New Jersey Insurance Adjuster License

Written by: Kevelyn Rodriguez

Last updated:

If you are a resident of New Jersey, you will not need to obtain a New Jersey adjuster license in order to begin operating. This is because New Jersey does not require its adjusters to be licensed.

Even so, most individuals choose to get licensed in a separate state via a “designated home state” license — known as a DHS license.

This is because operating without a license can significantly limit your earnings as an adjuster.

We recommend getting a DHS license from Florida. This is because a Florida DHS adjuster license has great reciprocity, the quickest application process, and a relatively short insurance adjuster exam.

How to Get Your Insurance Adjuster License in New Jersey

New Jersey does not offer a resident adjuster license and does not require New Jersey residents to hold a license in order to operate as adjusters within the state.

Having said that, getting a license from a different state — known as a DHS license — is often recommended nonetheless.

This is because operating without a license can handicap you significantly in the long run and will undoubtedly limit your employment opportunities.

Designated Home State Insurance Adjuster License

There are several states that offer what is called a Designated Home State license. Having said that, it is important to note that Florida, Texas, and Indiana are the most popular.

Essentially, this is a type of license that allows people that live in a non-licensing state — such as New Jersey or Pennsylvania — the opportunity to “designate” a different state (e.g., Florida, etc.) as their “home state”.

This allows them to apply for and obtain a Florida insurance adjuster license as if they were an in-state resident of Florida.

This is beneficial for several reasons, including:

  • Employment – Many potential employers of claims adjusters will look specifically for applicants who are already licensed. Even if they aren’t specifically looking for licensed individuals, they are likely to prefer these over non-licensed applicants (due to the geographical flexibility advantage).
  • Catastrophe (CAT) or Traveling Adjusters – If a non-licensed adjuster wishes to work on CAT claims, there is a good chance that they will need to travel across state lines. To operate in a state other than your home state, you will need to have a reciprocal license in that state. This means that applying for a reciprocity license can only be done if you hold an equivalent license in your own state (such as a DHS license).

The bottom line is this: if you wish to work in insurance claims, you should have a license to do so, and in New Jersey, the only way to do that is to get a designated home state license.

StateRequirement recommends getting a Florida DHS Adjuster License. This is because it has an exceptionally fast application process, short exam structure, and high reciprocity.

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What Kind of Insurance Adjuster Will You Be?

There are four main types of insurance adjustersstaff adjusters, independent adjusters, catastrophe adjusters, and public adjusters.

Each of these positions accomplishes essentially the same task: assess the damage to property brought about by some event and make an evaluation of what monetary value the insurance claim should carry.

The big difference between these different types of insurance adjusters is who pays them, and in the case of the public adjuster, who they are advocating for. Staff, independent, and catastrophe adjusters do not require a license in New Jersey, whereas public adjusters do.

  • Staff Adjuster – Works directly for one insurance company in order to investigate, evaluate, and potentially settle claims.
  • Licensed Independent Adjuster – Works for a third-party company, often called an Independent Adjusting Firm, which has been contracted by insurance carriers to help settle their claims.
  • Catastrophe (CAT) Adjuster – Can be an independent or staff adjuster who travels to an area that has been largely affected by an event (usually severe weather) and performs claims adjuster services en masse.
  • Inside Adjuster – Inside adjusters, sometimes referred to as “desk” or “remote” adjusters, handle claims from an office. They are the policyholder’s main contact and the person who applies the policy terms and standards to the claim.
  • Public Adjuster – Is an independent insurance adjuster that customers choose to hire in order to settle insurance claims. Public adjusters are not hired by insurance companies.

New Jersey Public Adjuster License

Public adjusters in New Jersey are required to obtain a license in order to operate legitimately.

In order to do this, you will need to take (and pass) the New Jersey Public Adjuster Examination that is administered via PSI ($38 fee).

The exam consists of 70 questions and has a 3.5-hour time limit. You will need a score of 70% or higher in order to pass.

After you have passed your exam, you will need to submit an Application for Initial Resident or Nonresident Individual Public Adjuster License to the New Jersey Department of Banking & Insurance.

Note: You will need a non-refundable $70 processing fee in order to submit your application.

New Jersey Department of Insurance Contact Information

Mailing Address:

20 West State Street
P.O. Box 327
Trenton, New Jersey 08625

Phone: (609) 292-5316 Extension 50552

Fax: (609) 984-5263

Email: inslic@dobi.nj.gov

Website: http://www.nj.gov/dobi

New Jersey Insurance Adjuster License FAQ

How much do claims adjusters make in NJ?

As of April 2023, the average pay for a New Jersey claims adjuster is $46,333 per annum. This works out to be around $3,861 per month, or $891 per week. Note: Top earners’ salaries were as high as $70,844 (90th percentile), whereas salaries on the lower side of the spectrum were around $41,040 (25th percentile). See our How Much Does an Insurance Adjuster Make article for more information.

How do I get my adjuster license in NJ?

New Jersey does not offer a resident license (unlike the vast majority of states). Even though you can operate as a NJ adjuster without a license, most prospective adjusters choose to get a DHS license instead. 
This is because it allows them to operate in more than one state, which can go a long way in increasing their total earnings.

How long does it take to become a licensed insurance adjuster in New Jersey?

This will depend on how you go about getting licensed. For example, if you choose to get a Florida DHS adjuster license, you will need to complete all of the requirements of getting licensed in Florida (since NJ does not offer an adjuster license) and pay all of the required licensing fees.

Does New Jersey require an adjuster license?

No, the state does not license insurance adjusters. This means that New Jersey adjusters are not required to obtain a license in order to operate legitimately. Having said that, you will still need a license (i.e., a DHS license) in order to apply for reciprocity licenses and operate outside of NJ. See our Adjuster License Reciprocity article for more information.

How much does a property adjuster earn in NJ?

The average annual salary of a property adjuster in New Jersey is $60,662 a year. This is proportionate with around $5,055 per month, $1,166 per week, or $29.16 an hour. For more information on how adjusters operate and earn a living, we recommend having a look at our What Does an Insurance Adjuster Do article.

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