FAQs – Texas Adjuster License
Even though this isn’t rocket science, we know you still have questions. We have addressed 42 FAQs on this page. If your question was not addressed, you can get additional help by going to Website Support.
FAQs # 1. How do I obtain a Texas Adjuster License?
Your first step in getting your Claims Adjuster License is to complete either the “All Lines“ or “Property & Casualty” Adjuster Pre-Licensing Course. You will then be mailed your Completion Certification. Once you‘ve received it, make a copy and do the following:
(To assist in choosing between a STAFF ADJUSTER or INDEPENDENT ADJUSTER, click… Careers)
Submit to Texas Department of Insurance:
1. Complete the License Application (individual form). Form FIN5
2. Secure your fingerprints FAST Pass receipt provided to you by L1. (Only electronic fingerprints will be accepted.) Appointments to secure your electronic fingerprint must be made directly with DPS vendor “L1”. This vendor has over ninety Texas fingerprinting locations across the state. You must first schedule a fingerprint appointment by visiting http://www.identogo.com/ (IdentoGo by MorphoTrust USA) or by calling 217-793-2080. For further information, be sure to review the “Fingerprinting” information listed on page 13 of the application.
3. Mail your completed application, FAST Pass receipt, photocopy of the AE21 Certificate of Completion and a check for $50 to TDI.
Detailed instructions of the above steps for submission will be mailed to you with your Completion Certificate. Don’t panic it’s actually a simple process!
FAQs # 2. If I am a non-resident of Texas and do not live in a state that requires individuals to have an insurance adjuster license, can I designate Texas as my home licensing state?
Yes. By fulfilling the same requirements as a Texas resident adjuster. Note on the Adjuster License Application within Part I; you would check the box for “Adjuster All Lines Designated Home State Texas” or “Adjuster Property & Casualty Designated Home State Texas.” For more information, be sure to review the “Nonresident Adjuster Designated Home State Texas Applicants Only” information listed on page 4 of the application.
When you designate Texas as your home state, you are subject to Texas Department of Insurance guidelines including fingerprinting and continuing education requirements.
FAQs # 3. What are the Continuing Education requirements?
30 hours per 2-year renewal period with 2 in ethics for all types of Texas Adjuster Licenses. (See Continuing Educations under the Other Courses Nav button, for a complete list of courses available.)
FAQs # 4. If someone gets an insurance adjuster license, are they also able to work as an inspector or an appraiser?
No. These are very separate professions. After a covered loss, an adjuster (claims representative), arranges a settlement to restore damages in accordance with the insured’s policy. Inspectors and appraisers estimate damage but do not settle claims or discuss coverage.
However, since the work is similar, having related licenses is always a plus when being considered for a job.
FAQs # 5. Are there any female adjusters? (This is becoming one of the top FAQs!)
Yes. At least 10% of Texas Adjusters are women. Due to the physical challenges of this business, it has been our observation that most female Adjusters out perform their male counterparts! This is because of a desire to overcompensate for any shortcomings in that area.
FAQs # 6. What if I have a criminal record?
This does not automatically disqualify you. If you have a felony on your record, you will have to provide specific details to the Texas Department of Insurance. Be sure you follow the exact instructions on the TDI application. For more information; call TDI @ 512-322-3503.
FAQs # 7. What is Reciprocity?
It is the arrangement between states that recognizes each other’s license. You are not required to take a course or exam. If you hold a Texas adjuster license you can merely submit your application to those states.
Texas literally wrote the book on insurance. Since it was so well done and so comprehensive, 32 other states honor the Texas Adjuster License.
FAQs # 8. How many credit hours are required before I take the state exam?
Texas requires you to complete a 40 hour credit program. (Both our courses, All Lines and Property & Casualty, are 40 hour courses.) Once you have completed the 40 hours of adjuster training, you can take the final exam through TXALA.
FAQs # 9. What is a pre-licensing course?
Calling it a “pre-licensing” course causes a bit of confusion. It is the legalese term for either the All Lines or P&C courses you take before you are granted a license. Hence the term pre-license. Our insurance adjuster pre-licensing courses meet the requirements needed to obtain a Texas Adjuster License. You send your application to TDI, and they will send you your Adjuster License in a couple weeks.
FAQs # 10. What do I need to do to get deployed?
Step one is to join several rosters. Your next concern is to get ranked as high as possible on those rosters to increase your chances of getting deployed. A Texas Adjuster License gives you an edge over other adjusters because of reciprocity. Also certification in things like Xactimate & HAZWOPER are not only skills you will be using in the field, but will get you selected over uncertified adjusters. (Both Xactimate & HAZWOPER are available on this site under the Other Courses Nav button.) Make sure you receive Adjuster Training from a CAT company, preferably one of the 4 that will get you your State Farm Certification. Keep in mind, when there is a major disaster these companies are desperate for adjusters and will give just about anyone a chance.
(See also FAQs # 11)
FAQs # 11. What is a roster?
A roster is a listing with catastrophe firms (see List of Adjusting Contractors under the Career Support Nav button) that contains qualified adjusters who are ready to be deployed once a storm or disaster strikes. Once you have gotten a Texas Adjuster License, also get certified for Xactimate. Then you need to submit your resume to several adjusting companies requesting to be added to their rosters.
FAQs # 12. I have a background in construction, should I bother taking the adjuster training course?
A construction background is great on a resume and will come in handy, but additional training is highly recommended. Especially the adjuster training course you get from an adjusting firm. You will be instructed in their procedures and policies and the protocols of the insurance companies they are contracted with. If you live close to one of the four firms offering State Farm certification, take their adjuster training over another companies course. For info on those 4 companies, click on the Career Support navigation button, then click on Certification with State Farm.
FAQs # 13. Can I take the course on different computers at different locations?
You can access your account from any computer anywhere. All you need is your username and password.
(See also FAQs # 33)
FAQs # 14. How many credit hours are required before I take the state exam?
This will depend on your particular state. Check the Individual State Requirements under the Nav button Texas All Lines / P&C, or contact the Department of Insurance in your state.
FAQs # 15. My friend is a Texas Adjuster and has offered to let me follow him around for a week or so to get some first hand experience. Is that a good idea?
Great FAQs, and yes, this is a great idea! Once you get your insurance adjuster license, having someone “show you the ropes” is always beneficial to the learning process. This is actually a very common practice.
FAQs # 16. What is a CAT company?
A CAT company (AKA – IA Firm or Adjusting Firm) is a business that processes catastrophe claims for an insurance company. The CAT company is responsible to the insurance company for accurate and timely processing of the claims according to contractual arrangements.
FAQs # 17. What is a CAT Adjuster?
When catastrophe strikes there is always a shortage of qualified individuals with an insurance adjuster license in the damaged area to quickly handle the claims. Non-resident Adjusters (CAT Adjusters) will be allowed to process the claims without being required to hold a license in the effected state, and may work claims there as long as necessary.
FAQs # 18. When do Adjusters work?
CAT Adjusters and Independent Adjusters work whenever they want to work. You are an independent contractor, not an employee. So you can refuse deployments if you feel you are in good enough standing with the company not to have it effect future decisions to deploy you. You can choose to work 3 months a year, 6 months a year, or year round. Typically a CAT or Independent Adjuster works 6 months of the year. A Staff Adjuster is an employee of an insurance company and works year round.
FAQs # 19. What is “Clean-Up” adjusting?
This is work performed by adjusters who re-visit claims that are being disputed, because they were either handled improperly, or the insured wants a better estimate and has requested an additional inspection. The original adjuster is usually off to another deployment when the subsequent visit is needed. There is always a lot of work in this area.
FAQs # 20. What do adjusters do in between Hurricanes?
Hurricanes only make up about 35% of the work for Independent Adjusters. There are a lot of other disasters that require qualified adjusters, such as; hail, fires, floods, tornados and earthquakes. And when you consider the wide geographic range of all 50 states, the opportunities for adjusters is year round. If it is your desire to work in between deployments, you should check in with the local insurance companies and let them know you are available for local adjusting work.
FAQs # 21. How are adjusters paid, and how much money do CAT adjusters earn? (This is the # 1 FAQs)
Most companies pay on a “schedule” which is a per-claim payment based on the amount of the claim. But some pay a daily rate or “per diem” of around $600 to $1,000. Some companies may start a disaster paying on a schedule, but as it winds down, they switch to per diem. Most Adjusters average $400 per claim, and an experienced adjuster can complete 4 to 7 claims per day. A catastrophe adjuster is an independent contractor, which means your income is dependent on how much you work. At 4 claims a day, you are going to be making over $38,000* a month. This is not an exaggeration, in fact it is a conservative figure! Because of the difficulties of deployment, companies have to pay top dollar to get qualified adjusters to leave friends and family and endure all the related hardships for extended periods of time.
* This is based on average claim earnings reports from adjusters working hurricane WILMA, KATRINA and IKE.
(See also FAQs # 34)
FAQs # 22. Can I be a Claim’s Adjuster on a part time basis?
Making a 100% commitment to anything “unknown” is scary. So wanting to maintain your current job or make a reasonable transition is not only a natural instinct but a prudent approach to a new career. Keep in mind when you get deployed you are going to be on-site far from home, and you are committed to working those claims until they are all settled. In the time your are deployed, you will probably earn more than you will earn in your other job all year. Considering all the factors, I would answer your question with a NO. But, I would encourage you to reassess and ask the question differently… Can I find a part time job with the flexibility to allow for my new Adjusting Career?
FAQs # 23. Why is acquiring a Texas Adjuster License so important?
Texas literally wrote the book on Adjusting. They took the lead by being the first state to establish standards for obtaining and maintaining an adjuster’s license. Consequently, most states accept the Texas license as valid in their state.
Through reciprocity, you are licensed by proxy to operate in the 30+ other states that recognize the Texas Adjuster’s License. Being able to work claims in this wide geographic reach makes you a more valuable adjuster.
(See FAQs 26 for a list of the states that recognize a Texas Adjuster License)
FAQs # 24. My state doesn’t require an adjuster to have a license, so why would I want a Texas license?
If you are serious about a career as an adjuster, you must be willing to do a good bit of traveling. Even if it were possible to only work in your state, you still need training! Because of the rigorous state mandated training, adjusters with a Texas license are recognized as being among the most informed and competent in the industry. The more qualified you are, the more valuable you will be to an Adjusting Firm or Insurance Company.
FAQs # 25. Am I able to obtain the Texas Adjuster License if I don’t live in Texas?
If you live in one of the following 20 states, you can obtain the Texas All-Lines Adjusting license:
Alaska / Colorado / Connecticut / Washington D.C. / Illinois / Iowa / Kansas / Maryland / Massachusetts / Missouri / Nebraska / New Jersey / New Mexico / North Dakota / Ohio / Pennsylvania / South Dakota / Tennessee / Virginia / Wisconsin
If you live in one of the other states, you need to get your home state’s adjuster license first, then you can get a Texas Adjuster License.
Thanks to Reciprocity, the Texas license gives you a virtual nationwide reach enabling you to work claims in over 30 states! All successful Adjusters have a Texas license.
FAQs # 26. What states recognize the Texas Adjuster License?
FAQs # 27. What is a Proctor?
FAQs # 28. What is the filing procedure for my license once I pass the final exam?
Texas Department of Insurance
P.O. Box 149104
Austin, TX 78714
(See also FAQs # 36)
FAQs # 29. How do I contact the Department of Insurance in my state to find out about their requirements?
FAQs # 30. My state offers an Adjuster License, but I keep hearing that I also “need” a Texas license. Why?
FAQs # 31. If I sign up for either the All Lines or P&C course offered by TXALA, do I still need to take the exam through the Texas Department of Insurance?
FAQs # 32. When I complete the course and receive the completion certificate, am I allowed to fax my license application to TDI?
FAQs # 33. Is your course compatible for MAC users? / Can I take this course with the AOL browser?
MAC: You shouldn’t have any problems. Make sure you have the latest version Internet Explorer, as well as the latest version of the Macromedia Flash Player.
AOL: You can use any web browser you choose but we do not support the AOL Browser so you may or may not encounter certain formatting problems. We recommend using Google, Bing or Firefox for best performance.
FAQs # 34. How much do adjusters make?
Adjusters earn anywhere from $22,000 to $250,000. The type of adjuster you choose to become is going to be the biggest determining factor in your income. Staff Adjuster make less, but they have more job and income security. Independent Adjusters and CAT Adjusters make the most, and typically only work five to six months a year. But as with any profession, success depends on motivation, experience, skills, education, capabilities, common sense, attitude, willingness to work and last but not least . . . weather.
FAQs # 35. I have an insurance adjuster license in a state other than Texas and have not yet designated Texas as my licensing state. What will the Texas Department of Insurance require from me regarding continuing education?
If you are in compliance with your home state’s requirements on continuing education, then you will not be required to complete the continuing education requirements of Texas.
FAQs # 36. How can I contact the Texas Department of Insurance?
Texas Department of Insurance:
Agent and Adjuster License
Mail Code 107-1A
Austin, TX 78711-2069
FAQs # 37. Are there any aspects of the All Lines or P&C courses that are timed?
Yes, the Final Exam is timed. There are 150 questions that must be answered in 180 minutes. Finishing in the 3 hours allotted is rarely a problem. But if you fail to answer all the questions in the 3 hours and still achieve a 70 or higher, you pass regardless of leaving a few questions unanswered.
FAQs # 38. Once I enroll, how long do I have to finish the course?
There is no time restriction on earning your Adjuster License from this course. You proceed at your own pace, regardless of how long it takes.
FAQs # 39. Once I have passed the final exam, how long does it take to receive my completition certificate?
When you pass the final exam, you will be instructed to print out two affidavits, one for you and one for the proctor. These affidavits are to be notarized and returned to TXALA. Once we have them, you completition certificate is mailed within 2 to 3 business days.
FAQs # 40. I already have an insurance adjuster license in my home state. What do I need to do to get a Texas non-resident license?
If you have an insurance adjuster license and are in good standing with your home state, you may apply by reciprocity. (Part VII – Background Information and Fingerprints on page 9 of the license application). Submit the following to the Texas Department of Insurance:
1. Completed license application form FIN506 or the Uniform non-resident application.
2. Application fee
3. Proof of certification from your home state’s Department of Insurance
4. You may also apply on-line
Some states require you to get an insurance adjuster license in your state before applying for a Texas Adjuster License. Click on the navigation button “Texas All Lines / P&C ” and then click on Individual State Requirements for more information.
FAQs # 41. How do I know if my home state requires me to have an insurance adjusters license?
The following states do not require you to have an Insurance Adjuster License:
Colorado / Kansas / North Dakota / Virginia / District of Columbia / Maryland / Ohio / Wisconsin / Illinois / Missouri / Pennsylvania / Indiana / Nebraska / South Dakota / Iowa / New Jersey / Tennessee
Regardless if your interest are in becoming a Staff Adjuster or a CAT (catastrophe) Adjuster, you have to get hired before you can start your career. Make sure your resume includes a Texas Adjuster License! Even Staff Adjusters travel occasionally to other states, so having a license with reciprocity in over 30 states makes you a better candidate.
FAQs # 42. Is a degree required? If not, would getting one be a smart idea to give me an edge?
College is not in any way a requirement in this industry. Would it help to have a degree as far as a resume is concerned? Sure, but being certified in Xactimate or HAZWOPER is far more impressive. Spend your time and money on the different types of adjuster training that will actually impact your career, instead of trying to make an impression with some academic title. Most companies simply want a valid adjuster license from someone who is honest and wants to work for great pay!
This concludes our FAQs. If these did not answer your specific question, you can get additional help by visiting Website Support.
If you are ready for a new career as an
Insurance Claims Adjuster,
Click… GET STARTED!
FAQs – Texas License