Home Insurance Claim Adjuster Secret Tactics

There are more than 327,000 insurance claim adjusters in the United States.[1] Most of them work for insurance companies — not individuals. Understanding how they work is critical. 

Home insurance claim adjusters are paid to reduce a company’s losses. The tactics they use can keep a company from paying too much (and losing money in the process). Claim adjuster tactics can also reduce fraud. Every year, this type of crime costs businesses and consumers $308.6 billion. 

Do your best to remember that claim adjusters are trying to do their jobs effectively. But know their tactics could also cost you money after a claim. 

Key Facts

Common Home Insurance Adjuster Tactics

While every home adjuster is different, many use the same techniques to ensure the company they work for doesn’t pay more in claims than it should. You do have the option of hiring an independent public adjuster who may be better able to advocate for your rights as a property owner, especially with complex claims, but you’ll be responsible for paying the fee for service. While not all adjusters are fair and honest, it’s important that you’re always honest when filing claims since the legal consequences of committing insurance fraud are severe.

Insurance industry analyst Kristopher Kane points out, “Many insurance adjusters use fair and equitable practices, but not all. Unfortunately, some adjusters resort to unfair or unethical tactics in an effort to protect their employer’s bottom line. If you’re working with an adjuster who’s rushing you or issuing ultimatums, or just seems unprofessional, you may want to seek outside help, such as an independent adjuster or even an attorney knowledgeable in insurance law.”

These are among the most common tactics adjusters use when processing claims:

Tactic	How to Protect Yourself
Bullying	Use written communication whenever possible. Report the behavior to your agent or lawyer.
Flattery	Return to facts and figures whenever possible. Hire a lawyer if the issue won’t stop.
Verbal deception	Insist on examining agreements in writing. Don’t agree to anything that is simply spoken.
Delays	Be persistent and communicative so your adjuster pushes the claim forward to make you go away.
Pressuring a quick settlement	Examine all proposals carefully, and take your time to review them before you accept.
Downplaying or undervaluing losses	Hire a public adjuster to examine your damage and determine if a settlement is truly fair.
Requesting non-required documents	Read your policy for details about what documents are required. Consult a lawyer as needed.
Citing nonexistent loopholes	Read your policy carefully. Consult a lawyer about terms you don’t understand.
Placing blame	Ask a public adjuster to review the issue. Appeal a denied claim.
Encouraging you not to hire a lawyer	Know that this isn’t ethical. Hire a lawyer when you need one.
Lowballing your items	Hire a public adjuster or lawyer to fight for your rights as detailed in your policy.
Denying your claim	Appeal denials that violate the terms of your agreement.

Let’s dig deeper into these techniques and outline how you can protect yourself. 

Bullying 

No one expects to be fast friends with an insurance adjuster, but overt bullying can catch you off guard. Your adjuster could use this to their advantage, encouraging you to believe that you’re not worthy of help or not clever enough to understand your policy. 

Dealing with a bully isn’t easy, but it’s common. After all, an estimated 30% of Americans are bullied at work.[3] 

Deal with your bully by using written communication whenever possible. A bully might be less likely to write something incriminating than they would be to speak it. 

Otherwise, stay calm and refuse to engage in apologies, threats, or other forms of bad behavior. If it continues, report this conduct to your agent or your lawyer. 

Flattery 

We all want to feel special and intelligent, but overt flattery can cloud your judgment, make you chatty, and give your adjuster an advantage. 

Divert flattery by returning to facts, figures, and statistics. Don’t let the adjuster change the subject and entice you to talk about yourself or topics that have nothing to do with the claim. 

If the flattery continues and makes you uncomfortable, consider legal representation. A lawyer can intercede between you and the adjuster, ensuring you’re not a future target. 

Verbal Deception 

Anything in writing, including text messages, can be considered proof of an agreement.[4] But agreements that are simply spoken are slippery, and some adjusters know this. 

Beware of adjusters who want to discuss intricate details about your case and offer a handshake as an agreement. And don’t believe them if they say they’ll write things down just as you discussed and you don’t need to sign them. 

Ensure that everything is written down, and review all of those details carefully before you sign. You’re not being fussy; you’re being careful, and that’s just smart. 

Delaying Your Deals 

Most policies require people to file claims within one year of a loss.[5] But yours might also limit how long your policy will pay for things like rent when your home is ruined. And they could require you to complete your home repairs within a specified time. 

Delaying your claim could help the company to save money on your claim. It’s easy enough to do. Your adjuster might schedule meetings far in advance, require multiple contractor interviews, and more. 

You can’t make an adjuster go faster. But you can be persistent and ensure that you’re top of mind for the insurance company. Document all of your requests. And if the deadline nears, don’t be afraid to hire a lawyer to help. 

Pressuring a Quick Settlement 

You’re entitled to examine all of your deals and fight for the one that’s right for you. But some claim adjusters understand how hard it can be to wait for a long process to drag out. They will use this knowledge to their benefit. 

A sneaky claim adjuster might offer a lowball deal and entice you to take it to end the process quickly. They might suggest that accepting the agreement is the best way to get any money at all. 

Know your rights and refuse to be pressured. Examine all of your proposals carefully, and know that you can reject anything that is too low. 

Downplaying or Undervaluing Losses 

Creating an appropriate claim settlement is an art, and home insurance adjusters have quite a bit of leeway in crafting a plan that seems right to them. Sometimes, they use their knowledge to reduce your settlement. 

For example, your adjuster might offer to patch a damaged roof rather than replacing the whole thing. Or your settlement might include payments for refinishing warped floors, rather than replacing the damaged wood. 

A public insurance claim adjuster works for you, not an insurance company. This person could examine your home and determine if a proposal will really make you whole again or leave you with future damages and repairs (which aren’t covered).

Requesting Excessive Documents

Filing a homeowners insurance claim typically means filling out forms, attaching receipts (if available), and providing a police case number (if applicable). Other documents may help to support your case, but they’re not always required. 

Beware of adjusters who request documents like the following:

• Medical records 
• Tax assessments 
• Bank statements 
• Work-related records 

The documents you must provide should be clearly outlined in your policy. Any gray areas should be discussed with a lawyer. Don’t offer up any paperwork that doesn’t seem appropriate. And beware an adjuster that says the claim will be denied if you don’t provide a mountain of paperwork. 

Citing Nonexistent Loopholes

A homeowners insurance policy is filled with dense legal language, and the terms can be difficult to understand. But if you dig deep, you’ll understand what sorts of issues are and are not covered. 

A sneaky home insurance claim adjuster could twist the language in your policy. For example, they could say your broken window caused by wind isn’t covered because the storm was actually a “breeze,” which isn’t part of your policy. 

Read your homeowners documents carefully, and get legal assistance with anything you can’t understand. Hire a lawyer if you can. 

Placing Blame 

A homeowners insurance policy is designed to protect you from the unexpected and not wear and tear. Claim denials sometimes stem from problems caused by neglect. But an adjuster could suggest your losses are caused by something you did, not by a covered event. 

For example, a big storm could push a tree limb into your front window. The storm is the cause of your claim. But the adjuster could say that you didn’t maintain your tree properly, and the limb fell because it should have been trimmed long ago. 

Know that you can appeal any kind of rejected claim. And you can hire a public adjuster to review things and fight for you. 

Discouraging Legal Help 

Throughout this article, we’ve discussed hiring a lawyer multiple times. Sometimes, you need an outsider to dig through your contract and fight for your rights. A home insurance claim adjuster could discourage you from accessing this critical help. 

Know that you have the right to legal representation. It can’t be waived or washed away. Never let anyone pressure you into waiving your rights. Get help when you need it. 

Lowballing Your Items 

Most insurance companies recommend policies that cover 100% of your home’s replacement cost.[5] If something terrible happens, your policy could help you to rebuild and be made whole. But when an event occurs, an adjuster could suggest that your home should be repaired in a way that costs the company less and reduces your home’s overall value.

For example, an older home could have interior walls covered in antique lath and plaster. An adjuster could suggest repairing the walls with modern drywall, as it’s a quicker process and less expensive.

Tricky cases like this sometimes benefit from the involvement of a public adjuster or lawyer who’s on your side. A professional working for you could fight for your rights as detailed within your policy.

Denying Your Claim 

An unethical insurance adjuster could deny your claim — either verbally or in writing — very early in the process. With this technique, they hope you will be so discouraged that you’ll give up on the idea of being reimbursed. 

Understand your policy before you file your claim. Know what is and is not covered. And appeal a denial if you know it violates the terms of your agreement. 

Frequently Asked Questions About Home Insurance Claim Adjuster Secret Tactics

We’ve compiled some of the most common questions about secret home insurance claim adjuster tactics.