In many states, a public adjuster is a lawful fiduciary under either state or federal jurisdiction (e.g. FEMA) to legally and professionally represent the rights of an insured/policyholder during a insurance claim. The role of a public adjuster is to recover the best possible indemnification for their claims. Individuals may prefer to avoid the stress of claims handling themselves, and choose public adjuster representation to guide them through the process and minimize the time which must be spent to file their claim properly. Public adjusters negotiate with insurance companies/carriers for an adjustment or settlement.

Primarily, public adjusters review the applicable insurance policy to determine coverage for the loss, assess the cause of loss to determine applicable coverage, assist the insured to prepare detailed scope and cost estimates to prove their loss. Public adjusters also provide insurance policy interpretation to determine if coverage exists, and to negotiate with the insurance company/carrier to a final and fair settlement.[1] Most public adjusters charge a percentage of the settlement.

A public adjuster is a representative of the insured/policyholder who advises, manages, and submits a claim to the policyholder's insurance company. A public insurance adjuster advocates exclusively for policyholders.

There are generally three types of insurance claims adjusters: staff adjusters who are employed by an insurance company or a self-insured entity, independent adjusters who are independent contractors hired by the insurance company for individual claims, and public adjusters who are employed by the insureds/policyholders. "Company" or "independent" adjusters can only legally represent the rights of an insurance company. Most adjusters are required to pass a state exam proving essential knowledge and competency. In some states, staff adjusters are exempt from licensing because their employer, the insurance company/carrier, carries the adjusters license.

The public adjusters main responsibilities are to:

• Evaluate existing insurance policies in order to determine what coverages may be applicable to a claim
• Research, detail, and substantiate damage to buildings and contents and any additional expenses
• Evaluate business interruption losses and extra expense claims for businesses
• Determine values for settling covered damages
• Prepare, document and support the claim on behalf of the insured
• Negotiate a settlement with the insurance company on behalf of an insured
• Re-open a claim and negotiate for additional settlements if a discrepancy is found after the claim has been settled
• Typically a policyholder hires a public adjuster to document and expedite their claims and to insulate themselves from the stress of engaging in an adversarial role with a large corporation. The burden of presenting a professional claim to an insurer can be alleviated by the work of a public adjuster.