PLNew Yorkmedium
A homeowner in Queens experiences a major kitchen fire and wants to hire a representative to negotiate the property-damage claim with her insurer on her behalf for a contingent fee. Under New York law, who is properly licensed to act in this capacity?
AAny licensed insurance broker under § 2104
BAn insurance company staff (independent) adjuster
CAn excess-line broker licensed under § 2105
A public adjuster licensed under NY Ins. Law § 2108
Why this is the answer
Section 2108 of the NY Insurance Law creates the public adjuster license — the only license that authorizes a person to represent an insured (not an insurer) for compensation in adjusting first-party property claims. Brokers (§ 2104) may sell policies but not negotiate claims for a fee. Company staff or independent adjusters work for the insurer, not the insured. Excess-line brokers place coverage in non-admitted markets but do not adjust losses.
Studying for the New York Personal Lines exam?
This question comes from our PL bank. Take a free practice test — no signup.