In Canada, an insurance agent (or broker) cannot 'adjust' a claim by appointing or otherwise handling the repair, settlement, etc. An insurance adjuster is legally required. The insurance broker may 'advocate' the claim by sharing knowledge that is genuinely of benefit to both insurer and insured such as information that mitigates and expedites the situation. Similar regulation likely applies in the U.S.
To answer your question, in Canada an insurance agent (or broker) who is appointing, recommending or directing insureds to a source of supply is breaching the Insurance Act mandate that forbids the broker from acting as an insurance adjuster.
Of course, in practice, insurance agents may provide 'ideas and input' on how a matter can be attended to. This must be done very delicately to ensure potential conflicts of interest are avoided. In my work for arborists, it is not uncommon to let both the insured and insurer know of various sources that may be able to assist them in attending to a claim (i.e. equipment dealers that carry a particular brand). The 'line in the sand' that must not be crossed is the point at which this could be interpreted as a recommendation or endorsement of a particular dealer.
Oddly, if I'm at an ISA conference chatting with someone who mentions an interest in a buying something (i.e. Rayco RG50), I can refer a particular dealer that has one on sale. However 10 minutes later if one of my insurance clients tells me his Rayco RG50 was just stolen and asks if I know where he can get this replaced, I would be walking very close to the 'line in the sand' if I let him know the same information that only minutes ago was given out in a casual conversation. For those insurance bashers out there, this is an example of a situation where indeed insurance regulation can be ridiculous.
