Filing Number: 788955
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| Filing Accepted: 10/28/2024 |
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| Street Address
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4331 BURTON STREET |
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MARIANNA,
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32446
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NONE |
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Insured |
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DEAN |
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First Name |
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NANCY |
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1501-1903-9167 |
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Claim #* |
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FL-24-0103655 |
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Attorney is Applicable
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| Last Name* |
LIGMAN
First Name *
JOSEPH
Initial
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| Street Address* |
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15715 S. DIXIE HWY, STE 319 |
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MIAMI
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FLORIDA
33157
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NONE |
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| Insurer Type
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Authorized Insurer
Unauthorized Insurer
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| Insurer Name |
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| Insurer Name* |
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UNIVERSAL PROPERTY & CASUALTY INSURANCE COMPANY
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| Insurer Name* |
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,
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NAIC Company Code 10861 |
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| Name of individual responsible for violation (if any):*
JEFF GIBBS, ALL UNKNOWN ADJUSTERS, SUPERVISORS, MANAGEMENT AND INDIVIDUALS ASSOCIATED WITH OR RETAINED BY UNIVERSAL WHO ALSO PERFORMED THE ACTS DESCRIBED BELOW IN RELATION TO THE ADJUSTMENT OF THE SUBJECT CLAIM
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| Type of Insurance
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Residential Property & Casualty
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| Reason for Notice
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Claim Delay
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Claim Denial
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Unsatisfactory Settlement Offer
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Unfair Trade Practice
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Other
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Failure to Properly Investigate Claim with Due Regard to Insured's Interest
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Statutory provision(s) which the insurer allegedly violated.
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| 624.155(1)(b)(1) |
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Not attempting in good faith to settle claims when, under all the circumstances, it could and should have done so, had it acted fairly and honestly toward its insured and with due regard for her or his interests.
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| 624.155(1)(b)(3) |
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Except as to liability coverages, failing to promptly settle claims, when the obligation to settle a claim has become reasonably clear, under one portion of the insurance policy coverage in order to influence settlements under other portions of the insurance policy coverage.
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| 626.9541(1)(i)(3)(a) |
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Failing to adopt and implement standards for the proper investigation of claims.
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| 626.9541(1)(i)(3)(c) |
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Failing to acknowledge and act promptly upon communications with respect to claims.
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| 626.9541(1)(i)(3)(d) |
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Denying claims without conducting reasonable investigations based upon available information.
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| 626.9541(1)(i)(3)(f) |
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Failing to promptly provide a reasonable explanation in writing to the insured of the basis in the insurance policy, in relation to the facts or applicable law, for denial of a claim or for the offer of a compromise settlement.
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| 626.9541(1)(i)(3)(g) |
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Failing to promptly notify the insured of any additional information necessary for the processing of a claim.
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| 626.9541(1)(i)(3)(h) |
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Failing to clearly explain the nature of the requested information and the reasons why such information is necessary.
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Specific policy language that is relevant to the violation.
Enter all words or phrases (one at a time) that should be used to filter.
FLORIDA STATUTES VIOLATED (continued)
627.70131(1)(a) - Upon an insurer’s receiving a communication with respect to a claim, the insurer shall, within 14 calendar days, review and acknowledge receipt of such communication unless payment is made within that period of time or unless the failure to acknowledge is caused by factors beyond the control of the insurer which reasonably prevent such acknowledgment. If the acknowledgment is not in writing, a notification indicating acknowledgment shall be made in the insurer’s claim file and dated. A communication made to or by an agent of an insurer with respect to a claim shall constitute communication to or by the insurer.
627.70131(2) - Such acknowledgment shall be responsive to the communication. If the communication constitutes a notification of a claim, unless the acknowledgment reasonably advises the claimant that the claim appears not to be covered by the insurer, the acknowledgment shall provide necessary claim forms, and instructions, including an appropriate telephone number.
627.70131(5)(a) - Within 90 days after an insurer receives notice of an initial, reopened, or supplemental property insurance claim from a policyholder, the insurer shall pay or deny such claim or a portion of the claim unless the failure to pay is caused by factors beyond the control of the insurer which reasonably prevent such payment. Any payment of an initial or supplemental claim or portion of such claim made 90 days after the insurer receives notice of the claim, or made more than 15 days after thise are no longer factors beyond the control of the insurer which reasonably prevented such payment, whichever is later, bears interest at the rate set forth in s. 55.03. Interest begins to accrue from the date the insurer receives notice of the claim. The provisions of this subsection may not be waived, voided, or nullified by the terms of the insurance policy. If there is a right to prejudgment interest, the insured shall select whether to receive prejudgment interest or interest under this subsection. Interest is payable when the claim or portion of the claim is paid. Failure to comply with this subsection constitutes a violation of this code. However, failure to comply with this subsection does not form the sole basis for a private cause of action.
FLORIDA ADMINISTRATIVE CODE SECTIONS VIOLATED
69B-220.201(3) Code of Ethics. The work of adjusting insurance claims engages the public trust. An adjuster shall put the duty for fair and honest treatment of the claimant above the adjuster’s own interests in every instance. The following are standards of conduct that define ethical behavior, and shall constitute a code of ethics that shall be binding on all adjusters:
69B-220.201(3)(b) An adjuster shall treat all claimants equally.
69B-220.201(3)(b)1 An adjuster shall not provide favored treatment to any claimant.
69B-220.201(3)(b)2 An adjuster shall adjust all claims strictly in accordance with the insurance contract.
69B-220.201(3)(c) An adjuster shall not approach investigations, adjustments, and settlements in a manner prejudicial to the insured.
69B-220.201(3)(d) An adjuster shall make truthful and unbiased reports of the facts after making a complete investigation.
69B-220.201(3)(e) An adjuster shall handle every adjustment and settlement with honesty, integrity, and allow a fair adjustment or settlement to all parties without any remuneration to himself except that to which he is legally entitled.
69B-220.201(3)(f) An adjuster, upon undertaking the handling of a claim, shall act with dispatch and due diligence in achieving a proper disposition of the claim.
69B-220.201(3)(j) - An adjuster shall not knowingly fail to advise a claimant of the claimant’s claim options in accordance with the terms and conditions of the insurance contract.
69B-220.201(3)(k) An adjuster shall not undertake the adjustment of any claim concerning which the adjuster is not currently competent and knowledgeable as to the terms and conditions of the insurance coverage, or which otherwise exceeds the adjuster’s current expertise.
SECTION I – PROPERTY COVERAGES
A. Coverage A – Dwelling
1. We cover:
a. The dwelling on the "residence premises"
shown in the Declarations, including
structures attached to the dwelling; and
b. Materials and supplies located on or next
to the "residence premises" used to
construct, alter or repair the dwelling or
other structures on the "residence
premises".
2. We do not cover land, including land on which
the dwelling is located.
D. Coverage C – Personal Property
1. Covered Property
We cover personal property owned or used by
an "insured" while it is anywhere in the world.
After a loss and at your request, we will cover
personal property owned by: a. Others while the property is on the part of
the "residence premises" occupied by an
"insured"; or
b. A guest or a "residence employee", while
the property is in any residence occupied
by an "insured".
E. Coverage D – Loss Of Use
The limit of liability for Coverage D is the total limit
for the coverages in 1. Additional Living Expense,
2. Fair Rental Value and 3. Civil Authority Prohibits
Use below.
1. Additional Living Expense
If a loss covered under Section I makes that
part of the "residence premises" where you
reside not fit to live in, we cover the Additional
Living Expense, meaning any necessary
increase in living expenses incurred by you so that your household can maintain its normal
standard of living.
Payment will be for the shortest time required
to repair or replace the damage or, if you
permanently relocate, the shortest time
required for your household to settle
elsewhere.
2. Fair Rental Value
If a loss covered under Section I makes that
part of the "residence premises" rented to
others or held for rental by you not fit to live in,
we cover the fair rental value of such premises
less any expenses that do not continue while
it is not fit to live in.
However, we do not cover any fair rental value
arising out of or in connection with “homesharing
host activities”.
Payment will be for the shortest time required
to repair or replace such premises.
ADDITIONAL COVERAGES
2. Reasonable Emergency Measures
a. We will pay up to the greater of $3,000 or
1% of your Coverage A limit of liability for
the reasonable costs incurred by you for
necessary measures taken solely to
protect covered property from further
damage, when the damage or loss is
caused by a Peril Insured Against.
b. We will not pay more than the amount in
a. above, unless we provide you approval
within 48 hours of your request to us to
exceed the limit in a. above. In such
circumstance, we will pay only up to the
additional amount for the measures we
authorize.
If we fail to respond to you within 48 hours
of your request to us and the damage or
loss is caused by a Peril Insured Against,
you may exceed the amount in a. above
only up to the cost incurred by you for the
reasonable emergency measures
necessary to protect the covered property
from further damage.
c. If, however, form UPCIC 201 15 is a part
of your policy and a covered loss occurs
during a “hurricane occurrence”, the amount we pay under this additional
coverage is not limited to the amount in a.
above.
d. A reasonable measure under this
Additional Coverage may include a
permanent repair when necessary to
protect the covered property from further
damage or to prevent unwanted entry to
the property. To the degree reasonably
possible, the damaged property must be
retained for us to inspect.
e. This coverage does not:
(1) Increase the limit of liability that
applies to the covered property; or
(2) Relieve you of your duties, in case of
a loss to covered property, as set forth
in Section I – Condition C.
(3) Pay for property not covered, or for
repairs resulting from a peril not
covered, or for loss excluded from this
Policy.
SECTION I – PERILS INSURED AGAINST
A. Coverage A – Dwelling And Coverage B –
Other Structures
1. We insure against direct physical loss to
property described in Coverages A and B.
However, loss does not include and we will not
pay for any “diminution in value”.
B. Coverage C – Personal Property
We insure for direct physical loss to the property
described in Coverage C caused by any of the
following perils unless the loss is excluded in
Section I – Exclusions. However, loss does not
include and we will not pay for any “diminution in
value”.
1) looking for ways to deny coverage, pay less, delay payment and otherwise “low ball” or “stone wall”
claim;
2) failure to pay claim in full;
3) failure to promptly investigate claim;
4) failure to properly investigate claim;
5) failure to adjust loss;
6) failure to act in due diligence and good faith to resolve claim;
7) placing financial interest of insurer before that of policy holders and claimants;
8) failure to properly train, evaluate and manage adjusters.
Universal has violated the above ethical codes, statutes, and policy provisions by retaining adjusters who, or instructing adjusters to, knowingly underprice and under-scope losses. This creates a situation where adjusters write estimates and adjust losses in a manner prejudicial to the insured by not providing sufficient funds to place the insured in their pre-loss condition, which is what the policy provides for subject to its terms and conditions. The situation created is untenable for the insured. They cannot properly repair the property and return to their normal life. Meanwhile their mortgagee may claim that the homeowner is not protecting the mortgagee’s interest. Additionally, the underwriting department of the insurer may demand that repairs be made prior to renewing or issuing a new policy at the expense of the insured, or worse deny a future claim based upon the insured’s inability to fully repair the property which was the result of the insurer’s bad faith adjustment of the current claim. All of which are bad faith business practices designed to ensure that the insurer pays out as little as possible on any given claim and creates circumstances where it can deny future claims.
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Facts and circumstances giving rise to the violation.
Enter all words or phrases (one at a time) that should be used to filter.
In Florida, the work of adjusting insurance claims engages the Public Trust. Universal Property & Casualty Insurance Company (hereinafter “Universal”) has breached this duty by its adjustment of its Insureds’ claim of loss. Universal’s actions/inactions have forced my client to endure hardship well beyond the covered loss. At no point in the claim process has the insured been treated fairly or in good faith by Universal.
On or about January 9, 2024, the insured suffered damage to their home as a result of a tornado, which is a covered cause of loss under their policy of insurance. The insured made a claim for damages shortly thereafter. After inspection by Universal’s representatives, coverage for the loss was afforded and a paltry payment of $399.39 was made after application of the $1,000.00 deductible.
Damages to the interior of the dwelling were covered by Universal, although severely underpaid. However, in a leap of logic, Universal denied coverage for damages to the roof on the basis of wear and tear.
The insured submitted an estimate totaling approximately $107,000.00, which received no meaningful response. The insured also requested appraisal, and was rejected.
After making its initial determination of the claim Universal made it quite clear that it had no intention of dealing fairly with the insured.
Once it became abundantly clear to the insured that they would be unable to obtain fair treatment from Universal the insured was forced to file the instant Civil Remedy Notice and a lawsuit for breach of contract.
The adjusters assigned to this claim have a duty to adjust and treat all claims equally. Since the beginning of this claim the representatives on behalf of Universal have approached this investigation in a manner prejudicial to the Insured. Universal is using either untrained or improperly trained adjusters in connection with this claim. Universal should have been adjusting the loss with the Insured but instead, it was looking for ways not to pay the claim at all or not pay the claim in full. If Universal handles all the claims in the manner in which the Insured’s claim was adjusted, then it is improperly handling all claims.
Universal’s conduct has been reckless and unfair to the Insured. This is evidenced by the delay in paying the claim, undervaluation of the claim, and the failure of Universal to evaluate the claim in total.
The Insured was and still is forced to expend out of pocket monies in order to force Universal to honor its obligations under the insurance policy and pay all the insurance proceeds due and owing.
Universal has refused and/or failed to comply with The Policy’s cooperation and/or Loss Payment provision. Under The Policy, Universal was to timely tender undisputed insurance benefits to the Insured. Universal has failed and/or refused to timely tender owed insurance benefits, undisputed or otherwise. This is a breach of The Policy. Universal has refused and/or failed to cooperate and/or adjust the Loss by cooperating with the Insured during the claims adjustment process in compliance with The Policy’s Loss Payment provision. This is a breach of The Policy.
Universal has a contractual obligation to not make a perfunctory investigation, and not ignore evidence that would support the Insured’s claim. This is a breach of The Policy. Universal has a contractual obligation not to look the other way when confronted with facts revealing the possibility of coverage and resisting reasonable interpretations of its policy. Universal has ignored damages in the property and has failed to acknowledge the full scope of the loss despite inspection. This is a breach of The Policy.
The concept of insurance is that insurance is the insurer’s granting of timely and prompt indemnity or F.S. § 624.02 defines insurance as a contract whereby one undertakes to indemnify another or pay or allow specified amount or a determinable benefit upon determinable contingencies. Inherent is the fact that payment must be made timely and promptly so that the Insured may mitigate their damages and to put them back into the position they were in prior to the loss as quickly as possible. Universal has breached this duty.
Universal has refused and/or failed to tender all insurance proceeds to the Insured upon demand. Universal’s refusal and/or failure to settle the insurance claim when under all circumstances it could have and should have done so had it acted fairly and honestly towards the Insured is wrongful conduct. Furthermore, the Insured contends that Universal’s adjusters and/or representatives financially benefit by such wrongful conduct.
Therefore, to cure the defects outlined in this Civil Remedy Notice, Universal must:
Create and implement adequate guidelines for proper investigation and evaluation as to claims handling and for the training and supervision of employees, which will avoid future statutory violations as set forth above, and to avoid this from occurring in the future; Universal must create and implement adequate guidelines for the proper investigation and evaluation of these types of claims, and for the training and supervision of employees with regard to these types of claims to ensure Universal’s claims handling procedures with regard to these types of losses are adequate to stop further Insureds from being treated unfairly and wrongfully;
Universal must acknowledge damages to the dwelling, other structures, and contents which Universal knows, or should know are covered under the subject policy of insurance.
Universal must act fairly and honestly towards the Insured and with due regard for their best interests in attempting to settle the Insured’s claim; and
Universal must immediately tender all insurance benefits due and owing to the Insured under the Policy pursuant to the relevant policy provisions provided therein that would reasonably place the Insured back to their pre-loss condition, including, but not limited to all interest due and owing under applicable Florida Statutes. The insured contends that the cure amount is up to and including policy limits under all relevant coverages, but which is best reflected in the estimate presented by the insured to Universal by the insured’s representatives as a good faith estimation of the loss.
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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.
Before submitting a Notice using this system, please verify that all text has been entered
correctly and completely. Once the Notice has been submitted, the text cannot be changed
or deleted.
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DFS-10-363
Rev. 10/14/2008
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