Step-by-Step Loss Settlement & Adjuster Procedures

Notify your carrier as soon as reasonably possible — most policies require "prompt" notice. Have your policy number, date/time of loss, and a brief factual description ready. Photograph the scene before making temporary repairs.

The carrier opens a claim file and issues a claim number — use it on all future correspondence. An adjuster (staff, independent, or public if you hired one) is assigned to investigate and evaluate the loss.

The adjuster inspects the damage in person or via virtual/photo inspection, and requests supporting documents: receipts, repair estimates, police or incident reports, and a proof-of-loss statement where applicable.

The adjuster confirms the loss is a covered peril under your policy, applies your deductible, and estimates repair or replacement cost — often using standardized estimating software.

You receive a written settlement offer reflecting covered damage minus the deductible. Actual cash value claims may later be supplemented once repairs are completed, under replacement-cost policies.

Once you accept the settlement, payment is issued — sometimes jointly to you and a lender or contractor. Keep all invoices in case supplemental payment is needed after repairs begin.

If you disagree with the evaluation, you can request a re-inspection, submit an independent estimate, invoke your policy's appraisal clause, or file a complaint with your state insurance department.