What you are buying when you appoint your own expert
Known as a loss assessor in the UK, Ireland and Australia and as a public adjuster in the US and Canada, the policyholder's expert takes on the work an insurer expects you to do yourself: proving the loss. That begins with analysing the policy, schedule and endorsements to establish which covers, limits and conditions apply.
The expert then inspects the damage, documents it with photographs and measurements, prepares a detailed estimate or schedule of loss, gathers quotes, invoices and specialist reports, meets the insurer's loss adjuster, negotiates disputed items and follows the claim through to final payment. On commercial losses this can extend to business interruption calculations, stock reconciliation and coordination with accountants and engineers.
How the fee is calculated
Percentage-based fees dominate this market, but the details vary considerably between firms and countries. Understanding the base and the add-ons matters as much as the headline rate.
| Claim value | Indicative fee | Common arrangement |
|---|---|---|
| Up to 25,000 | 10% to 15% | Percentage with minimum fee, or flat fee |
| 25,001 to 50,000 | 8% to 12% | Percentage of settlement |
| 50,001 to 100,000 | 7% to 10% | Percentage of settlement |
| 100,001 to 200,000 | 6% to 8% | Percentage, sometimes on uplift |
| 200,001 to 400,000 | 4.5% to 7% | Sliding scale |
| 400,001 to 800,000 | 3.5% to 5% | Sliding scale |
| 800,001 to 2,000,000 | 2.5% to 4% | Negotiated sliding scale |
| Over 2,000,000 | 1% to 2.5% | Bespoke, often with fee cap |
Indicative amounts, to be checked with each expert.
Percentage arrangements
Most assessors charge a percentage of the amount the insurer pays. Some apply it to the total settlement; others apply it only to the amount recovered after their appointment, or to the uplift above an existing written offer. A sliding scale, where the rate falls as the claim grows, is common on larger losses. Some firms also set a minimum fee so that small claims remain economical to handle.
In the United States, public adjusters are licensed by each state, and several states regulate or cap their fees. Florida and Texas, for instance, impose percentage limits, with lower caps in some catastrophe-related circumstances. Check your state insurance department's rules before agreeing a rate.
Flat, hourly and hybrid fees
Some firms offer a fixed fee for a defined service, such as preparing a claim for you to submit, or an hourly rate for advisory work. Hybrid arrangements, with a modest retainer and a reduced percentage, also exist. Always clarify whether taxes such as VAT in the UK and Ireland, GST in Australia or GST/HST in Canada are included, and whether travel, specialist reports or photocopying are billed separately.
Indicative bands by claim value
Outside France there is no widely recognised reference scale for policyholder experts in English-speaking markets. The table below shows an order of magnitude observed on the market, in local currency (GBP, USD, CAD, AUD or EUR). It is not official and is not a legal tariff; any state-level cap applicable to you takes precedence. Fees are negotiable and depend on complexity, urgency, location and the fee base.
For reference, the French market uses a published UPEMEIC scale that also declines from 9% on small losses to below 2% on very large ones, which illustrates the same logic of degressive rates.
Factors that push the rate up or down
Two claims of the same value can attract quite different quotes. Firms usually price the expected workload and risk rather than the sum alone, so it helps to understand what they are weighing when they prepare a proposal.
Complex causation, such as distinguishing storm damage from long-standing wear, raises the effort needed. So does a claim with many contents items, a business interruption element, multiple insurers or a building that must be stripped out before the damage can be measured. Remote locations, tight deadlines and claims where the insurer has already issued a declinature also tend to justify higher rates. By contrast, a firm may accept a lower percentage where the scope is clear, documentation is already well organised, or the expected settlement is large enough to spread fixed costs.
Policy cover for professional fees
Some commercial policies and higher-end home policies include a claims preparation costs or professional fees clause. Where the wording covers it, the insurer may reimburse part of your expert's fee up to a sub-limit, sometimes expressed as a fixed amount or a percentage of the claim. Many wordings exclude loss assessor or public adjuster fees specifically while covering architects or surveyors needed to reinstate the building.
Do not assume this cover exists. Ask the insurer or broker in writing, note any requirement for prior consent and keep a copy of the response with your claim file.
How the cost scales: three examples
Small loss of 15,000: at an indicative 12%, the fee would be about 1,800 plus tax. Because inspection, paperwork and negotiation still take time, the proportional cost is high; on such claims, a flat-fee review or handling the claim yourself may be more sensible.
Medium loss of 180,000 after an escape of water with mould and contents damage: at 7%, the fee would be roughly 12,600. If the insurer's first scope omitted drying, stripping out and alternative accommodation, the difference secured may comfortably exceed that, but it is never guaranteed.
Large loss of 2,500,000 including business interruption: a sliding scale averaging around 2% would put the fee near 50,000. The expert will likely coordinate forensic accountants and engineers, and the indemnity period and rebuild costs become the main areas of negotiation. All examples are illustrative only.
Choosing a firm and reading the contract
Speak to at least two firms and request written proposals. A clear engagement letter should state the percentage, the base it applies to, any minimum or maximum fee, taxes, expenses, what happens if you terminate, and whether the expert can receive payment directly from the insurer. Check the firm's professional indemnity insurance and membership of a professional body.
Licensing matters: US public adjusters must hold a state licence, and in Ireland loss assessors acting for consumers are regulated by the Central Bank of Ireland. Be cautious about door-knocking after storms or fires, pressure to sign immediately, or any promise of a specific settlement amount.
- is the percentage applied to the total settlement or only the increase?
- is there a cooling-off or cancellation period?
- are emergency repairs or contractor work bundled into the contract?
- who keeps the claim documents if you end the engagement?
Organisations offering this service
- Financial Ombudsman Service: Official free dispute resolution service in the United Kingdom, handling complaints from policyholders against insurers, including disputed or rejected insurance claims.
- Chartered Institute of Loss Adjusters (CILA): Chartered UK professional body for claims and loss adjusting professionals, responsible for training, qualifications and standards across the claims profession.
- Aspray: UK network of loss assessors handling and negotiating insurance claims on behalf of policyholders, notably after fire, flood and escape-of-water damage.
- Adjusters International: US network of public adjusting firms representing policyholders, businesses and public entities in the settlement of significant property insurance claims.
External links provided for information only; check the terms directly with each organisation.
Frequently asked questions
Do I pay anything if the claim is unsuccessful?
With a pure percentage arrangement, usually not, but some contracts include a minimum fee or charge expenses regardless of outcome. Read the termination and no-recovery clauses.
Is the fee calculated before or after my excess?
It depends on the contract. Some firms calculate on the gross settlement, others on the net amount paid. Ask for a worked example in the proposal.
Are public adjuster fees capped in the US?
Some states impose caps or other limits, particularly after declared emergencies. Rules differ widely, so check with your state insurance department.
Can my insurer refuse to deal with my loss assessor?
Insurers generally deal with a properly authorised representative, though they may still contact you directly. A signed letter of authority helps avoid confusion.
The right fee is one you understand fully and that stays proportionate to what an expert can realistically add. Compare written proposals carefully, and use expertdassure.com to understand each stage of the claim.