Do I Need a Public Adjuster? When It’s Worth It, and When It Isn’t

The short answer

A public adjuster is most useful on large or complex claims, such as commercial buildings, business interruption, several buildings, or a big gap between estimates. On small, simple claims, or when the insurer quickly offers policy limits, the fee may cost more than a PA can add.

What a public adjuster does, and what they aren’t

A public adjuster is licensed by the state to represent the policyholder on a property insurance claim: documenting the damage, building the estimate and negotiating with the insurer. They charge a fee, usually a share of the claim payment, set out in a written contract. A public adjuster is not a lawyer (in Missouri, the license expressly doesn’t allow practicing law, RSMo 325.015 (license required; no practice of law)) and not a contractor (Missouri bars a PA from contracting to repair the property it is adjusting, RSMo 325.055 (no repair contracts)).

Usually worth considering

• Large losses, where small percentage differences mean real money.
• Commercial property, especially with several buildings or rooftop equipment.
• Business interruption or extra expense claims.
• A large gap between the insurer’s estimate and your contractor’s.
• Talks that have stalled, or no time to manage the claim yourself.

Usually not worth it

• The claim is small or simple, and the insurer’s estimate is close to your contractor’s.
• The insurer offers policy limits quickly. Several states bar a percentage fee in that case anyway. Fee rules
• The dispute is about coverage or the law, such as a denial based on an exclusion. That is attorney work.
• You have the time and records to handle it, and the insurer is responding.
• In Kansas, on a residential claim: the Kansas PA license covers only commercial lines, so check what protection you would have (Kansas Insurance Department: Public adjusters).

Questions to ask before you sign

• Are you licensed in my state? (Then check it yourself: how to verify a license.)
• What is your fee, and is it calculated on the whole settlement or only on the increase?
• Does the fee apply to money the insurer has already paid?
• How long do I have to cancel? (In Missouri, until midnight of the third business day after signing, RSMo 325.050 (cancellation); other states differ.)
• Who will actually work on my claim, and how will you keep me updated?

Not sure? Read your options when the estimate is too low or contact us for a free review.

Sources

• TDI: Public adjusters
• NCDOI: Consumer guide to public adjusters
• Georgia OCI Bulletin 23-EX-1: consumer warning on public adjusters
• RSMo 325.015 (license required; no practice of law)
• RSMo 325.055 (no repair contracts)
• Kansas Insurance Department: Public adjusters

Last checked: October 28, 2026. This is general information, not legal advice.