Unfortunately, the Fifth District Court of Appeals’ holding in this case did not last long. As discussed here, the Florida Supreme Court, quashing the Fifth District’s decision, ruled that an insured cannot recover extra-contractual, consequential damages against his/her/its property insurer absent a separate bad faith claim. This means that arguing extra-contractual damages against a property insurer claiming the damages flow from the insurer’s breach of the insurance contract are NOT going to fly in an action claiming the insurer breached the terms of the policy. An insured will need to pursue a separate bad faith insurance claim against his/her/its insurer to recover such damages. Make sure you consult with counsel when it comes to pursuing a property insurance claim including understanding damages covered by the policy and separate damages that may flow from a bad faith insurance claim.
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