Vehicle Adjuster: How To Start

Becoming a vehicle insurance adjuster is a great career option for those who enjoy investigative work, crunching numbers, and negotiating settlements. Vehicle insurance adjusters play a crucial role in assessing car accidents and determining the appropriate compensation for damages. To become a vehicle insurance adjuster, you'll need to follow a few key steps. First, you must meet the minimum education requirements, typically a high school diploma or GED. Next, you'll need to decide on the type of adjuster you want to be – staff, independent, or public. Then, obtain your insurance adjuster license by completing the necessary courses and exams. Maintaining your license through continuing education credits is also essential. Additionally, building strong communication skills, computer proficiency, and time management abilities will contribute to your success as a vehicle insurance adjuster.

Education requirements: High school diploma or GED

To become a vehicle insurance adjuster, you will need a minimum of a high school diploma or GED equivalent. This is the minimum educational requirement for this career path. If you do not have a high school diploma, you should consider enrolling in GED courses and passing the GED exam.

Having a high school diploma or GED equivalent is a good starting point for becoming a vehicle insurance adjuster, and it is often the minimum requirement for many entry-level positions. It provides a solid foundation of knowledge and skills that are necessary for the role.

However, it is important to note that some employers or specific job positions within the field of vehicle insurance adjusting may prefer or require applicants to have an associate's or bachelor's degree. Thus, while a high school diploma or GED is sufficient to enter the field, pursuing additional education can make you a more competitive candidate and open up more opportunities for advancement.

In addition to the educational requirements, there are also other important skills and qualifications needed to become a successful vehicle insurance adjuster. These include strong communication skills, customer service skills such as patience and empathy, the ability to drive a vehicle, and proficiency in using computers and claims management software.

Furthermore, to work as a vehicle insurance adjuster, you will typically need to obtain an insurance adjusting license. The requirements for obtaining this license may vary depending on the state you reside in, with some states requiring passing an exam and maintaining the license through continuing education credits.

Choose your adjuster type: Staff, independent or public

There are several types of insurance adjuster positions available, and deciding which one you want to be is an important step in determining your career path and what you can expect from your job.

Staff adjusters are full-time, salaried employees of an insurance company. They are sometimes referred to as company adjusters. They work directly for insurance carriers like Allstate or Progressive and handle claims only for that insurer. They are usually hired as full-time employees and receive benefits such as health insurance, paid holiday and vacation time, and sick leave. Staff adjusters can be desk adjusters or field adjusters. Desk adjusters process claims from an office, whereas field adjusters go out to a site to look at the damage.

Independent adjusters, on the other hand, are hired on a contract basis and work for independent adjusting firms. They are contracted by a third-party claims-handling company or independent adjusting firm and are called in when reinforcements are needed. They handle claims on behalf of the insurer but are not direct employees of the insurance company. They often work for multiple insurance companies at the same time. Independent adjusters are typically hired to process claims more quickly, especially during catastrophic events.

Public adjusters work directly for policyholders or customers. They are hired by the claimant rather than the insurer, usually when the claimant believes they have received an unfair settlement offer. Public adjusters are paid through a commission, typically a percentage of the final settlement amount. They are paid only if the claimant is paid, which encourages them to work in the claimant's best interest.

Get licensed: Pass an exam and renew with continuing education credits

The requirements for becoming a licensed insurance adjuster vary by state. Some states do not require a license to practice as an insurance adjuster. However, if you live in a state that does require a license, you will need to pass an exam to obtain it. Each state has its own licensing exam, and some state licenses allow you to practice in multiple states. For example, a Florida 70-20 Non-Resident Designated Home State Adjuster license allows you to work in Florida and many other states.

If your state requires a license, you should get your home state license first. This will typically have reciprocity with other states, allowing you to apply for a non-resident adjuster license without needing to take another exam. If you live in a state that does not require a license, you can legally practice without one. However, since insurance adjusters often deal with natural disasters, being licensed in multiple states will make you more employable.

To obtain a license, you may need to first complete a pre-licensing course. These courses are available both in-person and online. Once you have passed the exam, you will need to apply for your license. This usually involves submitting an application and paying a fee. For example, in Texas, you must also submit a fingerprint background check with your application.

To maintain your license, you will need to renew it through continuing education credits. Each state has different requirements for the number of credits and types of courses needed to renew your license. Credits can be earned through live or online courses, employer-provided training sessions, publishing articles, or giving lectures related to the insurance claims industry. Most insurance agent licenses are up for renewal after two years, but some states have licenses that are active for up to three or four years. For insurance adjusters, licenses are typically valid for two years.

Specialise: Vehicle theft, vandalism, auto body, etc

Vehicle insurance adjusters, also known as auto claims adjusters, are responsible for assessing and evaluating insurance claims related to automobile accidents. They investigate the extent of the damage caused to a vehicle, estimate repair costs, and negotiate settlements with claimants and repair shops. A specialisation in vehicle theft and vandalism is a common path for auto insurance adjusters.

To specialise in this area, it is important to have a strong understanding of the laws of the road and the anatomy of a vehicle. This knowledge will enable you to accurately assess damage and determine the appropriate settlement amount. Courses in auto body estimating and auto mechanic training can provide a solid foundation for this specialisation. If you have previously worked as an automotive technician, this experience will be highly beneficial when transitioning into the role of an auto insurance adjuster with a focus on vehicle theft and vandalism.

In addition to technical knowledge, strong communication skills and conflict resolution abilities are crucial. Auto insurance adjusters need to interact effectively with claimants, repair shops, and other professionals. They must also be adept at tactfully handling upset or angry customers, as these situations are common in the field.

By specialising in vehicle theft, vandalism, and auto body, you will be well-equipped to handle a range of claims related to automobile accidents and provide valuable expertise in resolving these complex issues.

Skills: Communication, conflict resolution, customer service

To become a vehicle insurance adjuster, you'll need a mix of technical and soft skills.

On the soft skills side, communication is key. As an insurance adjuster, you'll be interacting with multiple people, including insurance policyholders, insurance companies, witnesses, and other professionals involved in an insurance claim. Being able to communicate effectively, both orally and in writing, is essential to ensuring that all parties are receiving clear and timely updates.

Related to communication skills are conflict resolution abilities. As an insurance adjuster, you'll need to be able to negotiate and resolve conflicts between different parties. This may involve handling disputes between insurance companies and policyholders, or working to reach a settlement that all parties can agree on.

Customer service skills are also crucial for insurance adjusters. You'll need to be patient, empathetic, and respectful when dealing with individuals who may have experienced a loss or be going through a challenging time. Adjusters should also possess the ability to actively listen and provide support and assistance to customers, helping them navigate the often complex insurance claims process.

In addition to these soft skills, insurance adjusters also need technical skills, such as proficiency in using computers and specialized claims management software like Xactimate. Organizational skills and attention to detail are also important, as adjusters need to gather and review various types of documentation, including statements, photographs, medical reports, and police reports, to make informed decisions about claims.

Frequently asked questions