Filing Number: 791097
|
| Filing Accepted: 11/8/2024 |
| Last/Business Name
*
|
|
|
FARHANGI
|
|
First Name |
|
HAMID |
|
| Street Address
*
|
|
2012 IMPERIAL WAY |
| City, State Zip
*
|
|
CLEARWATER,
FL
33764
|
| Email Address
*
|
|
HAMIDF53@MSN.COM |
| Complainant Type:
*
|
|
Insured |
|
| Last/Business Name* |
|
FARHANGI |
|
First Name |
|
HAMID |
| Policy # * |
|
CIT06910859 |
|
Claim #* |
|
FPI241822 |
|
Attorney is Applicable
|
| Last Name* |
PETTINATO
First Name *
DAVID
Initial
|
| Street Address* |
|
1000 W. CASS STREET |
| City, State Zip* |
|
TAMPA
,
FL
33606
|
| Email Address * |
|
DPETTINATO@OLDERLUNDYLAW.COM, DJP-PARALEGALS@OLDER |
|
|
| Insurer Type
*
|
|
Authorized Insurer
Unauthorized Insurer
|
|
|
| Insurer Name |
|
|
| Insurer Name* |
|
FLORIDA PENINSULA INSURANCE COMPANY
|
| Insurer Name* |
|
|
| Street Address* |
|
|
| City, State Zip* |
|
,
|
|
NAIC Company Code 10132 |
|
|
| Name of individual responsible for violation (if any):*
KIM BROWN, JORGE CLAVELL, SIGURDUR THOMAS KISLUS, AND ALL OTHER ADJUSTERS, SUPERVISORS, MANAGEMENT AND INDIVIDUALS ASSOCIATED WITH OR RETAINED BY FLORIDA PENINSULA INSURANCE COMPANY INVOLVED IN THE CLAIM.
|
| Type of Insurance
*
Residential Property & Casualty
|
|
|
| Reason for Notice
*
|
|
Claim Denial
|
|
Unfair Trade Practice
|
|
Other
:
Failure to properly investigate claim and with due regard to Insured’s interest
|
|
|
*
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)(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.
ADD’L STATUTES VIOLATED
§627.70131(7)(a) Within 60 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. The insurer shall provide a reasonable explanation in writing to the policyholder of the basis in the insurance policy, in relation to the facts or applicable law, for the payment, denial, or partial denial of a claim. If the insurer’s claim payment is less than specified in any insurer’s detailed estimate of the amount of the loss, the insurer must provide a reasonable explanation in writing of the difference to the policyholder. Any payment of an initial or supplemental claim or portion of such claim made 60 days after the insurer receives notice of the claim, or made after the expiration of any additional timeframe provided to pay or deny a claim or a portion of a claim made pursuant to an order of the office finding factors beyond the control of the insurer, 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 must 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.
POLICY LANGUAGE
The Insured may not be in possession of a complete copy the applicable policy of insurance, however, the specific policy language relevant to the violations outlined below is contained within Florida Peninsula Insurance Company’s Homeowners policy, Policy No. CIT06910859, issued to the Insured including, but is not limited to, the following:
Coverage A-Dwelling provisions
Additional Coverages provisions
- Reasonable Repairs
The Declarations Page
Loss Payment or Loss Settlement provisions
Duties in Event of Loss Policy provisions
The insurance policy's definition sections
The insurance policy's exclusion of coverage provisions
Please advise if there are other applicable policy provisions that are not cited above but would provide coverage to the Insured for the January 9, 2024, wind loss.
|
| |
*
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. FLORIDA PENINSULA INSURANCE COMPANY (“FLORIDA PENINSULA”) has breached this duty by its failure or refusal to acknowledge its Insured’s claim of loss.
FLORIDA PENINSULA has failed to create and implement adequate guidelines for proper investigation to evaluate claims handling and for training and supervision of employees resulting in statutory violations as set forth above. FLORIDA PENINSULA has failed and/or refused to thoroughly, accurately, and completely investigate and evaluate the Insured’s insurance claim for damages.
To date, notwithstanding the Insured’s pleas, FLORIDA PENINSULA has continued to refuse to acknowledge its obligation to acknowledge and pay the full amount of its Insured’s claim.
This complaint is made on behalf of the Insured, Hamid Farhangi (“MR. FARHANGI”). Further, this complaint is a statement that notice is hereby given in order to perfect the right to pursue the civil remedy authorized and pursuant to Florida Statute §624.155.
In consideration of the premium paid to it by MR. FARHANGI, Citizens Property Insurance Corporation issued an Homeowners policy, Policy No. CIT06910859 (hereinafter referred to as “the Policy”), to MR. FARHANGI wherein the insurance policy provided coverage for all losses, including wind, except those losses which were expressly excluded. Prior to the subject loss, FLORIDA PENINSULA assumed the policy from Citizens Property and assumed all responsibility for any claims made under the policy issued by Citizens Property.
The policy was in full force and effect at the time the damage occurred as a result of wind, and the ensuing damages as a direct result thereof, to the insured premises located at 2012 Imperial Way, Clearwater, FL 33764, on or about January 9, 2024.
On or about January 9, 2024, MR. FARHANGI’S property sustained interior and exterior damages as a result of a windstorm, and ensuing damages.
On or about January 10, 2024, MR. FARHANGI retained the services of a roofing professional to assess the damage to the insured property. As with typical Florida weather, the water had dried up by the next day and therefore no water was intruding during their visit to the insured property.
On or about February 20, 2024, another rainstorm occurred at which time MR. FARHANGI again noticed water intruding through the roof.
On February 20, 2024, MR. FARHANGI contacted the roofing professionals to revisit the property and reassess the storm related damage. During their visit, the roofing company installed a tarp to mitigate the intrusion of water into the home and determined that the roof required a full replacement. To date, MR. FARHANGI has incurred out-of-pocket expenses in the amount of $9,159.60 for mitigation of his damages.
MR. FARHANGI timely notified FLORIDA PENINSULA of the damages and opened a claim pursuant to the terms and conditions of the Policy.
In response, FLORIDA PENINSULA assigned the claim to its representative to adjust and investigate the loss, as well as a field adjuster to inspect the damages. FLORIDA PENINSULA’S representative visited the insured property and performed a cursory and inadequate investigation of the damaged property.
On March 21, 2024, FLORIDA PENINSULA conducted a recorded statement of MR. FARHANGI in its investigation of the claim.
On April 4, 2024, FLORIDA PENINSULA advised MR. FARHANGI that the investigation and evaluation of his claim was completed and based on the terms of the Policy, no coverage would be afforded. FLORIDA PENINSULA further stated that its inspection found no damage to the roofing materials or exterior elevations caused by wind, hail or any other sudden impact that would allow coverage for the interior water intrusion and damage. Instead, FLORIDA PENINSULA cited the damages were the result of wear and tear and deterioration, inadequate maintenance and materials, expansion and shrinkage resulting in cracking, and inherent vice.
FLORIDA PENINSULA has been provided with a copy of the estimate of damages prepared by Utopia on MR. FARHANGI’S behalf in the amount of $108,444.94 (RCV) / $102,614.18 (ACV).
To date, FLORIDA PENINSULA has failed to tender any supplemental insurance benefits. FLORIDA PENINSULA has admitted that MR. FARHANGI sustained covered damages as a result of the wind loss that occurred on or about January 9, 2024 but has denied tendering all owed insurance benefits to MR. FARHANGI. Pursuant to Florida Statute §626.9541(1)(i)(4), FLORIDA PENINSULA is required to pay undisputed amounts of partial or full benefits owed under first-party property insurance policies within 60 days after FLORIDA PENINSULA received notice of the residential property insurance claim, determine the amounts of partial or full benefits, and agree 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). As FLORIDA PENINSULA has failed to do so, FLORIDA PENINSULA has wrongfully denied coverage.
Here, FLORIDA PENINSULA denied MR. FARHANGI’S claim without conducting a reasonable investigation based upon available information when it denied the claim (by way of claiming that no damage to roofing materials or exterior elevations caused by wind, hail or other sudden impact damage that would be covered by Policy was observed) and advised that the rain intrusion was the result of deterioration of roofing system components. FLORIDA PENINSULA’S representatives performed a cursory and inadequate property inspection, which resulted in a conclusory claim evaluation. Thus, FLORIDA PENINSULA violated Fla. Stat. §626.9541(1)(i)(3)(d).
FLORIDA PENINSULA violated 626.9541(1)(i)(3)(d), because its inadequate inspection was not a “reasonable investigation” that FLORIDA PENINSULA then used to justify its refusal to pay MR. FARHANGI his rightfully owed insurance benefits. FLORIDA PENINSULA also conducted one conclusory investigation in which it denied coverage and then closed the claim. Thus, FLORIDA PENINSULA violated §626.9541(1)(i)(3)(a) and 626.9541(1)(i)(3)(d).
Since the beginning of the claim, FLORIDA PENINSULA has engaged in a pattern of delay, denial, and reckless disregard for MR. FARHANGI’S rights. The actions of FLORIDA PENINSULA listed herein have been continuing in nature and given the totality of the circumstances, which includes FLORIDA PENINSULA’S adjustment, actions and/or omissions post the filing of this CRN. MR. FARHANGI contends that given the past experience in this matter with FLORIDA PENINSULA, it is reasonably foreseeable that FLORIDA PENINSULA’S current actions will extend to its entire conduct in the handing of his claim, including the acts or omissions of FLORIDA PENINSULA and/or its representatives, until the final resolution of his claim. As such, MR. FARHANGI contends adequate notice has been given should FLORIDA PENINSULA’S actions and violations listed herein continue after the expiration of this notice.
FLORIDA PENINSULA has failed and/or refused to settle the claim when it could and should have done so had it acted fairly and honestly towards MR. FARHANGI, and has failed to take into account the information and evidence provided that contradict its decisions.
Even upon receipt of additional and supporting evidence to the contrary, FLORIDA PENINSULA has continued to stand by its claim denials. As such, MR. FARHANGI does not anticipate FLORIDA PENINSULA will rescind its denial of his claim.
FLORIDA PENINSULA’S conduct has been reckless and unfair to MR. FARHANGI, and has caused and continues to cause additional damages throughout the property. This is evidenced by the delay in paying the claim and the failure of FLORIDA PENINSULA to evaluate the claim in total.
To date, FLORIDA PENINSULA has failed and/or refused to provide MR. FARHANGI with all the insurance benefits due and owing and has not tendered the full amount needed to repair the Property despite knowing that MR. FARHANGI has sustained covered damages to his insured property.
As FLORIDA PENINSULA must admit, it is implied within every insurance policy a duty of good faith and fair dealings. In an insurance contract, each party is prevented from interfering with the other’s right to benefit from the contract. The obligations of good faith and fair dealings encompass qualities of decency and humanity inherent in its responsibilities as a fiduciary. FLORIDA PENINSULA is bound to conduct itself with the utmost good faith for the benefit of MR. FARHANGI. However, FLORIDA PENINSULA has failed to comply with the obligations in connection with this claim and has never looked at the claim or the contract for insurance with good faith and fair dealing. Instead, FLORIDA PENINSULA has looked for ways not to pay the claim in full, or at all, and these actions have been to the detriment of MR. FARHANGI.
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 FLORIDA PENINSULA have approached this investigation in a manner prejudicial to MR. FARHANGI. FLORIDA PENINSULA is using either untrained or improperly trained adjusters in connection with this claim. FLORIDA PENINSULA should have been adjusting the loss with MR. FARHANGI but instead, it was looking for ways not to pay the claim at all, or pay the claim in full. If FLORIDA PENINSULA handles all the claims in the manner in which MR. FARHANGI’S claim was adjusted, then it is improperly handling all claims.
FLORIDA PENINSULA has refused and/or failed to comply with The Policy’s cooperation and/or “Loss Payment” provision. Under The Policy, FLORIDA PENINSULA was to timely tender undisputed insurance benefits to MR. FARHANGI. FLORIDA PENINSULA has failed and/or refused to timely tender owed insurance benefits, undisputed or otherwise. This is a breach of The Policy.
FLORIDA PENINSULA has refused and/or failed to cooperate and/or “Adjust the Loss” by cooperating with MR. FARHANGI during the claims adjustment process in compliance with The Policy’s “Loss Payment” provision. 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 security against a contingent loss. Florida Statute §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 MR. FARHANGI may mitigate his damages and to put him back into the position he was in prior to the loss as quickly as possible. FLORIDA PENINSULA has breached this duty.
FLORIDA PENINSULA has refused and/or failed to tender all insurance proceeds to MR. FARHANGI upon demand. FLORIDA PENINSULA’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 MR. FARHANGI is wrongful conduct. Furthermore, MR. FARHANGI contends that FLORIDA PENINSULA’S adjusters and/or representatives financially benefit by such wrongful conduct.
It is clear that FLORIDA PENINSULA’S adjusters have also failed to adhere to insurance industry rules and guidelines when adjusting a first party claim. It is also evident that FLORIDA PENINSULA violated the Florida unfair claims practices, the adjuster’s ethical code of conduct, and acted irresponsibly in the handling of its insured’s claims. In this case, MR. FARHANGI paid a hefty premium for a service, the service is called claims adjusting (I encourage you to read the book titled, “The Claims Environment” written by James J. Markham, Kevin M. Quinley, and Layne S. Thompson-this book is taught in every first year AIC course).
The claim professional must dispense his or her knowledge and skill for the benefit of society. The general public expects claims representatives to pay all legitimate claims promptly and fairly. The claim professional must harness all of his or her knowledge and expertise to accomplish the objectives of the claim function. He or she must also adhere to the highest degree of ethical conduct. In addition to interacting with other insurance personnel and service providers in a professional manner, the claims professional must deal with public’s and regulator’s expectations. Insurance Companies provide such a vital and necessary service to society that the selling and servicing of insurance is imbued with a public trust. James J. Markham, Kevin M. Quinley, Layne S. Thompson, “The Claims Environment”, Insurance Institute of America, 1st ed., 1993.
Accordingly, FLORIDA PENINSULA has a contractual and statutory obligation to investigate all possible bases which might support MR. FARHANGI’S claim and cannot deny a claim without thoroughly investigating the foundation for its denial or basis for withholding insurance benefits. FLORIDA PENINSULA violated its obligations here.
- FLORIDA PENINSULA has a contractual and statutory obligation to make a perfunctory investigation, not ignoring evidence that would support MR. FARHANGI’S claim. FLORIDA PENINSULA violated its obligations here.
- FLORIDA PENINSULA has a contractual and statutory obligation not to look the other way when confronted with facts revealing the possibility of coverage and resisting reasonable interpretations of its policy. FLORIDA PENINSULA violated its obligations here.
- FLORIDA PENINSULA has a contractual and statutory obligation not to deny the claim based on standards known to be impermissible or on an interpretation contrary to established law. FLORIDA PENINSULA violated its obligations here.
These actions and violations were either done intentionally or as the result of FLORIDA PENINSULA’S failure to adopt and implement the proper standards of the investigation and adjustment of claims.
Overall, FLORIDA PENINSULA’S investigation of the claim was inadequate and contrary to its obligations under the insurance policy and Florida law.
MR. FARHANGI has done everything legally requested by FLORIDA PENINSULA to date. To cure the violations set forth in this Civil Remedy Notice, FLORIDA PENINSULA must now agree to acknowledge its duties and obligations under the law in adjusting its insured’s claim, and tender rightfully owed insurance benefits to return MR. FARHANGI to his pre-loss condition.
Further, to cure the violations set forth in this Civil Remedy Notice, MR. FARHANGI hereby requests that FLORIDA PENINSULA tender at this time, or prior to the expiration of the statutory cure period, the amount of MR. FARHANGI’S damage estimate and demand which accurately reflects the true nature and extent of MR. FARHANGI’S damages. Therefore, FLORIDA PENINSULA should tender $117,604.54 (less any prior payments, depreciation, excess policy limits, and/or deductible) in insurance benefits at this time.
Although MR. FARHANGI has made a demand for payment in the amount of $117,604.54 (less any prior payments, depreciation, excess policy limits, and/or deductible) and has provided FLORIDA PENINSULA with all the necessary documentation in support thereof, he is still willing to consider and to potentially accept any reasonable counter-offer made by FLORIDA PENINSULA. Therefore, if FLORIDA PENINSULA is not in agreement with MR. FARHANGI’S reasonable demand for payment of his rightfully owed insurance benefits being submitted at this time, MR. FARHANGI hereby requests that FLORIDA PENINSULA now make a reasonable counter-offer before the expiration of the cure period. MR. FARHANGI still hopes that his claim can be resolved amicably.
The concept of insurance is that insurance is the insurer’s granting of timely and prompt indemnity or security against a contingent loss. Florida Statute §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 MR. FARHANGI may mitigate his damages and to put him back into the position he was in prior to loss as quickly as possible. FLORIDA PENINSULA breached this duty.
This notice is given in order to perfect the right to pursue the civil remedy authorized and pursuant to Florida Statute §624.155, including any and all bad faith/extra contractual, should FLORIDA PENINSULA fail to cure the violations set forth in this Civil Remedy Notice within the given cure period.
While no specific “cure amount” is required for this Civil Remedy Notice to be valid, MR. FARHANGI will consider the allegations contained herein “cured” if FLORIDA PENINSULA, without any requirement for a release:
(1) Immediately tenders the amount of MR. FARHANGI damage estimate in the amount of $117,604.54 (less any prior payments, depreciation, excess policy limits, and/or deductible), which accurately reflects the true nature and extent of the damages to the Dwelling;
(2) Agrees to reimburse MR. FARHANGI for his expenses incurred by having to retain a public adjuster to present his claim; and
(3) Immediately tenders the amount of statutory interest due and owing to MR. FARHANGI pursuant to Florida Statute §627.70131(5)(a).
(4) Immediately provides MR. FARHANGI with the documentation FLORIDA PENINSULA has used and/or continues to contend, supports the claim determination made by FLORIDA PENINSULA in the adjustment of MR. FARHANGI’S claim. Specifically, FLORIDA PENINSULA must provide MR. FARHANGI with its claim estimate(s), supporting photographs and/or videos, as well as any and all reports of any expert(s) or other individuals retained on behalf of FLORIDA PENINSULA upon which FLORIDA PENINSULA has relied on in reaching and/or further supporting its coverage determination in MR. FARHANGI’S claim.
MR. FARHANGI continues to remain open to a fair and reasonable settlement offer from FLORIDA PENINSULA in an effort to avoid additional delay, costs and expenses, and hereby request the same prior to the expiration of the statutory “cure” period. MR. FARHANGI has provided FLORIDA PENINSULA with all necessary estimates, documentation, etc. in support of the claim. FLORIDA PENINSULA must act fairly and honestly in its response to MR. FARHANGI’S request for a prompt, fair and reasonable settlement offer and resolution of the claim.
|
|
*
|
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.
|
DFS-10-363
Rev. 10/14/2008
|