The Office of General Counsel issued the following opinion on March 11, 2005, representing the position of the New York State Insurance Department.

Re: Licensing requirement for employees of independent adjuster

Question Presented

Must the employees of a licensed independent adjuster who adjusts claims for various dental insurers be licensed as independent adjusters?


Yes. Pursuant to N.Y. Ins. Law § 2102(a)(1) and § 2108(a) (McKinney Supp. 2005), each employee of an independent adjuster that adjusts insurance claims must be licensed as an independent adjuster.


A corporation administers and adjusts dental claims for various insurers, and is licensed under the New York Insurance Law as an independent adjuster. The corporation is not owned and maintained by licensed insurers. No employee is individually licensed as an independent insurance adjuster.


N.Y. Ins. Law § 2102(a)(1) prohibits any person, firm, association or corporation from acting as an insurance adjuster in New York without a license. N.Y. Ins. Law § 2108(a)(4) states in relevant part:

No insurer, agent or other representative of an insurer shall pay any fees or other compensation to any person, firm, association or corporation for acting as an independent adjuster except to a licensed independent adjuster or to a person excepted from the licensing requirement pursuant to subsection (g) of section two thousand one hundred one of this article.

N.Y. Ins. Law §2101(g) states in relevant part:

The term "independent adjuster" means any person, firm, association or corporation who, or which, for money, commission or any other thing of value, acts in this state on behalf of an insurer in the work of investigating and adjusting claims arising under insurance contracts issued by such insurer and who performs such duties required by such insurer as are incidental to such claims and also includes any person who for compensation or anything of value investigates and adjusts claims on behalf of any independent adjuster.

None of the exceptions to licensing apply to the employees. Accordingly, regular salaried employees and managers are not exempted from the licensing requirements.

For further information one may contact Principal Attorney Paul A. Zuckerman at the New York City Office.