How Long Do Insurance Companies Have to Settle a Claim in Florida?

During emergencies such as a Florida hurricane or home flooding from a broken pipe, people anticipate an insurance company’s response. Residents of Florida face a chaotic insurance environment where on time can sometimes mean at their convenience, which makes knowing how long insurance companies have to settle a claim in Florida necessary for protecting your property and financial security.

As insurance delays and denials become more frequent, it becomes critical to know your legal rights in Florida to avoid a prolonged dispute.

Understanding Florida Insurance Claim Deadlines

Due to the state’s continuous threats from hurricanes, flooding, high winds, and sinkholes, property insurance becomes an essential requirement rather than an optional benefit. Homeowners depend on their insurance policies for recovery from unexpected losses, yet face delays and denials, which push families into uncertainty during their time of greatest need.

Florida statutes outline set deadlines to enable the timely processing of insurance claims. The regulations aim to protect policyholders while enabling faster processing of insurance claims.

Timeline for Insurance Companies in Florida

Policyholders must submit new or reopened property insurance claims within one year from the loss date and supplemental claims within 18 months. Within 7 days of receiving a written proof-of-loss statement, insurers must start investigating residential property insurance claims unless special circumstances exist.

Insurers need to perform a physical property inspection for residential and homeowner claims within 30 days of receiving the written proof-of-loss statement unless there are special circumstances.

The insurer has 60 days from receiving complete proof-of-loss documentation to either pay or deny the claim or its portion. The extension of this decision period happens only when uncontrollable external factors affect it.

Common Causes for Delays

Even though insurance companies have clear regulations for how soon they must respond to insurance claims, delays still can happen. Some common reasons for delays include:

• Incomplete or inaccurate information. Insurance claims without adequate documentation, like photographs or repair estimates, usually experience processing delays. Insurers need comprehensive documentation to perform precise damage evaluations.
• Policy disputes. Policyholders might disagree about the coverage of specific damages, which leads to the necessity for further examination.
• High claim amounts. Natural disasters such as hurricanes, earthquakes, and floods can trigger a surge of claims against insurance companies. The volume of claims submitted to insurers can exceed their capacity to process them, which creates delays.
• Disagreements regarding damages. Disputes about damages often arise when insurers challenge both the extent and cause of claims, resulting in prolonged negotiations and further inspections.

How to Speed Up the Claims Process

The key to expediting your property insurance claim lies in both thorough preparation and diligent follow-through. Begin documentation immediately after damage occurs by taking detailed photos while also keeping track of repair estimates. Locate and understand your insurance policy. File your insurance claim quickly, and be sure to provide full proof of loss whenever your insurer requests it.

Always reply to your insurer without delay and document each communication exchange. To ensure clarity and maintain proof of your communications, always supplement phone calls with follow-up emails or written letters.

What to Do if Your Claim Is Delayed

When your property insurance claim faces a delay, you need to immediately take strategic steps. Contact your insurance adjuster to obtain a written update about your claim and inquire about the timeline for the following steps. Maintain detailed records of all communications, including emails and phone calls, as well as whether any responses were received.

Your policy reveals your coverage details and your insurer’s responsibilities according to Florida Statute §627.70131, which mandates insurers to follow specific deadlines. For assistance with the validity of a delay, you can reach out to the Florida Department of Financial Services (DFS), which provides a consumer helpline at 1-877-MY-FL-CFO to offer guidance and mediate disputes.

The Florida Office of Insurance Regulation (FLOIR), which keeps track of statewide insurer compliance, allows Hollywood residents to submit formal complaints. When delays continue or your insurer appears to be acting in bad faith, you should seek advice from a local property insurance attorney. Initiating action promptly maintains your legal rights and has the potential to accelerate your claim processing.

FAQs

Q: How Long Does an Insurance Company Have to Pay a Claim in Florida?

A: An insurance company typically has 60 days after receiving complete proof-of-loss documentation to either pay or deny a claim. This 60-day time frame does not include the required 30 days that the insurance company must investigate the claim. In total, the insurance company has 90 days to complete this process.

Q: What Is the 90-Day Rule for Insurance Claims in Florida?

A: The 90-day rule for insurance claims in Florida refers to the requirement that insurance companies are given 90 days from the filing of a claim to reach an approval or denial decision after completing necessary investigations. This rule exists to protect policyholders by making sure they receive quick responses and avoid extended delays during their claims processing.

Q: What Documents Should I Keep During My Claim?

A: Organizing your claim file has the potential to transform its outcome. Preserve your insurance policy and maintain records of damage photos, inspection reports, adjuster notes, repair receipts, and communication with your insurance company. Should your claim face denial or delay, these records prove essential and become particularly valuable during legal proceedings.

Q: Can I File a Claim Against an Insurance Company for Taking Too Long in Florida?

A: Florida law allows you to file a claim against an insurance company for unreasonable delays in claim processing and payment. An insurer that does not adhere to the 90-day rule or other required statutory deadlines may demonstrate bad faith behavior. Property insurance attorneys assess your situation to decide if pursuing legal action to obtain further damages is warranted.

Contact The Law Offices of John D. Ameen, P.A., Today

Don’t wait if your insurance claim faces a delay, denial, or takes too long to process. Florida law grants you specific protections, and we offer assistance to defend those rights. Contact The Law Offices of John D. Ameen, P.A., today to schedule a consultation. Our team can ensure your insurance provider is held responsible for their actions so you can receive the settlement you deserve.