Insurance Bad Faith

The insurance policy is a contract between the policyholder and the insurance company.

Among other obligations, the policyholder is required to pay a “premium,” or the cost of insurance on the property. In exchange, the insurance company is required to properly compensate the policyholder when there is a covered loss. Unfortunately, insurance companies don’t always live up to their end of the bargain. In some cases, insurance companies intentionally and wrongfully delay, underpay, or deny covered claims.


In Florida, there is a law that is intended to protect policyholders from the insurance company’s bad acts, known as “Bad Faith.” If your insurance company has intentionally delayed or denied a claim you believe is valid, then they may be acting in bad faith, and you may be able to make a claim for damages beyond those covered by your insurance policy. These additional damages are known as “extra-contractual” damages. Each of us has embedded within us an inherent sense of fairness.


If you have a valid insurance claim, and you feel that the insurance company has treated you unfairly, then you may be entitled to recover for your claim as well as the additional damages resulting from the insurance carrier’s bad-faith actions. Among other rights you have, you can file a “Civil Remedy Notice” (CRN) with the Department of Financial Services, which puts the insurance company on notice of the alleged violation. Once you file a CRN, your insurance company has sixty (60) days to correct the violations, or it may be subject to additional damages.

If you have a question about whether your insurance carrier has acted in “bad faith,” feel free to call our office and speak with one of our attorneys. We would be happy to answer your questions and provide you with important information about your rights. More than a law firm, HL Law Group is a legal resource for its clients.