PA 10-79—sHB 5141

Insurance and Real Estate Committee

AN ACT CONCERNING THE HANDLING OF PROPERTY CLAIMS BY PUBLIC ADJUSTERS

SUMMARY: This act redefines a “public adjuster” to specify the range of services one is allowed to perform.

Prior law defined a “public adjuster” as any person or company that adjusts loss or damage caused by fire or other hazards under an insurance policy on behalf of the insured person. The act, instead, defines it as a person or company that, on behalf of an insured person and for compensation or anything of value, (1) prepares, documents, and submits a first-party property claim to an insurance company for loss or damage covered under a personal or commercial risk insurance policy or (2) negotiates, adjusts, or effects a claim settlement. As under existing law, the act also includes in the definition any person or company that (1) advertises or solicits business as a public adjuster or (2) holds himself or itself out to the public as engaging in adjusting activities.

The act prohibits a public adjuster from soliciting an insured person between 8: 00 p. m. and 8: 00 a. m. This restriction is in current regulation.

By law, anyone who acts as a public adjuster without a license issued by the insurance commissioner is subject to a $10,000 fine, up to three months in prison, or both (CGS 38a-725).

The act also makes technical and conforming changes.

EFFECTIVE DATE: October 1, 2010

OLR Tracking: JLK: MJ: PF: ts