Americans hate to know we can do nothing. I think it's just in our DNA. Since we are little, we learn that "never let anyone tell you that you can not …" Name the dream you want to achieve, because in America you can do it.
So when I wrote a blog on Friday Public Adjusting Is Illegal in Alabama it is not unexpected that I will get all kinds of comments. One of the first was from NAPIA's General Councilor, Brian Goodman, who disagreed with me and led me to submit a correction, Stop the press and mark the time – Chip Merlin, The Wizard of Something, may be wrong !! !
The important word in the new title is "sheep" because after I wrote it I received a lot of private e-mails, some from lawyers, suggesting that I represent a policyholder and negotiate Their legal rights under a property insurance policy are unauthorized laws in Alabama. Just think of what the Louisiana Bar says it constitutes unauthorized legislation ̵
I also received emails from public adjusters telling me that many insurance companies will not deal with you; Lawyers in Alabama will tell their clients that public adjustment agreements are the practice of the law. your name will be omitted from the check with a warning to your policyholder customer that public adjusters are not licensed in Alabama, and you will be threatened with being sued. Other public adjusters wrote to me saying that the best advice is "to stay low and under the radar screen, so that you do not get noticed."
Dante Fabro's comment raised a common question from many public adjusters who also read my previous blog post, A short history lesson on how judges do not have to be licensed lawyers . That post described how difficult it was for even independent adjusters representing insurance companies to be able to adjust claims:
The concern is the public rather than insurance companies. The Alabama Bar made some adjustments to adjusters representing insurance companies over 70 years ago but has never agreed to allow this to the public.
The very knowledgeable public adjuster Bill Cook apparently has time for himself because he commented that he had started an academic discussion on this topic with the Alabama Bar:
Think about this
Can a public adjuster who are not classified for the insurance contract negotiate damages with an independent adjuster who is also not in private life with the insurance contract. As personnel adjusters are subordinate to the contract, negotiations with one of them can be considered as UPL and should be avoided for any interference. A careful reading of the exact language of the statutes seems to me to allow such activity. I spent a lot of time writing letters to the Alabama Bar and the Alabama Department of Insurance to resolve the issues. The problems are still open with the bar and DOI. Lack of privacy in an independent adjuster is the basis of my argument.
For all of you who are interested in this subject and with time on your hands, you can read an Alabama case about an independent law firm that hires lawyers. in Alabama and what constitutes unauthorized law enforcement in Alabama. 1
I am trying to report to you what the Real Estate Insurance Act is and what trends I see. I can say that general alignment is not licensed in Alabama. I can report to you what the members of the Alabama Bar have written and told me.
From a practical and sound proposal, I can also encourage you to follow the law, be safe when doing your business and never train teams without a license. If you want to practice general alignment in Alabama, I suggest that you make your contracts drawn up by a licensed Alabama attorney who will put the license at stake if the contract – and your conduct described in that contract – may be challenged.
A video that thought of the day for you who hate to know that you can not
1 Wilkey v. State ex rel. Smith 244 Ala. 568 (Ala. 1943).