National Association of Public Insurance Adjusters (NAPIA)
When a tornado, hailstorm, fire, or flood damages your home or business, the insurance claim process can be overwhelming. Policyholders who are unfamiliar with the language of their policy, the scope of covered damages, or the negotiation process with their insurer are at a significant disadvantage — and that disadvantage is well known to the professionals who arrive in the days and weeks following a disaster.
Among those professionals are public insurance adjusters — licensed advocates who work exclusively for the policyholder, not the insurance company. A skilled, ethical public adjuster can be one of the most valuable resources a disaster-affected policyholder can hire. But not all public adjusters operate with the same standards, the same credentials, or the same accountability. Understanding the difference can protect both your claim and your interests.
The Missouri Public Adjuster Landscape
Missouri licenses public adjusters through the Department of Commerce and Insurance. Licensure requires passing a state examination, maintaining continuing education, and carrying a surety bond. Licensing verifies that an adjuster is legally permitted to work in Missouri — but it does not speak to their professional ethics, their claims experience, or their accountability to any standard of conduct beyond the minimum required by law.
Unlike some states, Missouri does not cap public adjuster fees by statute. The fee you agree to in your contract is the fee you will owe. That makes your written contract — and who you sign it with — critically important. Missouri law requires a written contract before any work begins, and policyholders have the right to cancel within 72 hours of signing.
These protections are meaningful, but only if policyholders know to invoke them. And in the chaotic aftermath of a major loss, when adjusters are knocking on doors and offering quick settlements, many policyholders sign contracts without reading them carefully — sometimes with people they cannot later find.
What Is NAPIA?
The National Association of Public Insurance Adjusters (NAPIA) is the only national professional organization that holds public adjusters to a binding Code of Professional Conduct. Founded in 1951, NAPIA represents the public adjusting profession’s commitment to ethical, competent, and transparent representation of policyholders.
NAPIA membership requires members to:
- Hold valid state licensure in every jurisdiction where they work
- Adhere to NAPIA’s Code of Professional Conduct
- Maintain continuing professional education
- Disclose fees and terms in writing before any contract is signed
- Submit to a formal disciplinary process if they violate professional standards
NAPIA membership does not replace state licensing — it supplements it. A NAPIA member has voluntarily accepted a layer of accountability beyond what state law requires. That voluntary accountability is the distinction that matters most when choosing who will represent you in the most financially significant insurance claim of your life.
The Special Risks of Out-of-State Public Adjusters
After major disasters, Missouri policyholders are routinely approached by public adjusters from other states. Some of these adjusters are experienced professionals who have obtained proper Missouri licensure and who bring legitimate catastrophe response expertise. Others are not.
Some of them publish local contact numbers to conceal their locations or use “800” numbers. Often, they will hire local solicitors to market for them.
Out-of-state adjusters present specific risks that local policyholders should understand:
Licensure gaps. An adjuster licensed in another state is not automatically licensed in Missouri. Some operate here without proper licensure following major events, particularly in the first days and weeks after a disaster when regulatory oversight is stretched thin.
No local accountability. When an out-of-state adjuster returns home, they are effectively beyond reach. A policyholder with a dispute over fees, conduct, or contract terms has no practical local recourse and may have difficulty locating the adjuster at all.
Fee structures without context. Without a fee cap and without local market familiarity, some out-of-state adjusters present contracts with fee structures that bear no relationship to prevailing local practice.
Assignment of rights clauses. Some out-of-state contracts include provisions that transfer partial control of your claim to the adjuster, limiting your ability to settle, negotiate, or dismiss the adjuster without financial penalty.
A Documented Pattern of Harm
These are not hypothetical concerns. In recent years, law enforcement and insurance regulators across the country have documented criminal conduct by out-of-state public adjusters operating in disaster-affected communities. None of the individuals described below were NAPIA members.
Dennis Flaherty, Continental Fire Adjusters. Operating across the Midwest following major loss events, Flaherty was convicted of fraud related to his claims adjustment work. His victims were policyholders who had already suffered significant losses and who trusted him to advocate on their behalf.
Andrew Aga. Charged across multiple states with forgery, theft, and exploitation of disaster victims. Aga targeted homeowners in the aftermath of major storms, collecting fees and failing to perform the services he promised.
Michael Breitenbach, Patriot Public Adjusting. Faced criminal charges in Pennsylvania and New Jersey for misconduct directed at vulnerable homeowners following catastrophic events. Breitenbach’s conduct resulted in regulatory action across multiple jurisdictions.
These cases share a common profile: an out-of-state adjuster, no NAPIA affiliation, no local accountability, and policyholders left worse off than when they started. The pattern is not limited to these individuals. It repeats following virtually every major disaster event in the country.
The NAPIA Difference
Choosing a NAPIA member public adjuster does not guarantee a perfect outcome — no honest professional can make that promise. But it does provide several concrete assurances that an unaffiliated adjuster cannot offer:
A NAPIA member has agreed to written ethical standards. A NAPIA member is subject to peer oversight and formal discipline. A NAPIA member has made a public professional commitment to transparent fee disclosure. And a NAPIA member who violates those standards can be reported to the organization and face consequences beyond whatever the state licensing board may or may not pursue.
For Missouri policyholders considering an out-of-state adjuster specifically, NAPIA membership is the most reliable available indicator that the adjuster operates with professional accountability across state lines — not just in their home jurisdiction.
Before You Sign: A Verification Checklist
Before signing a public adjuster contract — particularly with someone from out of state — take the following steps:
✅ Verify Missouri licensure. Search the Missouri Department of Commerce and Insurance license lookup at insurance.mo.gov. The adjuster must be individually licensed in Missouri, not just in their home state.
✅ Verify NAPIA membership. Search the NAPIA member directory at napia.com/membership. A legitimate NAPIA member will welcome this step.
✅ Read the full contract before signing. Look specifically for fee percentages, exclusivity clauses, cancellation terms, and any language that assigns or transfers your rights.
✅ Exercise your cancellation right. Missouri law gives you 72 hours to cancel. If you have any doubt, wait and review before committing.
✅ Ask for local references. A public adjuster who has worked Missouri claims should be able to provide references from Missouri policyholders.
Conclusion
The public adjuster you hire after a major loss will have significant influence over the outcome of your claim. The selection decision deserves more than a moment’s consideration under stressful circumstances.
Missouri policyholders approached by out-of-state adjusters should verify licensure, verify NAPIA membership, and read every line of any contract before signing. Those steps take minutes. The protection they provide can be substantial.
The NAPIA member directory is publicly available at napia.com/membership. Missouri public adjuster license verification is available at insurance.mo.gov.
James H. Bushart, Licensed Missouri Public Adjuster — MO License #8207067
314-803-2167
missouripublicadjuster.org
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