Insurance Adjuster Ethical Considerations

If a person has insurance on an asset, such as a car or home, and the item is damaged in an accident, natural disaster or in other circumstances, then the owner can file an insurance claim. With an insurance claim, owners can attempt to recover compensation for the damaged item.

This amount of the loss is initially determined by an insurance adjuster. The adjuster will come out and assess the damage. Adjusters are always mindful that a certain percentage of claims filed are fraudulent claims.

However, insurance adjusters must be fair. They must treat all claimants equally and follow a code of ethics. This is important, as any form of unethical treatment toward a claimant can result in serious penalties, including license suspension and revocation.

Code of Ethics

Under Florida Administrative Code 69B-220.201, adjusters must follow certain rules and codes. They must work in the best interests of the claimants. They must treat all claimants with fairness and honesty. Adjusters must also approve or deny claims in accordance with the terms of the insurance policy. After investigating, adjusters must present the facts without bias.

An adjuster must act in good faith to timely to settle the claim. If a claimant is entitled to compensation, the amount must be fair. The compensation should be based on the value of the damaged asset although adjusters will often try to convince claimants to settle for a much lower amount. The settlement must be negotiated with the claimant directly or with his or her attorney.  The adjuster cannot pay themselves or obtain any compensation except for what they are legally entitled to receive.

Insurance adjusters must provide full disclosure. They must inform claimants of their options based on the insurance policy. Also, adjusters cannot tell claimants not to hire a lawyer. The claimant is allowed to seek legal counsel to help him or her get the most compensation possible for a claim. In fact, the claimant is allowed to speak to anyone – including the insurance company, any other business or even another insurance adjuster. The insurance adjuster cannot dissuade them otherwise.

An insurance adjuster may use and recommend contractors, engineers and architects to provide estimates. However, these referrals must not result in kickbacks, money and other forms of compensation. The claimant does not have to accept any recommendations.

Keep Your License With Help From a Tampa Insurance Adjusters Licensing Lawyer

Has a complaint been filed against your adjuster license? If so, protect yourself with help from the Tampa insurance adjusters licensing lawyer David P. Rankin. He has more than 40 years of experience helping insurance adjusters and other licensed professionals who have had a complaint filed against their license. Schedule a consultation today by filling out the online form or calling (813) 968-6633.