ACP Applauds H.R. 4037 Federal Bill Legislation Proposing Uniform Licensing Laws for Claim Adjusters
In an effort to promote uniformity and reciprocity among states that license insurance claims adjusters and to facilitate prompt and efficient adjusting of insurance claims, and for other purposes, U.S. Reps. David Kustoff, R-Tennessee, and Bill Foster, D-Illinois, introduced HR 4037, the Claims Licensing Advancement for Interstate Matters (CLAIM). This move has been applauded by The Association of Claims Professionals (ACP) which would introduce federal legislation requiring states to adopt uniform and reciprocal licensing laws for independent claims adjusters.
The ACP said dozens of states require independent claim adjusters to hold licenses. But inconsistencies among state requirements cause all claim adjusters to face licensing and regulatory barriers when working across state lines. This has created a longer, more difficult, and more expensive process, ignoring the fact that consumers needing these services are often victims of disaster or injury and require a quick and efficient process.
The CLAIM Act gives states four (4) years to adopt uniform and reciprocal licensing laws for independent claim adjusters. If states do not meet this requirement, independent claims adjusters can apply to the National Association of Registered Agents and Brokers (NARAB) to receive an operational license. By doing so, the bill also expedites the claims process for disaster victims, giving them the timeliness and efficiency, they need during times of emergency.
The legislation has also been updated and improved to ensure that active duty service members have their licenses automatically renewed, and that they do not risk losing their licenses while serving their country. The bill also now addresses the needs of rural Americans, and particularly America’s family farms, by streamlining the process for crop adjusters to work across state lines and ensure uniform and reciprocal adjuster licenses. The ACP applauds this bill for its ability to fix the inconsistencies associated with the insurance claims adjusting license process, protecting consumers from today’s unnecessarily costly and drawn-out processes, and allow active duty service members from the industry to serve without fear that their licenses will expire due to an overseas or domestic posting.
Source: workcompcentral.com and The Association of Claim Professionals.