In Which State(s) Should I Become Licensed?

When contemplating a career as an insurance claims adjuster, you’ll find that there are more questions than there are answers, such as:

• What kind of claims do I want to handle?
• Should I work for an insurance carrier, a third-party administrator, or an independent firm?
• Do I want to work in an office or “out in the field”?
• …and there are tons more.

By now you’re probably thinking, “Is the coffee I’m drinking strong enough to get me through all of these decisions and more? Okay…maybe not. While these questions and more are swimming around in your head, there’s one very important question that you might not have thought of…and it’s one that you’re going to have to answer before you spend much brain power on the others, and that is:

In which state(s) should I get my adjuster’s license?

Every state has its own unique law(s) regarding the licensing of insurance claims adjusters. Some states require that adjusters be licensed. The following states do not require licensure of adjusters:

Colorado District of Columbia Illinois Iowa

Kansas Maryland Missouri Nebraska

New Jersey North Dakota Ohio Pennsylvania

South Dakota Tennessee Virginia Wisconsin

 

Slowly but surely, however, more and more of those states are changing their laws to require that all adjusters be licensed.

You may hear “buzz” about which state is the “best”, but the bottom line is pretty simple,

“If you live and intend to work in a state that requires “adjuster” licensure, then you will haveto get licensed in YOUR state of residence before worrying about any other state.”

So, if you intend to live and work as a claims adjuster in one of the sixteen (16) states listed above, you don’t need a license to be an adjuster. It’s that simple.

However! If, for any reason, you find that you want to adjust claims that arise under the laws of a state that DOES require licensure (which definitely gives you a better chance of increasing your market value, and thus, your compensation), you will definitely need to be licensed.

What this means is that you will have to secure a “non-resident” adjuster’s license in numerous states. This can create an enormous challenge, unless you understand and take advantage of RECIPROCITY!

Reciprocity can be and extremely complicated issue, if you let it; but, it doesn’t have to be that way, and if used intelligently and effectively, it can make you life as an adjuster much easier and save you a lot of money and unnecessary stress.

Stay tuned for our next blog entry where we break down “Reciprocity”! When you see the benefits this magic word can bring to your career, you’ll freak (…and in a good way)!