Civil Remedy Notice of Insurer Violations
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Filing Number:     811517
Filing Accepted:  3/17/2025
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Complainant
Last/Business Name *  
PARI HOSPITALITY LLC   First Name  
Street Address * 4850 S. CLEVELAND AVE
City, State Zip * FT. MYERS, FL 33907
Email Address * YIA24@YOURINSURANCEATTORNEY.COM
Complainant Type: * Insured
Insured
Last/Business Name*   PARI HOSPITALITY LLC   First Name  
Policy # * 1966831221 Claim #* 05000001583
Attorney
Attorney is Applicable
Last Name* DIAMOND First Name * PETER Initial
Street Address* 2601 S. BAYSHORE DR, 5TH FLOOR
City, State Zip* MIAMI , FL 33133
Email Address * PD@YOURINSURANCEATTORNEY.COM
Violation
Insurer Type *   Authorized Insurer Unauthorized Insurer
 
Insurer Name*   FRONTLINE INSURANCE UNLIMITED COMPANY
NAIC Company Code 10074
 
Name of individual responsible for violation (if any):* ALL ADJUSTERS WHO HAVE BEEN ENGAGED
Type of Insurance * Commercial Property & Casualty   
Reason for Notice *
Claim Delay
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.
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)(c) Failing to acknowledge and act promptly upon communications with respect to claims.
* Specific policy language that is relevant to the violation.
Enter all words or phrases (one at a time) that should be used to filter.

The entire policy in incorporated herein as a basis for 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.

This claim stems from a Hurricane Ian commercial loss. The insured timely reported the claim and complied with every condition precedent, including, but not limited to, promptly reporting the claim, cooperating with the carrier's requests for documentation, submitting a sworn statement in proof of loss, and sitting for several Examinations Under Oath. To date, the carrier has not made a final coverage determination. That is unacceptable. The carrier has a finite amount of time to extend coverage in favor of the insured. Despite the insured's timely compliance with the carrier's requests, the carrier has not afforded coverage, made a payment, or extended an offer. That is unacceptable and constitutes bad faith claims handling. This appears to be a pattern with this carrier, as this is not the only instance in which it has delayed claim determinations. Based on information and belief, this carrier has a practice of delaying claims and then either denying them or issuing inadequate payments. The insured demands the full value of the covered loss as detailed in the sworn statement in proof of loss: $3,429,926.88.
Comments
User Id Date Added Comment
peter@peterdiamondlaw.com 02-26-2026 This matter was amicably resolved. This CRN is withdrawn.
jhaas@zinoberdiana.com 05-15-2025 May 15, 2025 Via Online Submission Florida Department of Financial Services 200 East Gaines Street Tallahassee, Florida 32399 Re: Complainant: Pari Hospitality LLC Claim No.: 05000001583 DFS Filing No.: 811517 Filing Acceptance Date: March 17, 2025 Dear Sir or Madam: Please accept this correspondence as the response from Frontline Insurance Unlimited d/b/a Frontline Insurance (“Frontline”) to the Civil Remedy Notice of Insurer Violation (“Civil Remedy Notice”) filed by Peter Diamond, Esquire on behalf of Pari Hospitality LLC regarding the above-referenced claim. The Department of Financial Services accepted the Civil Remedy Notice on March 17, 2025, and assigned it filing number 811517. Frontline confirms that it conducted a thorough review of its investigation of Claim Number 05000001583. In sum, Frontline denies each and every assertion of “bad faith” in the Civil Remedy Notice. Frontline has handled the claim in accordance with the insurance contract and all statutory and regulatory requirements. Frontline denies that it has violated the statutes as alleged in the Civil Remedy Notice. Contrary to the allegations asserted in the Civil Remedy Notice, Frontline has done nothing more than abide by its insurance policy and Florida law in evaluating this claim. At all times, Frontline acted in good faith, fairly and honestly towards its insured, Pari Hospitality LLC d/b/a La Quinta Inn by Wyndham Fort Myers Central – Fort Myers, FL (hereinafter “Pari Hospitality”), and with due regard for the interests of its insured. The Civil Remedy Notice fails to adequately describe the alleged violations, includes incorrect alleged violations and factual support thereof, and fails to provide sufficient information to allow Frontline to correct the alleged violations. The Civil Remedy Notice states the following reasons for notice: “Claim Delay” and “Unsatisfactory Settlement Offer.” In its Civil Remedy Notice, however, Pari Hospitality failed to provide specific and sufficient information to support such allegations. In the Facts and Circumstances section of the Civil Remedy Notice, Pari Hospitality provided only inaccurate allegations and omissions with no basis in fact or circumstance. Frontline has not delayed the claim or made any unsatisfactory settlement offers. As is evidenced by the information provided below, it is quite the contrary. Frontline has complied with the subject policy of insurance and Florida law, and coverage for the subject claim is void due to Pari Hospitality’s intentional concealment and/or misrepresentation of material facts and/or circumstances surrounding the loss, and because it made materially false statements. Coverage under the Policy is void in any case of fraud or if Pari Hospitality intentionally concealed or misrepresented a material fact concerning coverage, the covered property, or the claim. When asked to identify the specific policy language that is relevant to the violation, the Civil Remedy Notice merely states, “The entire policy in incorporated herein as a basis for this notice” without explaining which policy language actually allegedly applies. As the Civil Remedy Notice fails to explain and specific policy language that is relevant to the alleged violations, the Civil Remedy Notice should be rejected. However, Frontline also asserts that the subject policy of insurance speaks for itself and that it has complied with the Policy and Florida law in full at all times. Furthermore, the Civil Remedy Notice alleges that Frontline violated numerous provisions of Florida Statutes, without providing sufficient facts in support thereof. Specifically, the Civil Remedy Notice does not provide Frontline with notice as to what it allegedly did to violate Florida Statutes §§ 624.155(1)(b)(1), 624.155(1)(b)(3), 626.9541(1)(i)(3)(a), and 626.9541(1)(i)(3)(c). This is likely because Frontline did absolutely nothing to violate the aforementioned statutes. The facts of this claim clearly show that Frontline timely investigated and evaluated the claim in an efficient manner and in “good faith,” at all times acting fairly and honestly towards Pari Hospitality and with due regard for its interests. Pari Hospitality did not allege with any level of specificity how Frontline allegedly violated these statutory provisions, which makes it impossible for Frontline to respond to the allegations. However, Frontline asserts the following: Frontline issued a commercial policy of insurance to Pari Hospitality, bearing policy number 1966831221, with effective dates of coverage of August 3, 2022 to August 3, 2023, which provided coverage to the property located at 4850 S Cleveland Ave, Fort Myers, FL 33907, subject to all of the Policy’s terms, limitations, conditions, exclusions and deductible provisions. On or about October 24, 2022, Frontline was notified that the insured property sustained damage from Hurricane Ian on September 28, 2022. Frontline assigned the reported loss to Claim Number 05000001583 and promptly commenced an investigation of the claim. Frontline’s inspections in November of 2022 revealed the property was fully occupied. Also, Frontline’s inspections in November of 2022 revealed minor damage to the roof of the property, which it found to be repairable. Frontline was advised of damage to interior units 241 and 227 of the property, but Frontline’s inspections in November of 2022 revealed no visible damage to said units due to repairs already being made. Further, Frontline’s inspections in November of 2022 revealed no indication of flood damage from Hurricane Ian. On or about December 15, 2022, Frontline received Pari Hospitality’s Sworn Proof of Loss in the amount of $2,190,926.88 for Building Coverage damages and $645,000.00 for Business Personal Property damages. Simultaneously, Pari Hospitality submitted a claim for Business Income Coverage in the amount of $594,000.00. Prafulbhai Patel signed Pari Hospitality’s Sworn Proof of Loss before a notary on December 15, 2022. As insufficient documentation and information had been submitted to Frontline to substantiate the figures contained within and attached to the Sworn Proof of Loss, Frontline proceeded with its investigation under a full reservation of rights and requested examinations under oath and additional documentation in support of the claim. As of February of 2023, Frontline’s preliminary investigation had revealed the amount of loss under the Policy’s Building Coverage did not exceed the deductible; therefore, no payment was issued under said coverage. However, Frontline issued a payment of $3,122.02 for Special Class Items coverage. Frontline took the examinations under oath of Pari Hospitality’s representatives on April 15, 2024, August 9, 2024, December 6, 2024, and February 6, 2025. Despite Frontline’s requests, Pari Hospitality did not produce Prafulbhai Patel for an examination under oath. During her examination under oath on August 9, 2024, Divya Patel testified under oath that Prafulbhai Patel is not her father-in-law. Via its sworn examination under oath testimony, Pari Hospitality claimed Hurricane Ian caused flood damage to the property. Via its sworn examination under oath testimony, Pari Hospitality confirmed that no roof repairs were performed following Hurricane Ian, but that a tarp was installed. Via its sworn examination under oath testimony Pari Hospitality confirmed there were no current leaks in any of the units of the property. Via its sworn examination under oath testimony, Pari Hospitality advised the interior units damaged by Hurricane Ian had been repaired, and no further interior repairs were needed. Via its sworn examination under oath testimony, Pari Hospitality was unable to provide information as to who made all interior repairs or how much said repairs cost. Via its sworn examination under oath testimony, Pari Hospitality confirmed it is claiming the monetary amounts contained within and attached to Pari Hospitality’s December 15, 2022 Sworn Proof of Loss. Regarding its claim for Building Coverage damages, Pari Hospitality’s counsel produced to Frontline nine checks for payments for repairs performed at the property, which total $59,130, advising the checks are the only proofs of payment Pari Hospitality has for the repairs completed. Frontline has not received documents from Pari Hospitality to support its claim for $2,190,926.88 in Building Coverage damages. Frontline has not received any documents from Pari Hospitality to support its claim for $645,000.00 in Business Personal Property damages. Regarding its $594,000.00 claim for Business Income Coverage, via its sworn examination under oath testimony, Pari Hospitality asserted there were more rooms out of order after Hurricane Ian than in the year preceding the storm and that no rooms were out of order in the year prior to Hurricane Ian. However, Pari Hospitality produced Occupancy Statistic Reports that completely contradict its sworn testimony and instead establish that instead of losing income following Hurricane Ian, Pari Hospitality had significantly higher revenue, higher occupancy rates, less out of order rooms, and less out of inventory rooms. The documentation submitted by Pari Hospitality regarding Business Income Coverage is completely contrary to its position in the claim, including the positions taken in the Sworn Proof of Loss and the sworn examination under oath testimony. The Policy contains the following relevant provision regarding Concealment, Misrepresentation or Fraud: COMMERCIAL PROPERTY CONDITIONS This Coverage Part is subject to the following conditions, the Common Policy Conditions and applicable Loss Conditions and Additional Conditions in Commercial Property Coverage Forms. A. CONCEALMENT, MISREPRESENTATION OR FRAUD This Coverage Part is void in any case of fraud by you as it relates to this Coverage Part at any time. It is also void if you or any other insured, at any time, intentionally conceal or misrepresent a material fact concerning: 1. This Coverage Part; 2. The Covered Property; 3. Your interest in the Covered Property; or 4. A claim under this Coverage Part. See form CP 00 90 07 88, Page 1 of 2. Therefore, via correspondence dated March 24, 2025, Frontline denied coverage for the claim. Frontline’s investigation revealed that Pari Hospitality intentionally concealed and/or misrepresented material facts and/or circumstances surrounding the loss and made materially false statements. Coverage under the Policy is void in any case of fraud or if Pari Hospitality intentionally concealed or misrepresented a material fact concerning coverage, the covered property, or the claim. There is no coverage for the subject claim and no basis behind the allegations asserted within the Civil Remedy Notice. We trust that this response addresses the issues alleged in the Civil Remedy Notice. Should the Department need any additional information from Frontline regarding any of the allegations in the Civil Remedy Notice or Frontline’s responses thereto, please do not hesitate to contact Frontline. Frontline does not intend by this letter, or otherwise, to waive any rights that it may have under the policy or applicable law. Frontline expressly reserves all rights. Respectfully, ZINOBER, DIANA & MONTEVERDE, P.A. /s/ Jamie N. Haas Michael A. Monteverde, Esq. Jamie N. Haas, Esq. Michael@zinoberdiana.com JHaas@zinoberdiana.com cc: Via Email Only: yia24@yourinsuranceattorney.com, pd@yourinsuranceattorney.com Peter Diamond, Esquire Your Insurance Attorney 2601 S. Bayshore Dr., 5th Floor Miami, FL 33133
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