Public Adjuster Contract Explained: What You Are Signing and Why
Hiring a public adjuster is one of the best decisions you can make after property damage in Florida. But before the adjuster starts working on your claim, you need to sign a contract — and that contract is a legally binding agreement that governs the relationship, the fees, and your rights.
Most homeowners sign the contract without reading it carefully, especially in the stressful aftermath of a hurricane or other disaster. That is understandable, but it is also risky. Not all public adjuster contracts are created equal, and understanding what you are signing protects you from unexpected surprises.
At Greater Claims Consulting & Appraisal Inc., Reginald Amedee and our team believe in complete transparency. We explain every provision of our contract before you sign, and we encourage you to take the time to read it. This article walks you through what a Florida public adjuster contract should — and should not — contain.
What Florida Law Requires
Florida Statute 626.854 sets specific requirements for public adjuster contracts. These are minimum standards — every contract must meet them, and many contracts include additional provisions.
Required Contract Elements
1. Adjuster identification: The contract must include the public adjuster’s full name, business name, and Florida license number. This allows you to verify the adjuster’s credentials with the Florida Department of Financial Services.
2. Fee structure: The contract must clearly state the fee percentage and how it will be calculated. Florida caps fees at:
- 20% for standard claims
- 10% for claims related to a declared state of emergency (filed within one year)
3. Description of services: The contract must describe what services the public adjuster will provide. This typically includes property inspection, damage documentation, claim preparation, negotiation, and dispute resolution support.
4. Property information: The address of the property that is the subject of the claim.
5. Loss information: The date of loss and a general description of the damage.
6. Cancellation rights: The contract must include a notice of your right to cancel, including the specific timeframes and method for cancellation.
7. Signatures: Both parties must sign the contract. Electronic signatures are generally acceptable.
Required Disclosures
Florida law requires the following disclosures in every public adjuster contract:
- The public adjuster is not an attorney and cannot provide legal advice
- The public adjuster is not a contractor and cannot perform repairs
- The policyholder has the right to contact their insurance company directly
- The policyholder has the right to cancel within the applicable timeframe
Your Right to Cancel
Florida provides specific cancellation periods for public adjuster contracts:
Standard Cancellation: 3 Business Days
For most contracts, you have 3 business days from the date you sign to cancel without penalty. This is similar to many consumer protection cooling-off periods.
Extended Cancellation: 5 Business Days
You get 5 business days to cancel if:
- You signed the contract within 48 hours of the date of loss
- You signed the contract during a declared state of emergency while in the declared area
The extended period recognizes that homeowners may make hasty decisions in the immediate aftermath of a loss or during emergency conditions.
How to Cancel
Cancellation must be in writing. Send your cancellation notice to the public adjuster’s business address via:
- Certified mail (recommended)
- Hand delivery
- Email (if the contract specifies this method)
Keep a copy of your cancellation notice and proof of delivery.
What Happens After Cancellation
If you cancel within the allowed period, you owe nothing — even if the adjuster has already started working on your claim. The adjuster must return any documents or information they have collected.
If you cancel after the cancellation period, the contract terms govern what, if anything, you owe. Some contracts allow cancellation at any time but require payment for work already performed. Others may impose a cancellation fee. Read the cancellation provisions carefully before signing.
Key Contract Provisions to Understand
Fee Calculation
The contract should clearly explain how the fee is calculated. Key questions to ask:
What amount is the percentage applied to?
- The total settlement? (most common)
- The amount above a certain threshold?
- The amount above what the insurer originally offered?
Does the fee apply to all coverage categories?
- Structural damage (Coverage A)
- Personal property (Coverage C)
- Additional living expenses (Coverage D)
- Code upgrade costs
Is depreciation holdback included? When you recover depreciation after completing repairs, does the adjuster’s fee apply to that recovery? In most contracts, yes — the fee applies to the total settlement including recoverable depreciation.
Scope of Services
The contract should clearly describe what the adjuster will do. A comprehensive contract includes:
- Property inspection and damage documentation
- Preparation of repair estimates
- Contents inventory assistance
- Claim filing and management
- Communication with the insurance company
- Negotiation of the settlement
- Proof of loss preparation
- Appraisal support (if invoked)
- Mediation representation
Duration
How long does the contract last? Most contracts remain in effect until the claim is resolved or until either party cancels. Some contracts specify a maximum term.
Assignment
Does the contract allow the adjuster to assign your claim to another adjuster or firm? You should know who will actually be handling your claim.
Dispute Resolution
If you and the adjuster disagree about the fee or services, how is the dispute resolved? Some contracts include arbitration or mediation clauses.
Red Flags in Public Adjuster Contracts
Fee Above the Legal Maximum
If any adjuster asks for more than 20% on a standard claim or more than 10% on an emergency claim, they are violating Florida law. Walk away.
No Cancellation Provision
Florida law requires cancellation rights. If the contract does not include them, it may be unenforceable — and the adjuster may not be operating in good faith.
Vague Service Descriptions
A contract that says “the adjuster will handle the claim” without specifying what that means gives you no basis for holding the adjuster accountable.
Pressure to Sign Immediately
A reputable adjuster gives you time to read the contract, ask questions, and even consult with others before signing. Anyone who pressures you to sign on the spot — especially while standing in your damaged home — is a red flag.
Excessive Cancellation Penalties
While reasonable cancellation provisions are normal, contracts that impose steep penalties for cancellation after the cooling-off period should be scrutinized.
No License Number
If the contract does not include the adjuster’s Florida license number, verify their credentials independently through the Florida Department of Financial Services website.
Questions to Ask Before Signing
Before you sign a public adjuster contract, ask these questions:
- What is your Florida license number? Verify it independently.
- What percentage do you charge? Confirm it is within legal limits.
- What is the fee calculated on? Understand exactly what amount the percentage applies to.
- What services are included? Get specifics, not generalities.
- Who will actually work on my claim? Will it be the person you are talking to, or someone else?
- How do I cancel if I change my mind? Know your rights.
- What happens if my claim is denied? Do you owe anything?
- How long does the process typically take? Set realistic expectations.
- Can I still communicate directly with my insurer? The answer should be yes.
- Do you carry errors and omissions insurance? This protects you if the adjuster makes a mistake.
The Greater Claims Consulting Contract
At Greater Claims Consulting & Appraisal Inc., our contract is:
- Clear: Every provision is written in plain language
- Compliant: Fully compliant with Florida Statute 626.854
- Fair: Competitive fee percentage within legal limits
- Transparent: Fee calculation is clearly explained
- Comprehensive: All services are itemized
- Cancellable: Full cancellation rights as required by law
We walk you through every provision before you sign. We answer every question. And we give you time to make your decision — no pressure, no sales tactics.
Understand What You Sign
A public adjuster contract is a partnership agreement. The adjuster commits to working your claim with expertise and diligence, and you agree to compensate them with a percentage of the recovery. When both parties understand the terms, the relationship works well for everyone.
Call Greater Claims Consulting & Appraisal Inc. at (877) 462-7036 to discuss your claim. Reginald Amedee and our team will answer all your questions — about the contract, the process, and your specific situation — before you make any commitment.
We serve homeowners throughout South Florida and work on a contingency basis — you pay nothing unless we recover money for you.