How Much Does a Public Adjuster Cost?

How Public Adjuster Fees Work

Public adjusters charge a contingency fee — a percentage of the insurance settlement they help you recover. This means they earn nothing unless your claim is successfully settled. There are no hourly rates, retainers, or upfront payments. The fee is calculated as a percentage of the total payout from your insurance company.

For example, if a public adjuster negotiates a $50,000 settlement and the agreed-upon fee is 10%, the public adjuster receives $5,000 and you receive $45,000. If the claim results in no payout, the public adjuster receives nothing.

This payment structure aligns the public adjuster's incentives with yours. The higher your settlement, the more they earn. Unlike an insurance company adjuster — who earns the same salary regardless of what you receive — a public adjuster is financially motivated to maximize every dollar of your claim.

Key takeaway: You never pay a public adjuster out of pocket. The fee comes directly from the settlement check. If there is no settlement, there is no fee.

Typical Public Adjuster Fee Ranges

Across the industry, public adjuster contingency fees typically range from 10% to 20% of the settlement amount. The exact percentage depends on the state, the type and size of the claim, and the specific public adjuster or firm.

10%

Emergency / Catastrophe

Common rate during declared emergencies (FL cap), or for very large claims ($500K+)

10–15%

Most Common Range

Standard rate for residential claims in most markets. The sweet spot for most homeowners.

15–20%

Complex / Reopened Claims

Higher rates for denied claims, supplemental claims, or small claims under $20K

Keep in mind that a higher fee percentage does not necessarily mean a worse deal. A public adjuster charging 15% who secures a $100,000 settlement leaves you with $85,000 — far better than settling for $40,000 on your own with no fee at all. What matters is the net amount you receive, not the fee percentage alone.

State Fee Caps: Florida vs Texas

Some states regulate how much public adjusters can charge. Florida imposes statutory fee caps, while Texas does not. Understanding your state's rules helps you evaluate whether a proposed fee is fair and legal.

Fee Detail	Florida	Texas
Statutory fee cap?	Yes	No
Standard claim fee cap	20% of settlement	No cap (market-driven)
Emergency/catastrophe cap	10% of settlement	No cap
Typical market rate	10–20%	10–15%
Written contract required?	Yes	Yes
Cancellation period	3 business days	72 hours
Regulating body	FL Dept. of Financial Services (DFS)	TX Dept. of Insurance (TDI)
Surety bond required?	Yes ($50,000)	Yes ($10,000)

Florida Fee Rules

Florida law (F.S. 626.854) caps public adjuster fees at 20% for standard claims and 10% for claims arising from a declared state of emergency. The contract must be in writing, and the homeowner has 3 business days to cancel without penalty after signing.

Texas Fee Rules

Texas does not impose a statutory cap on public adjuster fees. However, the Texas Department of Insurance requires that all fees be disclosed in a written contract before work begins. The homeowner has 72 hours to cancel after signing. Market competition typically keeps Texas fees between 10% and 15%.

What the Public Adjuster Fee Includes

The contingency fee covers the public adjuster's complete professional services from start to finish. You are not paying for a single inspection or a phone call — you are paying for an end-to-end claims management process that includes:

Comprehensive Property Inspection

A thorough, room-by-room and system-by-system inspection of your property. Unlike the insurance company's adjuster, who may spend 30–60 minutes, a public adjuster's initial inspection often takes several hours and may include specialized equipment like moisture meters, infrared cameras, and drone surveys.

Policy Review and Coverage Analysis

Your public adjuster reads your entire insurance policy and identifies every coverage that applies to your loss — including coverages you may not know about, such as additional living expenses, code upgrade requirements, debris removal, and overhead and profit allowances.

Professional Claim Documentation

Detailed photographic evidence, written damage assessments, and line-item repair estimates using current local market pricing. This professional documentation is the foundation of a successful claim and is far more detailed than what most homeowners could produce on their own.

Negotiation with the Insurance Company

Your public adjuster handles all communication with the insurance company's adjusters, claims managers, and representatives. They present the claim, counter lowball offers, and negotiate until a fair settlement is reached. This is professional-to-professional negotiation, not a homeowner arguing with a trained claims team.

Supplemental Claims and Follow-Up

If additional damage is discovered during repairs, or if the insurance company's initial response is insufficient, the public adjuster files supplemental claims and continues advocating on your behalf until the claim is fully resolved.

Time and Stress Relief

Perhaps the most undervalued part of what you are paying for. Insurance claims are complex, time-consuming, and stressful — especially after a disaster. A public adjuster handles the entire process so you can focus on your family, your job, and getting your life back to normal.

No Upfront Cost: How Contingency Fees Protect You

The contingency fee model is designed to protect the homeowner. Because the public adjuster only earns money when you receive a settlement, you face zero financial risk in hiring one. This structure has several important implications:

How Contingency Protects You

✓ No money out of pocket. You do not write a check, pay a deposit, or cover any costs upfront.
✓ Aligned incentives. The public adjuster earns more only when you earn more. You both want the highest settlement possible.
✓ Risk-free engagement. If the claim is unsuccessful and no money is recovered, you owe nothing.
✓ Skin in the game. The public adjuster invests their time, expertise, and resources on your behalf before receiving any payment.

What It Means if Someone Asks for Upfront Payment

✗ Retainer fees are not standard in the public adjusting industry. Walk away.
✗ Inspection fees charged before a contract is signed are a red flag.
✗ Administrative fees added on top of the contingency percentage are unusual and should be questioned.
✗ Non-refundable deposits are not part of standard practice and may indicate an unscrupulous operator.

Cost vs Benefit: Is Hiring a Public Adjuster Worth It?

The most important question is not "how much does a public adjuster cost?" but rather "how much does not hiring a public adjuster cost?" The real comparison is between your net settlement with a public adjuster versus your settlement without one.

Settlement Comparison: With vs Without a Public Adjuster

Scenario	Without PA	With PA (15% fee)
Insurance company offer	$35,000	—
PA-negotiated settlement	—	$85,000
Public adjuster fee (15%)	$0	-$12,750
Your net settlement	$35,000	$72,250
Additional money in your pocket	—	+$37,250

In this example, even after paying the 15% contingency fee, the homeowner receives $37,250 more than they would have received by accepting the insurance company's initial offer. The public adjuster's fee paid for itself many times over.

Research findings: A widely cited study by the Office of Program Policy Analysis and Government Accountability (OPPAGA) in Florida found that hurricane claims handled by public adjusters received settlements that were significantly higher — in many cases 700% or more — compared to similar claims filed without a public adjuster. While results vary by claim, the data consistently supports the value of professional claims representation.

When Hiring a Public Adjuster May Not Be Worth It

Public adjusters are not necessary for every claim. In these situations, you may be able to handle the claim yourself:

• Small, straightforward claims under $5,000 where damage is obvious and the insurance company's initial offer seems reasonable
• Simple, single-item claims like a broken window or a minor roof leak where there is no dispute about cause or coverage
• Claims where the insurance company's estimate matches contractor quotes — if the numbers already line up, there may not be additional value to recover

For anything beyond a simple, small claim — particularly water damage, fire damage, hurricane damage, or any claim over $10,000 — the settlement increase from professional representation almost always outweighs the fee.

Factors That Affect the Fee Percentage

Not all public adjusters charge the same rate. Several factors influence the specific percentage you will be quoted:

Claim Size

Larger claims often command a lower percentage. A $500,000 commercial claim at 10% generates a $50,000 fee, while a $20,000 residential claim at 15% generates only $3,000. Public adjusters may charge a higher percentage on smaller claims because the work involved is similar regardless of claim size.

Claim Complexity

Complex claims involving multiple damage types (fire + water + smoke), business interruption, or disputes over coverage may warrant a higher fee because they require more time, expertise, and negotiation effort.

New Claim vs Reopened/Denied Claim

Reopening a denied or underpaid claim is often more difficult than filing a new one. The public adjuster must build a case to overturn the insurer's initial decision. This additional complexity may result in a fee at the higher end of the range.

State Regulations

In states like Florida with statutory fee caps, the fee cannot exceed the legal maximum regardless of other factors. In states without caps like Texas, the fee is determined by the market and the complexity of the specific claim.

Emergency vs Non-Emergency

In Florida, claims arising from a declared state of emergency (hurricane, tropical storm) have a 10% fee cap. Claims unrelated to the emergency are subject to the standard 20% cap. If your damage occurred during a declared emergency but was caused by something else (like a plumbing leak), the 10% cap may not apply.

Red Flags: When Public Adjuster Fees Are Not Legitimate

The vast majority of public adjusters are licensed professionals who follow ethical business practices. However, like any industry, there are warning signs that should cause you to look elsewhere:

Immediate Red Flags

✗ Demands any payment before work begins
✗ Fee exceeds state maximum (20% in FL)
✗ Pressures you to sign immediately without time to review the contract
✗ Cannot produce a valid state license
✗ Refuses to provide a written contract

Proceed with Caution

⚠ Hidden fees or charges buried in contract fine print
⚠ Long contract lock-in periods with no cancellation window
⚠ Guaranteed settlement amounts (no one can guarantee a specific result)
⚠ Soliciting door-to-door immediately after a storm (illegal in FL within 48 hours)
⚠ Fee percentage that changes after the contract is signed

Always verify a public adjuster's license with your state department of insurance before signing a contract. In Florida, verify at the Florida DFS License Search. In Texas, verify at the TDI Agent Search.

How to Compare Public Adjuster Costs

When evaluating public adjusters, look beyond the fee percentage alone. Here is a framework for making an informed comparison:

1

Get Quotes from 2–3 Public Adjusters

Most public adjusters offer free initial consultations. Talk to at least two or three firms, explain your situation, and ask about their fee structure. Compare not just the percentage but the scope of services included.

2

Ask About Their Experience with Your Claim Type

A public adjuster who specializes in hurricane claims, water damage, or fire damage will typically achieve better results for those specific claim types. Experience with your type of loss matters more than the lowest fee.

3

Verify Licensing and Reviews

Check that the adjuster is properly licensed in your state. Read Google reviews and ask for references from past clients. A well-reviewed, experienced public adjuster at 15% will outperform a poorly reviewed one at 10%.

4

Read the Contract Carefully

Before signing, read the entire contract. Understand the fee percentage, what services are included, the cancellation policy, and any terms about denied or reduced claims. Both Florida and Texas require written contracts and provide a cancellation window.

Frequently Asked Questions

How much does a public adjuster charge?

Most public adjusters charge a contingency fee between 10% and 20% of your insurance settlement. The exact percentage depends on the state, the size and complexity of the claim, and whether the claim is new or reopened. In Florida, fees are capped by law at 10% for declared emergencies and 20% for all other claims. Texas does not impose a statutory fee cap.

Do public adjusters charge upfront fees?

No. Reputable public adjusters work on a contingency fee basis, which means they only get paid when you receive a settlement from your insurance company. There should be no upfront costs, retainers, or out-of-pocket payments. If a public adjuster asks for money before your claim settles, that is a red flag.

What happens if my claim is denied — do I still pay the public adjuster?

If the public adjuster is unable to secure a settlement on your behalf, you typically owe nothing. Since the fee is a percentage of the settlement, a zero settlement means zero fee. However, always confirm this in the written contract before signing — some agreements may have different terms for denied claims that are later reopened.

Is the public adjuster fee worth it?

For most significant claims, yes. Studies and industry data consistently show that claims handled by public adjusters settle for substantially more than claims handled by homeowners alone — often 30% to 700% more. Even after the public adjuster's contingency fee is deducted, the net payout to the homeowner is typically much higher than it would have been without professional representation.

Are public adjuster fees negotiable?

Yes. Public adjuster fees are often negotiable, particularly for large claims. For a $200,000 claim, a public adjuster may agree to a lower percentage because the total fee is still substantial. It is always appropriate to discuss the fee percentage before signing a contract. Compare fees from 2-3 public adjusters before making a decision.

Does Florida cap public adjuster fees?

Yes. Florida law caps public adjuster contingency fees at 20% of the insurance settlement for standard claims. During a declared state of emergency (such as after a hurricane), the cap is reduced to 10% for claims arising from the emergency. These caps are set by the Florida Department of Financial Services.

Does Texas cap public adjuster fees?

No. Texas does not impose a statutory cap on public adjuster fees. However, the Texas Department of Insurance requires that fees be reasonable and disclosed in a written contract before work begins. Most Texas public adjusters charge between 10% and 15% for standard claims, with market competition keeping fees in line with industry norms.

Can I deduct the public adjuster fee from my taxes?

In some cases, public adjuster fees may be deductible as a casualty loss or business expense, depending on your specific tax situation. If the property is a rental or commercial property, the fee is generally deductible as a business expense. For personal residences, tax rules are more complex. Consult a tax professional for advice on your specific circumstances.