Ind. Code ch. 27-1-27

Ind. Code ch. 27-1-27
in effect

Ind. Code § 27-1-27-1 Definitions

Sec. 1. (a) The definitions set forth in this section apply throughout this chapter. (b) "Contract" refers to a contract between a public adjuster and an insured under which: (1) the public adjuster agrees to provide services for the insured in the adjustment of an insurance claim; and (2) the insured agrees to compensate the public adjuster for those services. (c) "Firm" includes any corporation, partnership, association, joint stock company, or individual. (d) "Independent adjuster" has the meaning set forth in IC 27-1-28-6. (e) "Insured" means a person covered by an insurance policy. (f) "Person" means an individual, a corporation, a limited liability company, a partnership, or any other legal entity. (g) "Public adjuster" includes the following: (1) A person that, for compensation or reward, renders advice or assistance to an insured in the adjustment of a claim or claims for loss or damages under any policy of insurance covering real or personal property. (2) A person that advertises, solicits business, or holds itself out to the public as an adjuster of claims described in subdivision (1). (h) The term "public adjuster" does not include the following: (1) An attorney at law admitted to practice in Indiana who adjusts insurance losses in the course of the practice of the attorney's profession. (2) An officer, regular salaried employee, or other representative of: (A) an insurer; or (B) an attorney in fact of any reciprocal insurer or Lloyd's underwriter licensed to do business in Indiana; who adjusts losses arising under an employer's or principal's own policies. (3) An adjustment bureau or association owned and maintained by insurers to adjust or investigate losses of the insurers, or any regular salaried employee who devotes substantially all the employee's time to the business of an adjustment bureau or association described in this subdivision. (4) Any of the following: (A) A licensed insurance producer. (B) An authorized insurer. (C) An officer or employee of an authorized insurer who adjusts losses for the insurer. (D) An insurance producer or representative of a farm mutual insurance company operating under IC 27-5.1. (5) Any independent adjuster representing an insurer. As added by P.L.257-1983, SEC.1. Amended by P.L.129-2003, SEC.6; P.L.178-2003, SEC.28; P.L.226-2023, SEC.3.

Ind. Code § 27-1-27-1.5 Prohibited public adjuster actions

Sec. 1.5. A public adjuster shall not: (1) file an insurance claim with: (A) an insurer; or (B) an agent, employee, or representative of an insurer; on behalf of an insured person; (2) act in any manner in relation to claims for personal injury or automobile liability; (3) bind the insured in the settlement of claims; or (4) perform: (A) the role of a roofing contractor; (B) the role of an appraiser; or (C) any other role; with respect to the subject of a claim at the same time that the public adjuster is providing advice or assistance to an insured in the adjustment of the claim. As added by P.L.226-2023, SEC.4.

Ind. Code § 27-1-27-2 Certificate of authority required

Sec. 2. (a) No individual or corporation shall act within Indiana as a public adjuster, or receive, directly or indirectly, compensation or reward for services rendered in the adjustment of any claim or claims under the types of insurance policies set forth in section 1(g) of this chapter, unless the individual, or it, is the holder of a certificate of authority to act as such public adjuster issued by the commissioner of insurance of the state of Indiana pursuant to this chapter. (b) Any individual or corporation who, or which, shall have received from the commissioner of insurance a public adjuster's certificate of authority shall be styled and be known as a "Certified Public Adjuster". As added by P.L.257-1983, SEC.1. Amended by P.L.226-2023, SEC.5.

Ind. Code § 27-1-27-3 Certificates of authority; issuance; prerequisites

Sec. 3. (a) The commissioner of insurance shall issue resident and nonresident public adjusters' certificates of authority to each person who: (1) has complied with the requirements of this chapter, including the payment of fees, the completion of the examination, and, in the case of a nonresident applicant, the service of process designation; (2) is at least eighteen (18) years of age; and (3) has not been convicted of: (A) an act which would constitute a ground for disciplinary sanction under section 7.1 of this chapter; or (B) a felony that has a direct bearing on his ability to practice competently. A certificate of authority may be issued to a corporation that has one (1) or more officers, directors, or employees who have been issued public adjusters' certificates of authority. However, a corporation may practice public adjusting only through its officers, directors, or employees who have been issued certificates under this chapter. (b) The commissioner of insurance may issue a resident certificate of authority only to an applicant who is a bona fide resident of Indiana. (c) The commissioner may issue a nonresident certificate of authority only to a nonresident of Indiana who holds an equivalent resident certificate of authority or a license issued under the laws of any other state, any territorial possession of the United States, or any foreign country. As added by P.L.257-1983, SEC.1. Amended by P.L.146-2015, SEC.25.

Ind. Code § 27-1-27-4 Certificates of authority; application; renewal; surety bond

Sec. 4. (a) Each applicant for a certificate of authority as a public adjuster shall file with the commissioner of insurance an application therefor on forms furnished by the commissioner of insurance, which application shall set forth: (1) the name and address of the applicant, and if the applicant be a corporation, the name and address of each of its officers and directors; (2) whether the person is applying as a resident or nonresident; (3) whether any license or certificate of authority as insurance producer, broker, public adjuster, or independent adjuster has been issued previously by the commissioner of insurance of the state of Indiana or by the insurance department of any other state, any territorial possession of the United States, or any foreign country to the applicant; and (4) the business or employment in which the applicant has been engaged for the five (5) years next preceding the date of the application, and the name and address of such business and the name or names and addresses of the applicant's employer or employers. (b) An application for any certificate of authority must be signed and verified under oath by the applicant. (c) An annual fee of fifty dollars ($50) is to be paid to the commissioner of insurance by the applicant for such public adjuster's certificate of authority before the application or annual renewal thereof is granted. However, the commissioner may, by rule adopted under IC 4-22-2, change the amount of the fee to an amount necessary to pay all of the direct and indirect costs of administering this chapter. Fees collected shall be used by the department to administer this chapter. (d) Every public adjuster's certificate of authority shall expire on December 31 of the calendar year in which the same shall have been issued, but if an application for the renewal of such certificate shall have been filed with the commissioner of insurance before January 1 of any year, the certificate of authority sought to be renewed shall continue in full force and effect until the issuance by the commissioner of insurance of the new certificate applied for or until five (5) days after the commissioner of insurance shall have refused to issue such new certificate and shall have served notice of such refusal on the applicant therefor. Service of such notice shall be made by registered mail directed to the applicant at the place of business specified in the application. (e) The applicant shall file with the commissioner of insurance a surety bond in a sum equal to ten thousand dollars ($10,000) payable to the state of Indiana and conditioned on the principal's faithful performance and discharge of the principal's duties under this title and under any rule of the department of insurance. The bond must be renewed annually. As added by P.L.257-1983, SEC.1. Amended by P.L.178-2003, SEC.29.

Ind. Code § 27-1-27-5 Nonresident applicants; service of process designation

Sec. 5. (a) The commissioner may not issue a certificate of authority to a nonresident applicant until that nonresident files with the commissioner, in a form prescribed by the commissioner, a designation of an individual resident of Indiana, a corporate resident of Indiana, or an authorized Indiana insurer as the nonresident applicant's legal representative upon whom may be served all lawful process in any action, suit, or proceeding: (1) instituted by or on behalf of an interested person; and (2) arising out of the nonresident applicant's public adjuster's insurance business. (b) The designation required by subsection (a) constitutes an agreement that service of process upon the nonresident applicant's legal representative is of the same legal force and validity as personal service of process upon an Indiana resident. (c) Service upon a nonresident may be made by serving the nonresident applicant's legal representative with an appropriate number of copies of the process. (d) The nonresident applicant's legal representative shall forward a copy of the process by registered mail to the nonresident at his last known address of record or principal place of business, keeping a record of such process and service. (e) Service of process is sufficient as long as notice of the service and a copy of the process are sent not more than ten (10) days after the nonresident applicant's legal representative received the service of process on behalf of the nonresident. (f) Service of process upon a nonresident in any action instituted by the commissioner under this chapter shall be made by the commissioner by mailing the process to the nonresident applicant's legal representative or the nonresident by registered mail at his last known address of record or principal place of business. As added by P.L.257-1983, SEC.1. Amended by P.L.31-1988, SEC.15; P.L.130-1994, SEC.33; P.L.116-1994, SEC.43; P.L.268-1999, SEC.14.

Ind. Code § 27-1-27-6 Examination requirement; exception

Sec. 6. (a) The commissioner of insurance shall, in order to determine the competency of an applicant for a certificate of authority to act as a public adjuster, require such applicant to submit to a written examination, except such applicants who shall be entitled to such certificate without the examination as provided in this chapter. Such examinations shall be held in such place in the state of Indiana and at such time as the commissioner of insurance may designate. The examination as described in this section shall include such questions which, at the discretion of the commissioner, will properly test the applicant's knowledge and competency to engage in the adjustment of claims of an insured to include, but not be limited to the following areas: (1) The Indiana insurance law, IC 27. (2) Inventory and appraisal procedures. (3) Building construction. (4) Standard fire policy. (5) Insurance contracts related to claims on real or personal property. (6) Insurance coverage questions regarding business interruption, improvements and betterments, replacement cost coverage, concurrent and noncurrent apportionment, coinsurance, and contribution. (b) The commissioner of insurance may issue a public adjuster's certificate of authority without examination to any individual or corporation who, or which, has transacted the business of adjusting, as a public adjuster, losses covered by policies of insurance within Indiana as his or its principal occupation or business for a period of at least one (1) year immediately preceding the date of application for such certificate of authority, and who, or which, the commissioner determines to be competent to act as a public adjuster. Examination shall not be required for an applicant for renewal of a certificate of authority in effect at the date the application for renewal thereof is filed. As added by P.L.257-1983, SEC.1.

Ind. Code § 27-1-27-7 Repealed

As added by P.L.257-1983, SEC.1. Amended by P.L.7-1987, SEC.142. Repealed by P.L.146-2015, SEC.26.

Ind. Code § 27-1-27-7.1 Violations; penalties; notice and hearing

Sec. 7.1. (a) The insurance commissioner: (1) may: (A) suspend; (B) revoke; or (C) refuse to issue or renew; a public adjuster's certificate of authority; or (2) may place a public adjuster on probation; for a cause set forth in subsection (b). (b) A public adjuster is subject to the penalties set forth in subsection (a) for any of the following: (1) Providing incorrect, misleading, incomplete, or materially untrue information in an application for a certificate of authority. (2) Violating an insurance law, a subpoena, or an order of the commissioner or another state's insurance commissioner. (3) Obtaining or attempting to obtain a certificate of authority through misrepresentation or fraud. (4) Improperly withholding, misappropriating, or converting money or property received in the course of doing insurance business. (5) Intentionally misrepresenting the terms of an actual or proposed insurance contract or application for insurance. (6) Having been convicted of a felony. (7) Having admitted or been found to have committed any unfair trade practice or fraud in the business of insurance. (8) Using fraudulent, coercive, or dishonest practices, or demonstrating incompetence, untrustworthiness, or financial irresponsibility, in the conduct of insurance business. (9) Having an insurance license, or the equivalent of an insurance license, probated, suspended, revoked, or refused in another state, province, district, or territory. (10) Forging another person's name to a document related to an insurance transaction. (11) Cheating, including improperly using notes or any other reference material, to complete an examination for an insurance license. (12) Failing to comply with an administrative or court order imposing a child support obligation. (13) Failing to pay state income tax or failing to comply with an administrative or court order directing payment of state income tax. (14) Committing a violation of section 1.5, sections 12 through 17, section 19, or section 20 of this chapter. (c) If the commissioner refuses an application for a certificate of authority to act as a public adjuster or for the renewal of an existing certificate of authority under this chapter, the commissioner shall notify the applicant or certificate holder in writing, advising of the reason for the refusal. The applicant or certificate holder may, not more than thirty (30) days after receiving the commissioner's notice of refusal, make written demand upon the commissioner for a hearing to determine the reasonableness of the refusal. The hearing must be held under IC 4-21.5 not more than twenty (20) days after the commissioner receives the applicant's or certificate holder's written demand. As added by P.L.146-2015, SEC.27. Amended by P.L.226-2023, SEC.6.

Ind. Code § 27-1-27-7.2 Nonresident public adjuster certificate of authority

Sec. 7.2. (a) Notwithstanding any other provision of this chapter, a nonresident public adjuster who receives a certificate of authority under this chapter shall maintain licensure as a public adjuster in good standing in the nonresident public adjuster's home state. (b) If a nonresident public adjuster fails to maintain licensure in good standing in the nonresident public adjuster's home state, the commissioner may: (1) in the commissioner's sole discretion; (2) without a hearing; and (3) in addition to any other sanction allowed by law; suspend any Indiana insurance producer license or certificate of authority held by the nonresident public adjuster until the commissioner receives notice from the nonresident public adjuster's home state that the home state license is in effect. As added by P.L.72-2016, SEC.16.

Ind. Code § 27-1-27-8 Professional standards; adoption

Sec. 8. The commissioner of insurance shall, in the manner prescribed by IC 4-22-2, adopt standards for the competent practice of public adjusting appropriate to establish and maintain a high standard of integrity and dignity in the profession of public adjusting. As added by P.L.257-1983, SEC.1.

Ind. Code § 27-1-27-9 Practice of law prohibited

Sec. 9. A public adjuster may not: (1) engage in the practice of law; (2) deal directly with any claimant represented by an attorney at law without the consent of the attorney; (3) advise a claimant to refrain from seeking legal advice or retaining counsel; or (4) in the case where legal counsel is desired by claimants, advise the retention of specific attorneys or law firms. As added by P.L.257-1983, SEC.1.

Ind. Code § 27-1-27-10 Validity of resident certificates of authority

Sec. 10. A resident certificate of authority issued to a person claiming residency is void if that person: (1) holds a resident certificate of authority issued by another state; (2) makes application for a resident certificate of authority from another state; or (3) ceases to be a resident of Indiana. As added by P.L.257-1983, SEC.1.

Ind. Code § 27-1-27-11 Violations

Sec. 11. (a) A person who adjusts an insurance loss without having obtained the required certificate of authority or who adjusts an insurance loss after his certificate of authority has been cancelled, suspended, or revoked by the commissioner of insurance commits a Class B infraction. (b) A person who makes any false statement pertaining to any matter or thing required by this chapter to be made commits a Class B infraction. (c) A contract or agreement for compensation or services made between any insured and a public adjuster for any loss suffered by the insured which occurred in Indiana is void unless the public adjuster, at the time of the making of the contract or agreement, has a certificate of authority issued by the commissioner of insurance under this chapter. (d) This section does not limit the authority of the commissioner of insurance to suspend, revoke, place on probation, or refuse to issue a certificate of authority. As added by P.L.257-1983, SEC.1.

Ind. Code § 27-1-27-12 Disclosure by public adjuster of financial interests

Sec. 12. (a) Before entering into a contract with an insured, a public adjuster shall provide to the insured a written disclosure concerning any direct or indirect financial interest that the public adjuster has with any other party that is or will be involved in any aspect of the insured's claim, other than by receiving a salary, fee, commission, or other consideration that will be established in the written contract with the insured. (b) The direct or indirect financial interests that a public adjuster must disclose to an insured under subsection (a) includes any ownership by the public adjuster of, or any compensation that the public adjuster can expect to be received from, any: (1) construction firm; (2) salvage firm; (3) lawyer or law firm; (4) building appraisal firm; or (5) board up company; or any other firm that provides estimates for work, or performs any work in conjunction with the insured loss to which the contract between the public adjuster and the insured applies. As added by P.L.226-2023, SEC.7.

Ind. Code § 27-1-27-13 Written contract between public adjuster and insured; copy to insurer

Sec. 13. (a) A public adjuster shall not provide services, other than emergency services, to an insured until: (1) a written contract between the public adjuster and the insured has been executed; and (2) an exact copy of the contract has been provided to: (A) the insurer with which the insured has filed or intends to file a claim; or (B) a representative of the insurer described in clause (A) who is authorized to receive a notice of loss or damage on the insurer's behalf. (b) A contract between a public adjuster and an insured: (1) must be in writing; and (2) must be prepared on a form filed with and approved by the insurance commissioner; and (3) must be executed in duplicate. (c) One (1) original form of a contract executed under subsection (b)(3) must be provided to the insured and one (1) original form of the contract may be retained by the public adjuster. (d) A public adjuster may use electronic mail to provide the exact copy of a contract to an insurer under subsection (a)(2). (e) The original contract retained by the public adjuster under subsection (c) must be available at all times, without prior notice, for inspection by the insurance commissioner. As added by P.L.226-2023, SEC.8.

Ind. Code § 27-1-27-14 Disclosure document to be provided before contract is entered into

Sec. 14. (a) Before an insured enters into a contract with a public adjuster, the public adjuster shall provide to the insured a separate signed and dated disclosure document that states the following: "Property insurance policies obligate the insured to present a claim to his or her insurer for the insurer's consideration. There are three (3) types of adjusters that could be involved in that process. Here are definitions of the three (3) types of adjusters: "Company adjuster" means an insurance adjuster who is an employee of an insurer, who represents the interests of the insurer, and who is paid by the insurer. A company adjuster will not charge the insured a fee. "Independent adjuster" means an insurance adjuster who is hired on a contract basis by an insurer to represent the insurer's interest in the settlement of a claim and who is paid by the insurer. An independent adjuster will not charge the insured a fee. "Public adjuster" means an insurance adjuster who does not work for any insurer. A public adjuster represents the insured to assist in the preparation, presentation, and settlement of the insured's claim. The insured hires a public adjuster by signing a contract under which the insured agrees to pay the public adjuster a fee or commission based on a percentage of the amount paid by the insurer in settlement of the insured's claim or based on some other method of compensation.". As added by P.L.226-2023, SEC.9.

Ind. Code § 27-1-27-15 Prohibited contract provisions

Sec. 15. A contract between a public adjuster and an insured may not contain any of the following: (1) If the public adjuster is to receive as compensation a percentage of the total amount paid by the insurer to resolve the insured's claim, a contract term that would: (A) allow the public adjuster to collect a fee when the insurer has not yet paid any of the money that is due from the insurer; or (B) allow the public adjuster to collect the public adjuster's entire compensation from the first payment by the insurer if the insurer will pay the total amount to resolve the insured's claim in two (2) or more payments. (2) A contract term that would require the insured to authorize an insurer to issue a check only in the name of the public adjuster. (3) A contract term that would preclude the public adjuster or the insured from pursuing civil remedies. (4) A contract term that would preclude the public adjuster's liability to the insured for the public adjuster's negligence. (5) A contract term that would allow the public adjuster to perform the role of roofing contractor, appraiser, or any role other than that of rendering advice or assistance to the insured in the adjustment of a claim. (6) A contract term that would give the public adjuster power of attorney to act in the place of and instead of the insured. As added by P.L.226-2023, SEC.10. Amended by P.L.9-2024, SEC.478.

Ind. Code § 27-1-27-16 Contents required in contract between public adjuster and insured

Sec. 16. (a) A public adjuster shall ensure that a contract between the public adjuster and an insured is in writing and contains the following: (1) The legible full name of the public adjuster entering into the contract, as specified in the records of the department. (2) The permanent home state business address, electronic mail address, and phone number of the public adjuster. (3) The number of the certificate of authority issued to the public adjuster under section 3 of this chapter. (4) The title "Public Adjuster Contract" printed prominently at the top of the first page of the contract. (5) The: (A) full name and street address of the insured; and (B) the name of the insurance company by which the insured is covered and the policy number of the policy under which the insured is covered, if known. (6) A description of the loss and the location of the loss, if applicable. (7) A description of services to be provided by the public adjuster to the insured under the contract. (8) The signatures of: (A) the public adjuster or the public adjuster's authorized representative; and (B) the insured. (9) The date and time when the contract was signed by the public adjuster and the date and time when the contract was signed by the insured. (10) Attestation language stating that the public adjuster is fully bonded under Indiana law. (11) A statement of the full salary, fee, commission, compensation, or other consideration the public adjuster is to receive for services to be provided under the contract. (b) A contract between the public adjuster and an insured may specify that the public adjuster is to be named as a co-payee on an insurer's payment of a claim. (c) If a public adjuster's compensation under a contract between the public adjuster and an insured is to be based on a share of the total amount paid by the insurer to resolve the insured's claim, the contract must specify the exact percentage of the total amount paid by the insurer that is the public adjuster's share. (d) If, under a contract between a public adjuster and an insured, the public adjuster's expenses are to be reimbursed to the public adjuster from the proceeds of the claim payment, the contract: (1) must specify the public adjuster's expenses that are to be reimbursed, setting forth: (A) each type of expense to be reimbursed; and (B) dollar estimates of the amount to be reimbursed; and (2) must provide that the public adjuster will not be reimbursed for any expenses other than those specified under subdivision (1) unless those expenses are first approved by the insured. (e) The provisions of a contract between a public adjuster and an insured pertaining to the compensation of the public adjuster shall not be redacted in any copy of the contract that is provided to the insurance commissioner. As added by P.L.226-2023, SEC.11.

Ind. Code § 27-1-27-17 Principles applying to public adjuster contracts

Sec. 17. The following apply to a contract between an insured and a public adjuster: (1) An insured is not required to hire a public adjuster to help the insured meet the insured's obligations under a policy, but has a right to do so. (2) The public adjuster is not a representative or employee of the insurer. (3) The salary, fee, commission, or other consideration to be paid to the public adjuster is the obligation of the insured, not of the insurer, except when the insured has assigned the insured's rights to the public adjuster. As added by P.L.226-2023, SEC.12.

Ind. Code § 27-1-27-18 If insurer pays policy limit within five business days

Sec. 18. (a) This section applies notwithstanding the terms of a written contract between an insured and a public adjuster. (b) If the insurer, not more than five (5) business days after the date on which the insured's loss is reported to the insurer, either pays or commits in writing to pay to the insured the policy limit of the insurance policy covering the insured: (1) the public adjuster shall not receive a commission consisting of or based on a percentage of the total amount paid by the insurer to resolve the claim of the insured; (2) the public adjuster shall inform the insured that the loss recovery amount might not be increased by the insurer; and (3) the public adjuster is entitled only to reasonable compensation from the insured for services provided by the public adjuster on behalf of the insured, based on: (A) the time spent by the public adjuster on the claim; and (B) the expenses incurred by the public adjuster before the claim is paid or the insured receives a written commitment from the insurer to pay the claim. As added by P.L.226-2023, SEC.13.

Ind. Code § 27-1-27-19 Public adjuster contract voidable

Sec. 19. (a) A contract between a public adjuster and an insured is voidable at the option of the insured at any time not more than three (3) business days after the day on which the insurer is provided a copy of the contract under section 13(a)(2) of this chapter. (b) An insured may void a contract with a public adjuster by notifying the public adjuster in writing of the insured's decision to void the contract. The written notification must be transmitted to the public adjuster by: (1) registered or certified mail, return receipt requested, sent to the address of the public adjuster shown on the contract; (2) personally serving the notice on the public adjuster; or (3) sending an electronic mail to the public adjuster at the electronic mail address shown on the contract. (c) If the insured exercises the right to void the contract under this section, the public adjuster shall return to the insured anything of value that the insured gave to the public adjuster under the contract before the voiding of the contract. The public adjuster shall return things of value to the insured under this section not more than fifteen (15) business days after the day on which the public adjuster receives notice under subsection (b) of the insured's decision to void the contract. As added by P.L.226-2023, SEC.14.

Ind. Code § 27-1-27-20 Public adjuster contract rescindable

Sec. 20. (a) An insured may rescind a contract between the insured and a public adjuster at any time not more than three (3) business days after the day on which the insured submits to the insurer the claim to which the contract relates. (b) An insured may rescind a contract with a public adjuster by notifying the public adjuster in writing of the insured's decision to rescind the contract. The written notification must be transmitted to the adjuster by: (1) registered or certified mail, return receipt requested, sent to the address of the public adjuster shown on the contract; (2) personally serving the notice on the public adjuster; or (3) sending an electronic mail to the public adjuster at the electronic mail address shown on the contract. (c) If the insured exercises the right to rescind a contract under this section, the public adjuster shall return to the insured anything of value that the insured gave to the public adjuster under the contract before the recission of the contract. The public adjuster shall return things of value to the insured under this section not more than fifteen (15) business days after the day on which the public adjuster receives notice under subsection (b) of the insured's decision to rescind the contract. As added by P.L.226-2023, SEC.15.
Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://iga.in.gov/laws/2026/ic/titles/27Fetched: 10/17/2026