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An adjuster is an individual licensed under Insurance Code Article 21.07-4.

Upon completion of the requirements set forth by the Texas Department of Insurance, you may apply for a Texas Multi-Line adjuster’s license. In order to meet the minimum requirements, you must make at least 70% on the final exam. The Texas insurance adjuster license requires no college degree and license training can be completed in as little as 3 days. The Texas adjuster license is ‘reciprocal’ in 32 states, making it the most versatile license for property claims adjusters. This 3-day FastTrack course will empower you with the ability to study at your convenience. Our course is approved by the Texas Department of Insurance (TDI) our provider #136474 and the course number #110703.

THERE ARE THREE TYPES OF TEXAS ADJUSTER’S LICENSES APPROVED BY THE TEXAS DEPARTMENT OF INSURANCE:

• All Lines Adjusters License – (property, casualty, surety, worker’s compensation, employer’s liability)
• Property and Casualty Adjusters License (property, casualty and surety)
• Worker’s Compensation Adjuster’s License (workers compensation, employers’ liability) www.tdi.state.tx.us

EXEMPTIONS

The following are exempt from the requirement of an adjuster’s license exam:

• Those persons holding CPCU designation
• Those persons who have received the Associate in Claims (AIC) designation.
• Those persons who have a certificate of completion showing that within the past 12 months the applicant has completed a certified adjuster pre-licensing education program and passed an examination
• Those persons who have an adjuster’s license that has been expired for a period of more than 90 days but less than one year.

1.2  MAINTENANCE AND DURATION

A Texas adjuster’s license expires on the second anniversary of the date of issue, unless suspended or revoked by the Commissioner of Insurance. You must renew your license as set forth by the requirements of the Texas Dept. of Insurance.

Adjusters may only renew a license that has not expired or has not expired for more than 90 days: otherwise, the adjuster must apply to the department for a new license. The adjuster must submit for re-examination if the license has been expired for a period of one year or more.

1.3  CONTINUING EDUCATION

As a Texas adjuster you are required to complete 30 hours of continuing education within each 2-year period. You must complete at least two hours of the CE requirement in certified ethics courses and/or consumer protection courses.

The remainder of the hours may be satisfied by completing certified courses applicable to any license type. If you hold more than two licenses you are not required to complete more than the 30 hours of CE courses.

You must complete at least 50% of the required CE courses in certified classroom or classroom equivalent courses. You become exempt from the CE requirements when you have been continuously licensed for at least 20 years.

A nonresident licensee that becomes a resident of Texas between renewals of the Texas License shall:

1. Be immediately subject to the continuing education requirements; complete a prorated continuing education
2. Not count hours completed prior to becoming a Texas resident towards completion of the prorated continuing education

1.4  WHAT IS RECIPROCAL?

The Texas All-Lines Adjuster’s License is Reciprocal in 30 states! If you are a resident of Texas and you wish to become an insurance adjuster, you need to obtain the Texas All Lines Adjuster License. If you are a non-resident of Texas and live in a state that does not have an adjuster license requirement, and you want to become an insurance adjuster, then you need the Texas All Lines Adjuster License. Non-Residents of Texas, who live in a state that does not require an Adjusters License are able to designate Texas as their “Home State”. This is great news for you, as you will be able to enjoy the full benefits of reciprocity.

The list of states below does not have adjuster license requirements, and are able to deem Texas as their home state:

Colorado, the District of Columbia, Illinois, Iowa, Kansas, Maryland, Missouri, Nebraska, New Jersey, North Dakota, South Dakota, Ohio, Pennsylvania, Tennessee, Virginia and Wisconsin.

If you are a non-resident of Texas and reside in a state that requires adjuster licensing, you are now required to obtain your home state license before Texas will issue you a non-resident license. Please check with the Department of Insurance in your home state to determine the requirements to obtain your license. For many states, it’s just successfully passing a state exam. For a few, a pre-licensing course is required in that state. We have test preparation material that can help prepare you for your state exam.

THE TEXAS LICENSE IS RECIPROCAL WITH THE FOLLOWING STATES:

Alabama, Alaska, Arkansas, Connecticut, Delaware, Florida, Georgia, Idaho, Indiana, Kentucky, Louisiana, Maine, Massachusetts, Michigan, Minnesota, Mississippi, Montana, Nevada, New Hampshire, New Mexico, North Carolina, Oklahoma, Oregon, Rhode Island, South Carolina, Utah, Vermont, Washington, West Virginia, and Wyoming.

The following states do not require an adjuster to be licensed to operate in their state:

Colorado, The District of Columbia, Illinois, Iowa, Kansas, Maryland, Missouri, Nebraska, New Jersey, North Dakota, South Dakota, Ohio, Pennsylvania, Tennessee, Virginia and Wisconsin.

The Texas Department of Insurance will allow residents of the states that do not license adjusters to deem Texas as their resident state in order to have the full benefits of Reciprocity. Please verify this information with the state licensing agency as requirements can change.

1.5  DISCIPLINARY ACTIONS

The Department Has Adopted The Following Automatic Fine:

Failure by a licensee to obtain the required number of continuing education hours –

$50 per credit hour not completed.

Adjuster – An individual licensed under Insurance Code Article 21.07-4.

Associate in Claims (AIC) designation – A designation granted by the American Institute for the successful completion of a series of advanced courses covering the area of insurance claims.

CPCU designation – A designation granted by the American Institute for the successful completion of a series of advanced courses covering the areas of property and casualty insurance.

1.6  INSURANCE TERMS AND RELATED CONCEPTS

The Law of Large Numbers

The law of large numbers helps insurers to predict the number of losses they will pay in any given time period so that they can determine what premium is required to pay for those losses.

The Principle of Indemnity and Insurable Interest

A fundamental principle of insurance is that no insured should be in a better financial position after a loss than before the loss. This idea is known as the principle of indemnity and holds that an insured who has suffered a loss should be restored to the same financial position as before the loss.

The principle of indemnity is reinforced by the requirement that a party must have an insurable interest to purchase insurance. An insurable interest exists when the party would suffer a financial loss as a result of damage to or loss of the insured item. The insurable interest requirement prevents

people from profiting from a loss. Insurance policies cover losses only to the extent of the insured’s’ insurable interest in the property. Having an insurable interest means only that a person may buy insurance and is not guaranteed that a person can buy it.

Claim Handlers

People who handle claims might be staff claim representatives, independent adjusters, employees of third-party administrators, or producers who sell policies to insured’s. Staff claim representatives are employees of the insurer who handle claims. Independent adjusters handle claims for insurers on a case-by-case basis for a fee. They are not employees of insurers.

Third-party administrators (TPAs) handle claims, keep claim records, and perform statistical analyses for businesses that self-insure their risks.

We promote good faith and fair claims settlement practices when dealing with all of our clients. It is not only a Standard Operating Procedure, but it is the Law.