Adjusters are making progress getting to the worst hit areasfrom Hurricane Katrina as insurance regulators get together withindustry executives to iron out the response to policyholders.

Hart Hubbard, assistant vice president, catastrophe services forParsippany, N.J.-based GAB Robins, a claims management firm, saidadjusters are on the ground with operations fully up and running inthe three most heavily damaged states--Louisiana, Mississippi andAlabama. More adjusters are expected to be sent in as the workprogresses.

The biggest challenge remains communication, as telephoneservice is still subject to limited capacity, he said. But power isslowly being restored, allowing the firm to set up claims officesin five cities throughout the affected area.

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