Suing an Insurance Company for Not Paying a Claim in Florida: Your Legal Options Explained

Introduction

Facing a situation where your insurance company refuses to pay a valid claim can be incredibly frustrating and financially draining. In Florida, policyholders have legal avenues to challenge such denials and seek the compensation they deserve. This guide will walk you through the reasons behind claim denials, the concept of bad faith, and the steps you can take to hold your insurer accountable.

Common Reasons Insurance Companies Deny or Delay Claims in Florida

Insurance companies may deny or delay claims for various reasons, including:

• Policy Exclusions: Claiming the incident isn't covered under the policy terms.

• Insufficient Documentation: Asserting that the policyholder didn't provide enough evidence.

• Alleged Misrepresentation: Accusing the policyholder of providing false information.

• Delays in Filing: Stating that the claim was not filed within the required timeframe.

While some denials may be legitimate, others can be tactics to avoid payouts. It's essential to scrutinize the reasons provided and seek clarification when necessary.

Understanding Bad Faith Insurance Practices in Florida

In Florida, insurance companies are legally obligated to act in good faith. Bad faith occurs when an insurer intentionally avoids fulfilling its contractual obligations. Examples include:

• Unjustified Denials: Rejecting a claim without a valid reason.

• Delaying Investigations: Prolonging the claim process unnecessarily.

• Underpayment: Offering settlements significantly lower than the claim's worth.

• Failure to Communicate: Not responding to inquiries or providing updates.

Florida Statute 624.155 allows policyholders to file a civil lawsuit against insurers acting in bad faith.

Steps to Take Before Filing a Lawsuit in Florida

Before resorting to litigation, consider the following steps:

• Review Your Policy: Understand the coverage, exclusions, and claim procedures.

• Gather Evidence: Collect all relevant documents, including correspondence, photos, and reports.

• File an Internal Appeal: Most insurers have an appeals process to reconsider denied claims.

• Submit a Civil Remedy Notice (CRN): This notifies the insurer of potential bad faith actions and gives them 60 days to rectify the issue.

• Consult an Attorney: Seek legal advice to assess the strength of your case and explore options.

How to File a Lawsuit Against an Insurance Company in Florida

If the insurer fails to address your concerns after the CRN period:

• Hire an Experienced Attorney: Legal expertise is crucial in navigating insurance disputes.

• File a Complaint: Initiate a lawsuit in the appropriate Florida court.

• Engage in Discovery: Both parties exchange information and gather evidence.

• Attempt Mediation: Many cases are resolved through mediation before reaching trial.

• Proceed to Trial: If necessary, present your case before a judge or jury.

Timely action is vital, as Florida generally allows five years to file a lawsuit for a denied insurance claim.

How Louis Law Group Can Help

At Louis Law Group, we specialize in assisting Florida residents with insurance claim disputes. Our experienced attorneys can:

• Evaluate Your Case: Determine if your insurer acted in bad faith.

• Guide You Through Appeals: Assist in navigating internal appeals processes.

• Represent You in Court: Advocate on your behalf to secure the compensation you deserve.

We operate on a contingency fee basis, meaning you pay nothing unless we recover money for you.

Key Takeaways

• Insurance companies may deny claims for various reasons, but not all are justified.

• Bad faith practices by insurers are illegal in Florida.

• Before suing, exhaust all internal remedies and consult an attorney.

• Timely action is essential due to legal time limits.

• Legal assistance can significantly improve your chances of a favorable outcome.

Frequently Asked Questions (FAQs)

Q: What qualifies as bad faith by an insurance company?

A: Bad faith includes unjustified claim denials, delays, underpayments, and lack of communication.

Q: How long do I have to file a lawsuit against my insurer in Florida?

A: Generally, you have five years from the date of the denial to file a lawsuit.

Q: What is a Civil Remedy Notice (CRN)?

A: A CRN is a formal notice to the insurer about potential bad faith actions

Conclusion

Getting your insurance claim denied in Florida can feel like the system is stacked against you—but you're not without options. If your insurer refuses to pay a legitimate claim in Florida, it’s essential to understand your rights and take proactive steps. From documenting everything to submitting a Civil Remedy Notice and possibly pursuing legal action, knowing how to respond can make all the difference.

Louis Law Group has extensive experience handling these types of insurance disputes across Florida. If you believe your insurance company has wrongly denied your claim or acted in bad faith, our legal team can help you build a strong case and fight for the compensation you’re entitled to.

No one should have to fight an insurance company alone. Are you ready to take the first step toward getting the claim payout you deserve?

Contact Louis Law Group today for a free consultation. Call 833-657-4812 or submit a free case evaluation form to get started. Don’t wait—let us help you take the first step toward justice and financial recovery.