Responding to a DFS Probe of Your Florida Insurance Adjuster License

Facing an investigation by the Florida Department of Financial Services can be unsettling for any Florida insurance adjuster. The process typically begins when DFS sends a letter informing the adjuster that an investigation has been opened and instructs them to contact the assigned investigator to schedule an interview.

Should You Respond to a DFS Investigation?

Many adjusters struggle with how to respond. Some ignore the letter, while others attempt to handle the communication on their own. Although responding may resolve the matter, statements made without legal guidance can easily be used against you later.

While the case is under investigation, DFS records remain confidential and exempt from public disclosure. Once the investigation concludes, however, the final investigative report becomes subject to Florida’s public records laws unless a specific exemption applies. This occurs when DFS either closes the case with no action or issues an Administrative Complaint alleging violations of the Florida Insurance Code.

More Resources: Read our blog titled, “The Impact of Your Law Enforcement Records on Your Application for an Insurance Agent License.” 

Which DFS Division Is Investigating You?

Not every DFS probe carries the same risk. The division handling your case determines both the scope and the potential consequences.

If the Bureau of Investigations is conducting the review, the matter typically concerns only possible disciplinary action against your Florida insurance adjuster license.

If the Criminal Investigations Division is involved, the stakes are significantly higher. The review may result in criminal charges and immediate suspension of your license.

Related Reading: Howell, Buchan & Strong discusses how pending criminal charges affect professional licenses and ownership of insurance agencies.

Navigating Your Options After an Administrative Complaint

If DFS issues an Administrative Complaint, several pathways are available. Each carries different risks and should be evaluated with legal counsel.

Formal Hearing

Request a formal hearing before an Administrative Law Judge at the Division of Administrative Hearings to contest the allegations.

Informal Hearing

Request an informal hearing before a DFS Hearing Officer. You must admit the allegations but may argue for reduced penalties if a settlement has not been reached.

Consent Order

Negotiate a settlement with DFS, often with the support of an experienced administrative law attorney who can pursue more favorable terms.

Waiver of Rights

Voluntarily waive your right to dispute the allegations. This option is rarely advisable due to the significant consequences it can create for your Florida insurance adjuster license.

Engaging experienced legal counsel during this stage is essential. Mishandling the case can jeopardize your livelihood, leading to fines, suspensions, or even permanent revocation of your license. Penalties are ultimately decided by senior DFS management.

An administrative law defense attorney can guide you through the entire process, advocate for dismissal where possible, negotiate terms that protect your future, and represent you in hearings or appellate proceedings.

Dive Deeper: Howell Buchan & Strong’s legal team are highly qualified in guiding clients through the administrative complaint process. Read our Administrative Complaint blogs.