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Floridians should be aware of changes to state insurance laws

On Behalf of | Nov 21, 2022 | Insurance Law and Litigation

Floridians have been hit hard by weather-related incidents in recent years. For people whose homes were damaged, there has been growing concern about their insurance payouts and if they were going to be able to get coverage at a reasonable price in the future.

The governor and state lawmakers were aware of this and sought to find solutions that will help property owners while providing a shield to insurers and keep them in operation in the Sunshine State.

Law aspires to help consumers and insurance companies

This past spring, Gov. Ron DeSantis signed a law that gives relief to insurance companies and will protect homeowners who had roof damage and were vulnerable to being scammed.

Previously, if a roof’s damage surpassed 25%, it needed to be replaced in its entirety. The new law says that if a roof has more than 25% damage but still adheres to the building codes from 2007, it can be fixed.

This may make it harder to get an entirely new roof even if one is required.

In addition, insurers will no longer be able to deny coverage based on the age of the roof if it younger than 15 years. The insurer is also prevented from refusing to cover a roof that is estimated to last at least five more years. If the roof is at least 15 years old, insurers will inspect it before determining if it needs replacement.

In some cases, an insurance company can place a limit on how much it pays for roof damage.

The new law forces contractors to give more specific information about their practices. It also ends the practice of contractors having property owners sign over their insurance claims. Contractors are also blocked from receiving payment for legal fees.

Legal disputes between policyholders, contractors and insurers

Despite these well-intentioned attempts to change the law to address challenges with insurance, there are still disagreements over how to effectively do that in a way that will satisfy all parties.

For people who are considering insurance litigation over claim denials, underpayment or other areas of discord, it is imperative to have professional advice. Consulting with experienced professionals who specialize in insurance law can be helpful to understand the new laws and hold companies accountable.

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