Civil Remedy Notice of Insurer Violations
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Filing Number:     810140
Filing Accepted:  3/7/2025
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Complainant
Last/Business Name *  
ZECHEL   First Name   ADOLF AND BARBARA
Street Address * 16152 SW 288TH STREET
City, State Zip * HOMESTEAD, FL 33030
Email Address * WITHHELD
Complainant Type: * Insured
Insured
Last/Business Name*   ZECHEL   First Name   ADOLF AND BARBARA
Policy # * 540527 Claim #* 9410831
Attorney
Attorney is Applicable
Last Name* SHERMAN First Name * RYAN Initial H
Street Address* 18801 NE 21ST AVENUE
City, State Zip* MIAMI , FL 33179
Email Address * RYANSHERMANFL@GMAIL.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):* DAISY PRINCESA
Type of Insurance * Residential Property & Casualty   
Reason for Notice *
Claim Denial
Unsatisfactory Settlement Offer
* 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.
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.
* Specific policy language that is relevant to the violation.
Enter all words or phrases (one at a time) that should be used to filter.

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; however, we do not insure loss: 1. involving collapse, other than as provided in Other Coverages 10; 2. caused by: ... h. (1) wear and tear, marring, deterioration; (2) inherent vice, latent defect, mechanical breakdown; (3) smog, rust or other corrosion, mold, wet or dry rot; ... (6) se ling, shrinking, bulging or expansion, including resultant cracking, of pavements, patios, foundations, walls, floors, roofs or ceilings; or ... If any of these cause water damage not otherwise excluded, from a plumbing, heating, air conditioning or automatic fire protective sprinkler system or household appliance, we cover loss caused by the water including the cost of tearing out and replacing any part of a building necessary to repair the system or appliance. We do not cover loss to the system or appliance from which this water escaped. 3. excluded under General Exclusions. Under items 1 and 2, any ensuing loss to property described in Coverages A and B not excluded or excepted in this policy is covered. ... GENERAL EXCLUSIONS 1. We do not insure for loss caused directly or indirectly by any of the following. Such loss is excluded regardless of any other cause or event contributing concurrently or in any sequence to the loss ... e. Neglect, meaning your neglect to use all reasonable means to save and preserve property at and a er the me of a loss. ... 2. We do not insure for loss to property described in Coverages A and B caused by any of the following. However, any ensuing loss to property described in Coverages A and B not excluded or excepted in this policy is covered. ... c. Faulty, inadequate or defective; ... (2) design, specifications, workmanship, repair, construction, renovation, remodeling, grading, compaction; (3) materials used in repair, construction, renovation or remodeling; or (4) maintenance; of part or all of any property whether on or off the Described Loca on. ... CONDITIONS ... 4. Your Du es A er Loss. In case of a loss to covered property, you must see that the following are done: a. give prompt notice to us or our agent; b. (1) protect the property from further damage; (2) make reasonable and necessary repairs to protect the property; and (3) keep an accurate record of repair expenses; ... d. as often as we reasonably require: (1) show the damaged property; (2) provide us with records and documents we request and permit us to make copies; and (3) submit to examination under oath, while not in the presence of any other named insured, and sign the same;
 
* 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 December 13, 2024, the Insureds suffered a loss on account of a plumbing leak causing water damage to Insureds’ property (hereinafter “PLUMBING LEAK CLAIM”). The Insurer assigned claim number 9410831 to the PLUMBING LEAK CLAIM. However, Insurer failed to honor Insureds’ claim and compensate them for the covered losses and, instead, denied said claim in full. As such, Insurer failed to fully, or even partially, indemnify the Insureds for their PLUMBING LEAK CLAIM as it was contractually obligated to do pursuant to the subject Policy. Insurer violated numerous Florida Statutes in its handling of Insureds’ Plumbing Leak Claim. Insurer did not attempt in good faith to settle claims when, under all circumstances, it could and should have done so, made a material misrepresentation for the purpose and with the intent of effecting settlement of such claims, loss or damage on less favorable terms than those provided in the policy, and misrepresented pertinent facts or insurance policy provisions relating to Coverages at issue. Further, by ignoring obvious interior damages resulting from the wind loss claim, Insurer failed to adopt and implement standards for the proper investigation of claims, and denied Insureds’ claim without conducting reasonable investigations based on available information. Insurer made a material misrepresentation, and misrepresented pertinent facts or insurance policy provisions relating to Coverages at issue, when it stated there was no coverage for the Insureds’ claimed loss, and did so for the purpose and with the intent of effecting settlement of such claims, loss or damage on less favorable terms than those provided in the policy. Insurer can cure this breach by paying insurance monies due and owed to the Insureds that would reasonably place Insureds back to their pre-loss condition, as well as compensating the Insureds for all Additional Living Expenses, as well as any and all reasonable attorney’s fees and costs incurred by them to date in connection with this claim and stemming from the aforementioned violations by the Insurer. This notice is given in order to perfect the right to pursue the Civil Remedy Authorized by this section. NOTE: As any information contained herein becomes part of the public record, the Insureds have withheld their email address(es) so as to not make same available for public review. Furthermore, as the Insureds are represented by counsel, it would be improper for any representative of the Insurer to contact the Insureds directly for any reason utilizing their email address(es) and, as such, the information is neither material to the Insurer’s ability to correct the violations contained herein nor required by the Department of Financial Services. The Insurer should direct all follow up correspondences to the attorney listed above.
Comments
User Id Date Added Comment
Legal@hcpci.com 05-05-2025 This is Homeowners Choice Property & Insurance Company’s (“HCPCI”) response to the Civil Remedy Notice of Insurer Violations (“CRN”) filed by Ryan Sherman, Esq. on behalf of Adolf and Barbara Zechel (“Insured”). HCPCI reviewed this CRN and conducted a thorough review of the subject claim (“claim”) and confirmed it handled the claim properly. Under the relevant facts and circumstances, the applicable insurance contract did not provide coverage for the claim. Ultimately, 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