Category Archives: General Home Issues

Personal Property Inventories for Insurance Claims

January 29, 2024 By in General Home Issues, Home Owner Insurance Issues Leave a comment
Fire destruction to residential building.

Destruction due to fire.

The Crucial Role of Personal Property Inventories: Safeguarding Belongings and Streamlining Insurance Claims in the Aftermath of Fire

Introduction

In the unfortunate event of a fire, the emotional and physical toll on individuals can be overwhelming.

Amidst the chaos, the importance of having a comprehensive inventory of personal property becomes evident. A detailed record of possessions not only aids in assessing losses but also serves as a crucial tool when filing insurance claims.

This essay explores the significance of maintaining a thorough personal property inventory in the aftermath of a fire, shedding light on its value in facilitating the claims process, ensuring accurate compensation, and aiding in the recovery journey.

The Trauma of Fire Loss

A fire, whether large or small, can result in devastating losses. Beyond the destruction of the physical structure, cherished belongings, memories, and the sense of security are often casualties. In the aftermath of such a traumatic event, individuals are faced with the daunting task of rebuilding their lives. One key element in this process is the ability to navigate the insurance claims process efficiently and effectively.

The Value of a Personal Property Inventory

  1. Documentation of Possessions:
    • A personal property inventory serves as a comprehensive documentation of belongings. From furniture and electronics to clothing and sentimental items, the inventory captures the full spectrum of possessions within a home.
  2. Facilitates Claims Process:
    • When disaster strikes, time is of the essence. Having a pre-existing inventory expedites the claims process. It provides insurance adjusters with a detailed list of items, allowing for a quicker and more accurate assessment of the losses incurred.
  3. Accuracy in Valuation:
    • An inventory aids in accurately valuing the lost or damaged items. This is crucial for determining the appropriate compensation from the insurance company. With a detailed record, the assessment is more likely to align with the actual value of possessions.
  4. Prevents Overlooking Items:
    • In the chaos that follows a fire, it’s easy to overlook certain items when trying to recall the contents of a home. A systematic inventory minimizes the risk of omitting possessions from the claim, ensuring a more thorough and complete assessment.
  5. Streamlines Claims Negotiations:
    • Insurance claims often involve negotiations between policyholders and insurance companies. A well-documented inventory provides a solid foundation for these discussions, reducing the likelihood of disputes and ensuring a fair settlement.

Creating a Personal Property Inventory

  1. Systematic Room-by-Room Approach:
    • Begin the inventory process by taking a systematic room-by-room approach. List each item, including its description, quantity, brand, model, and any relevant serial numbers. Digital tools, such as spreadsheets or dedicated inventory apps, can aid in organization.
  2. Photographic and Video Documentation:
    • Supplement written descriptions with photographic or video documentation. Capture the condition of items, their placement within the home, and any distinguishing features. This visual record enhances the accuracy and credibility of the inventory.
  3. Receipts and Appraisals:
    • Whenever possible, attach receipts, invoices, or appraisals to the inventory. These documents serve as tangible evidence of the value of possessions, further strengthening the insurance claim.
  4. Off-Site Storage:
    • Store a copy of the inventory in a secure, off-site location. In the event of a fire or other disasters affecting the home, having a backup ensures that the inventory remains accessible for claims purposes.

The Role of Technology in Inventory Management

Advancements in technology have revolutionized the way individuals manage their personal property inventories. Mobile apps, cloud-based storage, and digital platforms provide convenient and efficient solutions for documenting and safeguarding belongings.

  1. Inventory Management Apps:
    • Specialized inventory management apps offer user-friendly interfaces for creating, updating, and storing personal property inventories. These apps often allow users to attach photos, receipts, and additional details to each item.
  2. Digital Cloud Storage:
    • Cloud-based storage solutions ensure that the inventory is accessible from anywhere with an internet connection. This is particularly valuable in situations where physical records may be compromised or inaccessible.
  3. Backup Systems:
    • Implementing backup systems for digital inventories adds an extra layer of protection. Regularly backing up the inventory data guards against potential data loss, preserving the integrity of the documentation.

Conclusion

In conclusion, the value of maintaining a comprehensive personal property inventory in the aftermath of a fire cannot be overstated. This proactive measure not only aids in streamlining the insurance claims process but also contributes significantly to the overall recovery journey. The trauma of a fire is compounded when individuals are faced with the loss of cherished belongings, making it imperative to have a systematic and well-documented inventory.

Through a room-by-room approach, photographic documentation, and the use of technology, individuals can create robust inventories that serve as invaluable tools in the event of a disaster. Accuracy in valuation, prevention of overlooked items, and streamlined claims negotiations are just a few of the benefits that a well-maintained inventory brings to the table.

As technology continues to advance, individuals are presented with increasingly efficient and accessible tools for managing their inventories. Embracing these digital solutions, coupled with proactive and systematic inventory creation, ensures that individuals are better equipped to face the challenges posed by fire losses. Ultimately, a personal property inventory is not just a list of possessions; it is a lifeline in the aftermath of a catastrophe, providing a pathway towards recovery and rebuilding.

For more information, contact me.

 

OpenAI. (2024). ChatGPT (3.5) [Large language model]. https://chat.openai.com

Engineer Reports, Insurance Claims, and Policyholder Rights

January 29, 2024 By in General Home Issues, Home Owner Insurance Issues, Property Insurance Leave a comment

 

Insurance claims, particularly those involving property damage, rely on a thorough and unbiased assessment of the facts to ensure fair compensation for policyholders.

Engineers play a pivotal role in this process, providing expert reports to determine the extent of damage and the necessary repairs. However, concerns have arisen regarding the improper use of engineer reports by insurance companies to deny or undervalue claims.

This essay delves into the ethical issues surrounding the misuse of engineer reports, the potential consequences for policyholders, and the importance of safeguarding the rights of those seeking legitimate claims.

The Role of Engineers in Insurance Claims

Engineers are crucial participants in the insurance claims process, especially when assessing property damage. Their expertise helps determine the cause and extent of damage, the necessary repairs, and the associated costs. Insurance companies often rely on engineer reports to make informed decisions about claim settlements.

  1. Objective Evaluation:
    • Engineers are expected to provide an objective and unbiased assessment of the damage. Their reports are crucial in establishing the facts of the case, ensuring that the insurance company has accurate information to process the claim.
  2. Determining Cause and Extent of Damage:
    • Engineers use their technical knowledge to investigate the cause and extent of property damage. This includes evaluating structural issues, assessing the impact of natural disasters, or determining whether the damage is consistent with the policy coverage.
  3. Providing Recommendations:
    • Based on their evaluations, engineers provide recommendations for necessary repairs and associated costs. This information is vital for insurance companies to determine the appropriate settlement amount.

Ethical Concerns in the Misuse of Engineer Reports

While engineers are expected to adhere to a strict code of ethics, concerns have been raised about instances where their reports are allegedly misused by insurance companies. Several ethical issues merit consideration:

  1. Conflict of Interest:
    • There may be instances where the insurance company’s interests conflict with those of the policyholder. If an engineer is influenced by the insurer to downplay the extent of damage or recommend minimal repairs, it raises ethical questions about their impartiality.
  2. Pressure on Engineers:
    • Engineers may face pressure from insurance companies to produce reports that align with the company’s financial interests. This could lead to a compromise in the accuracy and objectivity of the assessment.
  3. Selective Use of Findings:
    • Insurance companies may selectively use portions of an engineer’s report that support their position while neglecting other findings that could strengthen the policyholder’s claim. This cherry-picking of information raises ethical concerns.
  4. Undervaluing Claims:
    • If an engineer’s report is used to undervalue a claim, it can result in policyholders not receiving the full compensation to which they are entitled. This undermines the purpose of insurance, which is to provide financial protection in times of need.

Consequences for Policyholders

The misuse of engineer reports in insurance claims can have profound consequences for policyholders, extending beyond financial implications:

  1. Financial Strain:
    • Policyholders may face financial strain if their legitimate claims are undervalued or denied based on questionable engineer reports. This can lead to difficulties in covering repair costs and may hinder the ability to restore the property to its pre-damaged condition.
  2. Delays in Recovery:
    • Improperly denying or delaying valid claims can significantly impede the policyholder’s ability to recover. Timely access to insurance proceeds is crucial for initiating repairs promptly and preventing further damage.
  3. Loss of Trust:
    • Policyholders rely on the integrity of the insurance claims process. When engineer reports are misused, it erodes the trust that policyholders place in their insurance providers. Loss of trust can have lasting implications for the insurer’s reputation.
  4. Legal Battles:
    • Policyholders may be forced to engage in legal battles to contest the denial or undervaluation of their claims. Legal proceedings are time-consuming, costly, and add additional stress to an already challenging situation.

Safeguarding Policyholder Rights

To address the improper use of engineer reports in insurance claims, it is essential to prioritize the protection of policyholder rights and ensure the integrity of the claims process:

  1. Transparent Communication:
    • Insurance companies should maintain transparent communication with policyholders throughout the claims process. Providing clear explanations of engineer reports and addressing any concerns fosters trust and reduces the likelihood of disputes.
  2. Independent Third-Party Reviews:
    • Policyholders should have the right to request independent third-party reviews of engineer reports if they have concerns about bias or inaccuracies. This can help ensure a fair and impartial evaluation of the damage.
  3. Regulatory Oversight:
    • Regulatory bodies overseeing the insurance industry play a crucial role in holding insurers accountable for ethical conduct. Increased scrutiny and stringent enforcement of ethical standards can deter the improper use of engineer reports.
  4. Policyholder Education:
    • Educating policyholders about their rights, the claims process, and the role of engineers in assessments empowers them to make informed decisions. Knowledgeable policyholders are better equipped to challenge unfair denials or undervaluations.
  5. Legal Protections:
    • Legislation should be in place to protect policyholders from unfair practices. Legal avenues should be accessible to policyholders who need to contest claim denials or undervaluations based on improper use of engineer reports.

Conclusion

The misuse of engineer reports in insurance claims poses significant ethical concerns and has tangible consequences for policyholders. Addressing these issues requires a collaborative effort from industry stakeholders, regulatory bodies, and policymakers.

By prioritizing transparent communication, independent reviews, regulatory oversight, policyholder education, and legal protections, it is possible to mitigate the improper use of engineer reports and ensure that the insurance claims process remains fair, just, and aligned with the fundamental principles of risk mitigation and financial protection.

In doing so, the insurance industry can maintain the trust of policyholders and uphold the integrity of its essential role in safeguarding individuals and businesses from unforeseen risks.

 

 

OpenAI. (2024). ChatGPT (3.5) [Large language model]. https://chat.openai.com

Can My Contractor Hire a Public Adjuster to Represent Me?

December 29, 2023 By in General Home Issues, Home Owner Insurance Issues, Home Repairs, Property Insurance Leave a comment

Can a Contractor Hire a Public Adjuster on Your Behalf?

This question comes up more often than you might expect — and it arrives from both directions. Building contractors want to know if they can bring in a public adjuster as part of their service offering to clients. Policyholders want to know if they can simply let their contractor handle it. In Missouri, the answer to both versions of the question is the same: no. A contractor cannot hire a public adjuster to represent a policyholder’s insurance claim. Understanding why requires a closer look at who owns the claim, what the law says, and where the money goes.

Your Insurance Policy Is Your Contract — Not Your Contractor’s

When you purchase a homeowner’s or commercial property insurance policy, you enter into a legal contract directly with your insurance company. That agreement defines your rights, your obligations, and the process for resolving a claim when something goes wrong. Your contractor — no matter how long you’ve worked together or how much you trust them — is not a party to that contract. They have no rights under it.

This matters because the right to file a claim, negotiate a settlement, and hire someone to represent you in that process flows directly from the policy itself. Since the contractor isn’t named in the policy and has no standing under it, they have no authority to hire anyone on your behalf in connection with that claim. That authority belongs to you, and only you.

It’s a simple concept, but it gets overlooked when contractors present themselves as full-service partners in the insurance restoration process. Being skilled at the repair work doesn’t translate into legal standing in the claims process.

Missouri Law Is Explicit on This Point

Beyond the contractual issue, Missouri law independently prohibits building contractors from representing policyholders in insurance claims. This isn’t a gray area or a matter of interpretation — it’s a clear statutory boundary designed to protect consumers.

Public adjusters in Missouri are licensed professionals regulated by the state. Their authority to represent policyholders comes from their license and from a signed contract with the policyholder they represent. A public adjuster hired by a contractor would have neither. They would not be acting under a valid representation agreement with the policyholder, and the arrangement itself would conflict with the statutory framework that governs both professions.

This is not an obscure technicality. Missouri’s legislature drew this boundary deliberately, and for good reason.

The Money Problem — and the Conflict of Interest It Creates

Even if the legal barriers didn’t exist, the financial structure of this arrangement would create an unworkable conflict of interest.

Here’s how insurance claims work: when a claim is settled, the insurance company pays the policyholder. Public adjusters typically earn a percentage of that settlement, and that fee is the responsibility of the person who hired them — again, the policyholder. Insurance companies do not include public adjuster fees as a reimbursable line item in a claim. The cost comes out of the policyholder’s settlement.

Now apply that to a contractor-hired public adjuster scenario. The contractor hired the adjuster. Logic would suggest the contractor is responsible for the fee. But the settlement money flows to the policyholder, not the contractor. So who actually pays? And if the contractor is footing the bill, does anyone seriously believe the public adjuster’s loyalty would lie with the policyholder rather than the person cutting their check?

This is precisely the kind of conflict of interest Missouri’s statutes are designed to prevent. Missouri Revised Statutes intentionally separate the roles of contractors and public adjusters so that every party in the process has a clear, unambiguous obligation to one client and one client only.

What You Should Do Instead

If you’re dealing with a property insurance claim and you believe a public adjuster could help you — whether because the damage is extensive, the claim is complex, or you simply don’t feel equipped to negotiate with your insurance company on your own — hire one yourself. Don’t delegate that decision to your contractor, and don’t assume your contractor’s recommendation of a public adjuster means that adjuster is working for you.

When you hire a public adjuster directly, you sign a representation agreement that legally establishes your relationship. The adjuster’s fee comes from your settlement, and their obligation runs to you. There is no ambiguity about who they serve.

Your Contractor Can Still Be a Useful Resource

None of this means your contractor is without value in the process. Their expertise and input is essential to establishing the scope of work and establishing the cost to restore your property.

Ask your contractor if they can refer you to a public adjuster they are familiar with. Then do your own homework. Look up the adjuster’s license status with the Missouri Department of Commerce and Insurance, read reviews, and — most importantly — have a direct conversation with them before signing anything. Make sure you understand how they’re compensated, how they communicate, and what their process looks like.

When you’re confident in your choice, hire that public adjuster to represent you. Not your contractor. Not your mortgage company. You.

The insurance claim is yours. The policy is yours. The settlement belongs to you. The person representing you in that process should answer to you — and only you.

 

James H. Bushart, Licensed Missouri Public Adjuster
MO License #8207067 | SCLA | NAPIA
314-803-2167 | missouripublicadjuster.org

Mistakes To Avoid When Filing an Insurance Claim

March 17, 2023 By in General Home Issues, Home Owner Insurance Issues, Property Insurance Tags: , , , , , Leave a comment

 

James H. Bushart, Public Adjuster LLC

 

Insurance claims for property damage can be a complicated process and avoiding mistakes can be a challenge. It requires proper documentation and timely submission of relevant paperwork. Any mistake in filing the claim could result in delayed or denied coverage, leaving the policyholder to bear the entire cost of the damage. Therefore, it is essential to understand the do’s and don’ts of filing an insurance claim for property damage and to know when to get help. In this essay, we will discuss the mistakes that policyholders should avoid when filing an insurance claim for property damage.

Failing to Document the Damage:

The first and most common mistake that policyholders make is failing to document the damage properly. It is essential to take pictures and videos of the damaged property as soon as possible after the incident occurs. This documentation will serve as evidence for the insurance company to determine the extent of the damage and the amount of coverage required. Without proper documentation, it can be challenging to prove the damage, and the insurance company may deny the claim. 

Photographs or video of the hailstones that struck the property, for example, are valuable evidence since some weather reports might report the nearest hailstorm to have been miles away on the date of loss.  Photographs of interior water damage taken before clean-up measures began help preserve evidence of fresh damage.  Proving your claim is YOUR responsibility.  Leave it up to the insurance company to prove it for you and you are likely to be disappointed in the result of their half-hearted efforts.

 

Waiting Too Long to File the Claim:

Another common mistake that policyholders make is waiting too long to file the claim. It is crucial to report the damage to the insurance company as soon as possible after the incident occurs. Most insurance policies have a specific timeframe within which the policyholder must report the damage. Failing to report the damage within this timeframe could result in a denied claim. Additionally, waiting too long to file the claim could result in delays in the claims process, which could cause further damage to the property.

Failing to Provide Accurate Information:

When filing an insurance claim for property damage, it is essential to provide accurate and detailed information about the incident. This includes the date and time of the incident, the cause of the damage, and the extent of the damage. Providing inaccurate or incomplete information could result in delays or denials of the claim. Additionally, it could result in the policyholder being accused of insurance fraud, which could result in legal consequences.

Not Reviewing the Insurance Policy:

Before filing an insurance claim for property damage, it is essential to review the insurance policy to understand the coverage and exclusions. Many policyholders make the mistake of assuming that their insurance policy covers all types of damage, only to realize later that the damage is excluded from the policy. Therefore, it is essential to review the policy and understand the coverage and exclusions before filing the claim.  Your insurance policy is a contract worth hundreds of thousands (sometimes millions) of dollars.  READ IT.

Attempting to Repair the Damage Before Filing the Claim:

Some policyholders make the mistake of attempting to repair the damage before filing the claim. It is essential to notify the insurance company before making any repairs to the property. The insurance company will likely send a claims adjuster to assess the damage and determine the amount of coverage required. Failing to notify the insurance company before making repairs could result in a denied claim, as the insurance company will not have the opportunity to assess the damage.

Failing to Mitigate Further Damage:

When property damage occurs, it is essential to take steps to mitigate further damage. This includes taking steps to prevent water damage or securing the property from further damage. Failing to take steps to mitigate further damage could result in a denied claim, as the insurance company may view the policyholder as negligent in protecting the property.

Not Understanding the Claims Process:

Filing an insurance claim for property damage can be a complicated process. It is essential to understand the claims process and follow the guidelines provided by the insurance company. Failure to understand the claims process could result in delays or denials of the claim.  If you need help with this, contact a licensed public adjuster or attorney for advice or assistance.

Not Following Up on the Claim:

After filing an insurance claim for property damage, it is essential to follow up with the insurance company regularly. This includes following up on the status of the claim and providing any additional documentation required. 

Not Seeking Assistance from Unbiased Sources:

When you find your insurance provider putting more effort into denying your claim than paying it or you feel that you are getting unfair resistance or treatment, consult a licensed public adjuster or an attorney to assist you.

What Is Insurance Fraud in Missouri?

July 7, 2021 By in General Home Issues, Property Insurance Tags: , Leave a comment

What constitutes insurance fraud in Missouri?

Insurance fraud is an affirmative defense used by insurance companies to deny claims.  The burden of proving fraud to deny an insurance claim is not as stringent as it is to prove insurance fraud for a criminal conviction.  This post is intended only to generally inform the reader of the statute that governs the Class E and Class D felonies of insurance fraud in the State of Missouri and describe how insurance companies use this defense to deny insurance claims.  It is not to be construed as legal advice.

According to the Missouri Revised Statutes:

375.991.  1.  As used in sections 375.991 to 375.994, the term “statement” means any communication, notice statement, proof of loss, bill of lading, receipt for payment, invoice, account, an estimate of damages, bills for services, diagnosis, prescription, hospital or doctor records, x-rays, test results or other evidence of loss, injury or expense.

2.  For the purposes of sections 375.991 to 375.994, a person commits a “fraudulent insurance act” if such person knowingly presents, causes to be presented, or prepares with knowledge or belief that it will be presented, to or by an insurer, purported insurer, broker, or any agent thereof, any oral or written statement including computer-generated documents as part of, or in support of, an application for the issuance of, or the rating of, an insurance policy for commercial or personal insurance, or a claim for payment or other benefits pursuant to an insurance policy for commercial or personal insurance, which such person knows to contain materially false information concerning any fact material thereto or if such person conceals, for the purpose of misleading another, information concerning any fact material thereto.

6. A fraudulent insurance act for a first offense is a class E felony. Any person who is found guilty of a fraudulent insurance act who has previously been found guilty of a fraudulent insurance act shall be guilty of a class D felony.

7. Any person who pleads guilty or is found guilty of a fraudulent insurance act shall be ordered by the court to make restitution to any person or insurer for any financial loss sustained as a result of such violation. The court shall determine the extent and method of restitution.

8. Nothing in this section shall limit the power of the state to punish any person for any conduct that constitutes a crime by any other state statute.

Be reminded that acts of fraud, both civil and criminal, include the application for the insurance policy as well as the filing of an insurance claim.  

When the policyholder makes false statements or conceals material facts or evidence when applying for insurance coverage or during the course of a claims investigation with the intent to deceive the insurance carrier, it is not necessary for the insurer to actually pay the claim for the act of fraud to be committed.  Courts have held that fraud attempted, even when the policyholder argues that he was merely using negotiation tactics, is still fraud.

As for the claim, fraud in any aspect of a claim is a bar to coverage for the entire claim.  This means if a policyholder made a material misrepresentation about his loss from fire of personal property but made no misrepresentation about damage to his house, the claim can be denied for BOTH the personal property and the house.

If you are handling your claim on your own and without the assistance of an attorney or public adjuster, it is important to be aware and understand that your words matter.  Since misrepresentation and fraud are defenses that allow the insurance carrier to deny a claim, there is a significant financial incentive for the adjuster conducting the investigation to discover or interpret certain acts and information, accordingly.  Be truthful, precise, and present to the insurance company only what you know to be true.

Missouri Homeowners/Business Insurance and the Roof

April 29, 2021 By in General Home Issues, Home Owner Insurance Issues, Home Repairs Tags: , , , , , , Leave a comment

 

Insurance

     There are two kinds of roofs on Missouri homes and business structures.  There are those that have storm damage and those that will have storm damage.  Understandably, the various insurance companies from all over the country that sell policies in our state will offer a wide variety of coverage options that are not always fully understood by the property owners before disaster strikes.  

     Learning after the roof has been damaged that you have been saving pennies per year by NOT including coverage to match replacement shingles or siding, or learning that hail dents that destroy the appearance of your metal roof is not considered “damage” by your insurance company, can result in costly out of pocket expenses that you thought were covered by insurance.  

     The Missouri Department of Insurance has created an informational and interactive website that helps you to understand your roofing coverage for each insurance carrier.  While I recommend that you visit their site, I urge you to take the time to read and understand your insurance policy, as well.  Have your agent clearly explain to you, when necessary, what it does and does not provide and ask lots of questions.

     Considering that when an insurance company’s claims department is on its absolute best behavior, its job is the same as any corporation that is run by a board of directors.  That job is to put the monetary interests of their shareholders (not their policyholders) at the top of their priority list.  Their duty to you, as a policyholder, is not fiduciary (as it is with their shareholders) but contractual.  Thus, even when you are dealing with a fair and reasonable adjuster, you need to know what your contract with them says.  That contract is your insurance policy.

     Your insurance company is prepared and well-practiced to fight and defend their rights under that contract.  How prepared are you?  Don’t let the first large claim be the first time you read it.  Caveat emptor.

Should Insurance Companies Adjust Their Own Claims?

April 11, 2016 By in General Home Issues, Home Owner Insurance Issues, Home Repairs, Property Insurance Leave a comment
Should Insurance Companies Adjust Their Own Claims?

The State of Hawaii’s legislature is presently reviewing a bill that would dramatically change the way insurance claims are handled.

The proposed law dares to ask the questions “Can the insurance company be trusted to be fair when determining how much they should pay?”

Some people say “No”.

Read more by clicking on the link, below:

http://www.propertyinsurancecoveragelaw.com/2016/04/articles/state-legislation/hawaii-considering-new-law-relating-to-claims-handling/#.VwuHDVRhl1s.linkedin

2015 – Our Most Interesting Claims

January 9, 2016 By in General Home Issues, Home Owner Insurance Issues, Home Repairs, Property Insurance 3 Comments

As more people in Missouri have become aware of the success and benefits they can derive from hiring their own claims adjuster to present their loss to their insurance company, this past year was our busiest yet.  Of our many claim settlements in 2015, here are a few that stand out from the ordinary:

  1.  After an expensive slate and copper roof was damaged by hail, the insurance company denied the policy holder’s claim for his loss.  They cited a provision in the policy that excluded the damage.  The policyholder was referred to me by his roofing contractor.  My investigation of the facts showed that the date that the exclusion was added to the policy was AFTER the date of the hailstorm – and should not have been applied.  My client, who had originally been told by his insurance carrier that his damage was not covered under his policy, received a payment exceeding $80,000.00 to affect the repairs to his roof.
  2. A fire destroyed a private residence and the policyholder and family were forced to sleep and eat in a camping trailer parked in the driveway while searching for a contractor willing to perform the repair work for the lesser amount that the insurance carrier had estimated the costs to be, which was considerably lower than any contractor was willing to bid.  They hired me to assist them and, after my negotiations with the insurance carrier, they received an additional $60,000.00 for the repair of their home and the full value of their policy (over $200,000.00) for their lost contents.
  3. The policyholder was told that, in spite of the fact that water was entering his home through the storm damage to his roof, the adjuster could not identify any storm damage and that no money would be allowed for roof repair.  The policyholder hired me to assist him and, after further negotiations, the insurance company paid to replace his entire roof.
  4. A frozen water pipe broke in the ceiling of a private home which resulted in a collapse of a major part of the ceiling and water damage to walls, carpeting, and personal contents.  The policyholder decided to hire me immediately after filing his claim and his insurance adjuster called him on the telephone and attempted to talk him out of using a public adjuster — and offered him $16,227.12 to settle his claim.  The policyholder refused to accept the settlement offer, allowed me to act as his public adjuster, and we settled the claim for over $62,000.00

Since starting this business in 2012, I have recovered millions of dollars for Missouri personal and commercial insurance policyholders. 2015 was another great year.

 

Public Adjusters Negotiate on Behalf of Policy Holders … Not Their Contractor

March 7, 2015 By in General Home Issues, Home Repairs, Property Insurance Tags: , , , , 1 Comment

Public adjusters work for the policyholder. No one else.

I am a licensed public adjuster and all my business comes to me by way of my internet advertising and referrals.  I do not “chase fires and storms” or otherwise solicit policyholders who have suffered a loss to hire me.  A potential client (or the person referring them) must contact me, first.

Referrals come to me regularly from former clients, attorneys, insurance agents, and building contractors who recommend me to policyholders that they know, and that might benefit from my involvement with their insurance claim.

Some Missouri building contractors will attempt to negotiate with an insurance company on behalf of the owner of the property that they are repairing or rebuilding (when not prohibited by law) and will often find that the insurance company refuses to cooperate with them.  Instead of contracting to do work for less than what they need to make, or before using inferior products and labor and cut corners to afford to work for the insurance company’s lowball estimate, they advise the homeowner to hire a public adjuster for assistance.

I have received many referrals from building contractors and have assisted the policyholders that they referred to me with successfully reopening their claim and getting a fair settlement that covers the full cost of the project (as well as my fee) so that the contractor can receive his full pay to do quality work.  This is a win for the policyholder, a win for the contractor, and a win for an insurance company who operates in good faith.

Likewise, policyholders that I help will often ask me for advice or referrals when they have been paid and are ready to begin the work of restoring their home or business.  I will recommend many of the fine and reputable building contractors that I have come to know and admire, knowing that they will be satisfied with the results.

Sometimes I will get calls from contractors who are simply wanting me to aid them to increase their own level of profit, at the expense of the insurance company and the policyholder, by adding unnecessary work to the scope to increase the cost to the job and expect me to negotiate on THEIR behalf and convince the insurance company to pay it.  I don’t do that.

A recent case in point was a Missouri policyholder who was reluctant to hire a public adjuster but was pressured to contact me by his building contractor.  The contractor initially attempted to “represent” the policyholder in negotiating his contract with me and discussing the claim with me, but I refused and communicated directly with the policyholder.  This is the only way I do business.

As I investigated the claim, I found that the insurance company had inspected the hail-damaged roof and siding with the contractor’s estimator and had agreed to pay what the estimator had originally estimated the costs to be.  Then, for reasons not clearly explained, the owner of the construction company revised his estimator’s original estimate and added a large amount of money for something outside the normal scope of work, and the insurance company refused to pay for this additional cost.

My job, according to the building contractor who pressured the policyholder to hire me, was to get the homeowner this extra sum for this unnecessary work so that he could pay it to the contractor.  I refused to do this and advised the policyholder that the insurance company had offered a fair settlement that matched the original estimate provided by his contractor, and that I was withdrawing from his claim.

An insurance claim is a matter that is between the policyholder and his insurance company, and the only acceptable resolution to an insurance claim is a complete restoration of the insured property to the condition that it was immediately before the event that caused the loss.  The policyholder hires the contractor to perform the work to meet that level of restoration and the insurance company has a duty to pay the costs associated with that level of restoration.  Nothing more … nothing less.

I appreciate the many referrals that I receive from building contractors who are looking to help policyholders achieve fair settlements so that they can be paid in full for their valuable services; however, when the policyholder and I agree to work together on his claim, I represent the policyholder, only.

Home destroyed by fire.

Home destroyed by fire.

What A Public Adjuster Does for You (Video)

December 13, 2014 By in General Home Issues, Home Owner Insurance Issues, Property Insurance Leave a comment

A public adjuster is one of three classifications of insurance adjuster categories.

(1) There is the insurance company claim adjuster who is directly and exclusively employed by the insurance company to protect the insurance company’s financial interests in the handling of an insurance claim.

(2) There is the independent claims adjuster who is contracted to work for various insurance companies to protect the insurance company’s financial interests in the handling of an insurance claim.

(3) There is the public adjuster who is licensed by the state to work exclusively for the policy holder and represents the policy holder’s interests in the negotiations with the insurance company for a settlement to the claim.