Agent's & Adjuster's - Prophets Of Profit?

[Roger Poe]

6-20-2005

For some new and interesting news regarding intentional (Hurricane Isabel) claim underpayments, go to http://www.femainfo.us

FEMA-NFIP-WYO major insurers are facing a (June 2005) 2 BILLON dollar insurance claim settlement-fraud based lawsuit by citizens-clients.

What may come out in discovery is that insurance agents use RECONSTRUCTION data to estimate-factor (underwrite) the value of homeowners insurance coverage-payments, and insurance claim adjusters use NEW CONSTRUCTION data to estimated replacement cost values.

The difference between Reconstruction costs and NEW Construction costs can throw off a homeowners (hurricane, hail, fire, wind, flood, earthquake, etc.) claim by a minimum of 35-50% alone.

<a href='http://financialservices.house.gov/medi ... 1405sk.pdf' target='_blank'>http://financialservices.house.gov/medi ... 5sk.pdf</a>

Also, leaving out primary-general contractor overhead and profit margins-values, and sub-contractors's, in a insurer's claim estimate, can undervalue claim values another 20-49%.

<a href='http://www.tdi.state.tx.us/commish/bull ... 045-8.html' target='_blank'>http://www.tdi.state.tx.us/commish/bull ... -8.html</a>

Ask an Allstate, State Farm, Farmers, Hartford, USAA, Travelers, Etc. insurance agent-broker to verify those premium value-claim value facts mentioned above as you shop for / pay for insurance coverage.

Have them prove, in plain language and in writing, that a potential claim will be paid equal to the structure REPLACEMENT (Reconstruction) loss values they anticipated in your premium values, per an insurer's-adjuster's claim loss RESERVE dollar estimate.

Ask them if actual homeowner losses are not verified-paid, can an insurer's reserves be legally less also, and how would-could-might those issues benefit an insurer-reinsurer-stockholder profit based relationship?

Roger Poe
Reconstruction Specialist
insuranceclaimsandsettlements@hotmail.com