NM Public Adjuster study materials
NM Public Adjuster study resources

NM Public Adjuster study plan

NM Public Adjuster · Give each week a clear focus.

8 weeks · About 6 hours per week

Week 1

New Mexico Insurance Law, Rules, and Regulations

  • Summarize the structure and purpose of the New Mexico Insurance Code (Chapter 59A) and identify the roles of the Office of Superintendent of Insurance (OSI) and the Insurance Division.

  • Explain the licensing, appointment, and termination requirements for public adjusters under New Mexico law, including the definition of a public adjuster and prohibited conduct.

  • Describe the unfair trade practices and claim settlement practices defined in the New Mexico Insurance Code, including timeframes for acknowledging and settling claims.

  • Outline the continuing education requirements for public adjusters in New Mexico, including ethics hours and record-keeping obligations.

  • Identify the penalties and disciplinary actions the Superintendent may impose for violations, including fines, suspension, and revocation.

Your checkpoint

Create a one-page reference sheet listing key New Mexico statutes, regulations, and deadlines (e.g., claim acknowledgment, CE hours, license renewal) with citations.

Week 2

New Mexico Insurance Law, Rules, and Regulations & Licensing, Appointment, and Regulatory Requirements for Public Adjusters

  • Distinguish between public adjusters, company staff adjusters, and independent adjusters in terms of licensing, representation, and compensation under New Mexico law.

  • Detail the steps to obtain a New Mexico public adjuster license, including prelicensing education, exam, background check, and bonding or insurance requirements.

  • Explain the appointment process and the responsibilities of the appointing insurer or licensed public adjuster firm, including notification to the OSI.

  • Describe the license renewal cycle, fees, and consequences of late renewal or lapse in New Mexico.

  • Identify the rules for nonresident public adjusters and reciprocity with other states.

Your checkpoint

Draft a flowchart or checklist for the New Mexico public adjuster licensing and appointment process, from application to renewal.

Week 3

Insurance Principles and Policy Basics & Property Insurance Coverage Forms and Endorsements

  • Explain the fundamental principles of insurance, including insurable interest, indemnity, utmost good faith, and the concept of fortuity.

  • Differentiate between the major property coverage forms (HO-2, HO-3, HO-5, DP-1, DP-2, DP-3) and identify which perils are covered in each.

  • Describe the structure of a property policy: declarations, insuring agreement, conditions, exclusions, and endorsements.

  • Interpret common property endorsements and their effect on coverage, such as replacement cost, law and ordinance, water backup, and scheduled personal property.

  • Apply coinsurance and deductible provisions to calculate claim payments in simple scenarios.

Your checkpoint

Build a comparison table of at least four property coverage forms, listing covered perils, valuation methods, and common endorsements.

Week 4

Property Insurance Coverage Forms and Endorsements & Casualty and Liability Coverage Fundamentals

  • Explain the coverage provided by commercial property forms (CP 00 10, CP 00 30) and business income coverage, including the period of restoration.

  • Identify the key exclusions and limitations in property policies, such as ordinance or law, earth movement, flood, and neglect.

  • Describe the fundamentals of general liability coverage (CGL) including occurrence vs. claims-made triggers, coverage A, B, and C, and the additional insured endorsement.

  • Differentiate between personal liability (HO-4, HO-6) and commercial liability exposures relevant to public adjusting.

  • Summarize the role of liability coverage in property claims, including subrogation and third-party claims.

Your checkpoint

Write a one-page summary explaining how liability coverage interacts with a property claim, including subrogation and additional insured issues.

Week 5

Claims Handling, Investigation, and Damage Evaluation

  • Outline the steps in the claims handling process from first notice of loss through settlement, including investigation, documentation, and evaluation.

  • Describe methods for investigating a property loss, including scene examination, witness statements, and use of experts (engineers, accountants).

  • Explain how to evaluate property damage using replacement cost, actual cash value, and depreciation, and apply these methods to sample losses.

  • Identify the elements of a proof of loss and the consequences of failing to submit one.

  • Recognize signs of fraud and the public adjuster's duty to report suspected fraudulent claims.

Your checkpoint

Complete a mock claim file for a residential fire loss, including a damage inventory, valuation calculations, and a draft proof of loss.

Week 6

Claims Handling, Investigation, and Damage Evaluation & Adjusting Practices, Claim Documentation, and Settlement Negotiation

  • Prepare a claim documentation package that includes photographs, estimates, receipts, and a detailed inventory, following industry best practices.

  • Develop a negotiation strategy for settling a property claim, including anchoring, concession planning, and use of objective evidence.

  • Explain the appraisal process and when to invoke it, and describe the role of the public adjuster in appraisal.

  • Demonstrate how to communicate a settlement offer to a client, including explaining the breakdown and rationale.

  • Identify ethical considerations in negotiation, such as avoiding misrepresentation and maintaining confidentiality.

Your checkpoint

Role-play a negotiation with a mock insurer, then submit a written settlement proposal with supporting documentation and a client communication letter.

Week 7

Adjusting Practices, Claim Documentation, and Settlement Negotiation & Fiduciary Duties, Ethics, and Unfair Claims Practices

  • Explain the fiduciary duties of a public adjuster, including loyalty, confidentiality, and proper handling of client funds.

  • Describe the ethical standards and prohibited acts for public adjusters under New Mexico law, such as soliciting during a declared disaster and charging excessive fees.

  • Identify unfair claims settlement practices and the consequences under the New Mexico Insurance Code.

  • Apply a decision-making framework to resolve ethical dilemmas, such as conflicts of interest and handling client complaints.

  • Outline the requirements for maintaining accurate records and reporting to clients and the OSI.

Your checkpoint

Write a code of ethics and a client complaint resolution procedure for a public adjusting firm, referencing New Mexico statutes.

Week 8

New Mexico Insurance Law, Rules, and Regulations & Licensing, Appointment, and Regulatory Requirements for Public Adjusters & Insurance Principles and Policy Basics & Property Insurance Coverage Forms and Endorsements & Casualty and Liability Coverage Fundamentals & Claims Handling, Investigation, and Damage Evaluation & Adjusting Practices, Claim Documentation, and Settlement Negotiation & Fiduciary Duties, Ethics, and Unfair Claims Practices

  • Review all domains using practice questions and identify weak areas for targeted study.

  • Complete a timed practice exam simulating the New Mexico public adjuster exam, and score at least 80%.

  • Summarize key New Mexico statutes and regulations from memory, including deadlines and penalties.

  • Revisit complex topics such as coinsurance, business income, and liability triggers to ensure mastery.

  • Finalize a personal exam-day strategy, including time management and question-reading techniques.

Your checkpoint

Score 80% or higher on a full-length practice exam and submit a list of remaining weak areas with a plan to address them before exam day.

Milestones

Week 2: Pass a self-quiz on New Mexico licensing and appointment rules with at least 80% accuracy.

Week 4: Explain the differences between HO-3 and DP-3 policies and calculate a coinsurance penalty without reference materials.

Week 6: Complete a mock claim file with all required documentation and a settlement recommendation that meets industry standards.

Week 8: Achieve a score of 80% or higher on a comprehensive practice exam covering all domains.