Texas
Insurance
Adjuster
Training
Online
Reciprocal Licensing of
Non-Resident Adjusters
When you have a Texas Insurance Adjusters License,
it's like having a license in 32 states!
The TX Resident Adjuster license is considered the most valuable adjuster license in the country. Over 30 states recognize this license via reciprocity thus allowing an adjuster to enjoy a nearly nationwide scope of operation as long as any unique state regulations are also met. This broad license make an adjuster much more valuable.
What if my state also offers an adjusters license?
Some state offer a state specific adjusters license. Often these state specific licenses do not enjoy the broad reciprocity agreements with various states as does the Texas Adjuster License. Many adjusters who wish to be qualified to work a large geographic area find the widely accepted TX Adjuster License to be more valuable. If you have questions about state specific adjusters license please consult your respective Department of Insurance.
Why is the Texas Adjuster's License so highly valued?
Many states recognize the Texas Adjuster's license as valid in their own state because Texas was one of the first states to establish high standards to earn and maintain an adjuster license.
In short, take our online Texas adjuster's training and exam online exam and upon successful completion, you are granted a Texas adjuster's license which is recognized by many states.
Through reciprocity, you are licensed by proxy to operate in those states which recognize the Texas Adjuster's license.
The TX Adjuster's License is reciprocal in 32 states but in cases additional state specific courses may be required. Please check with the appropriate Department of Insurance if you have any questions about Adjuster Licensing rules in your state. Click here to find a link to your Department of Insurance.
The TX Resident Adjuster license is considered the most valuable adjuster license in the country. Over 30 states recognize this license via reciprocity thus allowing an adjuster to enjoy a nearly nationwide scope of operation as long as any unique state regulations are also met. This broad license make an adjuster much more valuable
The All Lines Resident Adjuster License is the broadest adjuster license available and allows the adjuster to work with the following types of losses:
• Residential – this is homeowners and fire policies and is primarily dwelling risks
• Commercial – business property, churches, schools, etc.
• Auto – both personal and business auto
• Farm and Ranch – animals, crops, buildings,
• Inland Marine – valuable objects, cargo, docks, piers, bridges, transmission lines
• Ocean Marine – vessels for transportation, hull insurance, yacht policies
• Workers Compensation – Covers the Texas WC certification
From the Texas Department of Insurance web site: Texas will grant reciprocity in licensing non-resident adjusters.
1) Alabama 17) Mississippi
2) Alaska 18) Montana
3) Arizona 19) Nevada
4) Arkansas 20) New Hampshire
5) California 21) New Mexico
6) Connecticut 22) New York
7) Delaware 23) North Carolina
8) Florida 24) Oklahoma
9) Georgia 25) Oregon
10) Hawaii 26) Rhode Island
11) Idaho 27) South Carolina
12) Kentucky 28) Utah
13) Maine 29) Vermont
14) Massachusetts 30) Washington
15) Michigan 31) West Virginia
16) Minnesota 32) Wyoming
COURSE TITLE HOURS COST
*Use code 20%OFF at checkout
These States Don’t Require Special Residence License:
Colorado, District of Columbia, Illinois, Indiana, Iowa, Kansas, Maryland, Missouri, Nebraska, New Jersey, North Dakota, Ohio, Pennsylvania, South Dakota, Tennessee, Virginia, and Wisconsin.
Adjuster Licensing Reciprocity does not guarantee you the right to work in any state any time. It simply allows you the right to work in a state which recognizes your states existing insurance adjuster license upon completion of the states non-resident Insurance Adjuster application. After completing the proper non-resident application and meeting the requirements the adjuster should then be eligible for the non-resident Insurance Adjuster License without having to take time completing an exam or pre-licensing course. This is the main benefit of Reciprocity.
P/C Insurers Apply Lessons from Hurricane Katrina
The property/casualty insurance industry is employing advancements in catastrophe modeling and considering the impact of the creation of a national catastrophe fund as it applies lessons learned from Hurricane Katrina in New Orleans in 2005.
Experts on a panel moderated by Louisiana Insurance Commissioner Jim Donelon at the Casualty Actuarial Society's 2006 Spring Meeting in New Orleans discussed the post-catastrophe landscape in the city that was dramatically changed by Katrina in 2005
Since Hurricane Katrina, catastrophe modeling firms and the P & C insurance industry have learned more about the scientific and actuarial nature of hurricane risk, experts say. The current state of the science on climate change projects potentially less frequent, but more severe tropical cyclones, said John Rollins, vice president of AIR Worldwide Corp.
"The research of AIR and other modeling companies has tried to capitalize on climate science and adapt it into the parameters of the catastrophe models," Rollins said.
In validating the models, the 2004/2005 hurricanes provided unprecedented quantities of detailed claims data, Rollins said. He said that modeling firms review actual insurer storm claims data against modeled damage for the same locations and examine results by coverage, construction, and occupancy type.
For example, damage to pool enclosures, which are common in Florida and can cost between $10,000 to $50,000, accounted for about 15-20% of losses from these hurricanes. The average claim per unit of exposure was reported to be as much as 35% higher for homes with pool enclosures.
"We have to get a handle on what to charge for that because it's the type of thing that might fly under the radar of a catastrophe modeler and the industry until after an event," Rollins said.
Modelers are also in a unique position to help companies address exposure data challenges, he emphasized. They can do this by delivering commercial and residential property specific data, including replacement value, and enhancing the capture and use of quality exposure data at the point of underwriting.
Under the Commissioner's leadership, the Louisiana market has even gotten stronger under the policies the commissioner implemented, says John Forney, managing director for public finance at Raymond James & Associates Inc. The management team Donelon hired at the state-run property insurer of last resort, Louisiana Citizens Property Insurance Corporation (LCPIC), has also been an asset, he added.
"The provision of insurance for natural catastrophes is not a science that is cast in stone," Forney said. "It occurs at the intersection of insurance, finance, economics and public policy and there isn't a huge realm of data that enables an actuary to pinpoint exactly how this whole business works and how it should work from both the financial and actuarial standpoint, as well as from a public policy standpoint," he said.
Forney listed some of the major catastrophes in the U.S. since Hurricane Andrew in 1992 that caused $15.5 billion in insured losses in South Florida and pointed out that 7 of the 10 most costly catastrophes have occurred since 2004.
Forney said that these factors had resulted in an increasing trend toward government involvement in catastrophe insurance and reinsurance. He listed the creation of the Florida Hurricane Catastrophe Fund in 1993, the California Earthquake Authority in 1996, the Terrorism Risk Insurance Act in 2002, and the creation of state-run insurers in Florida (2002) and Louisiana (2003) as examples.
He said lessons learned include the extreme difficulty of insuring losses from natural catastrophes. "Some might say they're impossible to insure," he warned, "they violate some of the fundamental standard conditions of insurability because they're infrequent, they're catastrophic, they unpredictable, and the losses are interdependent."
Commissioner Donelon said the creation of Louisiana Citizens Property Insurance Corp. has worked exactly as it was designed and has put the state in a better position than other states with similar programs, such as Florida and Texas.
"Since Katrina hit, the size and number of policies in the residual market (LCPIC) is about the same and so obviously the work of the (insurance) commissioner has paid off in keeping the policy count down," he said. But the size of the exposure has doubled from $14.9 billion in December 2005 to $27 billion in April of this year, "and I think this is a phenomenon we're going to see everywhere because the cost of rebuilding houses is going to go up every year."
Chernick provided an overview of the Homeowners Defense Act of 2009, draft legislation that would create a national catastrophe fund, which among its provisions would offer catastrophe reinsurance to state catastrophe plans; encourage states to create state catastrophe funds; offer liquidity and catastrophic loans to state plans; and provide funding for mitigation and preparedness.
Chernick showed that for a one-in-a-thousand year event causing $16 billion in insured losses, primary insurers would pay out $6.9 billion, a Louisiana State Cat Fund would be responsible for $4.7 billion, a National Cat Fund would pick up $3.2 billion, and Louisiana Citizens would take care of the remaining $1.2 billion applying the basic structure of a national and state catastrophe fund system to what is in place currently in Louisiana. In contrast, under the current system primary insurers would pay out an estimated $9.5 billion, $4.1 billion would be from reinsurance/catastrophe bonds, and the remaining $2.4 billion would fall to the state-run LCPIC.
A national/state cat fund system would result in an average statewide savings in Louisiana of about 28 cents out of every dollar of homeowner insurance premium, he said.
Reciprocal Licensing in 32 States
