Insurance Adjusting Losses (Set Three) Flashcards
What are claims adjuster’s obligations?
Act in good faith at all times and not show favoritism.
What is the “immediate contact rule”?
Contact both the insured and the insurance company ASAP after an investigation. The investigation can’t be complete and effective if it doesn’t begin immediately.
What do multiline adjusters handle?
Property and liability claims.
What do all-lines adjusters handle?
Property and liability, professional liability, excess liability, bond losses, boiler and machinery damage, etc.
Who do public adjusters work for?
The policy holder, they advocate for their interests as a liaison with the insurance company. Insurance companies or self-insured entities (?)
What are the three different reports adjusters are required to submit after taking on a project? Define each.
Initial/first field report, interim/status report and full formal report.
What is a “reservation of rights letter” and when is it used?
A formal warning that the writer plans to maintain their full rights to a property. Used when an insurance company wants to alert the insured to the possibility of a claim disputation.
What does a “declatory judgement action” indicate and when is it used?
Indicates whether potential litigants have the legal standing to bring the charges planned. Used in advance of a more formal trial.
What are the three alternative resolution techniques? Define each.
Arbitration is calling a third party and holding their decision. Mediation is calling a third party but not holding to their decision. Negotiation is simply a discussion.
