Legal Definitions - adjust

Definition: To determine the amount that an insurer will pay an insured to cover a loss or to arrive at a new agreement with a creditor for the payment of a debt.

Examples:

• An insurance adjuster assesses the damage to a car after an accident and determines how much the insurance company will pay to cover the cost of repairs.
• A person with a largecredit card debt may need to adjust their payment plan with the creditor to make it more manageable.

These examples illustrate how adjusting involves determining a new amount or agreement to address a loss or debt. An adjuster may negotiate with the insured or creditor to come to a fair resolution.