Fla. Bill Would Offer Insurers Legal Protection
Jan. 28, 2020—A proposed bill in Florida could make it more difficult to sue insurers for third-party claims actions.
Senate Bill 924, which was placed on a committee agenda, could limit a third-party claimant's ability to sue an insurer for unfair claims practices. The bill was sponsored by Senator Jeff Brandes.
SB 924 was scheduled to go before the Senate Banking and Insurance Committee on Tuesday, according to floridapolitics.com. Additionally, the online media outlet noted that, according to the committee's staff analysis, the bill would essentially block third-party bad faith determinations against insurers if the insurer shows it was willing to settle a claim for policy limits within 45 days of receiving a notice of loss.
A further explanation of the bill, noted on flsenate.gov, says that the bill is related to "Civil Actions Against Insurers; Providing that, in third-party bad faith actions against insurers, insureds and claimants have the burden to prove that an insurer acted in reckless disregard for insured rights which resulted in damage to the insured or claimant..."