Insurance loss adjuster

Insurance loss adjusters usually become involved in complicated or high-value insurance claims and act as negotiators between insurers and claimants. They might also represent policy holders in presenting their claim to the insurance company.

Work activities

Insurance cover is available to help customers who have suffered losses caused by events such as theft, accident or illness. The customer pays a regular amount of money (called a premium) and receives a written policy. This sets out the conditions under which the insurance company will provide a settlement by way of repairs, replacement or reinstatement of items. Loss adjusters investigate large or complicated claims submitted by policy holders as a result of events such as:

Personal accident, injury or long-term illness.
Loss of goods in transit.
Theft or burglary.
Fire, flood or storm damage.

The loss adjuster makes sure that the claims are fair and reasonable. Loss adjusters are in many cases independent, particularly if they are members of the Chartered Institute of Loss Adjusters, and as such remain impartial throughout their investigations. A large-scale incident such as a flood can generate a sudden rush of claims, all requiring urgent action. Loss adjusters travel to scenes of incidents as soon as possible after they occur. Many loss adjusters specialise in a particular type of insurance, such as property, business interruption or personal injury. Loss adjusters check that the terms and conditions of the policy cover the claim and investigate the cause of loss or damage. They often need to interview claimants who are upset by what has happened.

If the incident is at commercial premises, loss adjusters can advise on how to minimise loss of business and help to keep the company trading. Loss adjusters can also advise on repair and replacement of damaged goods and on improvements to prevent further incidents. They might liaise with other professionals, such as architects and surveyors, for advice.

A loss adjuster presents a report to insurers who then agree a suitable settlement with the claimant. Should either party dispute the findings of the report, negotiations continue until a settlement is reached. If a loss adjuster suspects a claim is false or exaggerated, they carry out a further detailed investigation. In some cases, the loss adjuster might need to involve the police, fire officers, private investigators or, in some cases, forensic experts.

Personal qualities and skills

As an insurance loss adjuster, you’ll need:

To be tactful, sympathetic and patient.
The confidence to work on your own and rely on your own judgement to make decisions.
To be able to assess information quickly in difficult circumstances.
The ability to find practical solutions to a range of problems.
Communication skills: You will interview and advise claimants and negotiate settlements.
To be thorough, observant, organised and methodical.
Integrity: You should be fair and unbiased when dealing with claims.
Good written skills for keeping records and for report writing.
A basic knowledge of accounts and book-keeping.
A full driving licence.

Pay and opportunities

Salaries for loss adjusters depend on qualifications and experience. Loss adjusters start on around £20,000 per year, with pay increasing to as much as £65,000 with experience. Other benefits could include profit-related bonuses and a company car.

Loss adjusters usually work 38-40 hours per week, Monday to Friday, but often work late and at weekends in response to callouts.

Employment is with specialist loss adjusting firms and insurance companies. Opportunities for insurance loss adjusters occur in some towns and cities around the UK. Most opportunities are found in larger cities. A high percentage of financial services industry employees are based in London.

Self-employment opportunities occur for loss adjusters to work independently as self-employed consultants.

Where are vacancies advertised?

Vacancies are advertised in local/national newspapers, on employers’ websites, through the Chartered Insurance Institute careers website, on the Government’s Find a Job service, and on job boards.

Entry routes and training

Most entrants have professional qualifications and relevant work experience in, for example, insurance, accountancy, law, engineering or surveying. However, some people do enter as trainees directly with a degree or sometimes with A-levels (or equivalent). There are several degrees and postgraduate courses in risk management available, for example, the MSc in insurance and risk management. If you don’t have the required academic qualifications, you can start working in an insurance company as an administrative assistant or claims technician, for example, and study for further qualifications. Once these have been gained, you could move on to a loss adjusting firm.

You could also enter this role by undertaking a level 4 (higher) apprenticeship in the role of insurance professional. On an apprenticeship, you’ll train in the workplace while also working towards relevant qualifications.

Training is usually provided on-the-job. Those with professional qualifications usually take three to four years to study for the CILA exams. Those with A-levels or a degree might take six or seven years to qualify. An apprenticeship may take three or more years. Subjects include principles, law and application of insurance; claims and loss adjusting in respect of property; subsidence; liability; and business interruption claims. The final part of the accreditation process involves a critical analysis report, written evidence of experience, a presentation and panel interview. The Institute of Risk Management (IRM) offers both the International Certificate and Diploma in Risk Management by flexible distance learning.

Loss adjusters can progress to management and director posts. Some might start their own business.

Qualifications

Candidates with a relevant degree, a professional qualification in a relevant subject, or another approved qualification, can register directly with the Chartered Institute of Loss Adjusters to take the Associate qualification (ACILA). For entry to a relevant degree course, the usual minimum requirement is:

Two to three A-levels
GCSEs at grades 9-4 in two to three other subjects. Depending on the subject, you are likely to need English and maths GCSEs at grades 9-4.

Alternatives to A-levels include:

Edexcel (BTEC) Level 3 National qualifications.
International Baccalaureate (IB) diploma.

If you wish to enter this career through a higher apprenticeship, you will need two A-levels as well as GCSEs in English and maths.

Adult opportunities

Age limits: It is illegal for any organisation to set age limits for entry to employment, education or training, unless they can show there is a real need to have these limits.

Some applicants have a background in surveying, engineering, insurance, law or accountancy, plus professional qualifications. A clean, current driving licence is often necessary. Some employers prefer to recruit people with a higher education (HE) qualification.

If you don’t have the qualifications needed to enter your chosen degree or HND course, a college or university Access course (for example, Access to Business) could be the way in. These courses are designed for people who have not followed the usual routes into higher education. No formal qualifications are usually needed, but you should check this with individual colleges.

Distance learning: A few colleges and universities offer degrees in risk management, including at Master’s level. Study can be part time/flexible or via distance learning. Courses have been developed in partnership with the financial industry and regulators.

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