Someone can be both a licensed public appraiser and a licensed general contractor. If you are a Florida contractor, then you are well aware of the laws that now prohibit contractors from negotiating an insurance claim. This makes things difficult for honest contractors who are certain that a customer, whether because of a roof replacement, a plumbing problem, a mold problem that needs to be remedied, or a water mitigation problem, is not getting a fair deal from their insurance provider. The unauthorized practice of adjusting insurance claims is a third-degree felony under Section 626,8738 of the Florida Statutes.
This new section also prohibits a public adjuster from offering or accepting consideration for recommending services related to a roof claim. A public appraiser routinely reports homeowners insurance claims on behalf of the policyholder to address damage suffered during a water leak. Ron DeSantis enacted new requirements for public appraisers as part of a broader law that addresses consumer protection for P%26C and the health insurance markets. Section 626,854 (1) of the amended Florida Statutes prohibits licensed contractors and subcontractors from advertising, soliciting, offering, operating, or providing the services of public appraisers without a license.
The relationships the insurer complained about appeared to be between family members; the public adjuster had a family member who was the director of the contractor or repair company. Other states have different legal schemes for public appraisers to refer businesses to contractors and receive compensation or own the contracting company. Contractors who try to help victims of hurricanes, disasters and other catastrophes by offering them assistance with their insurance claim are illegally resorting to the practice of public adjustment. There is help for Florida contractors in the form of licensed insurance adjusters, such as public appraisers.
On the other hand, the National Association of Public Insurance Adjusters (NAPIA) has a long-standing ethical ban on its members acting as contractors. As a result, most public appraisers in Illinois are contractors or have preferred construction companies that offer repeat business the same activity that the Florida insurance company argued was illegal under the above-mentioned law. When Noble Public Adjusting Group represents a policyholder, there is an astronomical difference in the agreement. Public appraisers will not act as contractors in the mitigation, repair, restoration, or act as saviors of damaged property (in connection with first-party property insurance losses).