Insurance bad faith in Florida means your insurer failed to deal with your claim fairly and honestly, as the law requires. If you suspect it, the first move is not a lawsuit. It is building a complete, well-documented record of your claim so the facts speak for themselves, whether that record ends up in a settlement or in front of an attorney.
I get this question a lot, usually from a business owner or a condo board member in Seminole County who has been waiting months on a claim, or who just opened a lowball check and felt something was off. "Is this bad faith?" is a fair question. Here is a plain-English answer, and what to do next.
What "Bad Faith" Actually Means
Every insurance policy is a contract. Under Florida law, your insurer owes you a duty to handle that contract fairly: investigate promptly, communicate honestly, and pay what the policy actually owes. When an insurer ignores that duty, Florida gives policyholders a legal path to hold them accountable. That is what people mean by "bad faith."
It is important to say this clearly: bad faith is a legal claim, not something a public adjuster files or litigates. I am a public adjuster, not an attorney, and nothing here is legal advice. If you believe your insurer has acted in bad faith, that question belongs with a qualified Florida attorney who handles these cases. What I can do, and what matters most in the early stages, is make sure your underlying property claim is documented the way it needs to be documented, whether it ever becomes a legal matter or not.
Common Warning Signs
None of these alone proves bad faith. But they are the patterns I see most often in commercial and association claims across Central Florida, and they are worth tracking:
- Unreasonable delay. Your insurer sits on a claim for months with no real explanation, no requests for missing information, and no timeline.
- Thin or missing investigation. An adjuster denies or lowballs a claim without a real inspection, without reviewing the documentation you submitted, or without explaining the reasoning.
- A lowball offer with no basis. The settlement offer is far below what your own estimate and evidence support, and the insurer will not explain the gap in plain terms.
- Shifting explanations. The stated reason for denial or delay keeps changing as you push back.
- No written communication. Verbal promises with nothing in writing, or a pattern of unanswered written requests for status updates.
If several of these are happening at once on a large commercial loss or an association claim, it is worth a conversation with both a public adjuster and an attorney, so you have both sides covered.
Why Documentation Matters More Than the Word "Bad Faith"
Before I spent years running CCG, I worked the carrier side of claims. I saw firsthand how much a well-documented claim changes the conversation. A claim file with a clear timeline, a detailed itemized estimate, photos and inspection records, and every communication in writing is simply harder to delay, deny, or lowball, and it is also the file an attorney needs if a legal bad faith action ever becomes necessary.
This is the real value a public adjuster brings before things reach that point. My job is to prepare and present your claim the way it should have been handled from the start: a full inspection, an itemized estimate built to the same standard an insurer's own adjuster would use, and direct, documented communication with the carrier on your behalf. Florida law requires that process to stay transparent between you, me, and the insurer, and it is handled without ever stepping into legal advice or legal representation.
What To Do If You Suspect Bad Faith
- Get everything in writing. Follow up phone calls with an email confirming what was said. Keep a simple log with dates.
- Request a written explanation. Ask the insurer to put the reason for any denial or delay in writing, referencing specific policy language.
- Do not accept a check as final without review. Cashing a settlement check can affect your options. Have the offer reviewed against your actual damage before you decide.
- Get a second, independent estimate. If your only estimate came from the insurer's adjuster, that is one side of the story. A public adjuster's inspection and estimate gives you the other side, built on the same industry standards.
- Talk to a Florida attorney if the pattern is serious. If you see real delay, a thin investigation, and a lowball number together, an attorney can tell you whether a formal bad faith claim is appropriate. We are glad to share our claim file with your attorney if that happens.
How This Plays Out for Commercial and Association Claims
Large-loss commercial claims and condo or HOA association claims are where I see this most. The dollar amounts are bigger, the policies are more complex, and boards and owners are often managing this on top of a full-time job running the building or the business. A delayed or underpaid claim on a large commercial property or a storm-damaged association roof is not a minor inconvenience. It can mean a special assessment, a stalled repair, or a building that cannot reopen.
That is exactly why documentation has to be airtight from day one. Whether you are a property manager in Lake Mary, a board member in Oviedo, or a business owner here in Sanford, the same principle applies: the stronger and more complete your claim file, the less room there is for an insurer to delay or underpay, and the more support you have if it ever needs to go further.
Frequently Asked Questions
Is a slow claim automatically bad faith?
No. Complex commercial and large-loss claims legitimately take time to investigate. Bad faith is about an unreasonable pattern, not the simple passage of time. A public adjuster can often help identify why a claim is stalled and push it toward resolution before it becomes a legal question.
Can a public adjuster file a bad faith lawsuit for me?
No. Public adjusters are licensed to prepare, document, and negotiate property insurance claims. We are not attorneys and do not give legal advice or file legal claims. If bad faith litigation is appropriate, that work belongs with a licensed Florida attorney.
What is the difference between a denied claim and a bad faith claim?
A denial is a decision on coverage. Bad faith is about how the insurer handled the process, whether it investigated fairly, communicated honestly, and paid what was owed in a reasonable time. A claim can be denied without being handled in bad faith, and a claim can be paid late or low in a way that raises bad faith concerns even without an outright denial.
Will hiring a public adjuster hurt my case if I later need an attorney?
It should help it. A thorough, professionally documented claim file, built with a detailed written estimate and a clear record of communication with your insurer, is exactly what an attorney needs if a legal claim becomes necessary.
Does Florida regulate how adjusters must handle my claim?
Yes. Florida's rules of conduct require every adjuster working on a claim, public or otherwise, to act with honesty, treat claimants fairly, and avoid prejudicial handling of a claim. A public adjuster works for you, the policyholder, within that same framework, not for the insurance company.
If something about your claim feels off, whether it is delay, a confusing denial, or a number that does not add up, we are happy to take a look. A claims review with CCG costs you nothing to start, and if your situation calls for an attorney instead of or alongside a public adjuster, we will tell you that plainly. Learn more about how we work with commercial property owners and condo and HOA boards, see our frequently asked questions, or find us by name if you are in Sanford, Lake Mary, or Oviedo. For more on what happens after a denial or a low offer, see our guides on what to do when a Florida claim is denied and how to respond to a lowball insurance offer.
Written by James Coyne, Florida Licensed Public Adjuster (License W482618), founder of Coyne Commercial Group (Firm License G350978).