Table of Contents
- Application for Individual Adjuster License, form LIC 041-A.
- Application for Adjuster Business Entity License, form LIC 042-A.
- Bond of Public Insurance Adjuster, form LIC 94A.
- Application for Branch Office Certificate, form LIC 31A-13.
- Public Insurance Adjuster Authorization Application, form LIC 0100A.
- Public Adjuster Sample Contract form.
Candidate Information Bulletin
Section 15007 of the California Insurance Code (CIC) reads, in part:
A Public Insurance Adjuster is a person who, for compensation, acts on behalf of or aids in any manner, an insured in negotiating for or effecting the settlement of a claim or claims for loss or damage under any policy of insurance covering real or personal property or any person who advertises, solicits business, or holds himself or herself out to the public as an adjuster of those claims and any person who, for compensation, investigates, for those losses on behalf of any public insurance adjuster.
- Minimum Age: 18 years
- Residency: California residency is not required.
- Entity Types: Individual, corporation, partnership, nonprofit corporation, unincorporated association, limited liability company.
- Prelicensing Experience/Education: Must have two years certified experience in the insurance adjusting field. 2,000 hours of compensated time in the adjusting field is equal to one year of experience.
- Continuing Education: Section 15059.1 of the CIC was amended to establish a CE requirement of 24 hours including 3 hours of ethics during the two-year license term for California resident public insurance adjusters.
- Application for Individual Adjuster License, form LIC 041-A
- Business Entity License - Application for Adjuster Business Entity License, form LIC 042-A.
- Bond: A Bond of Public Insurance Adjuster, form LIC 94A in the penal sum of $20,000 executed in California, by a California admitted surety. If the applicant is a business entity, the business entity must be named as principal.
- Branch Office Certificate: If the applicant intends to conduct business from any location in California other than the principal place of business, a Branch Office Certificate must be obtained by submitting an Application for Branch Office Certificate, form LIC 31A-13, with fee.
- Public Insurance Adjuster Authorization Application: Form LIC 0100A, must be submitted for each person who is employed by a licensed public adjuster. All persons acting as a public insurance adjuster must be licensed as such.
- Contract: Pursuant to Section 15027 of the California Insurance Code(CIC), no licensee shall, directly or indirectly, act within this state as a public insurance adjuster without having first entered into a contract, in writing, on a form approved by the insurance commissioner and executed in duplicate by the public adjuster and the insured or a duly authorized representative. One original contract shall be kept on file by the licensee, available at all times for inspection, without notice, by the commissioner or his or her duly authorized representative, and one original contract shall be given to the insured.
The California Department of Insurance (CDI) has provided a sample contract form for Public Insurance Adjusters to utilize. This sample contract form satisfies the requirements of Section 15027 of the CIC but the applicant is not required to use it. However, all contract forms must meet the requirements of CIC Section 15027 and must be approved by the CDI's legal division prior to use. Using this sample contract may help to speed up the approval process.
Note: Pursuant to Section 15027(v) of the CIC prior to the signing of the contract, the licensee shall provide the insured with a separate printed disclosure document that bears the name and license number of the licensee.
Fees (Resident and Non-Resident):
- License filing - two year fee: $198 (effective March 17, 2014; the fee will increase to $218).
- Application: $51 (effective March 17, 2014; the fee will increase to $56). This fee will be charged when the first examination is scheduled using PSI examination scheduling service. Do not include the application fee with the license filing fee when you submit your adjuster application.
- Branch Office Certificate: $29 (effective March 17, 2014; the fee will increase to $32).
- Authorization Application: $51 (effective March 17, 2014; the fee will increase to $56).
- Fingerprint Processing: Review Fingerprint processing link for fees.
- Both resident and non-resident applicants must pass the qualifying license examination prepared and administered by the Department.
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Study Material: Although the Department does not recommend any particular text, method or course of study, listed below is a study guide to assist in the preparation for the examination:
| Insurance Coverages - Property Coverages Only:
- Business Income
- Business Owners Policy
- Commercial Property
- Homeowners & Dwelling
- Inland Marine
- Adjuster's Act
- Agency Law
- Investigation technique
- Rules of evidence
- Unfair Claims Practice Act
- Improvements & Betterments
- Insurable Interest
- Mortgage Clause/Loss Payable
- Pro rata Clause
- Replacement Cost/ACV/Market Value
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Public Adjuster licenses are issued for two year terms. Specifically, the term of the license begins the date the license is issued and ends the last day of that same calendar month two years later.
Notice - Changes to License Renewals
The California Department of Insurance (CDI) discontinued mailing renewal notices to individuals and business entities licensed through CDI's Producer Licensing Bureau. CDI now emails licensees a renewal notification to their email address on record. The email notification includes the license number, license term, license type, and information regarding any continuing education requirements. You can update your e-mail address using CDI's Online Address Change service.
If renewal application is not received, complete the form Application to Renew Public Insurance Adjuster license LIC 448-29C, or the form Application to Renew Business Entity Public Adjuster license LIC 448-29D and mail the completed form to California Department of Insurance, P.O. Box 311, Sacramento, California 95812-0311.
Note: An expired license or branch office certificate may be renewed within one year after its expiration upon filing an application for renewal and paying the required renewal fees. If the license or certificate is renewed more than 30 days after its expiration, a delinquency fee is also required.
LIC 670B (Rev. 04/2013)
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