Florida's Department of Financial Services recently stated that the maximum fee public adjusters can charge for tornado victims in affected counties is capped at 10 percent of the claim payment. In addition to the fee restrictions, Florida 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.
The public advisement came after Gov. Jeb Bush declared a state of emergency in Pasco, Volusia, Lake, and Columbia counties as a result of widespread damage from tornadoes that struck on Christmas Day.
This action is based on legislation that went into effect on Sept. 3, 2006, which triggers consumer protections when a state of emergency is declared. Under the new rule, the fee cap will not expire for tornado victims regardless of when they enter into an agreement with a public adjuster for a claim related to damages sustained from the tornadoes.
More information about the restrictions and adjuster license inquiries can be found at www.fldfs.com.
Interested in more catastrophe news and in-depth articles? Head over to Claims' catastrophe channel for more information.
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