Licensing of Public Adjusters

What this document is

Delaware Code Title 18 Chapter 17A - Licensing of Public Adjusters (Secs. 1750-1761) is a state statute published by Delaware Code Online (delcode.delaware.gov), Delaware General Assembly. It is one of the Delaware documents that insurance license exam questions are written from, including delaware life & health, delaware property & casualty practice questions. This page summarizes it and points to the official version, which is the text to rely on.

Sections cited in practice questions

Each practice answer shows the exact passage it comes from. These are sections of this document that questions cite, with a short excerpt from the source text.

• 18 Del. C. Chapter 17A § 1751(c) (License Requirement: Waiver of Examination)

  “(c) The Commissioner may issue a license to any applicant without an examination if: (1) The applicant holds a like license in good standing from another state and the public official having supervision of public insurance adjusters in the other state certifies that the applicant has passed a...”

• 18 Del. C. Chapter 17A § 1752(a) (Bond Requirement)

  “At the time of the application for license as a public adjuster, the applicant shall file with the Commissioner a bond executed and issued by a surety insurer authorized to transact business in the State in the amount of $20,000, which bond shall serve the faithful performance of his or her duties...”

• 18 Del. C. Chapter 17A § 1750(4) (Definition of Public Adjuster)

  “(4) “Public adjuster” shall include any person who, for compensation or any other thing of value: a. Acts or aids, solely in relation to first party claims arising under insurance contracts that insure the real or personal property of the insured, on behalf of an insured individual in negotiating...”

• 18 Del. C. Chapter 17A § 1758(b)(1) (Prohibited acts)

  “(b) A licensed public adjuster is prohibited from doing any of the following: (1) Paying any money or giving anything of value to any person in consideration of a direct or indirect referral of a client or potential client.”

• 18 Del. C. Chapter 17A § 1756(c) (Contracts and solicitation of contracts)

  “(c) A licensee shall not solicit, or attempt to solicit, a client for employment during the progress of a loss-producing occurrence, as defined in the client’s insurance contract.”

• 18 Del. C. Chapter 17A § 1756(a) (Contracts and solicitation of contracts)

  “(a) No licensee shall, directly or indirectly, act within the State as a public adjuster without having first entered into a contract, in writing, on a form approved by the Commissioner and executed in duplicate by the public insurance adjuster and the insured or a duly authorized representative....”

• 18 Del. C. § 1756(b)(1) (Contracts and solicitation of contracts; cancellation)

  “(b) (1) An insured who contracts for the services of a public adjuster shall have the right to cancel the contract until midnight on the third business day after the day on which the insured signs the contract. Contracts that do not substantially conform to the requirements contained in this...”

• 18 Del. C. § 1758(b)(3) to (b)(6) (Prohibited acts)

  “(3) Charging, collecting, or receiving any money or anything of value from any person providing services to an insured, either directly or on behalf of the public adjuster, in connection with the business of adjusting insurance claims, without the prior written disclosure of the fee or benefit to...”

• 18 Del. C. § 1754(a) to (c) (Maintenance of records)

  “(a) A public adjuster shall maintain a complete record of each transaction as a public insurance adjuster. The records required by this section shall include at least the: (1) Name of the insured; (2) Date, location and amount of the loss; (3) Copy of the contract between the public insurance...”

• 18 Del. C. § 1758(b)(11) (Prohibited acts)

  “(11) Advancing any money to a client pending the settlement of a loss where such amount would be included in the final settlement.”

• 18 Del. C. § 1752(a) (Bond requirement)

  “A public adjuster license shall automatically terminate when the bond is not in force.”

• 18 Del. C. § 1756(f) (Contracts and solicitation of contracts)

  “A licensed public adjuster may not prevent or attempt to dissuade an insured from communicating with an insurer, the insurer’s adjuster, an independent adjuster representing the insurer, an attorney, or any other person regarding the settlement of the insured’s claim.”

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More Delaware sources

• Del. Code tit. 18, ch. 29: Life insurance contracts - standard policy provisionsState statute
• Delaware Code Title 18, Ch. 017 - Licensing of Professional Insurance PersonnelState statute
• Delaware Code Title 18, Ch. 023 - Unfair Practices in the Insurance BusinessState statute
• Delaware Code Title 18, Ch. 29 - Life Insurance and Annuity ContractsState statute
• Delaware Code Title 18, Ch. 031 - Life Insurance ContractsState statute
• Delaware Code Title 18, Ch. 035 - Group and Blanket Health InsuranceState statute
• Delaware Code Title 18 Chapter 17 - Licensing of Professional Insurance Personnel (Secs. 1701-1724)State statute
• Delaware Code Title 18 Chapter 23 - Unfair Practices in the Insurance Business (Secs. 2301-2318)State statute