The Ever-Changing Landscape Of An Insurance Adjuster's Career: Navigating Stability And Uncertainty

Are you looking for a stable career? Consider becoming an insurance adjuster.

Insurance adjusters are in high demand and play an important role in the insurance industry, investigating claims and determining an insurance company's liability. They handle a variety of insurance claims, including property damage, personal injuries, and automobile accidents. With the right tools and mindset, insurance adjusters can even make six figures in their first year!

The job comes with many perks, including career independence, flexibility, and the ability to help others get back on their feet after a loss. It's no wonder that insurance adjusting is often referred to as the hidden gem of insurance careers.

So, if you're looking for a stable and rewarding career with excellent earning potential, insurance adjusting might just be the perfect fit for you.

Insurance adjusters have stable careers due to consistent demand, even in recessions

Insurance adjusters have stable careers due to the consistent demand for their services, even during economic downturns or recessions. This is because insurance is a necessity in today's society, with individuals, businesses, and financial institutions relying on it.

Insurance adjusters, also known as claims adjusters, are responsible for processing insurance claims. They investigate and analyse losses or damages caused by accidents or disasters and determine whether these are covered by an individual's insurance policy. This involves interviewing involved parties, researching laws and policies, examining evidence, estimating repair costs, and negotiating settlements. The role requires strong communication skills and knowledge of legal practices.

The demand for insurance adjusters remains stable or even increases during economic downturns as losses and accidents continue to occur regardless of economic conditions. Natural disasters, hurricanes, kitchen fires, and auto accidents can happen at any time, and insurance adjusters are needed to handle the resulting claims.

In addition, the insurance industry is facing a talent gap due to retiring baby boomers, creating a need for new talent to enter the field. Insurance adjusting also offers competitive pay rates, flexibility, and the ability to help others, making it an attractive career choice.

Overall, insurance adjusters benefit from stable careers due to the consistent and often essential nature of their work, even during challenging economic periods.

They handle insurance claims, determining liability and settlement amounts

An insurance claims adjuster's primary role is to investigate claims and determine an insurance company's liability. They also ensure that claims are legitimate and decide on a fair settlement amount.

To do this, an adjuster will interview the claimant and any witnesses, as well as gather all relevant documentation, including statements, photographs, and other records. They will also review police reports and medical records.

Adjusters work in a variety of insurance settings, including automobile, health, life, and property insurance. They may handle property claims involving damage to structures and/or liability claims involving personal injuries or third-party property damage.

For example, a medical claims adjuster will determine if an individual's insurance covers a particular medical procedure and then either approve or deny the claim. If a claim is denied, the person will not receive coverage or a settlement.

Adjusters also determine the settlement amount by considering three main factors: liability, damages, and the terms of the insurance policy. They assess the insured party's liability and the victim's losses, including financial losses like medical bills and damage to property, as well as pain and suffering.

The adjuster's goal is to protect the insurance company from fraud while ensuring that claimants receive fair compensation for their losses.

Adjusters work for insurance companies or as freelance contractors

There are two types of insurance adjusters: company adjusters and public adjusters. Company adjusters are employed by insurance companies and represent their interests. Public adjusters, on the other hand, are independent contractors who represent the interests of the policyholder.

Company adjusters are typically full-time employees of an insurance company and work directly for them. They are usually salaried and receive benefits.

Public adjusters, also known as independent adjusters, are contracted by third-party claims-handling companies or independent adjusting firms (IA Firms). They are hired on a contract basis and may work for multiple insurance companies. Public adjusters are usually hired when there is an unmanageable volume of claims or when claimants are in remote locations affected by natural disasters.

It is worth noting that some states require you to specify the type of adjuster license you are applying for. Most of the time, unless you are already employed by an insurance company directly, you will need an independent license.

The job of an insurance adjuster is considered very stable. There is always a demand for this role, and even in a recession, there will always be a need for adjusters.

The role requires good communication, computer, and time management skills

The role of an insurance adjuster

An insurance adjuster, or claims adjuster, investigates insurance claims to determine an insurance company's liability. They may also decide on a fair settlement amount. This role is often referred to as the "hidden gem" of insurance careers.

Good communication skills

Insurance adjusters need to be able to communicate effectively with multiple people, including insurance policyholders, insurance companies, and other professionals involved in a claim. They should be able to communicate both orally and in writing.

Communication skills are vital for sharing information and ensuring everyone involved in a project knows what they are working towards. In the case of insurance adjusters, this means keeping claimants, witnesses, and insurance companies informed of the process and progress of a claim.

Computer skills

Most, if not all, insurance companies use electronic means to deliver claims estimates and other information. Therefore, insurance adjusters need to be able to use computer systems efficiently.

Time management skills

An insurance adjuster may be responsible for multiple claims at once, so they must be able to manage their time effectively to handle all their tasks. This includes staying organized, assessing priorities, setting goals, and planning.

A stable career

Insurance adjusters are always in demand as there are claims made every day. It is a stable career choice, even in a recession, as there will always be a need for adjusters to estimate damage caused by natural disasters.

A well-paid role

The average salary of a claims adjuster in the US is $61,465 per year, but this can vary depending on the number of claims being handled. Some adjusters can earn thousands of dollars a week, especially when dealing with catastrophe-related claims.

It can be stressful, dealing with distressed parties and high call volumes

Being an insurance adjuster can be a stressful job, with high workloads and long hours that can lead to burnout. Adjusters often have to deal with distressed parties, giving them bad news and leaving them feeling like they are "rubbing salt in people's wounds".

The work can be emotionally challenging, especially when dealing with fatalities or house fires. In these situations, there is a lot of emotion involved, and adjusters often feel that they haven't done enough to help. Adjusters also have to navigate the stress of high call volumes, with a constant stream of new claims coming in and the pressure of having to deliver bad news to people who are already in difficult situations.

The work can be intellectually demanding, requiring adjusters to investigate claims, resolve conflicts, and balance the interests of their employers with providing good customer service. The role can also be physically demanding, with adjusters sometimes having to climb on roofs or travel with little notice to disaster areas.

The pressure to meet goals and the constant presence of angry customers can make the job very challenging. Adjusters have to have thick skin, as they will inevitably be screamed at and thrown out of houses by angry claimants. The work can be unpredictable, with adjusters often having to work outside of regular hours and being on call 24/7. This can make it difficult to maintain a healthy work-life balance, which is crucial for preventing burnout.

Despite the challenges, many adjusters find the job rewarding. They are able to help people get back on their feet after suffering a loss, and guide them through difficult times. Adjusters also have a lot of freedom and flexibility in their work, and there is always a demand for their role, even in a recession.

Frequently asked questions