Every insurer shall provide training regarding the handling
of earthquake claims to insurance adjusters who evaluate earthquake claims for
or on behalf of the insurer. The insurer may provide the training directly or
have the training provided by another entity. The insurer shall ensure that the
course of instruction meets all requirements set forth in this Section
2695.42. An adjuster trained and
accredited by one insurer shall be deemed accredited in order to adjust claims
for a different insurer unless such insurer includes additional requirements.
The content of the training required by this section shall include the
following topics:
(a) The California
Fair Claims Settlement Practices Regulations, California Code of Regulations,
Title 10,
Chapter 5, Subchapter 7.5, Section
2695.1 - 2696.14, inclusive.
Demonstration of compliance with the annual training and certification
requirements of
10 CCR
2695.6 shall satisfy an insurance adjuster's
training requirements prescribed by this subsection.
(b) Determination of Scope of Loss: Adjusters
shall be trained how to conduct a thorough examination of the property to be
inspected including but not limited to: attics, crawlspaces, roofs, chimneys,
foundations, and structural areas. The adjuster shall be trained how to make a
complete listing of all recent earthquake damage. Training pursuant to this
subsection shall include building code upgrade issues and procedures to be
followed if additional hidden earthquake damage is found after repair of
earthquake damage has begun.
(c)
Loss Estimation Techniques: Adjusters shall be trained how to create or obtain
an accurate estimate of all covered earthquake damage. The adjuster shall be
trained regarding the appropriate level of detail to be contained in the
estimate and the documentation necessary to support the estimate. Adjusters
shall be trained to reevaluate the estimate if the actual costs of repair
differ from the costs listed on the original estimate.
(d) Determination of Necessity for Engineer
or Expert: Adjusters shall be trained how to evaluate visible damage and
indicia of hidden damage to determine when to consult with an engineer or other
expert.
(e) California Department
of Insurance Earthquake Mediation Program: Adjusters shall receive training
regarding the Earthquake Claims Mediation Program of the California Department
of Insurance set forth at California Insurance Code Section
10089.70
and California Code of Regulations, Title 10,
Chapter 5, Subchapter 7.6,
Sections
2696.1 through
2696.10, inclusive.
(f) Assessment of Damage to Concrete Surfaces
and Foundations: Adjusters shall be trained on the basic techniques used to
determine the difference between preexisting cracks in the concrete of
structures and new cracks caused by an earthquake. Complete training pursuant
to this subsection shall include methodology for determining when repair or
replacement of the concrete is appropriate and proper methods for concrete
repair including, but not limited to injected epoxy methods.
(g) Subsequently Discovered Earthquake
Damage: Adjusters shall be trained on the basic requirements of current law
regarding the obligation of the insurer to investigate any earthquake damage
that is discovered or reported and when it may be appropriate to seek legal
counsel to assist in making this determination.
(h) Programs Designed to Assist Earthquake
Victims: Adjusters shall be trained regarding the existence of United States
Small Business Administration and Federal Emergency Management Agency or other
similar programs intended to assist earthquake victims. Training pursuant to
this subsection shall include an overview of these programs and deadlines, and
how these programs and deadlines interact with the underlying earthquake
insurance claim.
