Civil Remedy Notice of Insurer Violations
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Filing Number:     795250
Filing Accepted:  12/4/2024
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Complainant
Last/Business Name *  
LOCKE   First Name   RICHARD
Street Address * 1037 RAINTREE DRIVE
City, State Zip * PALM BEACH GARDENS, FL 33410
Email Address * LL@WEKLAW.COM
Complainant Type: * Insured
Insured
Last/Business Name*   LOCKE   First Name   RICHARD
Policy # * HCPC-HO3-334280-4 Claim #* 929369
Attorney
Attorney is Applicable
Last Name* LIEB First Name * LORA Initial
Street Address* 800 E BROWARD BLVD #510
City, State Zip* FORT LAUDERDALE , FLORIDA 33301
Email Address * LL@WEKLAW.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):* ANNIE STEWART; CHAVANNES ADE
Type of Insurance * Residential Property & Casualty   
Reason for Notice *
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)(b) Misrepresenting pertinent facts or insurance policy provisions relating to coverages at issue.
* Specific policy language that is relevant to the violation.
Enter all words or phrases (one at a time) that should be used to filter.

We will provide the insurance described in this policy in return for the premium and compliance with all applicable provisions of this policy DEFINITIONS "Insured location" means: a. The "residence premises"; 7. "Occurrence" means an accident, including continuous or repeated exposure to substantially the same general harmful conditions, which results, during the policy period, in: a. "Bodily injury"; or b. "Property damage". 11. "Property damage" means physical injury to, destruction of, or loss of use of tangible property. SECTION I - PROPERTY COVERAGE COVERAGE A – Dwelling We cover: 1. The dwelling on the "residence premises" shown in the Declarations, including attached structures and attached wall-to-wall carpeting if damage to the dwelling is caused by a covered loss; ADDITIONAL COVERAGES COVERAGE A – Dwelling We cover: 1. The dwelling on the "residence premises" shown in the Declarations, including attached structures and attached wall-to-wall carpeting if damage to the dwelling is caused by a covered loss; SECTION I - PERILS INSURED AGAINST COVERAGE A – DWELLING and COVERAGE B – OTHER STRUCTURES We insure against risk of direct loss to property described in Coverages A and B only if that loss is a physical loss to property. SECTION I - CONDITIONS 10. Loss Payment. We will adjust all losses with you. We will pay you unless some other person is named in the policy or is legally entitled to receive payment.
 
* Facts and circumstances giving rise to the violation.
Enter all words or phrases (one at a time) that should be used to filter.

Prior to September 28, 2022, Homeowners Choice Property & Casualty Insurance Company (hereinafter “Homeowners”) sold an insurance policy, identified by policy number HCPC-HO3-3342850-11, to Richard Locke for his home located at 1037 RainTree Dr., Palm Beach Gardens, FL 33410 (hereinafter “Home”). Homeowner’s sold Mr. Locke an H03 policy with broad coverages, including but not limited to coverage for hurricane damage. On or about September 28, 2022, while the subject policy was in full force and effect a Hurricane Ian caused substantial damage to the Home, which resulted in claim no. 929369 (hereinafter “Loss”). After receiving prompt notice of the loss, Homeowner’s sent off a field to inspect the home and photograph the property. As a result of the review, Homeowner’s issued its claim decision for the loss claiming that the property showed signs “wear and tear and deterioration due to age and exposure to the element” despite the roof being installed only two years prior to this loss. Furthermore, Homeowner’s chose to issue the policy to Mr. Locke and accepted premiums for this property. At the same time, Mr. Locke, through ICA Public Adjusters, investigated and adjusted the loss, determining a value of the Loss under Coverages A at $115,269.18 for roof and interior repairs. Since litigation, Mr. Locke has provided vendor estimates to reflect the market value cost of the necessary repairs to bring his home back to its pre-loss condition. Homeowner’s adjustment of the loss was not a fair or honest adjustment of the loss. Homeowner’s adjustment of the loss was intended to provide the illusion of a fair adjustment, to avoid payment to Mr. Locke. Homeowner’s knows or should know that its adjustment of the Loss is not a fair or honest assessment of the Loss, yet Homeowner’s has refused to attempt to settle the Loss with Mr. Locke and his representatives. Homeowner’s has made the practice of denying and under valuing a claim in order to leverage more favorable claim settlements and to avoid having to fairly and honestly adjust and pay for losses. Further, Homeowner’s failed to assign an unbiased adjusting team to handle the loss. Homeowner’s does not have appropriate standards in place to be able to investigate claims such as the Loss at Mr. Locke’s Home. Homeowner’s’ failure to have appropriate standards, led to the assignment of an inadequate inspection team, which ultimately led to Homeowner’s’ unfair and dishonest adjustment of the Loss. In total, and as exhibited above, Homeowner’s has implemented a strategy and approach to the Loss that is unfair, and Homeowner’s is unfairly attempting to settle the Loss. In order to remedy the above referenced violations, Homeowner’s must promptly fairly and honestly assess or reassess the Loss so that it may engage in good faith settlement negotiations with Mr. Locke and his representatives.
Comments
User Id Date Added Comment
Legal@hcpci.com 01-30-2025 This is Homeowners Choice Property & Casualty Insurance Company’s (“HCPCI”) response to the Civil Remedy Notice of Insurer Violations (“CRN”) filed on behalf of Richard Locke (“Insured”). After reviewing the CRN, HCPCI conducted a thorough review of the subject claim (“Claim”) and confirmed it handled the Claim properly. Ultimately, all issues regarding the Claim, including all issues raised in the CRN, have been resolved via a full and final settlement agreement (“settlement”). Pursuant to the settlement, the Insured signed a full, final and valid release that addresses all claims for bad faith in relation to the Claim. This response to the CRN in no way impairs or otherwise alters the full and final settlement of the Claim. Subject to the foregoing, HCPCI denies it committed a violation of any Florida statute prior to the settlement or at any time as alleged in the CRN. HCPCI also notes the CRN is deficient as, for instance, it fails to cite relevant statutory provisions along with supporting, specific insurance contract language and facts. Ultimately, as referenced above, HCPCI settled all issues regarding the Claim, including any and all issues raised in the CRN, as set forth in the release. Finally, upon request by the Department of Financial Services, HCPCI will provide to the Department of Financial Services detailed correspondence HCPCI provided to the Insured regarding HCPCI’s obligations for the Claim under the insurance contract and the facts of 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.

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