What is the difference between a private adjuster and a public adjuster?
Short answer. "Private adjuster" is not a license category; people use it to mean either an independent adjuster hired by the insurance company or a public adjuster hired by the homeowner. A public adjuster is the one who works for you, for a fee. An independent adjuster may be self employed, but on your claim they work for the insurer.
The three kinds of adjusters you may meet
- Staff adjuster: an employee of the insurance company.
- Independent adjuster: a contractor or firm the insurer hires, often in large numbers after a hailstorm. Independent does not mean neutral; the insurer assigns the file and pays the fee.
- Public adjuster: licensed to represent the policyholder and paid by the policyholder, usually a percentage of the settlement under a written contract.
How to tell who you are dealing with
- Ask directly: "Who hired you, and who pays your fee?"
- Compare the business card and email address with the claim letter from your insurer.
- Look up the license with the Georgia Office of Insurance and Safety Fire Commissioner. Public and independent adjusters working in Georgia must be licensed, and the lookup shows the license type.
- Do not sign anything from someone who calls themselves a "private adjuster" until you have seen the license and the contract. In Georgia, a public adjuster must use a contract form approved by the Commissioner.
Where roofers and engineers fit
Neither is an adjuster. A roofer documents damage and prices the work; an engineer gives an opinion on the cause. A contractor who offers to negotiate your claim for a fee is acting like an unlicensed public adjuster, which Georgia does not allow. See public adjuster vs roofer.
Why the label matters
If you think the person on your roof is on your side and they were sent by the insurer, you may accept their estimate without checking it. If you think they work for the insurer and they are actually a public adjuster, you may sign a fee agreement without realizing it. Clarify before the inspection starts.