The Unauthorized Practice Of Public Adjusting (UPPA)
Many people are not aware of the legal requirements for public adjusting. This can lead to confusion and even conflict when a claim is disputed. In this article, we’ll explain what it means to be a public adjuster, how that role differs from that of an agent under a homeowners policy, and what you need to know about the Unauthorized Practice of Public Adjusting (UPPA).
What Is The Unauthorized Practice Of Public Adjusting (UPPA)?
The Unauthorized Practice of Public Adjusting (UPPA) law is designed to protect the public from unlicensed individuals who claim they’re adjusting claims, which can lead to mistakes and delays in resolving a claim.
The UPPA law prohibits anyone from practicing public adjusting or holding himself or herself out as a public adjuster unless they meet the requirements for licensure under the Texas Insurance Code. This includes:
- Providing services for compensation on a claim for payment of property damage;
- Receiving fees for services rendered in connection with an insurance claim; and/or
- Representing himself or herself as being able to provide services that constitute adjusting insurance claims.
Are There Any Exemptions To This Law?
The UPPA does not apply to any person who is employed by a licensed public adjuster or by a licensed insurance company. However, if your employer is not authorized to employ you as an adjuster, then you are still subject to prosecution under the UPPA.
Another exemption from prosecution under the UPPA exists when an individual provides property damage only services on behalf of another individual who is not prohibited from engaging in public adjusting activities and plans on providing repair estimates only and not verifying loss or offering settlement advice.
For example, attorneys who practice law can also adjust claims without holding an additional license as long as they do not engage in any activities that require licensing from both professions at once.
How Does A Public Adjuster Violate This Law?
In short, a public adjuster violates this law by the act of engaging in the practice of public adjusting without a license, engaging in the business of public adjusting without a license, representing that you are a public adjuster without a license, and holding yourself out as a public adjuster without a license.
The first two violations are clearer cut than the other two because it is either you have or don’t have an active license. The third violation (representing) has multiple interpretations and can be interpreted differently by various courts depending on how it is used in context. The last violation (holding yourself out) is saying if someone got hurt on your job site but didn’t hire you directly. They could still sue you for damages due to negligence regardless if they were injured on your property or not because now there’s reasonable cause for belief that any reasonable person would believe that they hired someone who represented or held themselves out as being licensed–even though they aren’t!
How Can Stone Claims Group Adjusters Help?
If you have been involved in a public adjuster claim, it is essential to have your best interest at heart. Stone Claims Group has established itself as the leading public adjusting company in the U.S., providing the highest level of customer service and expertise in all matters relating to public adjusting.
We can help you get the best settlement for your claim. We are committed to helping our clients receive full and fair compensation from their insurance carrier, which we do by working with you every step of the way until your case has been resolved. Our expert team will also make sure that your rights under state law are protected throughout this process.
If you want more information about how Stone Claims Group can assist with your insurance claim, please contact us today!