Bad Faith Insurance Attorney & Property Insurance – DeLand, FL

Introduction: Why This Guide Matters to DeLand Homeowners

Nestled in Volusia County between Orlando and Daytona Beach, DeLand, Florida sits less than 30 miles from the Atlantic coast and is no stranger to extreme weather. From Hurricane Matthew in 2016 to more recent tropical storms, local roofs, plumbing systems, and electrical panels have taken a pounding. As a result, property insurance claim denial deland florida has become an all-too-common search term among residents.

This guide was created for DeLand homeowners, condominium associations, and commercial property owners who suspect their insurer is engaging in delay tactics, lowball offers, or outright bad faith. Written with a slight bias toward protecting policyholders, the following sections break down Florida-specific rights, deadlines, and strategies so you can push back with confidence.

All information is pulled from authoritative sources such as the Florida Department of Financial Services (DFS), Florida Statutes, and published Florida court opinions. Where applicable, you will find external links for deeper research. Remember that every claim is unique—use this guide as a starting point, then consult a licensed florida attorney for personalized advice.

Understanding Your Property Insurance Rights in Florida

1. The Right to a Prompt and Fair Claim Handling

Under Section 626.9541(1)(i) of the Florida Statutes, insurers must adopt and implement standards for the proper investigation of claims. Unreasonable delays, missing documentation requests, or circular demands for more proof could constitute an unfair claim settlement practice.

2. The Right to Receive a Decision Within 90 Days

Florida Statute §627.70131(7)(a) requires insurers to pay or deny a claim, or a portion of a claim, within 90 days after receiving notice from the policyholder. If you filed a claim after a hailstorm in DeLand and have not received a coverage decision within this window, you may have grounds to allege statutory violations.

3. The Right to Interest on Late Payments

If the insurer fails to meet the 90-day deadline, interest accrues automatically from the date the claim was filed, as clarified in the 2021 amendments to §627.70131. The aim is to discourage carriers from using delay tactics to pressure homeowners into accepting less money.

4. The Right to Independent Appraisal or Mediation

Many Florida policies contain appraisal clauses, which allow either party to demand an appraisal when there is a “dispute over the amount of loss.” In addition, DFS runs a free mediation program for disputed residential claims under §627.7015. DeLand homeowners can take advantage of this service by contacting the Division of Consumer Services in Tallahassee.

5. Statute of Limitations for Suing Your Insurer

The general statute of limitations for a breach-of-contract action against a property insurer is five years from the date of loss, pursuant to §95.11(2)(e). However, separate notice deadlines apply:

• Windstorm & Hurricane Claims: Written notice to the carrier within two years of the date of loss under §627.70132.

• Supplemental or Re-opened Claims: Must be filed within three years of the date of loss.

Missing these statutory windows can bar you from any recovery, even if your insurer clearly acted in bad faith. Mark your calendar and act quickly.

Common Reasons Property Insurance Companies Deny Claims in Florida

Although insurers cite many grounds for denial, several patterns appear repeatedly in DeLand and across the state:

• Wear and Tear Exclusions: Carriers often argue that a leaking roof is due to age rather than a covered peril like hail or wind.

• Late Notice: Failing to report damage “promptly” can trigger a denial. Courts weigh factors such as prejudice to the insurer and the complexity of the repair.

• Misrepresentation or Fraud: Any alleged inflation of repair costs or prior damage omitted from an application can be grounds for rescission of the entire policy.

• Failure to Mitigate: Under policy conditions, you must protect property from further damage (e.g., tarping a roof). Insurers deny claims where additional deterioration occurs.

• Water Damage Versus Flood: Standard homeowner policies exclude surface floodwater, but cover sudden pipe bursts. Insurers sometimes blur these lines to avoid payment.

Understanding these common arguments equips you to gather the correct documentation—photos, weather reports, contractor estimates—and rebut denials effectively.

Florida Legal Protections & Insurance Regulations

1. Bad Faith Cause of Action (§624.155)

Florida recognizes a statutory first-party bad faith claim when an insurer fails to settle a claim in good faith. Before suing, policyholders must serve a Civil Remedy Notice (CRN) via the DFS portal, giving the carrier 60 days to cure. If the insurer fails to pay the undisputed amount within that time, you may file suit and potentially recover damages in excess of policy limits plus attorney’s fees.

2. Attorney’s Fees and Assignments of Benefits (AOB)

Section 627.428 generally allows prevailing policyholders to recover reasonable attorney’s fees. However, recent reforms limit such fees under certain AOB agreements. DeLand homeowners should review any AOB carefully and consult counsel before signing.

3. Claims Handling Rules in the Florida Administrative Code

Rule 69O-166.024 of the Florida Administrative Code provides detailed timelines for acknowledgment of communication and adjustment procedures. Violations can support an administrative complaint to DFS or form evidence in any civil action.

4. Fair Claims Settlement Regulations

Section 626.9541(1)(i) lists specific unfair methods of competition and unfair or deceptive acts. Examples include:

• Failing to adopt reasonable claim investigation standards.

• Misrepresenting pertinent policy facts.

• Failing to promptly provide a reasonable explanation in writing for claim denials.

5. Licensing Rules for Florida Attorneys

Only attorneys licensed by The Florida Bar can provide legal advice or represent policyholders in state courts. Always verify the lawyer’s standing using The Florida Bar’s public directory before signing a fee agreement.

Steps to Take After a Property Insurance Claim Denial in Florida

Step 1: Read the Denial Letter Carefully

Identify the specific policy provisions cited. Florida courts require policyholders to comply with post-loss duties, so verify whether the carrier claims you failed to submit a sworn proof of loss, sat for an Examination Under Oath (EUO), or allowed reasonable inspection.

Step 2: Gather Evidence

• Photographs and Videos: Timestamped images immediately after the loss carry weight.

• Weather Data: NOAA storm reports for DeLand can refute “wear and tear” allegations.

• Repair Invoices: Licensed contractor estimates outline scope and cost.

Step 3: Demand a Certified Copy of the Policy

Under §627.4137, insurers must provide a certified policy copy within 30 days of receipt of a written request. Review all endorsements and exclusions applicable on the date of loss.

Step 4: Request DFS Mediation

File Form DFS-I0-I72 under §627.7015. Mediation is non-binding and scheduled within 21 days, often prompting carriers to increase offers to avoid bad-faith exposure.

Step 5: Submit a Civil Remedy Notice (If Appropriate)

If the insurer’s denial appears baseless, log into the DFS Civil Remedy System, reference §624.155, and describe the facts. Many carriers cure within 60 days to avoid punitive damages later.

Step 6: Consult a Florida Attorney

A seasoned bad faith insurance attorney can evaluate whether a lawsuit in Volusia County Circuit Court or Federal Court is the best path forward, ensuring all pre-suit requirements are satisfied.

When to Seek Legal Help in Florida

Not every dispute requires litigation, but certain red flags suggest you should call a florida attorney immediately:

• The insurer alleges fraud without specific evidence.

• The claim value exceeds $50,000 and involves complex structural damage.

• The carrier demands multiple EUOs or voluminous document requests after the 90-day deadline has passed.

• You receive a “reservation of rights” letter hinting at policy rescission.

Florida’s attorney-fee shifting statute often means you pay nothing out-of-pocket unless your lawyer recovers funds. Ask potential counsel about contingency arrangements, litigation expenses, and estimated timelines to reach settlement or trial.

Local Resources & Next Steps

1. City and County Building Departments

Obtain permits, inspection reports, and historical roof data from the City of DeLand Building Division or Volusia County’s Growth & Resource Management office to bolster your claim documentation.

2. Florida DFS Consumer Helpline

Residents can call 1-877-693-5236 to verify an insurer’s license status or file a consumer complaint. For step-by-step guidance, visit the DFS Division of Consumer Services.

3. Mediation & Neutral Evaluation Locator

DFS maintains a roster of state-approved mediators and neutral evaluators for sinkhole claims. DeLand homeowners can search by ZIP code (32720 & 32724) on the DFS website.

4. Official Florida Statutes & Administrative Code

Whenever you quote a statute in correspondence with your insurer, cite the official source. The complete text of Chapter 627 is accessible here: Florida Statutes Chapter 627.

5. Florida Office of Insurance Regulation (OIR)

The OIR supervises insurer solvency and approves policy forms. For DeLand policyholders worried about an insurer’s financial stability, consult the latest company reports at Florida OIR.

Authoritative Sources for Further Reading

Florida Department of Financial Services Talat Enterprises, Inc. v. Aetna Cas. & Sur. Co., 753 So.2d 1278 (Fla. 2000)

Legal Disclaimer

The information in this guide is for educational purposes only and does not constitute legal advice. Laws and regulations change frequently. Consult a licensed Florida attorney regarding your specific situation.

"If your property insurance claim was denied, call Louis Law Group at 833-657-4812 for a free case evaluation and policy review."