What is a public insurance adjuster? A public insurance adjuster is a form of insurance offered by provincial governments to help their citizens cover for medical care and other essential services. Public insurance differs from private personal insurance in that provincial governments directly compensates the expense of medical coverage.
Private insurance companies can choose to settle claims through various methods. Some companies choose to settle through a form of insurance company auction, where they sell a large amount of insurance to another insurance company. Other companies will decide on their own that a claim is too high or too frivolous and assign a public adjuster to determine the amount of compensation that should be paid out. If the public adjuster determines that the claim is justified then the insurance company will make a settlement out of the settlement.
Claims from all parts of Canada are processed by these insurance companies. Claims are assigned to either provincial office or to a national association of public adjusters. The national association of public adjusters has laid down rules and regulations for the certification of insurance adjusters. The association has also come up with a model act to govern its members.
To become certified as an insurance claim adjuster, one must first attend and pass a five-hour training course. At the end of this training period, the policyholder must pass a final examination, before becoming certified. This final examination requires the policyholder to answer detailed questions about the claims process, insurance coverage, and business ethics. Policyholders are then required to take an examination, in which they are asked to describe their work experience and knowledge of the industry. After passing the examination, the policyholder is authorized to practice as a public adjuster.
Policyholders can work as independent contractors or full-fledged employees. If employed as an independent contractor, the policyholder will be paid on a daily basis, as per the contract. If employed full-fledged, the policyholder’s salary is based on a fixed monthly rate and includes benefits like holiday pay, medical benefits, paid time off, insurance fee, and other miscellaneous fees. Policyholders are also paid a fee for processing claims. The policyholder’s fee is in addition to the regular insurance fee.
The NFA insurance company adjusters receive a percentage of the settlement amount, after deducting their administrative expenses. Policyholders can also be reimbursed directly by the insurance company for certain out-of-pocket expenses incurred while processing their claim. Policyholders are not allowed to represent themselves as an adjuster for the settlement claim. They are allowed to use the title “public insurance adjuster” to apply for employment. However, most insurance company adjusters start their careers as lawyers. They need to pass a licensing exam, before they become full-time employees.
National Fire Adjustment Co.
1100 S Service Rd #222,
Stoney Creek, ON L8E 0C5