Why hire an insurance consultant? First, to make sure you have a “generous insurer” and the right policy and endorsements before a loss. Second, to maximize the claim after a loss. This guide offers advice on finding the right consultant to assist with your insurance claim.

Paid consultants are limited to attorneys and “public adjusters”. Some businesses, such as auto body shops, building contractors, and cleaning companies offer free “claim consulting”, though consultation by a dedicated insurance professional is recommended.

While both attorneys and public adjusters can be hired as consultants (while a policy holder negotiates their own claim with the insurer) they do not normally seek business as “consultants.”

Attorneys can be hired on an hourly basis to give advice on special claim issues. Attorneys can also write letters and negotiate claims with insurers prior to litigation being filed. Attorneys can further be retained to sue an insurer, on either an hourly basis or a contingent fee. In most cases, hiring an attorney to sue an insurer on an hourly basis is not cost effective.

Public adjusters prefer to “represent you” for a percentage of the claim. Most will not consider working as a consultant, either for hourly or contingent fees.

Choosing an attorney or public adjuster:

• Cost: Most attorneys and public adjusters work on a percentage of the “entire” loss. If you want a guarantee that they won’t simply accept whatever the insurer offers, offer a percentage (30-50%) of the amount “over and above” what was already offered before you hired them.
  
  
• Qualifications: Ask for the resume or CV of the particular public adjuster or attorney who will actually be working on your claim, and ask to meet them in person. Many public adjusting firms, especially larger ones, use “solicitors” to sign up clients. Don’t hire a public adjusting firm if you can’t meet the actual adjuster who will be working on your claim.
  

Whether you hire an insurance claim consultant on an hourly or contingent basis, most public adjusters are far more experienced than attorneys on property claims. Property claims are all that public adjusters can legally do. They are also much less expensive than attorneys, charging on average 10% of the settlement, in contrast to an average 33% charged by attorneys.

A third, less expensive option for businesses and consumers in need of insurance consultation is to seek out advice from online consultation firms. Sites like Insurance Claim Help offer free general claims related advice, while sites such as UClaim offer commercial reports and consultation.