What is meant by "claims adjustment"?

Claims adjustment refers specifically to the process of evaluating a claim after it has been reported and negotiating its settlement. This includes thoroughly assessing the details surrounding the claim, such as the documentation provided, the extent of the damages, and any relevant circumstances influencing the claim. The adjuster’s role is to determine the validity of the claim, figure out how much compensation is warranted based on the policy terms and related factors, and ultimately reach a fair settlement with the claimant or their representative.

This process is crucial in the insurance industry, as it helps maintain fairness and accuracy in handling claims, which ultimately affects customer satisfaction and the insurer's financial stability. The claims adjustment process is comprehensive and involves not only evaluating the facts but also working towards a resolution that aligns with both the insurer's guidelines and the claimant's expectations.