Yesterday, I submitted feedback to Florida’s Division of Monetary Companies relating to Emergency Rule 69BER24-4. 1 The overwhelming response from insurance coverage professionals, public adjusters, and attorneys reveals how this rule impacts the complete claims-handling neighborhood.
The emergency rule, whereas well-intentioned in selling transparency, creates a number of sensible challenges that might hurt Florida policyholders. In my letter to Director Greg Thomas, I highlighted how the present Emergency Rule language might really promote declare underpayments reasonably than defend shoppers.
The rule’s requirement to take care of all estimate variations is a optimistic step towards transparency. Nevertheless, we have to guarantee policyholders have rapid entry to those estimates and supporting documentation.
A important concern is the rule’s inflexible stance on worth modifications. The present language conflicts with Xactimate’s license settlement, which explicitly states that their pricing knowledge ought to solely be used as a baseline. The rule successfully penalizes adjusters for making vital pricing updates, notably after catastrophic occasions when market costs fluctuate considerably.
Maybe most regarding is how the rule inadvertently delegitimizes licensed contractor estimates. It’s notably ironic that the identical estimation strategies required for Florida contractor licensing could be thought of unethical beneath this emergency rule.
To raised serve Florida shoppers whereas sustaining claims adjustment integrity, I advisable a number of modifications:
- Deal with non-price modifications in estimates
- Align pricing necessities with trade requirements
- Acknowledge licensed contractor estimates
- Create exceptions for specialised property
- Guarantee policyholder entry to all estimate variations
Those that voluntarily took the time to submit considerate feedback deserve recognition for his or her dedication to enhancing Florida’s insurance coverage panorama. Your engagement helps make sure that guidelines and rules serve their meant function: Defending Florida shoppers whereas sustaining the integrity of the claims course of.
The Division of Monetary Companies has a possibility to refine this rule to raised serve all stakeholders. By incorporating suggestions from trade professionals who work day by day in claims adjustment, we will create pointers that actually defend shoppers whereas permitting for sensible and moral claims dealing with. We can work towards rules that promote transparency and equity whereas acknowledging the real-world complexities of property insurance coverage claims.
Thought For The Day
We’re certain by beliefs that train us what it means to be residents. Each little one should be taught these beliefs. Each citizen should uphold them…I ask you to be residents. Residents, not spectators. Residents, not topics.
—George W. Bush
1 Emergency Rule 69BER24-4 for 69B-220.201 Moral Necessities for All Adjusters and Public Adjuster Apprentices.
