Insured’s Request for Reimbursement of the Deductible
Though a claims adjuster cannot act simultaneously as a mandatary for both the insurer and the insured, he must not neglect the needs of the latter. The claims adjuster must therefore fulfill his ethical obligation to inform by explaining to the insured how to claim reimbursement of his deductible and of its uncompensated damages from a third party deemed liable for the damages incurred.
The ChAD recommends that the claims adjuster:
- Give the insured a form letter, so that the insured may claim reimbursement of his deductible and of its uncompensated damages from a third party deemed liable for the damages incurred.
- Review this form letter with the insured to ensure that he has fully understood it.
Please note that:
- Claims adjusters are authorized to give their clients the contact information of the third party, or the third party’s insurer.
- Claims adjusters should refrain from writing or sending the formal notice, or dealing with the response. If the insured does not wish to take these steps himself, the claims adjuster should advise him to consult a lawyer. The ChAD recommends that the claims adjuster be copied on this letter, so that he can closely monitor the situation.
- Claims adjusters have a duty to explain to insureds that the formal notice must be sent within a reasonable time. They must also inform their clients of the applicable limitation period as well as the option to consult a lawyer in order to assert their rights if they do not receive a response by the deadline indicated in their letter.
Useful tools to help you
Insured’s request for reimbursement of the deductible
Procedure – Letters of subrogation
Annotated Code of Ethics of Claims Adjusters
For further information
Letters of subrogation
Notification of Property Damage Liability
Request for Reimbursement from a Third Party
After having finalized the settlement of the claim, the claims adjuster may send a letter requesting reimbursement to a third party who has been deemed liable for the damages the insured suffered.