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The misconduct was identified through market conduct examinations. There are two other examinations ongoing, which may result in additional fines. Commissioner Mike Yaworsky aims to ensure claims handling practices are up to standard, especially with the most active part of hurricane season yet to come.
The market conduct examinations found the following types of misconduct, among others:
- Insurers using adjusters not properly appointed
- Not acknowledging receipt of claims in a timely manner
- Not including certain disclosure statements when providing estimates
- Failing to provide the Homeowners Claims Bill of Rights
- Failing to pay interest
- One company had an error rate of not including disclosure statements of over 60% for Hurricane Ian and over 80% for Hurricane Idalia
- A few companies failed to pay or deny claims within 90 days
The news release can be found here.
This article was originally published on FC&S Expert Coverage Interpretation and may not be reprinted.
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