Insurance and Claims
Should You Hire a Public Adjuster for a Roof Claim in Texas?
Texas law caps public insurance adjuster commissions at 10% of your settlement amount under Texas Insurance Code Section 4102.104, and bars a percentage-based fee entirely if your insurer pays, or commits in writing to pay, your full policy limit within 72 hours of you reporting the loss. Whether hiring one makes sense depends on your specific claim's size and complexity - this guide explains the Texas rules so you can make an informed decision, not a recommendation for or against hiring one.
Direct Answer
Texas law caps public insurance adjuster commissions at 10% of your settlement amount under Texas Insurance Code Section 4102.104, and bars a percentage-based fee entirely if your insurer pays, or commits in writing to pay, your full policy limit within 72 hours of you reporting the loss. Whether hiring one makes sense depends on your specific claim's size and complexity - this guide explains the Texas rules so you can make an informed decision, not a recommendation for or against hiring one.
What Texas law actually says about public adjusters
A public adjuster is not the same as your insurance company's adjuster, and Texas regulates them specifically. Here are the actual rules, sourced directly from the Texas Insurance Code and TDI - not a sales pitch either way.
- Public insurance adjusters in Texas must be licensed by TDI and are legally capped at a 10% commission on your total settlement amount, per Texas Insurance Code Section 4102.104 - get any fee agreement in writing before signing anything.
- If your insurer pays, or commits in writing to pay, your full policy limit within 72 hours of you reporting the loss, Texas law does not allow a percentage-based commission on that claim - the adjuster is limited to reasonable compensation based on time spent and expenses instead.
- A public adjuster works for you, the policyholder - this is different from your insurance company's own claims adjuster, who evaluates your claim on the insurer's behalf.
- Texas law prohibits a public adjuster from also performing repair, reconstruction, or restoration work on a property where they adjusted the claim - a conflict-of-interest safeguard worth knowing if a contractor also offers to 'handle your claim.'
- Public adjusters must complete 24 hours of continuing education every two years, including at least 3 hours in ethics and consumer protection, to keep a TDI license active.
- Solicitation of public adjusting services is restricted immediately following a declared disaster - be cautious of anyone going door-to-door offering to handle your claim right after a storm.
Before you sign a public adjuster contract
- Confirm the adjuster's TDI license number directly with the Texas Department of Insurance before signing anything - state law requires the license number to appear on all advertising.
- Get the exact commission percentage and any minimum fee in writing, and confirm it does not exceed the 10% statutory cap.
- Ask whether your insurer has already offered your full policy limit - if so, the 72-hour rule may mean a percentage-based commission cannot legally apply to your claim.
- This is general information about Texas insurance law, not personalized legal or insurance advice - contact TDI's consumer help line or a licensed attorney for guidance specific to your claim.
Sources
The data above is cited directly from these publishers - follow the links to read the original reporting.
Frequently Asked Questions
What is the maximum a public adjuster can charge in Texas?
Texas Insurance Code Section 4102.104 caps public adjuster commissions at 10% of the total insurance settlement on a claim. Get any fee agreement in writing and confirm it doesn't exceed this cap before signing.
Is a public adjuster the same as my insurance company's adjuster?
No. A public adjuster is hired by and works for you, the policyholder. Your insurance company's own adjuster evaluates the claim on the insurer's behalf. These are two different, separately licensed roles.
Can I still choose my own roofing contractor if I hire a public adjuster?
Yes. Texas regulations affirm that homeowners retain the right to choose their own repair contractor regardless of whether a public adjuster is involved in the claim.
Do I need a public adjuster for a typical hail damage roof claim?
It depends on your claim's size and complexity - simpler claims may not need one, while larger or disputed claims sometimes benefit from one. This is general information, not a recommendation either way; a licensed insurance professional or attorney can advise on your specific situation.