When to Hire a Public Adjuster — and How the Engagement Works

If you have already read what a public insurance adjuster is, the next question is practical: should you engage one for *this* claim, and what actually happens if you do?

The honest test

Representation adds value where the claim has complexity, scale, or a dispute. Where it has none of those, it usually does not.

Handle it yourself when: the loss is small and clearly defined, the cause is obvious and uncontested, the carrier's estimate broadly matches contractor quotes, and you have time to manage the paperwork.

Get it reviewed when any of these are true:

• The claim was denied, in whole or in part
• The offer is materially below what repairs actually cost
• The loss is a total or near-total
• There is a substantial contents inventory to build
• Causation is contested — wind versus flood, sudden versus gradual, seismic versus settlement
• Multiple policies respond and the carriers are pointing at each other
• It is a commercial loss with business interruption
• You are simply not in a position to run it, because of health, work or the disruption of the event itself

Because the fee is contingent, having the file looked at costs nothing. A reputable adjuster will tell you when a claim does not need them.

What the written contract must do

Texas requires a written contract before any work begins. Before signing, check that it:

• Names the licensed adjuster who will handle the file and their TDI licence number
• States the fee percentage clearly, with what it is calculated against
• Describes the scope of services
• Includes the statutory right to cancel within the specified period
• Does not assign your claim rights or benefits to a third party

That last point matters. An assignment of benefits is a different instrument from a public adjusting contract, and signing one transfers control of your claim. If a document mentions assigning benefits, read it very carefully.

Warning signs: anyone wanting money up front, refusing to put the fee in writing, guaranteeing a specific settlement figure, or soliciting you door to door immediately after a catastrophe — post-disaster solicitation is restricted in Texas precisely because of that pattern.

What the fee is, and what it is not

The fee is a percentage of the amount recovered on the claim, capped by Texas law. Nothing up front, nothing if there is no recovery.

Two clarifications people ask about:

It is not on top of your settlement. It comes out of the recovery. The relevant comparison is not "settlement minus fee versus settlement" — it is "settlement minus fee versus what you would have been paid without representation."

It does not include repairs. The adjuster documents and negotiates the claim. Contractors do the work, and they are paid separately from the settlement.

What happens, week by week

Week one — review and inspection. The policy is read in full, including endorsements and sub-limits. The property is inspected independently and documented in detail. Where there is an existing carrier estimate, it is compared line by line against what is actually there.

Weeks one to three — building the file. Scope and estimate prepared in industry-standard software. Contents inventory started. Specialist reports commissioned where needed — engineer, industrial hygienist, leak detection. Additional living expense or business interruption documentation assembled.

Weeks two to six — submission and negotiation. The documentation goes to the carrier with a written position. The carrier responds, often with a re-inspection. Positions get exchanged in writing. Most claims settle here.

If it does not settle: most Texas policies contain an appraisal provision — each side appoints an appraiser, the two select an umpire, and the amount of loss is determined outside litigation. Appraisal resolves valuation disputes, not coverage disputes. Where the issue is coverage rather than amount, the next step is legal advice, which is a lawyer's role rather than an adjuster's.

On settlement. Payment is issued, usually with a recoverable depreciation holdback if you carry replacement cost coverage. That balance is released once repairs are completed and documented, and it has a deadline. It gets tracked to the end.

What you still need to do

Representation does not mean disengagement. You will still need to:

• Provide the policy, declarations page and prior correspondence
• Help build the contents inventory — you know what was in the house
• Supply receipts for additional living expenses as you incur them
• Provide financial records on a business interruption claim
• Give access for inspections
• Make the decisions. Whether to accept an offer is always yours

Talk to us first

We review claims across Houston, Alvin, Pearland, Friendswood, League City, Dickinson, Santa Fe, Laredo and Corpus Christi. Bring the policy and whatever the carrier has sent you. If the claim is being handled properly, we will say so.