The pre-suit demands. When the State of Florida engages in “lawsuit reform”, the pre-suit demand requirement enters the equation. We saw in 2020 and 2021 with the first-party homeowners cases, which in my estimation represent pure abuse and have made getting HO polices in Fla impossible. But on the PIP side, it is a tool to allow the carriers to close their eyes initially and then, when the pre-suit comes rolling in, pay out the policy to avoid the PIP suit.
The law as to the pre-suit demands on average usually spoke of substantial compliance and were not an effective weapon by the carriers to have county court PIP cases dismissed. These were the findings in published county court and Appellate Division decisions. Times are a changing.
“We have written that section 627.736(10)(b) requires precision in a presuit demand letter to encourage resolution of PIP claims before the filing of a lawsuit: The language of subsection 627.736(10)(b)3. requires precision in a demand letter by its requirement of an “itemized statement specifying each exact amount” . . . The statute mandates that the amount at issue for a bill be specified early in the claims process. This requirement of precision in medical bills discourages gamesmanship on the part of those
who might benefit from confusion and delay. The statutory requirements surrounding a demand letter are significant, substantive preconditions to bringing a cause of action for PIP benefits. MRI Assocs. of Am., LLC v. State Farm Fire & Cas. Co., 61 So. 3d 462, 465 (Fla. 4th DCA 2011); see also Rivera v. State Farm Mut. Auto. Ins. Co., 317 So. 3d 197, 205 (Fla. 3d DCA 2021).
The demand letter in this case was hardly precise in the amount claimed to be due. It sought $2,978.88 or $4,524.28, not the amount less than $100 sought in the lawsuit. “[T]he purpose of the demand letter is
not just notice of intent to sue. The demand letter also notifies the insurer as to the exact amount for which it will be sued if the insurer does not pay the claim.” Rivera, 317 So. 3d at 204. A demand letter that complies with the statute permits the insurer to accurately evaluate its decision to pay the claim or litigate. See, e.g., Venus Health Ctr. a/a/o Joally Rojas v. State Farm Fire & Cas. Co., 21 Fla. L. Weekly Supp. 496a (Fla. 11th Cir. Ct. Mar. 13, 2014).
We have fully considered the other issues raised by appellant. We see nothing in the language of section 627.736 that requires an insurer to give notice to the insured or an assignee that a demand letter is defective. The trial court did not abuse its discretion in allowing Geico to amend its affirmative defenses or in ruling on the offer of judgment.”
The letter stated PIP benefits were owed in a certain amount and, if the policy has Med Pay, another amount. Not how I would draft a pre-suit letter, but the carrier knew what was in controversy. Many of you want to know why the heck you’d sue foe less than $100 if $2500 or $5000 was owed. LOL.
At the end of the day, if payments were made, the provider is searching for some small FS difference of unpaid interest. That triggers an attorney fee that starts at $3000 and can go to $100,000. These Fla PIP lawsuits are generally more about attorney fees then benefits. But that does not answer the question: why sue for less than $100.
The filing fee for a lawsuit under $100 is $55. For an amount between $500-$2500 it is $175. From $2500 to $15,000, it is $300. After $15,000, it is $400, which is the Circuit Court filing fee.
