Fast Times in Adjuster Land

I operate an adjusting company in a neighboring state targeted by Hurricane Florence. You wouldn’t believe the campaigning, cajoling and general jockeying for my attention initiated by vendors of all kinds hoping to get work related to the storm.

Mind you, it was a week away and no one knew for sure exactly where that storm would hit. I was a thousand miles from the probable site, but I still received hundreds of phone calls and emails from roofers, contents handlers, restoration contractors, water mitigators, drone operators, satellite roof mappers, ladder assist, temporary housing folks, forensic engineers, other adjusters looking for work and more. One vendor offered access to 20,000 smartphone operators who could be on-site to send me photos or videos of the ravaged areas.

On one hand it was irritating, but on the other hand, I understand people wanting to make a living. I have an entrepreneurial perspective, as do many independent adjusters and, coincidentally, contractors. My parents were immigrants who came to this country because they knew a person could work hard and make something of themselves. How blessed are we to live in a country where you can do just that? So, I really don’t mind the calls. Although I wish I had the time to explain to all of them that the time to start reaching out and building relationships with adjusters is before the big storm forms.

I have adjuster friends who are part of the very large adjusting industry. That is, they own or work for firms that can take on 50,000 assignments within a month after a storm. They can place 10,000 adjuster boots on the ground in a matter of days. They started preparing and engineering new methods and procedures at the end of last year’s catastrophic events — after hurricane season was over. That’s when you, as a contractor, need to be sitting with them at the table. As a single-branch company, national franchiser, network or an association of restoration contractors, you need to be a part of that post-hurricane season debriefing. What will they do differently next year, and how can you make a difference with your skills, personnel and assets?

If you’re hoping to cash in on the restoration opportunities after a catastrophic event, you need to figure out how many jobs you can take on within a specific time period. Further, you need to know specifically how much of the work you can finance while incorporating an allowance for risk of nonpayment — or at least delayed payment — into the equation. Once you clearly have a handle on your financial position, then you’ll know how many adjusters you can have a working relationship with. A working relationship is absolutely necessary. There is a danger to working with adjusters you don’t know or have no relationship with. I dread the contractor who takes on 20 jobs (just because they were easy pickings) that are being handled by 20 different adjusters with whom they had no pre-loss relationship with. You will get burned.

Of course, it is possible to develop a relationship with an adjuster that you meet for the first time at a loss site if you prepare for that. It may require patience and restraint. There is a certain tact you can  employ that involves a measure of humility up until that point where you’ve earned the adjuster’s trust. You can learn how to do that. Or you can lock horns, go to war with the adjuster and fight your way to high blood pressure. One average adjuster can impact your bottom line by millions during a catastrophic event. But there has to be a relationship. There has to be mutual respect and consideration of each other’s professional and financial needs.

Peter J. Crosa is an independent adjuster who writes and speaks to the restoration industry on building relationships with the insurance claims community. You can write to him at peter@petercrosa.net.