After a major storm event, public adjusters approach homeowners — often within days of the storm clearing — to represent the homeowner in the insurance claim. The pitch is that a public adjuster, paid as a percentage of the eventual settlement, will produce a larger settlement than the homeowner would negotiate alone.
This is sometimes true. It is also sometimes complicated. As the roofing contractor on these projects, we have a clear view of what works and what does not.
What a public adjuster does
A public adjuster (PA) is a state-licensed professional who represents the homeowner in the insurance claim process. The PA's services typically include:
- Scoping the damage independently from the carrier
- Negotiating the claim amount with the carrier's adjuster
- Documenting the damage with the level of detail necessary to support the claim
- Pursuing claim disputes through the carrier's appeal process
PAs are paid as a percentage of the settlement — typically 10-20%, capped by Florida statute.
When a public adjuster helps
The case where a PA is genuinely valuable:
Complex damage on a high-value property. The claim has many line items, the documentation requires significant work, and the carrier's initial scope is conservative. A skilled PA can substantially increase the settlement.
Initially denied claims. The carrier has denied or significantly limited the claim. The PA's job is to make the case for full coverage through the appeal process.
Cases where the homeowner is overwhelmed. Storm aftermath is stressful; managing the claim requires sustained attention. A PA can handle the process while the homeowner manages everything else.
When a public adjuster complicates
The cases where a PA's involvement is less helpful or counterproductive:
Simple, well-documented claims where the carrier's scope is already reasonable. The PA's percentage exceeds the marginal improvement they can deliver.
Cases where the PA's relationship with the contractor is not at arm's length. Some PAs have informal arrangements with specific contractors; this is legal but creates conflict-of-interest exposure for the homeowner.
Cases where the PA is the first contact the homeowner has. The PA solicits the homeowner before the homeowner has decided to file a claim. The aggressive solicitation can produce claims that do not need to be filed and can complicate the carrier relationship.
What our role is, and is not
We are the roofing contractor. We document the damage from our perspective, write the bid for the repair, and execute the work. We are not the claim representative.
Our role with the PA:
- Provide our independent damage assessment
- Submit the bid for the repair scope (the PA may or may not be involved)
- Coordinate the actual repair work
- Provide closeout documentation for the claim file
Our role is not:
- Decide whether the homeowner should hire a PA
- Negotiate with the carrier on the homeowner's behalf
- Take a fee from the PA's settlement (this is illegal in Florida)
What to ask before hiring a PA
Three questions:
What is the fee structure, and is it clearly stated in writing? Florida law caps fees; verify the cap.
What is the PA's relationship with the contractor I am considering? Look for any financial relationship that creates conflict of interest.
Has the carrier's adjuster yet provided a scope? If the carrier has not yet inspected, the PA's value is harder to assess. Many simple claims are settled at the carrier's first scope without PA involvement.
What we will not do
Two specific things:
1. Sign an Assignment of Benefits (AOB)
Florida's AOB reforms have reduced abuse, but we do not accept AOB. The claim stays in the homeowner's name. We are paid by the homeowner directly, regardless of how the carrier disposes of the claim.
2. Refer a PA without disclosure
If a PA has approached us about a referral relationship, we disclose this to the homeowner before any conversation. We do not have undisclosed financial relationships with PAs.
When a PA is genuinely worth the fee
Two specific cases:
The claim is being denied or substantially under-paid, and the homeowner does not have the time or expertise to fight it.
The claim is sufficiently large and complex that the PA's documentation work materially improves the outcome.
In other cases, the homeowner can typically work through the claim with the carrier directly. The 10-20% fee is meaningful on a $80,000 claim; less meaningful on an $800,000 claim.
Each case is its own decision. The PA can help; the PA can also be unnecessary overhead. Honest assessment of your specific situation is the right starting point.
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