| How much insurance claims adjusters can make per | | | | salary range for a career staff claim adjuster. An |
| annum is the subject of considerable interest and | | | | independent adjuster in a good year, however, |
| speculation to those interested in a career in claims. | | | | especially if he or she works catastrophe claims, can |
| As unstable weather continues into the fall, and the | | | | make well in excess of $100,000. |
| Atlantic hurricane season reaches its stride, its | | | | Staff adjusters can make a good stable living. For |
| important to correctly understand the financial | | | | independent adjusters, the opportunity can be a little |
| landscape of the adjuster industry. | | | | more interesting and, I think, exciting. Independent |
| Some folks have heard from their girlfriend's brother | | | | adjusters working catastrophe claims make |
| or an estranged uncle that claims adjusting is a | | | | essentially a percentage of the amount of each claim |
| money tree. The money tree sits there blooming | | | | they settle. This system of payment is known as a |
| Benjamins, apparently just waiting happily to be | | | | fee schedule and is formulated differently for each |
| plucked by any newcomer with the inside scoop. And | | | | insurance carrier represented and storm situation |
| as an added bonus, you really don't have to do work. | | | | confronted. For example, an independent adjuster |
| The opposite extreme is my own previous | | | | handling hurricane claims may receive a fee schedule |
| misconception of the monetary compensation for | | | | that pays $500 for claims between $3,000 to $5,000, |
| claims adjusters which is that they made next to | | | | $650 for claims between $5,000 and $7,500, and |
| nothing and it was essentially a dead end job. This is | | | | $750 for claims between $7,500 and $10,000. An |
| as far from the truth as the money tree concept | | | | adjuster will receive between 60-70% with the other |
| but, I would hazard to guess, a much more prevalent | | | | 30-40% going to the adjusting firm they work for. |
| misunderstanding. So how much money does an | | | | Hurricane adjusters can easily average $10,000 |
| insurance adjuster really make? | | | | settlement per claim and thus average between |
| According to the U.S. Department of Labor, claims | | | | $400 and $500 dollars in their pocket per claim. A |
| adjusters earned an average of $44,220 in 2004. The | | | | good adjuster should be closing 2 to 4 claims per day |
| top ten percent earned more than $72,620. The | | | | with superb adjuster closing 4 to 7. Making over |
| bottom ten percent earned less than $27,220. This | | | | $1,000 a day as an independent adjuster working |
| seems like a fairly significant disparity. What type of | | | | catastrophe claims is common and very attainable. In |
| adjuster is at the bottom and what type at the top? | | | | this way, a good independent adjuster can surpass |
| The answer to this question depends largely upon | | | | six figures income in less than six months. So, is this |
| the type of claims adjuster you are referring to. In | | | | the money tree after all? Well, not so fast. |
| general, there are two types of adjusters: staff | | | | Remember that catastrophes, especially catastrophes |
| adjusters who are salaried employees of an insurance | | | | sufficient to employ significant numbers of adjusters, |
| carrier, and independent adjusters who are | | | | are relatively few and far between. During "dry" spells |
| independent contractors working for adjusting firms. | | | | for independent adjusters, work can be scarce and |
| This initial difference will make as much of a | | | | competition fierce for the claims that do come along. |
| difference in pay structure as the type of claims | | | | That said, there is a tremendous and exciting |
| actually handled – from worker's compensation to | | | | opportunity for very real, very lucrative money when |
| multi-million dollar commercial properties. | | | | disaster does strike. |
| Staff adjusters are typically going to be earning less | | | | Whether its operating on staff or as independent |
| than independent adjusters and in some cases | | | | contractor, claims adjusting offers potential for solid |
| dramatically less. $25,000-$60,000 is a reasonable | | | | and, in some cases, spectacular income. |