Civil Remedy Notice of Insurer Violations
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Filing Number:     790531
Filing Accepted:  11/6/2024
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Complainant
Last/Business Name *  
BRADFORDVILLE COMMONS CONDOMINIUM ASSOCIATION, INC.   First Name  
Street Address * 6808 THOMASVILLE ROAD
City, State Zip * TALLAHASSEE, FL 32312
Email Address * BILL@SUNDBERGPA.COM
Complainant Type: * Insured
Insured
Last/Business Name*   BRADFORDVILLE COMMONS CONDOMINIUM ASSOCIATION, INC.   First Name  
Policy # * MSP-38084 Claim #* 4202028
Attorney
Attorney is Applicable
Last Name* SUNDBERG First Name * WILLIAM Initial
Street Address* 107 W FIFTH AVE
City, State Zip* TALLAHASSEE , FLORIDA 32303
Email Address * BILL@SUNDBERGPA.COM
Violation
Insurer Type *   Authorized Insurer Unauthorized Insurer
 
Insurer Name*   QBE SPECIALTY INSURANCE COMPANY
NAIC Company Code 11515
 
Name of individual responsible for violation (if any):* DANIELLE BARKER, CHRISTINE DEPPE AND ADAM PATTON
Type of Insurance * Commercial Property & Casualty   
Reason for Notice *
Claim Delay
Unsatisfactory Settlement Offer
Claim Denial
Unfair Trade Practice
* Statutory provision(s) which the insurer allegedly violated.
 
624.155(1)(b)(1) 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.
624.155(1)(b)(3) 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.
626.9541(1)(i)(3)(a) Failing to adopt and implement standards for the proper investigation of claims.
626.9541(1)(i)(3)(j) Altering or amending an insurance adjuster’s report without: (I) Providing a detailed explanation as to why any change that has the effect of reducing the estimate of the loss was made; and (II) Including on the report or as an addendum to the report a detailed list of all changes made to the report and the identity of the person who ordered each change; or (III) Retaining all versions of the report, and including within each such version, for each change made within such version of the report, the identity of each person who made or ordered such change;
* Specific policy language that is relevant to the violation.
Enter all words or phrases (one at a time) that should be used to filter.

This Notice is based on Statutory Violations listed in this Notice.
 
* Facts and circumstances giving rise to the violation.
Enter all words or phrases (one at a time) that should be used to filter.

THE INSURED, BRADFORDVILLE COMMONS CONDOMINIUM ASSOCIATION, INC., SUFFERED DAMAGE TO ITS PROPERTY AS A RESULT OF A WATER LEAK THAT COMPROMISED THE FLOORING OF THE PROPERTY. THE DATE OF LOSS WAS MAY 16, 2022 (INCORRECTLY INDENTIFIED AS JANUARY 23, 2023 IN SOME CORRESPONDENCE FROM THE CARRIER). THE INSURANCE COMPANY HIRED A THIRD PARTY TO HANDLE THIS CLAIM. THE ADJUSTER AT ISSUE IS DANIELLE BARKER WITH SEDGWICK. THE PRIOR ADJUSTER WITH SEDGWICK (CHRISTINE DEPPE) WAS WORKING WITH THE INSURED AND MADE THE MAJORITY OF THE PAYMENTS DUE AND OWING TO PAY FOR THIS PROPERTY DAMAGE. HOWEVER, MS. DEPPE LEFT SEDGWICK OR WAS TAKEN OFF THIS CLAIM. WHEN MS. BARKER TOOK OVER, SHE IMMEDIATELY LOOKED FOR WAYS NOT TO PAY THE FULL CLAIM AND TO LOW BALL THE INSURED. THE TOTAL INVOICE CHARGED BY THE INSURED’S GENERARL CONTRACTOR FOR THE COVERED DAMAGES WAS 745,035.00. RATHER THAN PAYING THIS FULL AMOUNT, MS. BARKER REFUSED AND ONLY OFFERED TOTAL PAYMENTS OF 645,000.00 THERE IS A 10,000 DEDUCTIBLE SO THE TOTAL AMOUNT STILL OWED IS 90,035.00 THE INSURED HAS MADE AN APPLICATION FOR INSURANCE BENEFITS UNDER THE POLICY BUT THE INSURANCE COMPANY HAS FAILED AND/OR REFUSED TO PAY THE FULL BENEFITS TO WHICH THE INSURED IS ENTITLED FOR THE LOSS. THE INSURANCE COMPANY HAS BREACHED THE POLICY OF INSURANCE BY FAILING TO PAY ALL OF THE BENEFITS DUE UNDER THE POLICY. THE INSURANCE COMPANY HAS FAILED TO SATISFACTORILY SETTLE THIS CLAIM AND HAS DEPRIVED THE INSURED OF A PROPER RESOLUTION OF THIS CLAIM. THE INSURANCE COMPANY HAS FAILED AND/OR REFUSED TO PROPERLY INVESTIGATE THE LOSS AND HAS FAILED AND/OR REFUSED TO TENDER THE PROPER AMOUNT OF INSURANCE BENEFITS DUE AND OWING TO THE INSURED. IN ORDER TO CURE THE CONDUCT GIVING RISE TO THE VIOLATIONS DESCRIBED HEREIN, THE INSURANCE COMPANY MUST COMPLETE THE PROPER EVALUATION OF THE DAMAGES AND ISSUE PAYMENT FOR ALL THE COVERED DAMAGES.THE INSURANCE COMPANY MAY CURE THE ALLEGATIONS GIVING RISE TO THIS NOTICE BY TENDERING A CHECK IN THE AMOUNT OF $90,035.00 WITHIN THE 60 DAY CURE PERIOD, JOINTLY PAYABLE TO THE INSURED AND SUNDBERG, P.A.
Comments
User Id Date Added Comment
gchiappelli@berklawfirm.com 01-03-2025 Dear Mr. Sundberg: As you are aware, we represent Certain Underwriters at Lloyd’s, London subscribing to Policy No. AMR-78125, Lexington Insurance Company (Policy No. LEX-015056304-00), QBE Specialty Insurance Company (“QBE”) (Policy No. MSP-38084), and Old Republic Union Insurance Company (Policy No. ORAMPR013037-00) (the “Insurers”), the commercial property insurers for Bradfordville Commons Condominium Association Inc. (the “Insured”), under the above referenced policy numbers with effective dates of February 28, 2022, to February 28, 2023 (the “Policy”). We write in response to the Insured’s Civil Remedy Notice of Insurer Violations (the “Notice”) submitted to the Department of Financial Services, Division of Consumer Services (the “Department”) on behalf of the Insured. The Notice bears filing number 790531, with an acceptance date of November 6, 2024. We note the Notice was only filed against QBE, despite the aforementioned Insurers subscribing to the Policy. In the Notice, it is alleged that QBE violated various Florida Statutes with regard to the Insured’s claim under the Policy for alleged damage to the insured property located at 6800 Thomasville Road, Tallahassee, Florida 32312 (the “Property”) as a result of water damage, which reportedly occurred on January 23, 2023. The Notice generally alleges that the “Reason for Notice” are “claim delay,” “unsatisfactory settlement offer,” “claim denial,” and “unfair trade practice.” Section 624.155, Florida Statutes, sets forth the requirement that the Notice shall state with specificity all of the following: (1) the statutory provision allegedly violated, including the specific language of the statute; (2) the facts and circumstances that give rise to a violation of those statutes referenced in the civil remedy notice; (3) the name of any individual involved in the alleged violation; and (4) the specific policy language that is relevant to the alleged violation. Florida courts have interpreted section 624.155(3)(b) to require that a civil remedy notice be specific enough to provide insurers notice of wrongdoing so an insurer can timely cure the alleged violations within sixty days. See, e.g., Heritage Corp. of S. Fla. v. Nat. Union Fire Ins. Co. of Pittsburgh, 580 F. Supp. 2d 1294, 1298-99 (S.D. Fla. 2008) (insured did not state with specificity the facts giving rise to the specific statutory violation so as to put insurer on notice of wrongful acts being alleged); Nowak v. Lexington Ins. Co., 464 F. Supp. 2d 1248, 1251-52 (S.D. Fla. 2006) (holding that the insured could not proceed with a cause of action based upon an alleged violation of section 626.9541 when that statute was not specifically listed in the CRN); Valenti v. Unum Life Ins. Co. of Am., No. 8:04-CV-1615-T-30TGW, 2006 WL 1627276, at *2 (M.D. Fla. June 6, 2006) (disallowing certain actions for bad faith that were not specific enough to put insurer on notice of alleged violations). Here, the Notice is vague and deficient in describing the facts and circumstances giving rise to the Insurers alleged statutory violations. For example, the Notice alleges that the Insurers violated section 624.155(1)(b)(1), Florida Statutes, by allegedly not attempting in good faith to settle claims when, under all the circumstances, the Insurers could and should have done so, had they acted fairly and honestly toward their insured and with due regard for the Insured’s interest. The Notice broadly alleges that the actions taken by the Insurers in the handling and adjustment of the Insured’s claim constitute such a violation without providing any of the factual circumstances giving rise to this alleged violation. The Notice fails to state any factual basis specific to this alleged statutory violation, including describing how the Insurers allegedly did not attempt in good faith to settle the Insured’s claim, identifying any unfair or dishonest actions, or identifying the conduct to be cured. The same is true for the remaining violations alleged in the Notice, which generally allege in a conclusory fashion that further payment is owed under the Policy without providing any information, reference to expert reports, or any other support that further payment is justified under the Policy. Despite the deficiencies of the Notice, the Insurers deny that they or any of their representatives engaged in any prohibited conduct or violated any of the statutes referenced in the Notice with respect to the Insured’s claim. The Insurers acted in good faith, without delay, and with due regard for the Insured’s interests at all times during the investigation, handling, and adjustment of the Insured’s claim. Further, the Insurers continued their good faith effort to resolve this matter, and on or about December 23, 2024, the Insurers and the Insured resolved this matter in exchange for a full and final Release and Settlement Agreement, inclusive of any prospective extra-contractual action. Therefore, any alleged statutory violations for unsatisfactory settlement offer or failure to settle a claim, which the Insurers vehemently deny, have been cured. If you have any questions or require any additional information, please contact us. Regards, /s/ Sarah B. Van Schoyck, Esq.
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