The proposed bill would amend current statutes related to insurance claims by introducing several prohibitions and clarifications regarding the roles of adjusters and contractors during loss-producing events. Specifically, it would prohibit adjusters from participating in the restoration or repair of properties they are adjusting claims for, and it would prevent contractors from acting as adjusters for claims. Additionally, contractors would be barred from advertising or paying any deductibles related to insurance claims while a loss-producing event is ongoing. The bill also clarifies that adjusters cannot endorse payment instruments without the insured's direct endorsement and signature.

Furthermore, the bill modifies existing provisions regarding contracts for residential repairs following catastrophic storms. It mandates that contracts include specific details about the work to be performed and allows insured owners to cancel contracts within four business days without penalty. The bill also stipulates that contractors cannot begin work until an insurance claim is approved, except in cases where emergency repairs are necessary to prevent further damage. Overall, these changes aim to enhance consumer protection and ensure ethical practices in the insurance and contracting industries during emergencies.

Statutes affected:
Introduced Version: 20-321.02, 32-1158.02, 20-281, 20-284, 20-286, 20-287, 20-288, 20-289, 20-289.01, 20-290, 20-291, 20-292, 20-295, 20-296, 20-297, 20-299, 20-301, 20-302