Every profession has some motto and a few secrets hidden in a special place. For physicians, the essence of the Hippocratic Oath is "Do no harm." Their black box is likely a black bag with a stethoscope and other tools. For attorneys, the motto may be "Litigate the issue!" and the black box is a case for briefs. We adjusters also have a black box, but it's most often in our head. Our tools are the policy, other contracts, a recorder, a camera, maybe a tape measure, a smart phone and a computer. It is what is in that black box that gives adjusters a basic understanding of what we do: it consists of six words and our motto is: "Never assume!"

Six words can adjust any type of claim: property, casualty, marine or life, and health insurance. Investigate, evaluate, and negotiate (or resolve) are the first three words. The next three are: Coverage, liability, and damages. These must be done in the proper order: Investigate the coverage first, and negotiate the damages last. The contents of this little black box will keep the adjuster out of trouble.

Until the coverage issues are investigated, evaluated and resolved, one cannot determine liability, because if there is no coverage, liability doesn't matter. Obviously it is not always that simple. If a coverage problem cannot be immediately resolved, it may be necessary to proceed and investigate the type of liability or the nature of the damages under a Reservation of Rights in order to determine if coverage applies. But that is part of the investigation of the coverage.