Civil Remedy Notice of Insurer Violations
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Filing Number:     788722
Filing Accepted:  10/25/2024
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Complainant
Last/Business Name *  
GARRY   First Name   ROBERT & AGNIESKA
Street Address * 731 BAHAMA ST. NE
City, State Zip * PALM BAY, FL 32905
Email Address * ROBERTGARRY13@GMAIL.COM
Complainant Type: * Insured
Insured
Last/Business Name*   GARRY   First Name   ROBERT & AGNIESKA
Policy # * HCPC-HO3-248182-12 Claim #* 920622
Attorney
Attorney is Applicable
Last Name* SPAIN First Name * DAVID Initial
Street Address* 20 N ORANGE AVENUE SUITE 1600
City, State Zip* ORLANDO , FLORIDA 32801
Email Address * MMARSHALL@FORTHEPEOPLE.COM
Violation
Insurer Type *   Authorized Insurer Unauthorized Insurer
 
Insurer Name*   HOMEOWNERS CHOICE PROPERTY & CASUALTY INSURANCE COMPANY, INC.
NAIC Company Code 12944
 
Name of individual responsible for violation (if any):* LEONARD SOLOMON; LISA ROBINSON
Type of Insurance * Residential Property & Casualty   
Reason for Notice *
Claim Denial
Claim Delay
Unsatisfactory Settlement Offer
Unfair Trade Practice
* Statutory provision(s) which the insurer allegedly violated.
 
624.401(4)(b)(1) However, any person acting as an insurer without a valid certificate of authority who violates this section commits insurance fraud, punishable as provided in this paragraph. If the amount of any insurance premium collected with respect to any violation of this section is less than $20,000, the offender commits a felony of the third degree, punishable as provided in s. 775.082, s. 775.083, or s. 775.084, and the offender shall be sentenced to a minimum term of imprisonment of 1 year.
626.9541(1)(i)(2) A material misrepresentation made to an insured or any other person having an interest in the proceeds payable under such contract or policy, for the purpose and with the intent of effecting settlement of such claims, loss, or damage under such contract or policy on less favorable terms than those provided in, and contemplated by, such contract or policy.
626.9541(1)(i)(3)(a) Failing to adopt and implement standards for the proper investigation of claims.
626.9541(1)(i)(3)(b) Misrepresenting pertinent facts or insurance policy provisions relating to coverages at issue.
626.9541(1)(i)(3)(d) Denying claims without conducting reasonable investigations based upon available information.
626.9541(1)(i)(4) Failing to pay undisputed amounts of partial or full benefits owed under first-party property insurance policies within 60 days after an insurer receives notice of a residential property insurance claim, determines the amounts of partial or full benefits, and agrees to coverage, unless payment of the undisputed benefits is prevented by factors beyond the control of the insurer as defined in s. 627.70131(5).
* Specific policy language that is relevant to the violation.
Enter all words or phrases (one at a time) that should be used to filter.

SECTION I - PERILS INSURED AGAINST Coverage A through C Loss Settlement (entire section).
 
* Facts and circumstances giving rise to the violation.
Enter all words or phrases (one at a time) that should be used to filter.

On or about February 17, 2022, Insured’s property was damaged as a result of water damage. Upon learning of the damage, Insured promptly reported a claim for damage to Insurer. Insurer investigated the claim, inspected the property, and rendered an unfavorable claims decision. As a result of Insurer’s insufficient payment, Insured provided Insurer with notice to re-open and/or supplement the claim and a copy of an itemized supporting estimate of damages and photographs. Insured also advised of its amenability to attend a pre-suit DFS Mediation, or alternatively, to split the cost of a private mediator and stipulate to be bound by the Florida Administrative Code Rule 69J-166.031 regulations governing the Mediation of Residential Property Insurance claims. DFS mediation was held on June 28, 2024, but resulted in an impasse. Thereafter, Insured filed its Notice of Intent to Initiate Litigation contending damages based upon a supporting estimate of damages and exclusive of payment for any statutory attorney’s fees and costs, to which Insured may be entitled. In response, Insurer relayed a settlement offer which amounted to less than what was necessary to restore the property to its pre-loss condition. Insureds plan to file a lawsuit against Insurer for breach of contract. Bad faith discovery will likely reveal that it is a business practice of Insurer to treat insureds who are unrepresented at the time of making a claim, or through the initial claim adjustment process, unfairly. Those insureds regularly receive a calculated denial of the claim and/or low ball offers until after counsel is retained on the insured’s behalf. Further, Bad faith discovery will also likely reveal Insurer has a team of individuals it pays to conduct inspections and prepare reports that attempt to deny claims, and limit or minimize coverage for the insured’s loss. Insurer’s reliance on these estimates and reports benefits the Insurer as they are biased by not addressing the full scope or cost of the loss and the appropriate coverage. To cure this violation, insurer should agree, in writing, to completely bring the property to its pre-loss condition pursuant to the estimate dated June 5, 2024. As a result, if the Insurer pays the damages alleged herein, any claims for additional insurance proceeds will be submitted to the Insurer pursuant to the policy's loss settlement provision. This payment is exclusive of Insured’s claims for statutory attorney fees, costs, and interest pursuant to Florida law: “[D]amages recoverable in a first- party bad faith suit under section §624.155, Florida Statutes (1989), are those damages which are the natural, proximate, probable, or direct consequence of the insurer's bad faith actions.” Adams v. Fidelity and Cas. Co. of New York, 591 So.2d 929, 930 (Fla. 1992). “[E]xcess judgment ... is not the sole measure of damages in bad faith cases [–e.g.,] punitive damages, attorney fees and other direct consequential damages may be recoverable in appropriate cases.” Dunn v. National Sec. Fire and Cas. Co., 631 So.2d 1103, 1106 (Fla. 5DCA 1993). “The damages recoverable pursuant to this section shall include those damages which are a reasonably foreseeable result of a specified violation of this section by the authorized insurer.” §624.155(8), Florida Statutes (2019). “The statute [§624.155] also provides for fees as a form of damages. See § 624.155(8) (‘The damages recoverable pursuant to this section shall include those damages which are a reasonably foreseeable result of a specified violation of this section by the authorized insurer.’ ” Milling v. Travelers Home and Marine Insurance Company, 311 So.3d 289, 292 (Fla. 2DCA 2020). This matter and Insurer’s business practices with respect to loss adjustment and claims handling should be investigated further by the Office of the Insurance Consumer Advocate. According to the Department of Financial Services website, as of the date of this filing, 4,156 Civil Remedy Notices have been filed against Insurer.
Comments
User Id Date Added Comment
lkachik@forthepeople.com 11-24-2025 The Plaintiffs/Insureds are withdrawing this CRN, as the parties have amicably resolved this matter.
Legal@hcpci.com 12-23-2024 This is Homeowners Choice Property & Casualty Insurance Company’s (“HCPCI”) response to the Civil Remedy Notice of Insurer Violations (“CRN”) filed by attorney David Spain on behalf of Robert & Agnieska Garry (“Insured”). HCPCI reviewed this CRN and conducted a thorough review of the subject claim (“claim”) and confirmed it handled the claim properly. Regarding an aspect of the claim, HCPCI issued payments for it on the information available to HCPCI and the circumstances at the time of such payments. HCPCI handled the claim in accordance with the policy and all statutory and regulatory requirements. HCPCI denies each allegation of bad faith and improper conduct in the CRN. At all times, HCPCI acted in good faith, fairly and honestly toward the Insured and with due regard for the Insured’s interests. Otherwise, the CRN is deficient. Generally, pursuant to Florida Statutes, Section 624.155, CRNs must identify and set forth statutory provisions insurers allegedly violated in handling insureds’ insurance claims along with specific, relevant insurance contract language and facts and circumstances. The foregoing provides insurers with notice of alleged statutory violations AND the opportunity to cure such alleged violations. Instead of complying with Florida Statutes, Section 624.155, the Insured’s attorney in the CRN contained an inaccurate recitation of the facts, failed to reference specific, relevant insurance policy language; cited irrelevant statutes; and relied on inaccurate and conclusory statements. The Insured’s laundry list of inapplicable statutes is insufficient. Julien v. United Prop. & Cas. Ins. Co., 311 So. 3d 875 (Fla. 4th DCA 2021). Furthermore, the Insured’s attorney filed a lawsuit based on the claim shortly after the filing of this CRN. Regardless of the fact there were no violations in this case, any action by HCPCI to cure violations alleged in the CRN could have been used against HCPCI in the lawsuit. The foregoing shows abuse by the Insured and the Insured’s attorney of the CRN and legal processes. Also and generally, the CRN constitutes an abuse of the CRN process, contravenes the purpose of CRNs, which is to promote resolution of issues in insurance claims. The CRN must be rejected, and it cannot serve as the basis of any action against HCPCI. Upon request by the Florida Department of Financial Services, HCPCI will provide to the DFS detailed correspondence HCPCI provided regarding the claim.
Acknowledgement
* The submitter hereby states that this notice is given in order to perfect the rights of the person(s) damaged to pursue civil remedies authorized by Section 624.155, Florida Statutes.

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DFS-10-363
Rev. 10/14/2008