License Reciprocity in the adjusting profession
Step 2
Step 1
The governor declares an
emergency in his state
The claims management firm
you are working for will apply
for an emergency permit
Insurance License Rules of Reciprocity
Adjuster licensing reciprocity is the system whereby a state will recognize and honor
the validity of another state's license. This enables adjusters to obtain another state's
NON RESIDENT license without taking that state's exam or equivalent coursework. Over
30 states grant reciprocity with other states that require a structured P&C prelicensing
course, a final exam, and a back ground check.
Reciprocity does not mean that, having obtained the Texas Adjuster's license, you are
immediately licensed in 32 states. You will still need to apply for each particular state's
non-residents license according to the regulating agency of the state if you wish to
work non CAT (Daily) claims in those states. You can only obtain these other licenses
if you are a Texas resident or are a resident of a state that requires no state license.
If you are not a Texas resident, it is important to note that in order to enjoy the benefits
of reciprocity through the Texas Adjuster's License, in most cases you will need to have
a resident license in your home state. For example, a resident of Georgia seeking to
obtain a Florida adjuster's license through their Texas All-Lines Adjuster's license
will only be able to do so by:
•
Holding their Georgia adjuster's resident license
•
Establishing residency in Texas
However, if your state of residence does not have a licensing requirement but you hold
your Texas All-Lines Adjuster's License, you will be eligible for reciprocity with other
states. Thus, a resident of Missouri (no state licensing requirement) who has a
non-resident license from Texas will still be able to be licensed in Florida without
being required to take the Florida exam.
Reciprocity is only needed for handling DAY Claims, not CAT claims. There is absolutely
no reason to have multiple licenses for CAT deployment. Multiple licenses (non-resident)
are only needed if there is work NOT declared as an emergency by the governor of the
affected state. CAT is associated with declared emergency deployment. When there
is a declared emergency; an emergency permit is issued to an adjuster with a valid
license from any state. There is certainly a lot of snow, hail, and tornado damage, but
those are typically categorized as day claims, not CAT. They all require resident or
non resident licenses in the state where the damage occurred for an adjuster to legally
work those claims if that state has a licensing requirement. The license required depends
on whether it is a declared emergency or not.
Step 3
Step 2
Step 1
The governor declares an
emergency in his state
The claims management firm
you are working for will apply
for an emergency permit
The adjuster may typically work
under that permit for typically
up to 6 months depending on
the state
During a delcared
catastrophic event, any
current/valid adjuster
license will allow you to
work in the declared state
under an emergency permit.