Recertification of DOI Claims Regs at May Meeting
Mark Berry returns for annual review of “Fair Claims Settlement Practices” regulations
By Bryan Harrison

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Magda with associate welcoming attendees.	MVCA President Don Wood welcomed the April crowd.	Mona Stolte and Jamie Holloway, of CSAA, at the April meeting.	Samantha and Jonathan, of Blue Sky Cleaners.

Recerfication brought out the largest crowd thus for for the year. Good to see so many claims people supporting the association.	Congrats to Pot of Gold winners, Sharon and Jean, both of Glatfelters Claims Management, Inc.	Mark Berry, of the law offices of Mayall, Hurley, Knutsen, Smith and Green, discussed indepth current rules of proper claims handling at the May meeting.	Marvin Wenograd, of Frontier Adjusters

Berry Recertifies MVCA The California Department of Insurance “Fair Claims Settlement Practices Act” regulations are a continual work in progress. “Litigation rules have changed dramatically,” stated attorney Mark Berry, of the law offices of Mayall, Hurley, Knutsen, Smith & Green, at the April 21, 2006 meeting of the Mid-Valley Claims Association. Mr. Berry, who returned to deliver his annual recertification program required for all claims adjusters, gave a detailed review of changes to the regulations in the past year. He spoke about the dramatic changes the industry has seen in recent years. “Many defense firms now are increasingly and aggressively taking plaintiff cases,” he stated, referring to “the monster the insurance companies have created”. Interesting 2005 cases affecting regulations included Safeco Ins. Co. vs. Parks (2004) 122 Cal.App.4th 779, which says that an insurer has no continuing duty to investigate a claim when the facts originally presented to the insurer supported the carrier’s decision to deny coverage. Berry described his “favorite case” of 2005; Parnell vs. Adventist Health System (2005) 35 Cal 4th 595, which states “A hospital cannot assert a balance lien after it agreed to accept HMO contractual payments for services rendered”. Revisions to the Insurance Code include: Section 11580.2 and 11580.23, which have been changed to reflect the new two year statute of limitations for personal injury claims. Key changes to the regulations include the increased potential for bad faith. “Outward refusal to disclose policy limits is now a basis for Bad Faith if the carrier blows the opportunity to settle the case for the policy,” he stated. Further, “a blanket policy of refusing to give out policy limits creates a conflict of interest between the carriers and its insured (Boicourt v. Amex Assurance (2000) 78 Cal.App.4th 1890. Finally, Berry advises that adjusters should “follow your company guidelines - don’t out think yourself,” he stated. “Always, when in doubt, consult coverage counsel,” he said. “Let them be the bad guy”. Bottom line, he said, “Treat the claims as if it was your own.” Adjusters in attendance received a certificate of completion for their current fiscal requirement. Certificates must be kept on file, in the event that their certification status may be questioned. New revisions of the current regs are expected to go into affect in September. The changes for the coming year are expected to be the most significant in many years. The Claims Conference of Northern California is including a recertification program with Julian J. Pardini.

Yolanda Atwood, CSAA retired, right, with CSAA associate. MVCA Treasurer, Magda Calderara, of Enterprise Rent a Car, with Danell Cassetta, of Restoration Management Company. Thanks to ALL Our April Door Prize Contributors Blue Sky Cleaners Don’s Mobile Glass Guardian Environmental CRDN EFI Global ServiceMaster Advantage Taylor Renovation and Construction Enterprise Rent a Car Stockton Auto Glass Restoration Management Company MVCA

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