GALLAGHER MOVES TO PREVENT PUBLIC ADJUSTERS FROM PRICE GOUGING HURRICANE KATRINA VICTIMS
Florida’s Chief Financial Officer Tom Gallagher today issued an emergency rule to prevent the victims of Hurricane Katrina from becoming the victims of price gouging by public insurance adjusters. In addition to limiting fees, the rule contains other consumer protections for victims who may consider contracting with public adjusters.
Gallagher found the need to impose the rules after Hurricane Charley hit in August 2004 and there were reports of adjusters demanding fees of up to 25 percent.
The new rule caps adjuster fees at 10 percent of the claim payment; gives the consumer 14 days to cancel a contract made with a public adjuster without penalty, and prohibits public adjusters from demanding any up-front payments or compensation prior to final settlement of the claim.
Gallagher also warned Floridians to make sure they are dealing with a licensed public adjuster. The Division of Insurance Fraud arrested seven individuals last year for acting as public adjusters without a license. To check on the license status of an adjuster agent or company, consumers should visit www.MyFloridaCFO.com, and click on Verify Before You Buy, or call the Department of Financial Services' Helpline at 1-800-342-2762.
The new courthouse in Indian River County, is named for the scenic body of water running between the barrier islands and the mainland along Florida's Treasure Coast. America's first National Wildlife Refuge was established on Pelican Island in the Indian River by Theodore Roosevelt in 1903.