negotiate a fair settlement according to the terms of the insurance policy.

• Example 1: Car Accident Damage

  Imagine a driver is involved in a significant car accident, resulting in substantial damage to their vehicle. After filing a claim with their auto insurance company, an insurance adjuster would be assigned to the case. This adjuster would inspect the damaged car, review police reports, and gather repair estimates from body shops. Their role is to determine the actual cash value of the damage or the cost of repairs, ultimately deciding how much the insurance company is obligated to pay for the vehicle's repair or replacement.

• Example 2: Home Fire Loss

  Consider a homeowner whose house suffers extensive damage from a kitchen fire, destroying appliances, furniture, and parts of the structure. The homeowner files a claim with their property insurance provider. An insurance adjuster would visit the property to evaluate the structural damage, create an inventory of damaged personal belongings, and potentially consult with contractors or restoration specialists. They would then calculate the total loss covered by the policy, factoring in depreciation and policy limits, to propose a settlement amount for repairs and replacement of possessions.

• Example 3: Business Property Theft

  A small retail business experiences a break-in where valuable inventory and equipment are stolen. The business owner files a claim under their commercial property insurance policy. An insurance adjuster would investigate the incident by reviewing security footage, police reports, and the business's inventory records. They would assess the value of the stolen items and damaged property, then work with the business owner to determine the appropriate compensation that the insurance company will pay to cover the losses.