In Florida, an insured cannot file a bad faith action against his or her carrier without first resolving the underlying claim. Specifically, there needs to be a determination of liability and a determination as to the amount of the loss. This requirement is referred to as the “Favorable Resolution Requirement.” Carriers often argue a judgment must be entered against it before an insured’s bad faith claim is proper and an appraisal award is not an equivalent. Advocates for insureds take the position that if a carrier pays an appraisal award, the underlying issues are resolved. If the carrier acted unfairly towards its insured during the handling of the claim, then a bad faith claim under Florida Statute 624.155 is ripe.

Continue Reading An Appraisal Award Satisfies the Favorable Resolution Requirement Making a Bad Faith Claim Ripe

I was the “token” consumer advocate at the Annual Convention of the International Association of Claims Professionals, where Bob Hartwig provided a paced presentation, After the Crisis: Overview & Outlook of the P-C Industry. His presentation is worthy of study and not necessarily because of the factual content. Hartwig is the President of the Insurance Information Institute and a chief propagandist for the insurance industry’s efforts to reduce consumer protection and allow insurers to wrongly delay or deny claims without accountability
Continue Reading Bob Hartwig Speaks Before the International Association of Claims Professionals