MS HB1174

Expands the definition of "public adjuster" to include compensation that is direct, indirect, or any other thing of value, and adds new definitions for "person" and "home state."

Requires public adjusters to obtain a surety bond (minimum $50,000) or irrevocable letter of credit, pass an examination, and demonstrate financial responsibility before licensure.

Permits licensing of business entities and nonresident public adjusters, with nonresidents required to be licensed in good standing in their home state and subject to reciprocity requirements.

Mandates detailed contract provisions including the adjuster's full name, license number, business address, insured information, and attestation of financial responsibility; maintains the 10% fee cap and prohibits advance payment before claim settlement.

Requires all settlement funds received by public adjusters to be held in separate fiduciary trust accounts and deposited within two business days, with disbursement within 30 days of invoice approval; effective July 1, 2025.