Two south Florida lawsuits against property insurers argue that two major carriers have employed a business strategy of hiring inexperienced or even unlicensed claims adjusters after storms, practices that have led to “lowball” damage estimates that fall below deductibles.

In one of the suits, brought by a Miami condominium association, the plaintiffs produced records that they said showed that after Hurricane Irma, almost 4,800 claims for Heritage Property & Casualty Insurance Co. were handled by unlicensed adjusters. Of almost 35,000 Heritage claims after Irma and Hurricane Michael, in 2017 and 2018, some 14% were handled by unlicensed adjusters, potentially in violation of state laws and regulations, according to the lawsuit filings.

The Samari Lakes East Condo Association vs. Heritage suit resulted in an $18 million judgment against Heritage in 2023. A subsequent bad-faith suit was settled in March of this year for an undisclosed amount.

An Insurance Journal spot check of dozens of the adjusters’ names listed in the lawsuit shows that many of those were not licensed in Florida or other states at the time of the property inspection. Several have since been licensed in Florida or other states.

Heritage has since changed its practice to add its own internal vetting and review process to ensure that independent adjusters assigned to Heritage’s claims are properly licensed in Florida.

Heritage insurance officials and plaintiffs lawyers in the case did not respond to requests for comment about the assertions. But in court pleadings Heritage said it had relied on independent adjusting firms to provide licensed inspectors and “has since changed its practice to add its own internal vetting and review process to ensure that independent adjusters assigned to Heritage’s claims are properly licensed in Florida.”

The complaint suggests that several third-party claims management firms were hired after Irma, but Heritage also sent its own workers, many of whom were not licensed.

In a separate lawsuit, attorneys for the owners of a $95 million mansion near Miami Beach recently alleged that American Home Assurance, part of AIG, American International Group, also made a habit of employing inexperienced and “unqualified” claims investigators. Many of those were overloaded with work and were unable to fully investigate wind and water damage, contends the complaint in Michael Newman vs. American Home Assurance.

“This is a classic AIG business model; offer to pay a little now supported by skimpy estimates, in the hope that it will either never have to pay a fair amount or that payment will be delayed for so long that the ‘float’ will offset the amount of the fair payment,” the suit reads.

The adjuster sent by American Home “had never adjusted a claim before,” said Matt Weaver, one of the plaintiff attorneys in the case. “That’s what is happening.”

American Home and AIG officials declined to comment on whether the companies have utilized unlicensed or inexperienced adjusters. In court documents, though, the companies’ attorneys denied that the insurer had followed a “lowball” business practice.

A Miami jury in the Newman case last week found that the insurer had not engaged in bad faith actions, but had violated the state’s Unfair Claim Settlement Practices Act. The jury awarded only interest on the cost of alternative living expenses for the Newman family, who were displaced by the damage after Hurricane Irma. The judge in the case has yet to determine the dollar amount but it is not expected to be much more than $1 million.

Independent adjusters who have worked claims in Florida said the allegations in the lawsuits are not surprising. Insurance carriers have often utilized first-time or young adjusters, ones that may be easily influenced to keep estimates low, or who may be unfamiliar with how seemingly minor damage can lead to major failures later on, said Ben Mandell. Mandell is a veteran independent adjuster who has worked for a number of Florida insurers and is one of several independent adjusters who have charged that some carriers have inappropriately altered their inspection reports.

In the Samari Lakes case, the condo association filed a claim after Hurricane Irma for extensive damage to multiple buildings. An unlicensed adjuster inspected and produced an estimate of $18,000 – just below the policy’s deductible, the lawsuit said. The Florida Department of Financial Services shows that the adjuster was not licensed in Florida until 2022.

The Florida Association of Public Insurance Adjusters contends that using unvetted claims investigators is a serious concern and can create problems for property owners.

“Adjusting insurance claims in Florida without a license violates the trust of policyholders during a time in which they are vulnerable and most in need of professional advice,” FAPIA President John Hornbuckle said in a statement.

In some cases, particularly after catastrophic storms, insurers have so many claims that they bring in adjusters from other states, he explained.

“At times, this includes people who are not licensed in Florida and are unfamiliar with the rules and regulations specific to our state.”

The association leadership said the practice of unlicensed adjusters in Florida “happens more often than it should.”

License requirements for adjusters varies by state. Some Southeast states, including South Carolina, allow out-of-state adjusters on a temporary basis after a storm event, but they must be able to show proof that they are licensed in other states. LINK

Florida regulations allow out-of-state adjusters during an emergency, such as after a hurricane. But those adjusters must first apply to the state Department of Financial Services. And only Florida-licensed insurance companies and independent adjusting firms can submit those applications. Public adjusters need not apply, the department rules note.

Florida statutes generally forbid unlicensed claims adjusting: “Any person who knowingly transacts insurance or otherwise engages in insurance activities in this state without a license in violation of this section commits a felony of the third degree,” one statute reads.

Ironically, it has often been Florida insurers and industry advocates who have complained vehemently about unlicensed adjusters or contractors acting as adjusters through the years, convincing some homeowners to assign benefits, which have led to exaggerated repair costs.

Florida lawmakers in 2023 responded and approved House Bill 1185, which beefed up requirements for adjusters and requires adjusters to keep their licenses with them, available for inspection, while working claims.

Senate Bill 7052, the Insurer Accountability Act, also signed in 2023, underscores the requirement that insurance carriers must assign licensed and appointed adjusters to examine a property when a claim is made.

Top photo: Aftermath of Hurricane Irma in the Florida Keys.

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Lawsuits
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For their first game against the Florida Gators, Florida State softball traveled to Gainesville to face the freshman Ava Brown. In their first trip to the batters box, the Seminoles were shut down by Brown, going 1-2-3.

On the other side of the ball, it was Mimi Gooden getting the start in the circle. Gooden walked her first batter, but it was erased on a double play to add two outs. A fly out for her next batter kept it at the minimum and was able to roll with the 0-0 game.

A one out walk from Devyn Flaherty put the first baserunner on for the Seminoles in the top of the 6th. Immediately following, Jahni Kerr knocked a single on her first pitch. Unable to capitalize on the runners, a ground out ended the frame.

Gooden started the bottom of the 2nd with a hit batter, and a ground out moved her into scoring position. With one out, the pitcher, Brown doubled to break the scoreless tie. Gooden was able to respond and keep it at only the lone run.

Some more traffic on the bases in the bottom of the 3rd, as the Gators had runners on via a pair of hits with one out. Gooden was able to lock in and get the ground out and pop up to keep the ‘Noles within one.

Gooden’s day ended after three innings of work, and Emma Wilson relieved her in the 4th. For her first batter, Wilson gave up a solo shot to extend the Gators lead to 2 runs. A one out single and walk had two runners on before a fly out. A close play at first was ruled safe with two outs, and UF loaded the bases. Luckily for the Wilson, a fly out kept the flood gates from opening.

Hallie Wacaser singled to begin the 5th inning, and was replaced by Annie Potter to run. With no outs, Katie Dack came up with a hit, and an error in the outfield allowed Potter to come all the way home.

Now a 2-1 game, Brown exited for the a Virginia transfer, Mckenzie Wooten. Facing Wooten for the first time, Amaya Ross reached on an error that placed runners on the corners. With no outs, a wild pitch brought in the equalizer.

A sacrifice and intentional walk to Jaysoni Beachum had FSU threatening once again. A base hit from Kalei Harding pulled the ‘Noles out in front for the first time.

Now 3-2 in favor of FSU, Olivia Miller relieved Wooten. Isa Torres was the first batter for Miller, and after taking a full count, Torres unloaded on a ball deep to center field for a 3-run homerun.

After the homerun, Flaherty singled with one out. A mishandled ball at second base put two runners on, and a walk to Wacaser loaded things up. An RBI fielders choice traded an out for a run, making it 7-2. Continuing to struggle, UF couldn’t get Ross to make it 8-2.

Now with 13 batters in the 5th inning, Kaley Mudge singled to add another run. Two outs didn’t matter much to Beachum as she pushed across two more runs on a homerun to left.

A twelve run inning finally came to an end, changing the course of the game. Now looking to end it early on a run rule, Ashtyn Danley came on in the bottom of the 5th. A lead off walk from Danley ended up coming around after a ground out and wild pitch.

The single that brought home third run for the Gators stood on second after a wild pitch. However, Danley was able to get her final two outs to run rule No. 12 Florida by a 12-3 score.

FSU now has 11 straight wins, and is 37-10 overall

Up next

FSU will host UNC in Tallahassee

• Friday April 26th, 6 pm, ACCNX
• Saturday April 27th, 4 pm, ESPNU
• Sunday April 28th, 12 pm, ACCNX

A female iguana is free again after an “unusual” encounter with a water slide.

On April 19, Humane Iguana Control, an iguana removal company in southern Florida, received a call about a female iguana found inside a pool slide jet at a Miami-Dade resort. The resort also found numerous iguana eggs at the bottom of the pool connected to the slide.

“When we got the call, we dropped everything we were doing and rushed to the location,” Michael Ronquillo from Humane Iguana Control told WFLA. Humane Iguana Control also shared photos and videos from the incident on Facebook, noting that the slide situation was “a first for us.”

“This was one of the most unusual iguana removal jobs we have come across,” Humane Iguana Control shared in a statement obtained by PEOPLE.

“Upon arrival, the iguana managed to find its way out of the jet, and we were able to remove the iguana eggs swiftly. We’re not sure how the iguana eggs ended up in that pool! During this time of year, which is breeding season, female iguanas will lay their eggs in burrows, but at times, they will randomly lay their eggs in strange places,” the company added.

On social media, Humane Iguana Control shared photos of the iguana eggs its employees found scattered underwater at the bottom of the pool and a shot of the iguana trapped inside the pool slide.

In its Facebook video, Humane Iguana Control noted that employees checked the pool’s pipes with an endoscopy camera “to make sure” all creatures were cleared from the area before gathering the eggs.

Humane Iguana Control collected around 30 iguana eggs from the pool. Ronquillo told WSVN that it is unclear how the eggs ended up in the pool while the iguana was in the slide, but he shared a theory.

“Our guess is [the iguana laid] them around the slide area, and the eggs just rolled down from the slide, so that’s pretty much how they ended up in that area,” he said.

In its statement to PEOPLE, Humane Iguana Control noted the iguanas, an invasive species in Florida, are a common problem in South Florida, “just like roaches would be throughout the USA.”

“You will most likely come across an iguana in or around your property, and no property is safe from this invasive species,” Humane Iguana Control shared about the situation in South Florida.

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Humane Iguana Control also recommended that Florida residents do not try to remove iguanas from their homes alone.

“If you do not have experience handling these reptiles, you may get injured due to their sharp nails and teeth; also, their tails can whip at speeds of 30 mph! If you come across an iguana burrow, you should not cover it until it is inspected for iguanas and their eggs,” the company advised.

To learn more about iguanas and how to handle encounters with these reptiles, visit Humane Iguana Control’s website.