Filing Number: 813702
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| Filing Accepted: 3/28/2025 |
| Last/Business Name
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STANOPRUD
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First Name |
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ROXANNE |
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| Street Address
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412 E. MADISON ST. STE 1206 |
| City, State Zip
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TAMPA,
FL
33602
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| Email Address
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ROXSTANO@GMAIL.COM |
| Complainant Type:
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Insured |
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| Last/Business Name* |
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STANOPRUD |
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First Name |
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ROXANNE |
| Policy # * |
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EDH5476426-01 |
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Claim #* |
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EDI967698 |
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Attorney is Applicable
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| Last Name* |
CONSTANTINOS
First Name *
JEFFREY
Initial
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| Street Address* |
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412 E. MADISON ST SUITE 1206 |
| City, State Zip* |
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TAMPA
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FLORIDA
33602
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| Email Address * |
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SPATEL@APEXFIRM.COM |
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| Insurer Type
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Authorized Insurer
Unauthorized Insurer
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| Insurer Name |
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| Insurer Name* |
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EDISON INSURANCE COMPANY
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| Insurer Name* |
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| Street Address* |
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| City, State Zip* |
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,
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NAIC Company Code 12482 |
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| Name of individual responsible for violation (if any):*
LUKE LAMBERTH AND ANY EMPLOYEES OR CONTRACTORS INVOLVED IN CLAIM NUMBER EDI967698
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| Type of Insurance
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Residential Property & Casualty
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| Reason for Notice
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Claim Denial
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Claim Delay
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Unsatisfactory Settlement Offer
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Unfair Trade Practice
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Statutory provision(s) which the insurer allegedly violated.
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| 624.155(1)(b)(1) |
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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.
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| 626.9541(1)(i)(2) |
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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.
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| 626.9541(1)(i)(3)(a) |
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Failing to adopt and implement standards for the proper investigation of claims.
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| 626.9541(1)(i)(3)(d) |
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Denying claims without conducting reasonable investigations based upon available information.
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Specific policy language that is relevant to the violation.
Enter all words or phrases (one at a time) that should be used to filter.
SECTION I – PERILS INSURED AGAINST A.
Coverage A - Dwelling And Coverage B - Other Structures
1. We insure for sudden and accidental direct loss to property described in Coverage A and B.
In addition to the above listed statutory provisions, see also the following statutes and rules that were violated:
FLORIDA STATUTES VIOLATED
626.877 - Every adjuster shall adjust or investigate every claim, damage, or loss made or occurring under an insurance contract, in accordance with the terms and conditions of the contract and of the applicable laws of this state.
626.878 - An adjuster shall subscribe to the code of ethics specified in the rules of the department. The rules shall implement the provisions of this part and specify the terms and conditions of contracts, including a right to cancel, and require practices necessary to ensure fair dealing, prohibit conflicts of interest, and ensure preservation of the rights of the claimant to participate in the adjustment of claims.
627.70131 (5)(a) Within 90 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 which reasonably prevent such payment. Any payment of an initial or supplemental claim or portion of such claim made 90 days after the insurer receives notice of the claim, or made more than 15 days after there are no longer factors beyond the control of the insurer which reasonably prevented such payment, 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 shall 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.
FLORIDA ADMINISTRATIVE CODE SECTIONS VIOLATED
69B-220.201(3) – Code of Ethics. The work of adjusting insurance claims engages the public trust. An adjuster shall put the duty for fair and honest treatment of the claimant above the adjuster’s own interests in every instance. The following are standards of conduct that define ethical behavior, and shall constitute a code of ethics that shall be binding on all adjusters:
69B-220.201(3)(c) - An adjuster shall not approach investigations, adjustments, and settlements in a manner prejudicial to the insured.
69B-220.201(3)(d) - An adjuster shall make truthful and unbiased reports of the facts after making a complete investigation.
69B-220.201(3)(j) - An adjuster shall not knowingly fail to advise a claimant of the claimant’s claim options in accordance with the terms and conditions of the insurance contract.
69B-220.201(3)(k) - An adjuster shall not undertake the adjustment of any claim concerning which the adjuster is not currently competent and knowledgeable as to the terms and conditions of the insurance coverage, or which otherwise exceeds the adjuster’s current expertise.
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Facts and circumstances giving rise to the violation.
Enter all words or phrases (one at a time) that should be used to filter.
Roxanne Stanoprud paid premiums to Edison Insurance Company and in exchange, Edison issued a policy of insurance number EDH5476426-01 to Ms. Stanoprud. This policy was in full force and effect on or about December 20,2024, when Ms. Stanoprud suffered direct physical loss to the property. Ms. Stanoprud reported the loss within a reasonable time and requested that Edison investigate the loss and promptly issue payment in order to bring the property back to its pre-loss condition and prevent further damage to the property.
While Edison is an expert in identifying loss, damage and coverage, Ms. Stanoprud has no such experience. Edison knew the importance of identifying all loss and damage. Edison employs a team of experts and professionals that were available to determine the extent of loss, damage and coverage. In spite of these resources, Edison conducted an inadequate investigation of the damage. Edisons handling and adjustment of the claim of loss reveals that it has failed to adopt or implement standards for the proper investigation of claims.
Edison sent an under-qualified adjuster who did not investigate all the damage. The lack of diligence and care in investigating the damage reveals a lack of experience in the type of work that needed to be done and the adjuster’s incentive to adjust the claim dramatically in favor of his employer, Edison’s.
Subsequently, Edison has refused to settle the claim in good faith. Edison unfairly underpaid the claim without conducting any additional investigation. In explaining the partial denial to Ms. Stanoprud, Edison misrepresented the terms of the policy and misapplied policy provisions. Since that time, Edison has refused to pay Ms. Stanoprud the full amount of damages despite being provided with sufficient opportunity and documentation relating to the expenses.
A review of Edisons actions leads to the inevitable conclusion that Edison has breached its duty of good faith and fair dealing. Edison failed to thoroughly, accurately, and promptly investigate and settle Ms. Stanoprud’s claim. Moreover, Edison claims handling procedure reflects that its employees and its contractors are encouraged and trained to act in the interest of the company at the expense of the interests of the insureds.
Edison failed to properly investigate the claim, failed to promptly and thoroughly investigate the claim, failed to promptly and properly adjust the loss, failed to exercise diligence and candor in contact with Ms. Stanoprud and failed to act in good faith in attempting to settle the claim.
These violations may be cured by the following: payment of the fair estimates and invoices that were submitted to Edison, payment of the damages that resulted from Edison’s refusal to fairly and timely adjust the claim including, but not limited to, fair market value of the loss of use of property, interest on payments not made, related costs and fees. Inevitably, additional damages will accrue from Edison’s failure to settle the claim and bring Ms. Stanoprud’s property back to its pre-loss condition.
In addition, Edison must implement proper standards for the training, supervision and management of all claims handling personnel, including adjusters. These standards must include new requirements for the proper qualifications and training of its adjusters. In addition, Edison must revise the procedures by which its claims handling personnel are hired, retained and promoted in order to encourage its employees and contractors to handle claims in good faith, rather than incentivize them to act solely in the interests of the company.
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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.
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DFS-10-363
Rev. 10/14/2008
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