On February 10, 2017, in
Morrison v. Homewise Preferred. Ins. Company, No. 5D15-4312, the 5th DCA ruled that statute of limitations provisions
for actions against insolvent insurers do not apply to first party actions
filed against an insurer prior to insolvency. Under Section 631.68 of
the Florida Insurance Guaranty Act, a lawsuit against an insolvent Florida
insurer covered under the Act or against FIGA, the Association that administers
the Act, must be filed within year of the deadline for filing claims with
the receiver of the insolvent insurer. The same basic rule is also applied
in Fla. Stat. 95.11(5)(d). If a first-party suit has not been filed against
the insurer before insolvency occurs, the insured is required to file
his or her action against FIGA before the limitation periods in sections
95.11(5)(d) and 631.68 expires. The 5th DCA ruled that the trial court
erred in denying the plaintiff's motion to amend her complaint against
the insolvent insurer to include FIGA after the expiration of the period
under sections 95.11(5)(d) and 631.68, because cases filed prior insolvency
are not subject to these special limitations provisions.
