Insurance Delay Tactics in Florida Bad Faith Claims

When you file an insurance claim after a disaster, accident, or loss, you expect your insurer to act in good faith. Florida law requires insurance companies to investigate claims promptly, communicate honestly, and pay what is owed without unnecessary delay. Yet insurers routinely use calculated delay tactics to pressure claimants into accepting lowball settlements or abandoning valid claims entirely. In St. Petersburg and throughout Florida, recognizing these tactics is the first step toward protecting your rights.

What Florida Law Says About Insurance Bad Faith

Florida Statute Section 624.155 creates a civil remedy for policyholders when an insurer fails to act in good faith. The law specifically prohibits insurers from failing to attempt in good faith to settle claims when, under all circumstances, it could and should have done so. Florida Statute Section 626.9541 further defines unfair claims settlement practices, providing a detailed list of prohibited insurer conduct.

Before pursuing a bad faith lawsuit in Florida, a claimant must typically send a Civil Remedy Notice (CRN) to the Florida Department of Financial Services and the insurer. This notice gives the insurer 60 days to cure the alleged violation. If the insurer fails to cure within that window, the claimant may proceed with a bad faith action. The potential damages in a successful bad faith case can exceed the original policy limits, which is why insurers take these claims seriously—and why they work hard to avoid them through delay rather than resolution.

Common Delay Tactics Used by Florida Insurers

Insurance companies have refined their delay strategies over decades of litigation. In St. Petersburg, where hurricane-related property claims, flood damage, and auto accidents generate high claim volumes, these tactics appear with alarming regularity.

• Requesting repetitive documentation: Insurers ask for the same records multiple times or request documents that are unnecessary to evaluate the claim, forcing claimants into an exhausting paper chase.
• Assigning and reassigning adjusters: Each time a new adjuster takes over your file, the clock resets on internal review processes. This manufactured confusion stalls resolution indefinitely.
• Conducting unnecessary independent medical examinations (IMEs) or inspections: Insurers schedule multiple inspections of damaged property or require multiple medical evaluations, each adding weeks or months to the timeline.
• Issuing vague or incomplete reservation of rights letters: These letters are used to cloud coverage questions and create uncertainty, discouraging claimants from pressing forward.
• Denying claims without adequate investigation: A denial issued before a proper investigation concludes often forces the claimant into an appeals process that can drag on for years.
• Making lowball settlement offers early: Offering a fraction of the claim's value shortly after filing pressures claimants who are financially vulnerable to accept far less than they deserve.
• Failing to communicate claim status: Florida law requires insurers to acknowledge receipt of a claim within 14 days and to begin investigation within 10 days. Silence or infrequent updates violate these statutory obligations.

Florida's Statutory Deadlines Insurers Must Follow

Florida law establishes specific timelines that insurers must meet when handling claims. Understanding these deadlines helps you identify when an insurer has crossed the line from slow processing into bad faith conduct.

Under Florida Statute Section 627.70131, for residential property insurance claims, an insurer must acknowledge receipt within 14 days of receiving a claim. The insurer must then pay or deny the claim within 90 days of receiving proof of loss—or 120 days if the loss occurred during a declared state of emergency. For auto insurance claims governed by Section 627.736, personal injury protection (PIP) benefits must be paid or denied within 30 days of receiving a written notice of the claim.

When an insurer misses these deadlines without legitimate justification, it may face statutory penalties, interest on unpaid amounts, and potential liability for bad faith damages. In St. Petersburg, where severe weather events can trigger mass claim filings, some insurers use the volume of claims as cover for delays that would otherwise be indefensible.

How to Protect Yourself Against Insurer Delay Tactics

Protecting your claim begins the moment you sustain a loss. Documenting every interaction with your insurer creates a paper trail that becomes invaluable if bad faith litigation becomes necessary.

• Document everything in writing: Follow up every phone call with an email or letter summarizing what was discussed and agreed upon. Written records prevent the insurer from later disputing conversations.
• Track all deadlines: Note when you submitted your proof of loss and other required documents. Florida's statutory timelines begin running from specific triggering events, so precise dates matter.
• Preserve evidence of your damages: Photographs, videos, contractor estimates, medical records, and repair invoices all support the value of your claim and make delay harder to justify.
• Request explanations in writing: If the insurer requests additional documents or delays payment, ask them to identify the specific policy provision or statutory basis for the request or delay.
• Do not accept partial payments without reservation: Accepting a partial payment without expressly reserving your right to pursue the full amount may waive your ability to pursue additional compensation.
• File a complaint with the Florida Department of Financial Services: Regulatory complaints create an official record of misconduct and sometimes prompt insurers to act more quickly.

When to Consult a Bad Faith Insurance Attorney

Not every delay constitutes bad faith, but patterns of delay combined with misrepresentation, inadequate investigation, or lowball offers signal that an insurer is not dealing honestly with your claim. An experienced Florida bad faith insurance attorney can evaluate your situation, identify statutory violations, and advise you on whether filing a Civil Remedy Notice is appropriate.

In St. Petersburg, property damage claims—particularly those arising from windstorms, flooding, and roof damage—frequently become contentious when insurers undervalue losses or dispute coverage. Personal injury claimants dealing with uninsured motorist claims or liability disputes also regularly encounter bad faith tactics designed to outlast their financial ability to wait.

Timing matters. Florida's statute of limitations for bad faith claims is generally five years from the date the cause of action accrues, but certain procedural steps—like filing the Civil Remedy Notice—must happen before the bad faith suit can proceed. Waiting too long to seek legal advice can forfeit critical procedural rights.

An attorney who handles Florida bad faith claims understands how to build a record of insurer misconduct, negotiate from a position of strength, and pursue the full range of damages available under Florida law—including consequential damages and attorney's fees that may be awarded in successful bad faith cases.

Need Help? If you have questions about your case, call or text 833-657-4812 for a free consultation with an experienced attorney.

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