When policyholders dispute coverage under an insurance policy, litigation often becomes necessary, prompting them to seek assistance from a claims professional, such as a licensed public adjuster; claims consultant; or an insurance attorney. While insurance companies have dedicated claim professionals on staff and are well-equipped to handle disputes and litigation as part of their business operations, most policyholders lack similar resources or expertise.
For any claim we handle, filing a lawsuit may become necessary to resolve the dispute. In such cases, the insured’s claim professional or attorney continues to play a vital role, assisting with understanding key aspects of the claim investigation—such as determining the cause of loss, identifying the damaged property, assessing its condition before and after the loss, and reviewing the steps taken to mitigate the damages.
Discovery issues related to communications during litigation can frequently arise.
If individuals or entities who are not directly connected to or employed by the insured client are included in what would otherwise be a confidential communication with the attorney, the attorney-client privilege may be waived. As a result, the communication could become discoverable evidence during litigation.
Attorneys may also need to advise their clients about facts that are not immediately apparent from other materials. In some cases, this may require involving a public adjuster or another claims professional in a discussion with the client. While the expertise of these professionals is valuable, it is crucial that public adjusters refrain from communicating directly with the client during litigation, unless the attorney specifically directs them to do so. Failure to follow this recommendation could potentially expose these communications making them discoverable, which may harm the client’s case.
Maintaining the attorney-client privilege requires careful adherence to confidentiality rules. Participants in such communications must follow established protocols to avoid unintentional waivers. That said, given the essential role outside claims professionals or public adjusters often play in investigating claims and evaluating damages, it is reasonable for an attorney to engage these professionals in confidential discussions with the client. This ensures that both the attorney and client have all the necessary facts to facilitate effective legal advice while protecting privileged communications.
If your insurance company has denied, delayed, or underpaid your insurance claim, contact Law Office of Rabih Hamawi for a case evaluation at (248) 905-1133 or www.hamawilaw.com.
Who is Rabih Hamawi?
Attorney & Counselor
Rabih Hamawi is a principal at the Law Office of Rabih Hamawi, P.C. and focuses his practice on representing policyholders in fire, property damage, and insurance-coverage disputes against insurance companies and in errors-and-omissions cases against insurance agents. He may be reached at (248) 905-1133.