Civil Remedy Notice of Insurer Violations
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Filing Number:     811968
Filing Accepted:  3/19/2025
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Complainant
Last/Business Name *  
WHIDDON   First Name   MAUREEN AND ROBERT
Street Address * 7630 MAYWOOD CREST DRIVE
City, State Zip * PALM BEACH GARDENS, FL 33412
Email Address * ROBERTWHIDDON23@GMAIL.COM
Complainant Type: * Insured
Insured
Last/Business Name*   WHIDDON   First Name   MAUREEN AND ROBERT
Policy # * FLP464721 Claim #* 1302393-241013
Attorney
Attorney is Applicable
Last Name* ELAZAR First Name * SAPIR Initial
Street Address* 800 EAST BROWARD BLVD. SUITE 510
City, State Zip* FORT LAUDERDALE , FLORIDA 33301
Email Address * SE@WEKLAW.COM
Violation
Insurer Type *   Authorized Insurer Unauthorized Insurer
 
Insurer Name*   ASI PREFERRED INSURANCE CORP.
NAIC Company Code 13142
 
Name of individual responsible for violation (if any):* N/A
Type of Insurance * Residential Property & Casualty   
Reason for Notice *
Unsatisfactory Settlement Offer
Unfair Trade Practice
Claim Delay
* 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)(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)(c) Failing to acknowledge and act promptly upon communications with respect to claims.
626.9541(1)(i)(3)(g) Failing to promptly notify the insured of any additional information necessary for the processing of a claim.
* Specific policy language that is relevant to the violation.
Enter all words or phrases (one at a time) that should be used to filter.

Loss Payment Provision. Loss Settlement Provision.
 
* Facts and circumstances giving rise to the violation.
Enter all words or phrases (one at a time) that should be used to filter.

Maureen Whiddon and Robert Whiddon (the "Insured") purchased an insurance policy ("Policy") from ASI Preferred Insurance Corp. (“ASI”) with effective coverage on the date of the loss, on or about November 15, 2023 , and policy number FLP464721 to insure her home located at 7630 Maywood Crest Drive, Palm Beach Gardens, FL 33412 (the "Property"). On or about November 15, 2023 , the aforementioned Property suffered severe damage as the result of Windstorm, which caused ensuing damages to the Property including but not limited to the exterior and roofing system of the property. The Insured promptly reported their claim to ASI. ASI acknowledged receipt of the claim by generating claim number 1302393-241013. After considerable stalling, ASI went to inspect the property, as they are required to, and generated an estimate for the damages suffered. ASI initially made a low-ball coverage decision that broadly ignored the damage sustained to the Property valuing the damage at $ 2,142.62 after the application of the deductible. It was clear that ASI was trying to reduce their contractual obligation by undervaluing the damage to the Insured’s Property from the start, despite the fact that the Insured actively provided all proof of claim needed to have their claim evaluated fairly. Despondent, the Insured retained Dash Public Adjusters (“Dash”) to act as their public adjuster, to assist in the evaluation and inspection of damage to the property. Dash investigated the property and generated an estimate for the damages. Dash immediately sent their estimate to ASI, which estimated the scope or damage to be $293,479.88 along with a request for supplemental payment, but ASI failed to issue any additional payment to the Insured. ASI’s dramatically insufficient coverage decision has resulted in further damages to the Insured by preventing them from returning their Property to its pre-loss condition, rather than participating in the settlement process in good faith. As a direct consequence of ASI’s failure to adjust this loss in good faith and pay what it owed under the policy, the Insured and their family are continuing to sustain considerable hardship. Upon information and belief, ASI, as part of its general business practice, initially low-balls its policyholders. ASI does this in a calculated and systematic scheme that begins with manipulating the software system used in estimating its property damage claims. It appears that ASI issues its adjusters estimating software which contains construction pricing below the fair market value. It also appears that ASI trains its claim adjusters to overlook and/or turn a blind eye to a number of routine costs that ASI knows most policyholders generally would not know to request but are actually covered under the insured’s policy. Moreover, as part of this scheme, after making one initial low-ball payment – ASI stalls and intentionally delays the claim, all under the false pretense that it’s “investigating” the claim. ASI has violated Florida Statute § 624.155(1)(b)(1) by continuously not attempting in good faith to settle this claim when it should have done so if it had acted fairly and honestly towards its Insured. ASI has also violated Florida Statute § 624.155(1)(b)(3) by failing to promptly settle this obviously covered claim to influence settlement in its favor. Despite being presented all of the indisputable evidence of the amount of damage sustained by this Property, it is a disgrace that the Insured have been treated in this manner by their insurance company after sustaining an obviously covered loss, submitting to every demand of ASI, and making a good faith effort to resolve in an attempt to amicably come to a fair resolution. ASI violated Florida Statutes § 626.9541(1)(i)(2) and § 626.9541(1)(i)(3)(b) by making material misrepresentations to the Insured for the purpose and with the intent to settle the claim on less favorable terms than those provided and contemplated by the policy. ASI was informed multiple times of the discrepancies and inconsistencies of the low-ball payment issued to the Insured. While ASI was made aware of this information for the purpose of obtaining the money contractually owed to the Insured under its insurance policy to attempt to return their home to its pre-loss condition in a timely fashion, ASI accepted that information and has used it to play the delay game with the Insured, knowing all too well the additional damage and hardship that was being placed on the Insured by its actions. ASI violated § 626.9541(1)(i)(3)(a) when it failed to adopt and implement standards for the proper investigations of claims. Under no circumstances is there an excuse for the lack of a proper investigation in this case. ASI and their representatives are willfully blind and grossly underqualified to handle a loss such as the one sustained by the Insured. In addition, after being placed on notice as to the blatant underpayment of the Insured’ claim, ASI has yet to rectify their actions and do right by the Insured by paying the money they are contractually owed. ASI violated § 626.9541(1)(i)(3)(c) by failing to acknowledge and act promptly upon the communications with respect to the claim. There still has yet to be significant action taken by ASI to this date, despite ASI being presented with the flawed rationale behind their underpayment of the Insured’ claim. ASI violated § 626.9541(1)(i)(3)(g) by failing to promptly notify the Insured of any additional information necessary for processing the claim. The Insured have more than complied with each and every request and there has still been no action by ASI. In the event ASI is in need of additional information, they have failed to promptly notify the Insured in a timely manner. This pattern of behavior is perpetuated by ASI and their representatives undeterred by the Ethical Requirements that are imposed by law on all Adjusters. Fla. Admin. Code Ann. R. (3) explicitly states the adjustment of insurance claims engage the trust of the public, and therefore, an adjuster has a duty of fair and honest treatment of the Insured throughout the insurance claim process. Several duties and responsibilities to the Insured were violated in the handling of this claim, which are specifically listed responsibilities of an Adjuster in the Florida Administrative Code. These breached duties and responsibilities include adjusters from ASI approaching the investigation and settlement in a manner prejudicial to the Insured, failing to allow a fair settlement with the Insured, and acting with due diligence in achieving a proper disposition of the claim. In contrast to the legislative intent motivating the enumeration of an Adjuster’s responsibilities outlined in the Administrative Code, the Insured were not afforded the professional duties entrusted on ASI by the public. To date, ASI has failed to adequately compensate the Insured for the damage that occurred on November 15, 2023 . As a direct result of ASI’s delay, the Insured were forced to seek the help of legal counsel to assist them. Due to the amount of time that has passed since the date of loss, this acknowledgement is evidence that ASI knowingly and intentionally are delaying the claims process in order to further disadvantage the Insured. The financial detriment caused to the Insured and their family is a direct result of ASI’s reckless delay of the claim process. The Insured are dutiful customers who made it a priority to pay their insurance premiums to ensure that in such an event as this devastating incident, their home would be covered. The Insured timely filed their claim and fulfilled all of their post-loss obligations. All requested information and documentation has been turned over to ASI and their representatives promptly by the Insured. However, ASI failed at every step of the process to adequately establish or identify the basis of its gross mismanagement of the claim, failed to inform the Insured how they may remedy any deficiencies in their claim, and failed to provide them with qualified representatives to ensure the claim was initially adjusted, evaluated, and estimated properly. To deny the Insured the benefit of their bargain after they satisfied all of their obligations is morally and ethically reprehensible, and reeks of Unfair Trade Practice. Upon information and belief, the aforementioned actions complained of, among others, were made by ASI so often as to constitute a general business practice, evidencing a motive to enhance ASI’s profits, and designed to cause a detrimental effect to its policy holders. ASI was aware that the Insured’ damages were covered and took advantage of its Insured in an attempt to force them into an irreparably disadvantaged position, which they hope will force the Insured to settle for less coverage than they are contractually entitled to under the policy. This notice is given in order to perfect the right to pursue the civil remedy authorized by Section 624.155, Florida Statutes, should ASI fail to cure the violations set forth in this Civil Remedy Notice within the given cure period. Therefore, to cure the defects outlined in this Civil Remedy Notice, ASI must: (1) Immediately tender all insurance proceeds due and owing to the Insured that are fairly owed to the Insured under the insurance policy that would reasonably place the Insured back to a pre-loss condition; (2) Agree to reimburse the Insured’ reasonable attorneys’ fees and costs for having to become involved to resolve the claim; (3) Agree to reimburse the Insured for interest on the amount of benefits that was found to be due and owing to the Insured, relating back to the date of loss; (4) Although the Insured have made a demand herein and have previously provided ASI with all the necessary estimates, invoices, receipts, etc. in support thereof, the Insured are still willing to consider and to potentially accept any reasonable counter-offer made by ASI. Therefore, if ASI is not in agreement with the Insured’ reasonable demand for payment of their rightfully-owed insurance benefits being submitted at this time, the Insured hereby request that ASI now make a reasonable counter-offer before the expiration of the cure period.
Comments
User Id Date Added Comment
lashawna_e_nesbitt@progressive.com 04-18-2025 While ASI Preferred Insurance Corp. believes that the Civil Remedy Notice fails to comply with the requirements of Florida Statute §624.155 and Florida Case law, it has responded to the notice in writing to Sapir Elazar, Esquire, on April 18, 2025. Pursuant to F.S. 624.155(3)(e), please accept this notice on the disposition of the alleged violations contained in the Civil Remedy Notice occurred on April 3, 2025.
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