Common Tactics Loss Adjusters Use—and How to Protect Yourself
When you submit an insurance claim, it’s likely your insurer will appoint a Loss Adjuster to assess the damage, review your policy, and advise on what they should pay. While Loss Adjusters are professionals, it’s important to remember that they are working for your insurer—not for you. Their objective is to verify the claim and keep settlement costs as low as possible.
To level the playing field, it helps to understand some of the common tactics they use—and more importantly, how to protect your own interests throughout the process.
Offering a Quick Settlement
One of the most common tactics is to offer a settlement quickly after the Loss Adjuster’s first visit. This might seem efficient, but it’s often designed to settle the claim before all the damage has been fully assessed or before you’ve had time to gather supporting evidence.
How to protect yourself: Take your time. Never accept an offer on the spot. Get independent repair estimates, consult your policy, and consider speaking to a Loss Assessor before agreeing to anything.
Downplaying the Extent of Damage
Loss Adjusters may attempt to minimise the visible impact of damage—especially with issues that are not immediately apparent, such as damp or structural issues . By doing so, they reduce the amount the insurer needs to pay.
How to protect yourself: Document the damage thoroughly with photographs and, if needed, get a second opinion from a builder or surveyor. A Loss Assessor can ensure hidden issues are included in your claim as long as they are caused by the insured event.
Stating Certain Items Aren’t Covered
It’s not uncommon for a Loss Adjuster to tell you that certain items or expenses are not covered under your policy—even if they might be. This is often based on a strict or selective reading of your policy wording.
How to protect yourself: Request written confirmation of any exclusions and always refer to your full policy document. Appointing a Loss Assessor before the Loss Adjuster formally notifies you of an exclusion can make it easier to challenge. If in doubt, discuss early on with a Loss Assessor as they may be able to interpret your cover and challenge unfair exclusions.
Encouraging You to Manage the Claim Alone
Loss Adjusters may discourage you from seeking outside help or appointing a Loss Assessor by implying that it will slow things down or is unnecessary. In truth, they know that a professional acting on your behalf will hold them accountable and potentially increase your payout.
How to protect yourself: You have every right to appoint your own representative. A Loss Assessor ensures your side of the claim is professionally managed and fully presented.
Making the Process Seem Final
Some Loss Adjusters may give the impression that their valuation or offer is final and cannot be negotiated. This is rarely true. You are entitled to challenge the assessment and negotiate for a more accurate and fair settlement.
How to protect yourself: Ask for a detailed breakdown of the offer and compare it with your own quotes and valuations. Don’t be afraid to reject an initial offer and push for a fairer resolution.
Step-by-Step Summary
- Be cautious of quick offers—take time to assess everything.
- Gather your own evidence and repair estimates.
- Ask for all decisions and exclusions in writing.
- Cross-reference everything with your full policy document.
- Appoint a Loss Assessor soon after the insured event, to act in your best interest.
- Challenge any settlement that seems unfair or incomplete.
- Keep records of all communication with the Loss Adjuster and insurer.