Definition

The amount of damage or loss that your insurance covers after an event. It is the basis for how much you can claim from your policy.

What to consider

  • Understand how loss adjustments are calculated.
  • Keep detailed records to support your claim.
  • Discuss any discrepancies with your adjuster.

Real world scenarios

  • After submitting a claim, an adjuster visited the property to determine the loss adjustment amount.
  • A patient’s claim underwent loss adjustment to calculate the correct reimbursement for medical expenses.
  • A business had a loss adjustment process to determine the payout for damaged inventory.

Related terms

Insurance & Financial Protection