Section 3118.85  Client Disclosure

a)         Public Adjusters must provide full written disclosure consistent with Sections 1575(d) and 1590(d), (f), (g), and (h) of the Code.

b)         If the client of the public adjuster chooses either a board-up company, contractor or any other vendor in which the public adjuster, or its employees, agents or assigns, has or receives any ownership, beneficial or equitable interest in that ownership, then the nature of that ownership or interest must be disclosed to the public adjuster's client in writing prior to execution of any contract between the public adjuster's client and any entity in which the public adjuster has ownership or beneficial or equitable interest.

c)         The disclosure must contain, at a minimum:

1)         The following wording in 10-point font:

"You are not required to use any person recommended to you by the public adjuster and may choose any contractor or vendor you so choose.";

2)         A statement clarifying the amount of ownership in the recommended contractor by the public adjuster or any immediate family; and

3)         The specific amount of compensation the public adjuster will receive from the recommended contractor.  This disclosure may be stated in an actual dollar amount or a percentage of the payment. 

d)         Notice of the Department's availability must be provided to all clients.  The notice must include at least the following:

"This notice is to advise, should any complaints arise, you may contact the Illinois Department of Insurance at 320 West Washington Street, Springfield IL 62767, Phone: (866) 445-5364, or submit a consumer complaint on the Department’s website at http://insurance.illinois.gov."

e)         The public adjuster must provide all written disclosures regarding financial interests and the claim process, in addition to a consumer rights notice, before the insured signs the contract.  Sample notices containing recommended language can be found on the Department’s website at http://insurance.illinois.gov.

(Source:  Amended at 47 Ill. Reg. 2301, effective February 1, 2023)