Understanding bad faith insurance claims in Florida

When an insurer delays or denies a valid claim, you face costs you did not expect. You can protect your rights and recovery by understanding how Florida law treats bad faith. What is bad faith insurance Bad faith occurs when an insurer fails to meet legal or contractual duties and refuses to act fairly and honestly toward you. Florida recognizes both first-party and third-party bad faith. You may file a claim if the company could and should have settled but chose not to. How Florida law defines bad faith Florida Statute § 624.155 creates a civil remedy for bad faith. The statute allows claims when an insurer fails to settle in good faith or pays without explaining coverage. The law requires you to file a written notice and gives the insurer a cure window. Florida courts developed bad faith under common law and later codified it by statute. Today, courts review the totality of circumstances including whether the insurer investigated, communicated and evaluated settlement opportunities. Reforms in 2023 added a 90-day safe harbor for insurers to tender limits after they receive adequate evidence but the core duties to investigate and communicate remain. How to prove and file in Florida To prove bad faith, you must show that the insurer could have paid if it acted fairly, that another reasonable insurer would have paid and that you suffered a loss. You start by filing a written civil remedy notice. The insurer then has 60 days to cure. If it fails, you may file a lawsuit seeking the claim’s value and any resulting damages. Practical steps if you suspect bad faith Build a clean record before problems escalate. Here’s what you can do: Document everything: Keep logs, emails, photos and estimates. Request reasons: Ask for written explanations for denials or delays. Submit evidence: Provide bills, reports and repair estimates quickly. Set timelines: Confirm deadlines and follow up in writing. These actions show your cooperation and make unreasonable conduct by the insurer clearer. What you can do next If you still have questions about how your insurer handled your claim, it is recommended to consult an attorney. An experienced lawyer can examine the facts, determine whether the insurer acted in bad faith and guide you through your options to recover compensation.The post Understanding bad faith insurance claims in Florida first appeared on Mintz Truppman, P.A..