Insurance Adjusting After Hurricanes and Tornadoes

By Michael Lustig

Insurance Adjusting After Hurricanes and Tornadoes covers the issues adjusters in Florida encounter when a natural disaster occurs and how to handle the special circumstances in processing these claims. This comprehesive textbook will help you gain an understanding of the different types of severe weather, learn how to deal with challenges to claims handlig, provide insight into what to do when rebuilding after a disaster, and review the Departments of Insurance Emergency Adjusting Rules.

• Language: English
• Publisher: Michael Lustig
• Release date: Aug 5, 2011
• ISBN: 9781933891682

Michael Lustig

Michael Lustig is a graduate of the University of San Diego, California and a former Professor at California State University at Pomona and Immaculate Heart College (Los Angeles). He has been a California Real Estate Broker and the Owner and President of Real Estate License Services, a California real estate and insurance licence school, since 1978, offering state-approved license courses in 47 states and the District of Columbia. He is the author of 35 books on real estate and insurance topics.

Book preview

Insurance Adjusting After Hurricanes and Tornadoes

Prepared by Michael Lustig

Contributing Editor: Denise Iona

Distributed by:

Cal-State Exams

Real Estate License Services

5059 Newport Ave. #209

San Diego, CA 92107

Phone Toll-Free 1-800-877-5445

Smashwords Edition

© Copyright 2010 - 2006 by Michael Lustig, Real Estate License Services. Copyright registered. All contents protected by laws of copyright. No portion of this book may be reprinted, reproduced, transmitted, stored in a retrieval system or on the Internet, or otherwise utilized in any form or by any means, electronic, mechanical, or otherwise, including photocopying or recording, now existing or hereinafter invented, nor may any part of this book be used for teaching without the prior written consent of Michael Lustig.

TABLE OF CONTENTS

CHAPTER 1: SEVERE WEATHER

INTRODUCTION

THE TROPICAL CYCLONE

TROPICAL DEPRESSION - TROPICAL STORM - HURRICANE - TYPHOON

HURRICANES

HURRICANE HAZARDS

STORM SURGE - HIGH WINDS - TORNADOES - FLOODING

HURRICANE WATCH VS. HURRICANE WARNING

HURRICANE WATCH - HURRICANE WARNING

THE SAFFIR-SIMPSON HURRICANE SCALE

CATEGORY 1 - CATEGORY 2 - CATEGORY 3 - CATEGORY 4 - CATEGORY 5

THE HIGH COST OF HURRICANES

EVERYDAY LIFE - TRANSPORTATION - BUSINESS LOSS - REAL ESTATE - ENVIRONMENTAL LOSSES - COSTLIEST HURRICANES - DOLLARS AND CENTS

HURRICANE PREPAREDNESS

TORNADOES

WEATHER CONDITIONS PRODUCING TORNADOES

TORNADO DAMAGE

TORNADO WATCH VS. TORNADO WARNING

FUJITA TORNADO DAMAGE SCALE

F0 - F1 - F2- -F3 - F4 - F5

TORNADO DAMAGE VS. HURRICANE DAMAGE

THE HIGH COST OF SEVERE WEATHER

TORNADO PREPAREDNESS

CHAPTER 2 : SPECIAL CHALLENGES TO CLAIMS HANDLING

INTRODUCTION

NATURAL DISASTER CLAIMS

PSYCHOLOGICAL AFTERMATH FOLLOWING A CATASTROPHIC WEATHER EVENT

CHALLENGES TO EFFICIENT CLAIMS ADJUSTING AFTER A SEVERE WEATHER EVENT

PUBLIC HEALTH - PUBLIC SERVICES - ENVIRONMENTAL DAMAGE - INFRASTRUCTURE - TELECOMMUNICATIONS ISSUES - EMERGENCY RESPONSE SYSTEMS COMPROMISED - ENERGY ISSUES - LOGISTICAL ISSUES

REACHING OUT TO POLICYHOLDERS

CHAPTER 3: REBUILDING AFTER A DISASTER

DISASTER DECLARATION

AVAILABLE FEDERAL ASSISTANCE

INDIVIDUAL ASSISTANCE - PUBLIC ASSISTANCE - HAZARD MITIGATION

STATE OF EMERGENCY DECLARATION BY THE GOVERNOR

CHAPTER 4: DEPARTMENTS OF INSURANCE EMERGENCY ADJUSTING RULES

IMMEDIATE DANGER TO THE PUBLIC HEALTH, SAFETY, OR WELFARE

DEPARTMENT OF INSURANCE EMERGENCY RULES

NONRESIDENT AND EMERGENCY ADJUSTERS - TAKING ADVANTAGE OF INSUREDS OR CLAIMANTS - FEE LIMITATIONS ON PUBLIC ADJUSTERS - ACCEPTING PAYMENT PRIOR TO SETTLEMENT - CONTRACT TERMS - GENERAL ETHICAL REQUIREMENTS - TOTAL LOSS CLAIMS

CHAPTER QUIZZES

CHAPTER 1 – SEVERE WEATHER

CHAPTER 2 – SPECIAL CHALLENGES TO CLAIMS HANDLING

CHAPTER 3 – REBUILDING AFTER DISASTER

CHAPTER 4 – DEPARTMENTS OF INSURANCE EMERGENCY ADJUSTING RULES

CHAPTER 1: SEVERE WEATHER

INTRODUCTION

The atmosphere is constantly moving and changing around the earth. Weather is the state of the atmosphere at a specific time. Weather is made up of wind direction, wind force, temperature, moisture and precipitation, heat from the sun, and cover from the clouds.

The driving force creating our weather is the general circulation of the atmosphere, which is caused by uneven heating of the earth's surface. Energy from the sun causes uneven heating of land and sea. The sun warms the earth's surface which, in turn, warms the air above it. The air at the equator is much warmer than the air at the poles. When warm air expands and rises, it creates an area of low pressure as it moves slowly away from the equator.

Conversely, cold air is dense and sinks. On the way back down, the air gradually loses heat and creates an area of high pressure. Winds occur because the atmospheric pressures try to balance themselves, and the earth’s