Claims Adjuster vs. Insurance Agent: What Are the Differences?
Learn about the two careers and review some of the similarities and differences between them.
There are many different types of jobs in the insurance industry. Two common positions are that of a claims adjuster and an insurance agent. Though both jobs involve working with insurance, there are several key differences between the two.
In this article, we discuss the differences between a claims adjuster and an insurance agent, and we provide additional information about other types of jobs in the insurance industry.
What is a Claims Adjuster?
Claims Adjusters are responsible for investigating insurance claims and determining whether or not the claim should be paid. They gather information from claimants, witnesses, medical professionals and other sources to make a decision. Claims Adjusters typically work for insurance companies, but some may be self-employed or work for adjusting firms. They often work regular business hours, but may be required to work overtime or be on-call to handle urgent claims.
What is an Insurance Agent?
Insurance Agents are responsible for selling insurance policies to individuals, families and businesses. They work with clients to determine their insurance needs and recommend specific policies that will provide the coverage they require. Insurance Agents typically work for insurance companies or brokerages, although some may be self-employed. They typically work regular office hours, although they may need to work evenings or weekends to meet with clients. Insurance Agents must be licensed in the states in which they sell insurance.
Claims Adjuster vs. Insurance Agent
Here are the main differences between a claims adjuster and an insurance agent.
Job Duties
Claims adjusters and insurance agents share some job duties, such as investigating insurance claims and evaluating risk. However, claims adjusters focus more on the evaluation and processing of claims, while insurance agents focus more on selling insurance policies to clients. Claims adjusters also perform job duties specific to their jobs, such as adjusting claims for the insurance company they work for.
Insurance agents typically have a lot of contact with customers, which means that their job duties can vary depending on the type of insurance policy they’re selling. For example, if an insurance agent sells life insurance, they may spend time explaining the details of the policy to the customer. If the customer has questions about the policy, the insurance agent must be able to answer them.
Job Requirements
Claims adjusters typically need at least a high school diploma, although some employers prefer candidates to have a bachelor’s degree. Many claims adjusters also pursue professional certification through organizations like the American Institute for Property and Liability Underwriters (AIPLU) or the Insurance Institute of America (IIA). These certifications can demonstrate that a claims adjuster has the necessary skills and knowledge to do their job effectively.
Insurance agents usually need at least a high school diploma as well, but some employers may prefer candidates with a college degree. Many insurance agents also pursue professional certification through organizations like the National Association of Insurance Commissioners (NAIC) or the National Alliance for Insurance Education & Research (NAIER). These certifications can show that an insurance agent is knowledgeable about the industry and has the skills necessary to help their clients.
Work Environment
Insurance agents work in a variety of environments, depending on the type of insurance they sell. For example, life insurance agents often work for independent agencies that travel to meet with clients and conduct presentations. Property insurance agents may work for large companies or agencies that have offices throughout an entire state or region.
Claims adjusters typically work in claims departments at insurance companies. They spend most of their time working in office settings, but some may travel to visit accident sites and evaluate damage.
Skills
Both claims adjusters and insurance agents need to have customer service skills. Claims adjusters need to be able to deal with customers who are often upset about their situation, while insurance agents need to be able to build relationships with potential customers.
Both of these positions also require strong communication skills. Claims adjusters need to be able to explain the claims process to customers, as well as gather information from them about their situation. Insurance agents need to be able to explain the different types of coverage available and help customers choose a policy that meets their needs.
Claims adjusters need to have strong analytical skills to be able to review information and make decisions about whether or not a claim should be paid. They also need to be detail-oriented to ensure they do not miss any important information. Insurance agents need to be able to understand complex insurance policies and be able to explain them to customers in simple terms. They also need to be good at sales and marketing to be able to sell policies to customers.
Salary
Insurance agents and claims adjusters both work in the insurance industry. Insurance agents earn an average salary of $62,436 per year, while claims adjusters earn an average salary of $60,760 per year. Both of these salaries may vary depending on the type of insurance you work with, your level of experience and the state in which you work.
