Florida Third-Party Coverage Disputes Lawyer
Liability insurance is an essential aspect of insurance coverage. With liability insurance, the carrier agrees to indemnify you against claims brought by third parties. Indemnification means they will either settle with the third party or defend you in litigation and pay any judgment against you, up to the limits of your liability insurance.
In Florida, third-party insurance claims can be more complicated to deal with since the claimant is not the insured policyholder. However, third-party claims are critical for people who sustain property damage in a motor vehicle collision caused by another motorist, or due to a defect on another party’s property. When a liability insurance policy will not pay out or denies a claim, it is important for the claimant to learn more about options to resolve a third-party coverage dispute in Florida. The firm of Geyer Fuxa Tyler can help. Contact our experienced Florida third-party coverage dispute lawyer today for assistance.
What is Third-Party Insurance Coverage in Florida?
Third-party insurance coverage in Florida is liability insurance. These types of liability insurance claims are filed through another party’s insurance policy. Differently, with a first-party claim in Florida, the claim is filed by the insured policyholder.
Determining whether third-party liability coverage exists, and whether a party is eligible to file a third-party claim in Florida, can be complicated. Since Florida is a no-fault state as far as auto insurance claims and liability goes, many Floridians assume that they cannot file a third-party insurance claim to seek coverage through another driver’s insurance policy. While Florida drivers do need to file auto injury claims through their own personal injury protection (or “PIP”) coverage, which is required by law, it is possible to file a third-party property damage claim after a collision. In this kind of situation, a vehicle owner whose car or truck was damaged by another driver’s negligence would file a third-party claim for compensation for vehicle damage through that negligent driver’s insurance.
While most Florida drivers are aware of the availability of bodily injury liability or property damage liability when they are purchasing automobile insurance, many are not aware that liability coverage can be found in many homeowners’ policies, as well as condominium and renters insurance. In the event of a car accident, slip and fall, or dog bite that occurs on your property, your liability insurer may be duty-bound to offer a reasonable settlement to the injured party or to defend you in court if you are sued. When your insurance carrier refuses to settle or defend you, arguing that the claim is not covered under your policy, the experienced Florida third-party coverage lawyers here at Geyer Fuxa Tyler will analyze your policy and fight to force the insurance carrier to fulfill its obligations to you.
Understanding Florida Third-Party Coverage Disputes
Insurance companies frequently deny third-party claims, or delay investigating third-party claims. Generally speaking, third-party claims tend to take a longer amount of time to resolve than first-party claims, and claimants can encounter a wide range of problems. Yet it is important for claimants to understand that insurance companies still have a duty to act in good faith when handling third-party claims, and insurers can be held accountable for acts that amount to bad faith.
While third-party coverage disputes can have many causes, the following are common ones in Florida:
- Insurance company’s unreasonable delay in investigating a third-party claim;
- Insurer unreasonably denying a third-party claim despite existing coverage;
- Insurer alleging that the third-party claimant is liable for their own damage, or that the third-party claimant failed to mitigate damage; or
- Insurance policy limits mean that no coverage is available.
Not only must insurers act in good faith when handling insurance claims, but they also have a duty to settle when coverage is available and it is clear that the claimant’s losses fall within the coverage included in the insurance policy.
Litigation of Third-Party Coverage Disputes
The threshold question of whether coverage exists can be litigated by seeking a declaratory judgment from the court. Often times it is only necessary to show that a potential for coverage exists in order to win a declaratory judgment. However, an insurance company that defends you against a third party after losing a declaratory judgment may choose to do so under a reservation of rights, meaning if a judgment is eventually entered against you, it may still be necessary to litigate the coverage issue and the insurance company’s liability to you more fully. The attorneys at Geyer Fuxa Tyler have experience litigating liability and damages disputes that arise in both first-party and third-party settings.
The duty to settle and the duty to defend are separate duties that may both apply to a given situation. If an insurance company refuses to pay where liability is clear or where a reasonable demand is made that is within the policy limits, the insurance company can be held liable if it litigates the matter and loses to the third party. Not only can the insurance company be liable up to its policy limits, but when the carrier breached its duty to settle, it can also be liable for the entire judgment, including any excess verdict amount above the policy limits.
Contact the Florida Third-Party Coverage Dispute Lawyers at Geyer Fuxa Tyler Today
If you filed a third-party claim and the insurer has been unreasonably slow in investigating your claim or attempting to settle, or if you have had a third-party claim denied, it is important to seek legal advice about holding the insurance company accountable. An attorney at Geyer Fuxa Tyler can help you to seek compensation in a third-party claim. Contact our experienced Florida third-party coverage dispute lawyer today.