Adjuster Staff Problems Discussed

By Daniel Hays

NU Online News Service, Aug. 21 12:05 p.m. EST, Orlando,Fla.?The insurance industry has to "get smarter aboutretaining top talent'' to reduce high employee turnover amongadjusters, according to an expert in the field.

The comment came from George Neale, president of the DennisInsurance Group, Charlotte, N.C., speaking yesterday at an industrypanel here.

Mr. Neale and others spoke on "The Future of an Adjuster" at theWorkers' Compensation Educational Conference produced by theFlorida Workers' Compensation Institute in partnership withNational Underwriter Company and New York-based Risk and InsuranceManagement Society Inc.

Grover Davis, president and chief executive officer of Crawfordand Company, the Atlanta independent adjuster firm, said part ofthe reason for turnover is that hiring is done "for convenience,not expertise."

The high turnover rate, which sees many adjusters working forfour employers in the space of four years, will not decrease "untilwe change the selection process," he forecast.

Nancy Brennan, director of product development for The HartfordSpecialty Risk Services in Hartford, Conn., said that some of thejob changing that goes on may be due to the fact that recentcollege graduates today are not looking for a long-term employmentrelationship.

A "generational" factor may be at work, she said.

Mr. Neale said it was a struggle to retain good performingadjusters and noted that, "now the vast majority we hire areexperienced ones who jump from company to company."

Mr. Neale said that, in the long run, the industry's difficultyin rewarding good adjusters with higher pay is shortsighted becauseof the steep costs involved in hiring and training replacements tofill vacancies.

Mr. Davis noted a cost of $5,000 to $10,000 for the acquisitionof new adjusters.

The panelists also discussed the factors involved in being agood adjuster, mentioning good people skills, compassion,technological usage, time management abilities, good legalknowledge, negotiation skills, and a strong sense of ethics.