Independent Adjusters In 3 States Accuse Carriers Of Changing Estimates, Fraud

Several adjusters recently told Florida’s House Commerce Committee that insurance carriers changed their estimates on damaged houses, which the committee chairman said should be investigated by the state attorney general since that’s an accusation of fraud.

While the committee was dealing with an insurance crisis reform bill that specifically covers residential and commercial property insurance, the utilization of independent adjusting firms is not atypical in automotive claims either.

Independent Appraisal firms are widely used to settle collision repair claims as well.

In March, a North Carolina collision center’s complaint to the state’s Department of Insurance resulted in forcing the insurance carrier to agree with an independent appraiser’s repair estimate after finding out from the appraiser that the insurance company disputed the estimated amount from the Independent, and amended it under his license number before sending it on to the shop.

‘The insurance companies were directing file reviewers to change my estimates to repair the roofs rather than replace a totaled roof,’ said Ben Mandell, a licensed all-lines adjuster. ‘However, the insurer was leaving my name on the estimates in a fraudulent effort to make it appear that I had written this bogus estimate, which defrauded the policyholders out of their proper claim payments.’