Q: Does a HOI company in FL have any liability if they agree to insure and then cancel policy after home purchase?
I bought a home with an old roof in May 2021. I had only one option for HOI as a result. The company was provided a copy of the 4 point inspection and agreed to issue the policy. I was buying the property with the intention of doing some renovations in the next year or two, but didn't have the budget for anything immediately after closing. The HOI company came back in July and said I have to fix some issues noted on the inspection (bathroom wall) or they will drop me. I have no other options, and if they had not issued the policy to begin with, I simply would not have bought the house (or tried negotiating with seller to fix issues). This seems like bad faith dealing, since they had the inspection prior to issuing the policy. But it also seems that the insurance company is holding all the cards. Since my decision to purchase was predicated on the insurance company's agreement to issue the policy, and now they are summarily changing the agreement, do they have any liability?
A: What are they saying is the reason they are cancelling; did you give them false information of any sort?
Bruce Alexander Minnick agrees with this answer
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