Filing Number: 823270
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| Filing Accepted: 5/23/2025 |
| Last/Business Name
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CONDOMINIUM ASSOCIATION
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First Name |
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MEDITERRANEA |
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| Street Address
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3988-3994 MEDITERRANEA CIRCLE |
| City, State Zip
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SARASOTA,
FL
34233
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| Email Address
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WITHHELD |
| Complainant Type:
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Insured |
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| Last/Business Name* |
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CONDOMINIUM ASSOCIATION |
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First Name |
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MEDITERRANEA |
| Policy # * |
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HCP007337 |
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Claim #* |
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H010037505 |
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Attorney is Applicable
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| Last Name* |
GREENBERG
First Name *
GREGORY
Initial
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| Street Address* |
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350 NORTH LAKE DESTINY ROAD |
| City, State Zip* |
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MAITLAND
,
FLORIDA
32751
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| Email Address * |
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GGREENBERG@ITSABOUTJUSTICE.LAW |
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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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HERITAGE PROPERTY & CASUALTY 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 14407 |
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| Name of individual responsible for violation (if any):*
HERITAGE PROPERTY AND CASUALTY
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| Type of Insurance
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Commercial 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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Unfair Trade Practice
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Other
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Misrepresentation
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Statutory provision(s) which the insurer allegedly violated.
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| 624.155(1)(b)(3) |
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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.
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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)(b) |
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Misrepresenting pertinent facts or insurance policy provisions relating to coverages at issue.
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| 626.9541(1)(i)(3)(c) |
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Failing to acknowledge and act promptly upon communications with respect to 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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| 626.9541(1)(i)(3)(f) |
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Failing to promptly provide a reasonable explanation in writing to the insured of the basis in the insurance policy, in relation to the facts or applicable law, for denial of a claim or for the offer of a compromise settlement.
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| 626.9541(1)(i)(4) |
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Failing to pay undisputed amounts of partial or full benefits owed under first-party property insurance policies within 60 days after an insurer receives notice of a residential property insurance claim, determines the amounts of partial or full benefits, and agrees to coverage, unless payment of the undisputed benefits is prevented by factors beyond the control of the insurer as defined in s. 627.70131(5).
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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.
CP 00 17 06 07
A. Coverage
E. Loss Conditions
CP 10 10
A. Covered Causes of Loss
CP 01 91 07 10
HC 00 01 05 18
Loss Settlement
Loss Payment
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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.
On or about October 10, 2024, Mediterranea Condominium Association (“Mediterranea”) suffered damage to its property located at Loc 1. Struct. No. 3988-3994 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 2. Garage - 3988-3994 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No 3. 3972-3982 Mediterranea Circle, Sarasota, FL 34233, Loc 1 Struct No 4. Garage – 3972-3982 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 5. Garage – 3972-3982 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 6. 3952-3966 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 7. Garage – 3952-3966 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 8. Garage – 3952-3966 Mediterranea Circle, Sarasota, FL 34233 3988-3994 , Loc 1. Struct No. 9. 3935-3945 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 10. Garage – 3935-3945 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 11. Garage – 3935-3945 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 12. 3919-3929 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 13. Garage – 3919-3929 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 14. Garage – 3919-3929 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 15. 3903-3913 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 16. Garage – 3903-3913 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 17. Garage – 3903-3913 Mediterranea Circle, Sarasota, FL 34233, Loc 1. Struct No. 18. 1 Unit Condo & Clubhouse - 3951 Mediterranea Circle, Sarasota, FL 34233 resulting from Hurricane Milton. Insured is a residential condominium association where many residents have saved their entire lives to enjoy their retirement in peace. Instead, they are still picking up the pieces of their lives and living in chaos due to damages sustained from Hurricane Milton which remain unrepaired as of the date of this filing due to lack of sufficient funds to complete repairs from their property insurer.
Prior to the loss, Heritage Property and Casualty Insurance Company (“Heritage”) issued a policy of insurance (policy no. HCP007337) for Insured’s property. Said policy was in full force and effect on the date of loss and afforded coverage for damage caused by hurricane. Heritage was immediately notified of the loss by Insured and assigned claim number H010037505.
During Heritage’s investigation, Mediterranea made their property available for multiple inspections and fully cooperated with Heritage’s investigation of the claim. Heritage did the bare minimum to adjust the claim. Heritage failed to timely respond to communications, provide estimates supporting the loss payments, or adjust the loss in good faith. Upon information and belief Heritage routinely engages in a pattern and practice of assigning “experts” such as John Runkle and Ransom Consulting who were used in this claim in order to avoid full payment of claims and obscure or hide information available to Heritage that is withheld from its insureds. For instance, Heritage represented in a correspondence dated February 10, 2025 that its assigned field adjuster observed “wind damage to the roofing shingles and exterior elevations” and that Heritage “also assigned John Runkle and Niboom Tenzin with Pinchin Engineering to inspect the property as well.” It attached a 28-page estimate for repairs with no other explanation of what was observed or damaged. Heritage then sent a “revised estimate” of 58 pages dated February 4, 2025 with no explanation whatsoever.
Despite Mediterranea fully cooperating with Heritage’s investigation, Heritage denied the majority of Mediterranea’s claim without providing specific and articulable facts explaining its decision despite obvious storm damage to every building at the property. The scant explanation of boilerplate text is confusing and clearly designed to obfuscate the fact that Heritage knows its liability extends far beyond the meager coverage afforded to Insured. Similarly, and unfortunately, Heritage offered no explanation at all for its supplemental payment dated March 25, 2025. Heritage has used these elementary tactics for years and they are clearly devised to bury or downplay information in Heritage’s possession proving it undervalued Insured’s claim. Upon information and belief, Heritage routinely engages in a pattern and practice of undervaluing residential commercial property insurance claims at or near their insureds’ deductibles in order to avoid full payment of claims such as it did here.
There are widespread damages to the roofing systems, including but not limited to torn, missing, and unsealed shingles, along with mat transfer, windborne debris impact strikes, damage to the gutters, garage doors, and light fixtures and window and door damage. Furthermore, the underlayment on the roofing system has failed in units 3935, 3937, and 3945 and allowed water to enter the buildings due to storm-created openings. Despite knowing this, Heritage extended a meager $3,793.32 after deductible for repairs to Insured’s property.
It is clear that Heritage has not acted honestly or fairly towards Mediterranea. Heritage and its adjusters have misrepresented the scope and cause of damages to Mediterranea’s property and misapplied exclusions in the policy in order to deny coverage for the majority of Mediterranea’s claim in order to ensure its valuation of the claim would be the bare minimum, As is the case here, it has become a general business practice of Heritage to not implement proper claims handling procedures, to hire consultants that routinely ignore or intentionally misidentify relevant evidence, and to not settle claims in good faith when under all circumstances it should have. Heritage regularly undervalues claims in order to avoid issuing payment on losses that it knows are covered under the policy.
Heritage also routinely refuses to pay claims in full when it has the ability to do so, waits to see if its insureds contest their coverage determination, before it is ever willing to perform repairs or issue benefits that were already owed under the policy. Heritage has developed this deliberate strategy in order to deter its Insured from challenging its coverage determinations and hinder the ability to seek additional payment for monies owed under the policy. Heritage’s practice of not adjusting losses in good faith in accordance with section 627.70131, Florida Statues, unnecessarily delays resolution of its claims and leaves claimants like Mediterranea with no choice but to incur further time and expense just to be fully indemnified pursuant to the terms of the contract with Heritage. Heritage has completely abdicated its duty to adjust and has put the onus on its insureds, like Mediterranea, to spend tens of thousands of dollars contesting the claim determination before Heritage is willing to issue benefits or make repairs that it knows are owed pursuant to the policy. Heritage’s pattern and practice of underrepresenting the actual cost and cause of damages, is evidence that it did not act fairly or honestly towards Mediterranea during its adjustment process and that it has failed to implement proper standards for the investigation and handling of claims.
To remedy this Civil Remedy Notice, Heritage must immediately tender the full remaining amount of insurance benefits owed in the amount of $1,823,740.89. The payment should be tendered to the Insured’s attorney, Gregory Greenberg, Esq. at 350 N. Lake Destiny Road, Suite 300, Maitland, FL 32751.
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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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