Understanding Public Adjusters in Missouri: What Home & Business Owners Should Know
When property damage strikes — whether due to fire, hail, wind, or other disaster — the insurance claim process can be complex and frustrating. That’s where a public adjuster enters the picture. But in the state of Missouri, the rules for public adjusters have specific definitions, licensing requirements and limitations. Here’s what you need to know.
What is a Public Adjuster?
In Missouri, under Missouri Revised Statutes Chapter 325, a public adjuster is defined as:
“Any person, partnership, association or corporation engaging in the adjustment or settlement of claims for losses or damages arising out of policies of fire or allied lines of insurances.” Importantly, the definition excludes attorneys at law, and individuals engaged for certain other lines of insurance. In plain language: A public adjuster represents the policyholder (you, the insured), not the insurance company. Their job is to help ensure you get a fair settlement under your insurance policy.”
Why might you hire one?
Here are a few scenarios where a public adjuster could help:
- The damage is significant (major fire, widespread water/heating damage, hail or storm damage) and you want to make sure the full scope of the loss is captured.
- You feel the insurer’s initial settlement is too low or they are not responding in a timely manner.
You’d rather have an experienced professional handle the documentation, negotiation, deadlines and communication with the insurance company.
When done properly, a competent public adjuster can level the playing field so you’re not left trying to negotiate against an insurer’s team of adjusters and attorneys.
Licensing & Requirements in Missouri
It’s essential to know what the law says in Missouri, because unlike some states where adjusters are broadly licensed, Missouri has specific rules for public adjusters (and adjusters generally).
- Under Section 325.015 RSMo:
“No person … shall … act as a public adjuster or public adjuster solicitor … without first securing a license” in Missouri.
- Chapter 325 also covers application, renewal, bond, contract execution, and prohibition against combining adjusting services with repair/contracting services.
- According to Missouri’s regulations, any contract between the policyholder and public adjuster must clearly state the time, date and place of execution — and the policyholder has a right to cancel the agreement until midnight of the third business day after signing.
- There is a prohibition: A licensed public adjuster cannot perform restoration or repair work for the policyholder whose claim they represent — to avoid conflicts of interest.
What to look for / questions to ask
If you are considering hiring a public adjuster in Missouri, here are some important questions and criteria:
- Are they licensed as a public adjuster under Missouri Chapter 325? (Ask for license number and verify with the state.)
- What is their experience with claims similar to yours (e.g., fire damage, hail, commercial property, etc.)?
- Do they have good references or reviews from previous clients?
- How will they charge you (percentage of claim? flat fee?), and is the fee structure clearly disclosed in writing in the contract?
- Will they represent you exclusively (the policyholder) and not have any conflicting interest with a contractor or restoration company? (In Missouri, this conflict is prohibited.)
- Is the contract easy to understand, and does it include the cancellation clause (you can cancel within 3 business days) as required by Missouri law?
- Can they walk you through what you, the policyholder, must do (document damage, meet deadlines, provide evidence) and what they will handle?
How the Process Typically Works
Here’s a simplified flow of how you and a public adjuster may work together:
- You have a covered loss (e.g., storm damage to your roof, water intrusion, fire).
- You notify your insurer and start the claim process.
- You engage a public adjuster. They review your policy, inspect damage, compute full scope (sometimes including hidden damage, business interruption losses, mitigation costs).
- They prepare the claim package/documentation and negotiate on your behalf with the insurer.
- They help ensure you understand settlement offers, check whether you are being fairly indemnified.
- Once settled, you proceed with repairs or restoration, but the adjuster’s role is separate — they represent you, not the insurer or contractor.
- You pay their fee (as per contract), but only after you agree to settlement terms.
Common Pitfalls & How to Avoid Them
- Signing a long-term contract without understanding fee: Make sure the contract is clear and you understand what you’re paying.
- Working with a “public adjuster” who is also a contractor/restoration company: That’s a red flag in Missouri — it creates a conflict. A contractor cannot act as your public adjuster representing your interests.
- Waiting too long to engage help: The sooner you document the damage and bring in experts, the better your chances of capturing full loss value.
- Assuming the insurer will voluntarily pay everything: The burden of proof is on the policyholder, and complex losses often require detailed documentation and negotiation.
- Under Section 325.015 RSMo:
How a Public Adjuster Can Help
A public adjuster works for you, not the insurance company, to manage every aspect of your claim. Hiring a public adjuster like Mission Property Loss Consultants can make all the difference, especially with hidden water damage:
- We conduct detailed inspections to uncover issues carried may overlook
- We prepare professional documentation that clearly shows cause, extent, and cost of damage: preventing denials due to insufficient evidence.
- We handle all communications and negotiate with insurers so you don’t have to, helping ensure you receive full compensation under your policy.
When carriers try to minimize your loss or deny coverage dur to ambiguous documentation, experienced public adjusters advocate for you with industry expertise and precision.
Why It Matters for Home & Business Owners in Missouri
Missouri faces its share of property damage risks from hail storms to tornadoes, from fire to water intrusion. If you own a home or operate a business in Missouri, you want your insurance policy to work when it matters. A skilled public adjuster can make a difference in whether you get a full, fair recovery or whether you accept less than you’re entitled to.
At Mission PLC, we believe in advocacy for the insured, transparency, and helping property owners navigate these complex processes. Whether you have a relatively straightforward claim or something more complicated, being informed and prepared gives you the edge.
