TALLAHASSEE, Fla. — Florida’s state Democratic leaders have called on Governor Ron DeSantis to initiate a grand jury investigation into allegations of insurance fraud by companies handling claims from Hurricane Ian. In their request, outlined in a letter delivered earlier this week, they urged prompt action to address what they describe as systemic failures to honor legitimate homeowner insurance claims.
The request, championed by Rep. Fentrice Driskell from Tampa along with her Democratic colleagues, including Rep. Christine Hunschofsky of Parkland, specifically asks for the Florida Supreme Court to empanel the grand jury. They seek indictments against, and accountability for, insurers alleged to have unlawfully denied or underpaid claims related to the 2022 hurricane.
Simultaneously, the Democratic faction has proposed the establishment of a select committee by the Florida House. They aim for the committee to have investigatory powers robust enough to explore repeated accusations against property insurers. According to several sources, some insurers have been cutting adjusters’ reports, leading to significant reductions in claim payouts.
These legislative moves were significantly influenced by a recent television segment which revealed compelling evidence, including testimony from whistleblowers, that pointed to a deliberate pattern of claim denials and alterations in damage assessments. The program detailed instances where adjusters’ reports were drastically lowered for payouts, sometimes by more than 90%.
This coverage echoed assertions previously heard in state committee hearings, where allegations surfaced of intentional claim denials through various fraudulent manipulations. Amidst these accusations, several major insurers have disbanded their operations in the state following a series of destructive storms, exacerbating the insurance market volatility.
The damages from Hurricane Ian, alongside the subsequent handling of insurance claims, prompted additional scrutiny into the practices of the few insurers that remain. Allegations suggest that some entities have been tampering with damage reports to significantly decrease settlement amounts unjustly.
In their letters, state Democrats expressed a strong stance against allowing insurers to exploit affected Floridians during vulnerable times. They stressed the importance of clearing the backlog in courts over insurance claims and ensuring insurers fulfill their obligations legitimately.
State Rep. Dan Daley, representing Coral Springs, criticized the state legislature’s current priorities, pointing out that while significant issues like the insurance crisis exist, the focus remains diverted to less pressing legislative matters like book bans and abortion restrictions. Daley emphasized the need for addressing the systemic issues plaguing Florida’s insurance sector to prevent residents from facing their struggles alone.
The Democratic leaders’ push for judicial and legislative actions signifies a critical step towards broad accountability in the insurance industry, aiming to provide relief and justice to countless Floridians still grappling with the aftermath of Hurricane Ian. The proposed measures look to reveal the extent of alleged fraudulent activities while shaping policies to safeguard citizens against future injustices in disaster claim processes.