KY HB568

New public adjuster license applications will not be accepted or approved after the effective date; existing licenses may be renewed but no new licenses will be issued.

Public adjusters are prohibited from negotiating with insurers on behalf of insureds in claim adjustments or settlements, and cannot use contractors or other persons to solicit contracts.

The rescission period for public adjuster contracts is extended from 3 to 5 business days, or up to 30 days after date of loss/10 days after contract execution for claims related to a declared state of emergency.

Maximum public adjuster fees are reduced from 10-15% to 5% of insurance settlement proceeds, and adjusters cannot charge fees on proceeds received before contract execution or rescission period conclusion.

Violations by public adjusters or their supervised apprentices now require mandatory license denial, suspension, or revocation (changed from discretionary), with fines up to $5,000 per act.