PUBLIC ADJUSTER FEES CAPPED TO PROTECT TORNADO VICTIMS
The Department of Financial Services is advising that due to Governor Bush’s declaration of a state of emergency in Pasco, Volusia, Lake and Columbia counties as a result of widespread damage from tornadoes that struck on Monday the maximum fee that public adjusters can charge for tornado victims in those counties is capped at 10 percent of the claim payment. Furthermore, public adjusters are prohibited from demanding or accepting any type of advance fees, retainers, or other compensation prior to any payment being made on the claim.
A new rule, which went into
effect on September 3, 2006, triggers these consumer protections when the
governor declares a state of emergency. Under the new rule, the fee cap
will not expire for tornado victims regardless of when they may enter a
public adjuster contract for a claim related to damages sustained from the