The Delaware Department of Insurance published a bulletin outlining the requirements for insurance adjusters and property repair contractors when dealing with a property damage claim.

There is a big difference between the roles of an insurance adjuster and a property repair contractor when dealing with a loss, and what actions they are allowed to take by law. Senate Bill 80 states an insurer may only assign a policy to someone with the legal authority to represent the insured. Adjusters have that authority but contractors do not. Delaware law also prohibits a public adjuster from acting as both a public adjuster and a contractor.

The Department encourages carriers to communicate to their policyholders the differences between company adjusters, independent adjusters, and public adjusters. Consumers should be aware of the conflict of interest if a contractor tries to receive a fee as an adjuster and also for contracting services. Insurers are also encouraged to verify public adjusters are licensed.