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How to become A Claims Adjuster

Law, Public Safety, Corrections, and Security

Claims Adjusters do their best to educate policyholders one claim at a time while ensuring that claims are dealt with efficiently and payment for valid claims is made to policyholders. Continue Reading

Skills a career as a Claims Adjuster requires: Accounting Finance Risk Management Corporate Finance Customer Experience View more skills
Claims Adjuster salary
$52,494
USAUSA
£42,982
UKUK
Explore Career
  • Introduction - Claims Adjuster
  • What does a Claims Adjuster do?
  • Claims Adjuster Work Environment
  • Skills for a Claims Adjuster
  • Work Experience for a Claims Adjuster
  • Recommended Qualifications for a Claims Adjuster
  • Claims Adjuster Career Path
  • Claims Adjuster Professional Development
  • Learn More
  • Conclusion

Introduction - Claims Adjuster

Claims Adjusters do their best to educate policyholders one claim at a time while ensuring that claims are dealt with efficiently and payment for valid claims is made to policyholders.
Similar Job Titles Job Description
  • Accident Investigator
  • Adjuster
  • Adjustment Clerk
  • Claims Adjustment Specialist

What does a Claims Adjuster do?

What are the typical responsibilities of a Claims Adjuster?

A Claims Adjuster would typically need to:

  • Provide advice on making a claim and the processes involved
  • Investigate property damage or personal injury claims, determine how much the insurance company should pay for the loss, and settle the claims
  • Interview the claimant and witnesses; look at police reports; obtain credit information from banks and other credit services
  • Consult with other workers, such as accountants, architects, construction workers, engineers, lawyers, and physicians, who can offer a more expert evaluation of a claim
  • Gather additional information, including photographs and statements, either written or recorded on audio or video, and put together a report for claims examiners to evaluate
  • Ensure that claims are not fraudulent before presenting them to insurance companies; identify reasons why a full payment may seem improbable; explain to policyholders when their claim is not covered
  • Negotiate with and guide policyholders on how to proceed with the claim; settle the claim and authorize payment after the examiner approves it
  • Contact tradespeople from a network of approved professionals who can make repairs on the policyholder's property; order replacement goods if a policyholder has been robbed
  • Work with attorneys and expert witnesses to defend the insurer’s position if the claimant contests the outcome of the claim or the settlement
  • Get advice on complex cases from external specialists, such as loss adjusters and forensic accountants
  • Adhere to legal requirements, industry regulations, and customer quality standards set by the company

Claims Adjuster Work Environment

Claims Adjusters spend some time in the office reviewing documents and conducting research. They work outside when examining the damaged property. The job involves using technology. Offices are usually based in large towns and cities.

Although office-based, you may need to travel to visit clients, brokers, and solicitors. Absence from home overnight and overseas travel is uncommon.

The dress code may vary from company to company, but you should expect to wear a sharp polo and khakis in general. Jeans will not cut it and t-shirts, unless distributed to you specifically for wear in the field, are too informal. You will want to look polished and professional while still being comfortable enough to bend, crawl, and climb around a job if you need to.

Work Schedule

Most Claims Adjusters work full time, between 35 to 40 hours, from Monday to Friday. They often arrange their work schedules to accommodate evening and weekend appointments with clients. This requirement sometimes results in irregular work schedules, especially when they have many claims to review.

Employers

Critical areas within insurance that require assessment include domestic property, burglary, and motor vehicle accidents. There is intense competition for positions both from graduates and non-graduates with general insurance claims experience. Apply early in your final year. Opportunities are available across the globe.

Specialist recruitment agencies handle vacancies. See advertisements in the national press and specialist journals. Large insurance companies advertise vacancies on their websites.

Claims Adjusters are generally employed by:

  • Direct Insurance Carriers
  • Insurance Agencies
  • Brokerages
  • Government Insurance Carriers
  • Direct Health & Medical Insurance Carriers
  • Administrative & Support Services
Unions / Professional Organizations

Professional associations and organizations are crucial for Claims Adjusters interested in pursuing professional development or connecting with like-minded professionals in their industry or occupation. Membership in one or more adds value to your resume while bolstering your credentials and qualifications.

Workplace Challenges
  • Stress due to tight deadlines, working under pressure, erratic work schedules, and long hours
  • Potential burnout due to rubber stamping paperwork which is not intellectually engaging
  • Lack of a robust and sustainable workforce
  • Feeling of inadequacy when dealing with fatalities

Work Experience for a Claims Adjuster

Insurance apprenticeships are available at different levels and are a useful way of getting into the field. Many of the major insurance companies have work placement or summer internship programs. Placements usually last six to ten weeks and provide the opportunity to gain insurance-related experience while getting paid. Competition for places is intense.

Smaller firms sometimes offer work experience, but you may need to approach them directly to find out about opportunities. Work experience in a customer service or administration role in the financial services sector may be useful, and sales experience is also relevant.

Graduate trainee schemes, specifically covering claims, are available with the larger insurance companies or loss adjusting firms. There are also opportunities via general graduate management training schemes that include claims work.

You can also go directly into claims work after initial training. Options are available for both graduates and those without a degree. An alternative route into the job is through more junior or clerical positions, moving up through the company by training and promotion.

Recommended Qualifications for a Claims Adjuster

A high school diploma or equivalent is the essential requirement for a person to work as an entry-level Claims Adjuster. However, some positions may need a bachelor’s degree or insurance-related work experience. This field may be open to all graduates.

Yet, a degree in accounting and finance, business or management/business with languages, economics and accountancy, law, and mathematics may increase your chances of a promising career.


Some locations offer an introductory-level qualification test to provide inexperienced aspirants with an understanding of how the insurance market works. Knowledge of foreign languages may be useful if you work at a global firm or with foreign insurance claims.

Certifications, Licenses and Registration

Licensing requirements for Claims Adjusters vary by location. Some have few requirements; others require either completing prelicensing education or receiving a satisfactory score on a licensing exam (or both).

In some locations, unlicensed Claims Adjusters employed by insurance companies can work under the company license. Public adjusters may need to meet different or additional requirements. Competency with spreadsheet software and appraisal software such as Xactimate would be valuable assets.

Claims Adjuster Career Path

There are opportunities to move up the management structure, either in claims or other departments. For example, in larger company structures, Claims Adjusters can progress to Team Leader, Claims Manager, and Claims Director.

As you progress and gain more experience, you will have increased responsibility for more complex cases. Depending on the nature of the company, you may also become more involved in project work, such as quality control or training. Other possibilities include a move into loss adjusting, risk management, or health & safety consultancy.

There are some opportunities to work with more specialist teams such as fraud investigators, disease and environmental claims handlers, or large case technicians. Gaining more specialized qualifications can help you move into a different insurance area, such as employer or public liability.

Job Prospects

Job opportunities for Claims Adjusters should be best in firms providing services related to property and casualty insurance in areas susceptible to natural disasters. As technology continues to affect this work, those familiar and comfortable with computers and information technology should also have better prospects.

Claims Adjuster Professional Development

Some locations that require licensing also require a certain number of continuing education credits per year to renew the license. Claims Adjusters can attend classes or workshops, write articles for claims publications, or give lectures and presentations to fulfill the requirements.

At the beginning of their career, Claims Adjusters work on small claims under an experienced worker’s supervision. As they learn more about claims investigation and settlement, they are assigned more extensive, more complex claims.

Graduates on a trainee scheme usually undergo two years of intensive on-the-job training. Training is typically in-house and supported by formal training courses. Your line manager and a mentor usually provide support. This initial training may be followed by a further two or three years of training in negotiating claims and underwriting risk.

You need to keep up to date with legislation and developments in the industry, and membership of a relevant professional body is essential for continuing professional development (CPD). Some locations mandate three-five years of experience working as an independent loss adjuster.

Individual insurance companies may also provide ongoing training courses in personal safety and communication skills. It may be necessary to move to a larger organization focusing on a specialized area of insurance to gain further responsibility and experience.

Learn More

Diverse Clientele

Policyholders can range from businesses to individuals. Claims Adjusters may be involved in large-scale accidents and incidents, for example, a bridge collapse.

In the Wake of Experience

With experience and expertise come the opportunities to take up loss adjusting (investigating the loss) or legal discussions about the recovery of money from the party responsible for the loss.

Public vs. Independent vs. Company’s Adjuster

Some Claims Adjusters work as public adjusters. Often, they are hired by claimants who prefer not to rely on the insurance company’s adjuster. A public adjuster’s goal for a claimant is to get the highest possible amount paid to the claimant in return for a percentage of the settled claim. The purpose of Claims Adjusters working for insurance companies is to save as much money for the company as possible. An insurance company may also decide to engage an independent adjuster on a contractual basis to manage the claim.

What It Takes to Succeed as an Independent Claims Adjuster

Independent insurance adjusters operate as independent contractors and are frequently required to supply their adjusting equipment. These must-haves are not merely luxuries, but necessities, without which the job becomes difficult if not altogether impossible. They include a vehicle, helpful navigation & mapping apps, a laptop computer, a good ladder, a digital camera, measuring devices, and a tool belt. Having the right gear is critical for an independent insurance adjuster because it enables you to close claims with maximum efficiency.

More than One Hat

The life of a high-end Claims Adjuster is part “Antiques Roadshow,” part private detective, and part UN diplomat — especially when it is time to break some very bad news to a valued homeowner.

Potential Pros & Cons of Freelancing vs. Full-Time Employment

Being a freelancer Claims Adjuster offers freedom regarding flexible schedules, working hours, and location. They have full ownership of the business and can afford selectivity in terms of the variety of projects and clients presented.

While it has unlimited earning potential, freelancing comes with less stability and security, with inconsistent work and cash flow. There is more responsibility, effort, and risk involved. There are no paid holidays, and sick/maternity/paternity leaves are almost unaffordable. There is the added pressure of a self-employment tax and no eligibility for unemployment benefits.

However, a full-time Claims Adjuster has access to company-sponsored health benefits, insurance, and retirement plans. They have job security with a fixed, reliable source of income and guidance from their bosses. Despite that, they are susceptible to potential boredom and inability to pursue passion projects due to their lack of time or effort. With a lack of flexibility, ownership, and variety, there is also a need to budget extra money for commuting and attire costs.

When deciding between freelancing or being a full-time employee, consider the pros and cons to see what works best for you.

Conclusion

Claims Adjusters have a seemingly humble job - they dress business casual, they climb on roofs, and often arrive for the inspection in a pickup truck - but the smile on their faces says it all. Adjusting is good money - not easy money, but good money.

Advice from the Wise

For the first six months, everything you see will blow your mind, and then they will just become numbers and things. If you stay ready, there's no need to get prepared when an opportunity presents itself.

Did you know?

A full accident reconstruction is not always necessary to support insurance claims; a knowledgeable eye for detail may be all that many cases require.

Introduction - Claims Adjuster
What does a Claims Adjuster do?

What do Claims Adjusters do?

A Claims Adjuster would typically need to:

  • Provide advice on making a claim and the processes involved
  • Investigate property damage or personal injury claims, determine how much the insurance company should pay for the loss, and settle the claims
  • Interview the claimant and witnesses; look at police reports; obtain credit information from banks and other credit services
  • Consult with other workers, such as accountants, architects, construction workers, engineers, lawyers, and physicians, who can offer a more expert evaluation of a claim
  • Gather additional information, including photographs and statements, either written or recorded on audio or video, and put together a report for claims examiners to evaluate
  • Ensure that claims are not fraudulent before presenting them to insurance companies; identify reasons why a full payment may seem improbable; explain to policyholders when their claim is not covered
  • Negotiate with and guide policyholders on how to proceed with the claim; settle the claim and authorize payment after the examiner approves it
  • Contact tradespeople from a network of approved professionals who can make repairs on the policyholder's property; order replacement goods if a policyholder has been robbed
  • Work with attorneys and expert witnesses to defend the insurer’s position if the claimant contests the outcome of the claim or the settlement
  • Get advice on complex cases from external specialists, such as loss adjusters and forensic accountants
  • Adhere to legal requirements, industry regulations, and customer quality standards set by the company
Claims Adjuster Work Environment
Work Experience for a Claims Adjuster
Recommended Qualifications for a Claims Adjuster
Claims Adjuster Career Path
Claims Adjuster Professional Development
Learn More
Did you know?
Conclusion

Holland Codes, people in this career generally possess the following traits
  • R Realistic
  • I Investigative
  • A Artistic
  • S Social
  • E Enterprising
  • C Conventional
United Nations’ Sustainable Development Goals that this career profile addresses
Decent Work and Economic Growth Industry, Innovation and Infrastructure Peace, Justice, and Strong Institutions