Are you currently dealing with the murky waters of a home insurance claim? If so, you might have already encountered some frustrating tactics used by home insurance claim adjusters. Unfortunately, these adjusters are not always forthcoming when it comes to settling claims fairly. That’s where I come in.
My name is Michael Ryan, and for over 25 years as a financial planner, I’ve been in the trenches with clients fighting for a fair settlement. I’ve seen the games, I’ve heard the excuses, and I’ve learned the playbook.
Why learn this from me and not a home insurance claims adjuster? Because they won’t tell you any of this!! I’m confident that my insights and advice will help you navigate the claims process with confidence and ease.
Key Takeaways: Home Insurance Claims Adjuster Tactics
- Documentation is Your Armor:
Homeowners should document all damages with photos and videos, keep written communications, and consider hiring a public adjuster for an independent assessment. - Adjusters Work for the Insurer:
Their primary goal is to minimize payouts. Tactics include acting friendly initially, making false promises, and ignoring calls to wear you down. - Know Your Policy:
Homeowners must stay vigilant, scrutinize policy wording for exclusions and coverage, and avoid admitting fault during negotiations. Understanding your rights as a homeowner is the first step to a fair fight.
Key Takeaways Ahead
What is a Home Insurance Claim Adjuster, Really?
Think of a home insurance claim adjuster as the insurance company’s designated ‘fact-finder.’ Their stated job is to assess the damage to your property and determine the appropriate compensation for repairs or replacements.
But after nearly 30 years of seeing these claims from the client-side, I can tell you their unspoken job is to protect the insurer’s financial interests by minimizing claim payouts.
I saw this firsthand in July 2025 when a client’s friendly adjuster suddenly turned into a stone-walling bureaucrat the moment we presented a contractor’s estimate that was higher than their initial lowball offer. It’s a switch that flips, and you need to be ready for it.
So, whose interests are the homeowner’s insurance adjusters truly adjusting?
The Adjuster’s Playbook: Michael Ryan Money The D.R.A.I.N. Method™
Forget random lists of tricks. Over the decades, I’ve seen these ‘secret’ tactics fall into a predictable, five-step playbook.
I call it the Michael Ryan Money D.R.A.I.N. Method™:
- Delay
- Reduce
- Assign Blame
- Ignore
- Narrow the Policy.
They aren’t just isolated tricks; they’re a system designed to wear you down until you accept less than you’re owed.
This isn’t just theory. The goal is often to keep the payout below the ‘loss reserve‘ amount the insurer set aside internally for your claim. Why does a simple callback take a week? It’s not always because they’re busy; sometimes, it’s a calculated move to increase your frustration.
1. Delay, Deny, Defend: Using Time as a Weapon
An adjuster’s favorite tool is the calendar. They know you’re displaced, stressed, and want to get your life back to normal. By intentionally slowing down the process, they increase your frustration, hoping you’ll eventually take a lowball offer just to be done with it. This looks like:
- Slow Communication: Taking days, or even weeks, to return phone calls or emails.
- Excessive Paperwork: Requesting unnecessary, irrelevant, or duplicate documents to create bureaucratic hurdles.
- False Deadlines: Implying you need to make a decision immediately when, in reality, you have time.
- Ignoring You: This is a pure intimidation tactic designed to make you feel helpless and give up.
What You Can Do:
Communicate primarily via email to create a paper trail. Send polite follow-up messages summarizing phone calls and confirming next steps and deadlines. If you are being ignored, send a formal email to the adjuster and CC their supervisor.
2. Reduce: The Art of the Lowball and Depreciation
This is where the financial battle is fought. The goal is to undervalue your loss through several key tactics.
- Lowballing: The first offer is almost never the best offer. It’s an anchor point designed to make their next, slightly-less-low offer seem reasonable.
- Depreciation Games: They will apply depreciation to your property but may use an unfair calculation. You can and should challenge this.
- Repair Instead of Replace: They may push for cheap repairs on items that, according to your policy, should be fully replaced.
Myth Busted!
The Myth: “The adjuster’s first offer is usually the best you’ll get.”
The Truth: The first offer is a starting point for negotiation, not the final word. It’s often calculated to be just high enough to seem plausible but far below what you’re actually owed.Repair vs. Replace: A Quick Comparison
Repair Replace ✅ Faster, cheaper for insurer ✅ Long-term, proper solution ❌ May be a temporary fix ✅ Restores property to pre-loss condition ❌ Might not match existing materials ❌ Higher upfront cost for insurer
3. Assign Blame: The Liability & Pre-existing Damage Attack
This tactic shifts the responsibility from the covered event (like a storm) to you. The adjuster might suggest:
- You failed to properly maintain your property.
- The damage was caused by a contractor you hired, not the event itself.
The “Pre-existing Damage” Attack:
This is a classic. “That water damage in the wall? It looks like it was there before the pipe burst.” They use any minor, unrelated issue to deny responsibility for the major, current one.
A client of mine successfully fought this on a roof claim because he had dated photos from a home inspection just six months prior, proving the roof was in good condition before the storm. This is why personal documentation is so critical.
4. Narrow the Policy: Strategic Misrepresentation
Outright lying is rare and illegal, but ‘strategic misrepresentation’ is a common and insidious tactic.
Here’s a real-world example from a client file dated May 2025: A sump pump failure flooded their basement. Their policy had a clear ‘Sump Pump Overflow‘ rider. The adjuster, however, stated the damage wasn’t covered because it was caused by ‘groundwater seepage,’ a standard exclusion.
He wasn’t technically lying about the exclusion’s existence, but he was misrepresenting its application to my client’s specific, covered event. This is a game of semantics, and it’s why you must read your policy carefully. This behavior can be considered one of many potential bad faith insurance practices that you should be aware of. Do you think they point out coverage you missed?
5. Intimidation: False Promises and Pressure
- Acting as Your Friend: The friendliest adjuster is often the most dangerous. Their goal is to build rapport to disarm you, making it harder for you to question their lowball offer later. Be professional, but don’t mistake them for your friend.
- Telling You Not to Hire an Attorney: They may claim it will only prolong the process. In reality, sometimes it’s the only thing that gets a file moving and ensures you’re protected from violations of the Unfair Claims Settlement Practices Act.
- Denial of Coverage: They may send a formal denial letter, hoping you won’t fight back.
If you are finding this article helpful, then you’ll also love my article on ways to lower you auto insurance costs.
Your Counter-Offensive: When to Bring in Professionals
If you’re facing these tactics and the claim is significant, it may be time to call for backup.
Public Adjusters:
These are licensed professionals you hire to represent your interests, not the insurance company’s. They can handle the entire claim process, from documentation to negotiation, and studies have shown they can significantly increase settlement amounts.
Attorneys:
If the insurer is acting in bad faith, a property damage attorney can be your most powerful asset. Don’t sign any documents you don’t fully understand. Don’t agree to a recorded statement without preparation. Don’t cash a check that says ‘final payment’ unless you are certain the claim is settled.
Your Next Step: Get Prepared, Not Angry
The claims process is designed to be confusing and exhausting. But with the right knowledge, you can level the playing field. Don’t let them win by wearing you down.
To help you stay organized and protect your rights, I’ve created a free toolkit that includes a Claim Communication Log and a Damage Documentation Checklist. Having these ready before you even speak to the adjuster is your first, most powerful move.
Thank you for reading, and please leave a comment below if you have any feedback or questions. Let’s continue the discussion and help each other navigate the world of home insurance claims.
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Note: The content provided in this article is for informational purposes only and should not be considered as financial or legal advice. Consult with a professional advisor or accountant for personalized guidance.
