Printer-friendly version
Source: press release from Marty Block
October 1, 2016 (San Diego) -- Proposed consumer protections related to insurance coverage for natural disasters, insurance fees, contract language and other practices were approved this week by the governor. The proposal, SB 488, by State Senator Marty Block (D-San Diego) would clarify provisions in the public adjuster laws and regulations that arose out of cases and complaints investigated by the California Department of Insurance.
“This is a consumer bill that addresses troubling findings arising from cases and complaints reviewed by Department of Insurance investigators,” Block said. “The investigators found some public adjusters were unfairly charging consumers when taking over partially settled claims, entering disaster areas before the allotted time period of seven days, and pressuring individuals into signing contracts.”
New consumer protections under SB 488 include:
- Requiring all public adjuster license applicants to complete a pre-licensing education; pass a qualifying examination, and pass a fingerprint-based background review.
- Extending the cancellation period for consumers to cancel contracts with public adjusters from three days to five days for claims resulting from a natural disaster.
- Prohibiting a public adjuster from contacting/soliciting a consumer during a disaster if the emergency or emergency responders are still present and/or an evacuation order is still in effect.
SB 488 was sponsored by the Department of Insurance and is supported by the California Association of Public Insurance Adjusters.
Recent comments