HB 13-1062 Summary

• Expands the definition of "public adjuster" to include persons who solicit business, investigate or adjust first-party property insurance claims, or represent themselves as public adjusters to the public.

• Requires public adjusters to obtain a license from the Insurance Commissioner and maintain a minimum $20,000 surety bond as evidence of financial responsibility.

• Limits public adjuster fees to 10 percent of insurance settlement proceeds during catastrophic disasters and prohibits charging any fees prior to claim settlement.

• Establishes ethical standards prohibiting public adjusters from misrepresenting themselves as insurer representatives, having conflicts of interest, directing insureds to specific repair services for compensation, or participating in property reconstruction work.

• Provides insureds with a 72-hour rescission period to cancel public adjuster contracts in writing and requires all contracts to be in writing with full disclosure of terms.