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FLORIDA - Florida regulators have fined eight insurance companies a total of $2 million for allegedly mishandling claims after Hurricanes Ian and Idalia.
The penalties stem from violations of state rules intended to protect policyholders.
Insurance Commissioner Mike Yaworsky said the companies allegedly used adjusters who were not properly appointed, failed to acknowledge claim communications promptly, omitted required disclosure statements in damage estimates, did not provide the Homeowners Claims Bill of Rights, and failed to pay interest when required.
One insurer reportedly had error rates exceeding 60 percent for Hurricane Ian claims and over 80 percent for Hurricane Idalia claims because disclosure statements were missing.
The fines assessed against each company are: American Coastal Insurance Company, $400,000; American Mobile Insurance Exchange, $400,000; Centauri Specialty Insurance Company, $100,000; Clear Blue Insurance Company, $400,000; Monarch National Insurance Company, $325,000; Sutton National Insurance Company, $50,000; Tower Hill Prime Insurance Company, $250,000; and TypTap Insurance Company, $150,000.
Yaworsky noted that two additional examinations are ongoing, which could result in further fines.
Officials stressed that these penalties do not affect policyholder insurance rates.
Florida Chief Financial Officer Blaise Ingoglia said the fines reflect the state’s commitment to ensuring insurers meet their contractual obligations to customers.
He emphasized that regulatory oversight is critical as peak hurricane season approaches.
The actions aim to improve compliance, transparency, and responsiveness in claims handling, providing added protection for homeowners and ensuring insurers follow state regulations.