Insurance ̶ SB 230 by Senator Keith Truenow (R-Tavares) would put new restrictions on bad faith claims by first requiring a court ruling and final judgment that an insurance company breached the policy contract before a bad faith claim could be filed. This bill is dead having never received an initial hearing. Read More
It would also:
- Prohibit a bad faith claim simply because the insurance company paid a claim following a Notice of Intent to Litigate or a demand for judgment;
- Require the plaintiff to cite specific bad faith laws that were allegedly violated;
- Require the plaintiff to note the amount of damages required to cure the violation;
- Require any damages sought to be available under the terms of the insurance policy; and
- Prohibit attorney fees or costs from any damages sought.
The bill is meant to close loopholes identified since the initial bad faith law reforms that were part of the 2022 insurance consumer protections and market reforms. The bill contains other tweaks to current insurance law. It would prohibit public adjusters from engaging in certain adversarial conduct, revise the circumstances under which a carrier or agent may cancel certain policies, and revise the required disclaimer statement on policies that do not provide flood insurance. The bill would also reduce the current coursework requirement from 200 hours to 60 hours to become a general lines insurance agent. (Return to Bill Watch)
