Claims continued to be made, and on April 14, 2020, California’s Insurance Commissioner Ricardo Lara issued an official Notice and press release reminding insurance companies they still have the obligation to conduct a full, fair, prompt and thorough investigation of all the bases of a claim before making a coverage decision. What’s more, the Notice reminds agents and brokers that they have an obligation to forward and acknowledge these claims to carriers.

The Notice is a good reminder to insurers and those representing insurance companies that each of these claims is unique and fact intensive. Insurance adjusters should be asking policyholders questions with the goal of finding coverage for a loss, not denying claims based on insufficient information, speculation or biased information. Given the magnitude of the situation, Commissioner Lara felt it was a good time to remind carriers and agents of these.