Did you know that in 2024, some Florida insurance companies denied more than half of all homeowners’ insurance claims? Thousands of Florida homeowners had serious damage to their homes. But their insurance companies didn't pay them anything.
A recent report showed that 14 insurance companies in Florida closed most claims without paying anything. Many families are frustrated and stressed. They don't know what to do next. This is especially concerning because hurricane season is coming.
Which Insurance Companies Denied the Most Claims?
According to the report, here are just a few of the worst-performing insurers when it came to paying out valid home insurance claims:
- People’s Trust Insurance: Denied payment on 75 out of every 100 claims
- Kin Insurance Network: Denied 68 out of 100 claims
- American Integrity Insurance: Denied 64 out of 100 claims
These numbers are shocking. Florida homeowners are paying high premiums, often for years, only to be denied when they need help the most.
Why Is This Happening?
Insurance companies offer several common reasons for denial, including:
- The damage wasn’t covered by the policy: For example, most home insurance claims don’t include flood coverage unless a separate flood policy is purchased.
- The damage didn’t exceed the deductible: Your insurer won’t pay if repairs cost less than your deductible.
- Disagreements over how bad the damage was: Sometimes the insurance company disagrees about the damage. They might say your roof or inside of your home isn't damaged enough to fix or replace.
While these may sound reasonable on the surface, many homeowners feel blindsided. Insurance companies often use confusing language in their policies. This makes it hard to understand what's covered. Some claims get denied because insurers say the damage was already there. They might also blame normal wear and tear. Homeowners often don't even know about these loopholes.
This is where bad faith insurance practices come into play. Insurance companies must treat you fairly. They have to act honestly. But sometimes, they delay, deny, or pay too little without a good reason. This is called a bad faith denial.
Insurance Claim Denials: Understanding Bad Faith Disputes
This is where bad faith insurance practices come into play. Insurers are legally required to act fairly and in good faith but when they purposely delay, deny, or underpay claims without proper justification, that’s called a bad faith denial.
How This Impacts Florida Homeowners
The impact of widespread denials is deeper than just frustration and it’s financial devastation. Florida homeowners dealing with hurricane, wind, or water damage are now left to pay out of pocket for major repairs. Many are forced to live in unsafe or partially destroyed homes because they can’t afford the work.
This isn’t just a numbers problem. It’s a human problem.
- Families with children are left without safe shelter
- Seniors are struggling to navigate complicated paperwork
- Hardworking people who paid their insurance premiums in good faith are now being told they’re on their own
How to Dispute an Insurance Claim Denial
If your claim was denied or you’re worried it might be, here’s what you should do:
Check Your Policy
Review your homeowners insurance policy carefully so you understand your coverage. Ask questions if anything is confusing.
Take Photos and Videos
Before hurricane season starts, take pictures of your home. If damage happens later, take more photos. This helps prove your case.
Talk to an Insurance Lawyer
Did you get a denial letter from your insurance company? Or was your claim underpaid? An insurance lawyer can help you fight back. They'll make sure you get the coverage you deserve.
We’re Here to Help
At Vargas Gonzalez Delombard, we specialize in helping Florida homeowners who’ve been treated unfairly by their insurance provider. Whether it’s a denial, delay, or lowball offer, we know how the insurance industry works and we’re here to challenge it.
We handle:
- Claims that were denied without proper explanation
- Underpaid claims that don’t cover the full cost of repairs
- Cases involving bad faith insurance practices
With the right evidence, thorough documentation, and an experienced insurance attorney on your side, you can hold your insurer accountable. Contact us today for a free consultation to see how we can help with your insurance dispute.
