Centauri Specialty Insurance, based in Sarasota and now part of Arbol’s Lilypad Insurance Holdings, has been fined $100,000 by Florida regulators for using unlicensed adjusters after Hurricane Ian struck in 2022. A review by the Florida Office of Insurance Regulation found that the company employed non-appointed adjusters in 168 cases, which violates state insurance laws. Additionally, Centauri failed to inform clients when claims payments were not made in full.
The findings were part of a market conduct examination completed in April. The consent order, signed by Insurance Commissioner Michael Yaworsky and Centauri’s chief operating officer, Traci Stillwagon, highlighted the importance of having licensed and appointed adjusters for handling claims in Florida.
In response to the violations, Centauri has committed to taking corrective actions to enhance its claims handling processes and improve customer service. The company has been given ten days to pay the fine, along with $2,000 in administrative costs. If Centauri does not comply, it could face further administrative actions, including the suspension of its operating license.
Last year, Centauri had around 10,000 policies in Florida, with about half being homeowners’ policies. The company was still under the ownership of Applied Underwriters during the review period but was acquired by Lilypad in early 2024.
This situation is not isolated. Florida regulators previously imposed fines on several other insurers for similar claims-handling violations related to Hurricane Ian. Notably, Heritage Property & Casualty Insurance Co. received the largest fine of $1 million for similar issues.
Lawsuits have also surfaced, alleging that some insurers hired unlicensed adjusters for thousands of claims inspections. As the insurance landscape continues to evolve, the actions of companies like Centauri are under close scrutiny to ensure compliance with state regulations and protect consumers.