Denied, Delayed, and Disconnected: The Reality Behind Homeowners’ Insurance Claims
Sen. Josh Hawley (R-Mo.) sharply criticized Allstate and State Farm during a Senate hearing, accusing them of denying disaster claims and prioritizing profits over policyholders. These major insurance companies have become so large and bureaucratic that homeowners often find it nearly impossible to resolve claims directly with them. Control and decision-making have been removed from frontline adjusters and centralized at corporate headquarters, where even straightforward claims can be stalled for weeks or months in internal roundtable reviews. When decisions are finally communicated back to the insured, they are often vague or financially inadequate.
Even when you manage to speak with a desk adjuster to address discrepancies and attempt resolution, the responses are typically scripted and robotic—seemingly guided by AI-generated protocols rather than genuine human judgment. The personal, empathetic element of the claims process has largely disappeared—even in clear-cut catastrophic loss scenarios such as tornadoes, hurricanes, or wildfires.
In one recent example, an adjuster proudly reported securing an $8,000 advance on a personal property claim following a total loss, where the entire home had been destroyed down to the foundation. While our company was eventually able to obtain a $100,000 advance in lieu of full policy limits during continued review, the adjuster’s enthusiasm for such a minimal payout demonstrated a stark disconnect from the policyholder’s reality.
Given that Allstate and State Farm are the two largest homeowners’ insurers in the country, it's fair to ask: is the complex corporate bureaucracy and approval process claimants face a flaw in the system—or a deliberate feature of their operations?
This is precisely why working with a knowledgeable public adjuster can be critical. A skilled adjuster who understands how to properly document and support a claim in line with policy conditions can significantly streamline the process—minimizing delays, reducing conflict, and helping ensure a fair outcome for the insured.