A tsunami of technology-generated litigation has been pummeling Florida insurance companies in recent years, contributing to the liquidation of six property insurers in the state in 2022, according to insurance researchers. 

The information about tech-inspired insurance claims litigation, which combines litigation funding, litigation marketing, search engine optimization and other online activities, was raised by the co-founder of the insurance-rating firm Demotech, Joseph Petrelli, during recent congressional testimony.

Petrelli, whose company provides financial ratings to insurers in Florida and elsewhere, testified in November before the House of Representatives’ Housing and Insurance Subcommittee about “opportunists” steering internet users to sites they have set up, with the goal of spurring people to file litigated claims in cases that need not be litigated.