Clermont, FL Property Insurance Guide | Bad Faith Attorney

Introduction: Why Clermont Homeowners Need a Focused Property Insurance Game-Plan

Clermont, Florida—nestled among Lake County’s rolling hills and only about 25 miles west of Orlando—has grown rapidly over the last decade. With new construction in the Sawgrass Bay, Legends, and Kings Ridge communities, as well as established neighborhoods near Lake Minneola, more Clermont homeowners than ever rely on property insurance to protect their biggest investment. Yet Central Florida’s storm seasons, sinkhole activity, and occasional wildfires create a steady stream of insurance claims. When an insurer wrongfully delays, underpays, or denies coverage, families can face mounting repair costs and safety concerns.

This guide—written from the viewpoint of a bad faith insurance attorney—explains how Florida law shields policyholders, outlines common reasons for claim denials, and provides an action checklist tailored to property insurance claim denial Clermont Florida scenarios. Every citation originates from Florida statutes, administrative rules, and published court opinions; if a fact is not verifiable from an authoritative source, you will not find it here. Use this information to strengthen your position with the carrier, but remember that no online guide replaces individualized legal advice from a licensed Florida attorney.

Understanding Your Property Insurance Rights in Florida

1. The Policy Is a Contract Governed by Florida Law

When you buy homeowners or commercial property coverage, you and the insurer enter a contract that is interpreted under Chapter 627, Florida Statutes. Section 627.428 authorizes courts to award reasonable attorney’s fees to insureds who prevail against carriers. This fee-shifting provision is a powerful tool that levels the playing field for consumers whose resources cannot match a multi-billion-dollar insurer.

2. The Homeowner Claims Bill of Rights

In 2014, the Legislature enacted Fla. Stat. § 627.7142, also known as the Homeowner Claims Bill of Rights. Key protections include:

• The insurer must acknowledge your claim within 14 days of receipt.

• Within 30 days, it must notify you whether your claim is being fully covered, partially covered, denied, or still under investigation.

• Payment or denial must occur within 90 days of receiving notice of the claim, absent factors beyond the insurer’s control.

• You have the right to receive any detailed report generated by the insurer’s adjuster when the investigation is complete.

3. Prompt Notice Deadlines Apply to You, Too

Under Fla. Stat. § 627.70132 (as amended by 2022’s SB 2-D and 2023’s SB 2-A), initial notice of a new property loss generally must be given within one year of the date of loss; reopened or supplemental claims must be filed within 18 months. Missing these statutory notice windows can be fatal to an otherwise valid claim, so mark your calendar early.

4. Statute of Limitations for Suing an Insurer

Fla. Stat. § 95.11(2)(e) sets a five-year limitations period for filing a breach-of-contract lawsuit under a property insurance policy. The clock starts on the date of loss—not the date the insurer denies the claim—so do not let a prolonged adjustment erode your litigation window.

5. Bad Faith Remedies

If an insurer fails to settle a claim when it could and should have done so had it acted fairly and honestly toward you, a separate bad-faith action under Fla. Stat. § 624.155 may lie—after you first obtain a favorable judgment or appraisal award on the underlying coverage dispute.

Common Reasons Property Insurance Companies Deny Claims in Florida

Knowing why insurers frequently issue denials helps you anticipate defenses and gather evidence early.

1. Late Notice

The insurer alleges the homeowner waited too long to report hurricane or water damage, hindering its ability to inspect. As explained earlier, the one-year statutory notice deadline in § 627.70132 now bolsters this defense.

2. Wear and Tear or Maintenance Exclusion

Policies cover sudden and accidental losses—not gradual deterioration. Carriers sometimes mislabel storm damage as pre-existing rot or age-related, shifting financial responsibility back to you.

3. Water Damage Exclusions and Caps

Many Florida policies restrict coverage for water losses that occur over more than 14 days (Fla. Stat. § 627.7011(2)(a)). Others limit mold remediation payments to $10,000 unless you purchased an endorsement. Understanding these clauses early avoids surprises.

4. Failure to Mitigate

After a loss, § 627.701(4)(a) obligates policyholders to take reasonable steps to protect covered property from further damage (for example, tarping a roof). Insurers use failure-to-mitigate arguments when additional damage occurs between the original loss and the time of inspection.

5. Misrepresentation or Fraud

Material misstatements in your application or claim can void coverage. Even unintentional errors—such as misstating square footage—can trigger Fla. Stat. § 627.409 rescission if the insurer can show increased risk.

6. Causation Disputes

Florida’s mosaic of perils (wind, rain, sinkholes, soil subsidence) leads to complicated causation battles. If the insurer’s engineer blames cracking on settlement instead of sinkhole activity, the carrier could deny. Policyholders bear the initial burden of showing a covered peril caused damage; then the insurer must prove an exclusion applies (Jones v. Federated Nat’l Ins. Co., 235 So. 3d 936 [Fla. 4th DCA 2018]).

Florida Legal Protections & Insurance Regulations

1. Florida Department of Financial Services (DFS)

DFS regulates adjusters, mediators, and insurers. Through the Division of Consumer Services, homeowners may request free mediation for claims of $500–$100,000 under Fla. Stat. § 627.7015. If your carrier agrees, mediation can settle disputes faster than litigation.

DFS also operates a Civil Remedy Notice (CRN) database for bad-faith claims. A policyholder must file a CRN at least 60 days before suing for bad faith, specifying the statutory violations and insurer conduct.

2. Office of Insurance Regulation (OIR)

OIR approves policy forms and rate filings. If a policy contains ambiguous language, Florida’s long-standing doctrine of contra proferentem requires courts to construe ambiguity against the drafter—the insurer (Washington Nat’l Ins. Corp. v. Ruderman, 117 So. 3d 943 [Fla. 2013]).

3. Attorney Licensing and Fee Rules

Only lawyers licensed by the Florida Bar may give legal advice on property claims. They must follow Rules Regulating The Florida Bar, including Rule 4-1.5 on reasonable fees. Contingency fee agreements must meet the disclosure requirements of Rule 4-1.5(f)(4)(B). Remember, Fla. Stat. § 627.428 allows prevailing insureds to recover their reasonable attorney’s fees, which means many firms can advance costs and get paid only if you recover.

4. Assignment of Benefits (AOB) Reforms

As of January 1, 2023, homeowners can still assign benefits to contractors, but SB 2-A added Fla. Stat. § 627.7152(2)(e), which requires an AOB agreement to contain a bold-type warning that the policyholder remains responsible for uncovered items. The statute also caps attorney’s fees in AOB lawsuits, reducing one incentive for excessive litigation.

5. Citizens Property Insurance Corporation Specifics

For Clermont residents insured by Citizens—the state-created insurer of last resort—the Citizens policy form invokes the same statutory deadlines but funnels disputes through Citizens’ managed repair program for certain water losses. Declining the program without good cause may reduce payouts, so consult counsel before refusing a managed repair option.

Steps to Take After a Property Insurance Claim Denial in Florida

Step 1: Read the Denial Letter Carefully

The carrier must identify policy provisions relied upon in denying coverage. Highlight every cited exclusion or endorsement. Under Fla. Admin. Code R. 69O-166.024, the insurer’s letter should be specific; a generic denial may itself be regulatory non-compliance.

Step 2: Gather Independent Evidence

• Photos & Videos: Time-stamped images of roof shingles, water lines on drywall, or fallen trees help prove causation.

• Weather Reports: NOAA or local storm data can link damage to a named peril.

• Repair Invoices: Show mitigation efforts—tarping, dehumidifiers—that satisfy your statutory duty.

Step 3: Order a Certified Policy Copy

Under Fla. Stat. § 627.4137, insurers must provide certified copies of the policy within 30 days of your written request. Comparing endorsements, exclusions, and declarations pages allows you or your attorney to spot carrier misapplications.

Step 4: Invoke the Appraisal Clause (If Available)

Most property policies contain an appraisal provision letting each party select an appraiser, with an umpire chosen if the appraisers disagree. Although appraisal resolves only the amount of loss—not coverage—Florida courts often abate litigation pending appraisal (State Farm Fla. Ins. Co. v. Xibarro, 93 So. 3d 1137 [Fla. 3d DCA 2012]). Promptly invoking appraisal can secure funds while you pursue bad-faith remedies later.

Step 5: Seek State-Sponsored Mediation

Request mediation through DFS’s program. It costs the insurer a $500 fee; you pay nothing. While non-binding, it frequently leads to meaningful compromise.

Step 6: File a Civil Remedy Notice (If Bad Faith Suspected)

Detail the insurer’s violations of §§ 624.155 or 626.9541 (Unfair Claim Settlement Practices) and demand corrective action. The 60-day safe-harbor period incentivizes prompt resolution.

Step 7: Prepare for Litigation before the Five-Year Deadline

Retain a licensed Florida attorney for pre-suit depositions, expert analyses, and to ensure compliance with mandatory pre-suit notice now required by Fla. Stat. § 627.70152 (2023 reform). Filing suit stops the limitations clock and can trigger fee entitlement if you win.

When to Seek Legal Help in Florida

1. The Damages Exceed Your Deductible by More Than $10,000

Legal fees and expert costs may not be economical for smaller claims. When structural repairs, code upgrades, or ALE (additional living expenses) run into five figures, professional advocacy often yields a higher net recovery.

2. Complex Causation or Multiple Perils

Wind versus rain, sinkhole versus soil settlement, or sequential storm events require engineers and meteorologists. An attorney can coordinate experts and preserve testimony.

3. Allegations of Fraud or Misrepresentation

Once the carrier accuses you of fraud, policy rescission is on the table. Anything you say—especially under oath in an Examination Under Oath (EUO)—can be used later. Counsel should be present.

4. Bad Faith Indicators

• Minimal or no inspection before denial

• Changing reasons for denial

• Failure to timely communicate per § 627.7142

• Lowball offers far below contractor estimates

A lawyer will draft the Civil Remedy Notice, quantify damages, and pursue both contractual and extra-contractual remedies.

Local Resources & Next Steps for Clermont Homeowners

1. City and County Building Departments

Lake County’s Building Services Division (located at 315 W. Main St., Tavares) issues permits and can provide inspection records that verify the age and condition of your roof or electrical system—key evidence against the insurer’s wear-and-tear defense.

2. Local Contractors & Public Adjusters

• Clermont-based roofing contractors familiar with Florida Building Code 7th Edition can document code-upgrade requirements (Ordinance 2020-22).

• Florida-licensed public adjusters (F.A.C. 69B-220) may represent you for a contingency fee capped at 10% of new money received on hurricane claims during the first year after a declaration of emergency; 20% otherwise.

3. Disaster Assistance & Grants

If the Federal Emergency Management Agency (FEMA) declares a disaster for hurricanes affecting Lake County, you may qualify for Individual Assistance grants. These funds can cover temporary housing while your claim is litigated.

4. Florida Bar Lawyer Referral Service

Call (800) 342-8011 or visit the Florida Bar’s online portal to be matched with a vetted florida attorney experienced in property insurance disputes.

5. Authoritative Information Sources

Florida Department of Financial Services – Consumer Claims Information Florida Statutes Chapter 627 (Insurance Contracts) Florida Office of Insurance Regulation Florida Administrative Code 69B-220 – Public Adjusters

Short Legal Disclaimer

This guide provides general information about Florida property insurance law and is not legal advice. Statutes and regulations change; consult a licensed Florida attorney regarding your specific circumstances.

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