Bill Watch

Recap of Week 5 & Preview of Week 6 of Session

Last week marked the halfway point of Session and the last time House subcommittees will meet this year.  Bills that have not moved through one committee, or do not have a House or Senate companion, are likely dead this Session.  The phrase “Bills are dying” was heard often this past week.  The new $115 billion+ budget will take effect on July 1.  House and Senate leaders anticipate some belt-tightening due to a post-COVID decrease in federal funding dollars and a concerted effort to show fiscal conservatism.  They aim to pay off debt early, balance the budget, and provide tax relief in a responsible manner.  The House and Senate approved their plans, which are around $500 million apart, with minimal debate and they will now negotiate with each other in the coming weeks with a planned adjournment of March 8. 

Here are some of the noninsurance bills taking center stage.  First, there is a bill that would impose limits on the amount of THC, the psychoactive compound in marijuana, in pot products if a proposed constitutional amendment allowing recreational marijuana is passed by voters this November.  The bill would cap the THC content in smokable marijuana at 30%, set caps of 60% on other products like vape cartridges, and limit edibles to 15 milligrams of THC per serving, with a total cap of 200 mg.  Thought our baby boomer readers would want to know!

Next, legislation is moving that is aimed at preventing local communities from allowing homeless individuals to camp on most public property without permits.  Large county governments would designate specific areas for homeless camps, where individuals could stay for up to a year with drug and alcohol restrictions.  The camps would have restrooms, running water, and mental health services.

The “social media ban” bill addresses concerns about the harmful effects of social media on children’s mental health.  The question is this:  Does a bill like this violate the constitution?  Critics argue that it would violate First Amendment rights, is government censorship, and prohibits freedom of expression.  The bill focuses on features of social media platforms that are addictive to minors, rather than the content itself.  Supporters argue that it is necessary to protect children from the negative impacts of excessive social media use.  The proposal would prohibit minors under 16 from creating social media accounts and require platforms to terminate existing accounts held by minors.  It would also mandate age verification processes and allow parents to request the termination of their child’s account.

Lastly, Senator Jay Collins (R-Tampa) and Rep. Tyler Sirois (R- Merritt Island) have bills that would make it unlawful in Florida for anyone to manufacture, sell, hold or offer for sale, or distribute “cultivated” meat produced in a laboratory (these products are allowable in California).  A violator could be charged with a second-degree misdemeanor.  Additionally, the bill would subject any restaurant, store, or other business to having their license suspended for offering the product.

Let us know if you want to know more or just want to vent with a common question being “are you kidding me? Is the Legislature really considering that?!”  Next up is all you could ever want to know about the status of the insurance bills we are tracking!

We have separated Bill Watch for the remainder of our weekly session newsletters into two categories – “Bills in Play” and “Bills Not in Play” with two bills back “in Play” this week.  For those of you who were following closely and have a favorite that has been placed in the latter, don’t forget: It has been my experience that most good ideas take 3 years to pass!”

Here is the list of legislative bills we’re following.  You can click the bill link in the list below to go directly to the bill and its details further below.  “Updated” bills are so noted.  Updates within each bill are noted in blue font:

Florida Hurricane Catastrophe Fund and Reinsurance Assistance
Policy Cancellations and Nonrenewals by Property Insurers Updated
Personal Lines Residential Property Insurance
Department of Financial Services Updated
Access by Insureds to Claim-related Documents
Insurance Updated
Financial Strength of Property Insurers
Litigation Financing Updated
Condominium Windstorm Pilot Program
Hurricane Protections for Homeowners’ Associations Updated
My Safe Florida Condominium Pilot Program Updated
My Safe Florida Home Program Updated
Citizens Property Insurance Corporation Updated
Citizens Property Insurance Corp.
Coverage by Citizens Property Insurance Corp. Updated
Windstorm Coverage by Citizens Property Insurance Corporation Updated
Other filed property insurance bills
Motor Vehicle Insurance
Insurance Claims Updated
Flood Damage Prevention
Flood Disclosure in the Sale of Real Property Updated
Consumer Protection Updated

Property Insurance – Regulation & Claims:

Policy Cancellations and Nonrenewals by Property Insurers  ̶  SB 1104 and the similar HB 1149 by Senator Jennifer Bradley (R-Fleming Island) and Rep. Adam Botana (R-Bonita Springs) would put new restrictions on insurance companies cancelling or nonrenewing policies, with a focus on flood damage – regardless of whether an insurance policy provides coverage for flood damage or not.  Both bills were heard last week and passed the Senate Judiciary and the House Insurance and Banking Committees, respectively.  Many of you have expressed the same opposition I have to both of these bills that in essence are contradictory to every insurance business fundamental.  The idea to expose an insurance company’s capital for a risk in which they didn’t collect premium flies in the face of sound insurance public policy.  A group of stakeholders are working on ways to blunt the direct (and indirect) harmful effects of requiring insurers who don’t write flood coverage to stay on a risk that has flood damage.  We anticipate further committee review in the next couple weeks.

Specifically the bill:

• Prohibits admitted and surplus lines insurance companies from cancelling or nonrenewing commercial policies (including commercial residential, such as condominium complexes) until 90 days after the property has been repaired from a wind loss or hurricane, including flood damage, if the property was covered by any flood insurance policy. If the property wasn’t covered for flood, the company must wait until the property is repaired or one year after the loss (or one year after a final claim payment) – whichever is earlier.
• If a company chooses to cancel or nonrenew one of the above policies, it must provide at least 90 days’ notice of its intent to do so, which can coincide with the above 90 day requirement.
• If a policy is extended or renewed, it must contain the same policy terms as the original policy.
• The only exceptions to the above: if the insurance company has paid policy limits for a personal residential policy loss, or policy limits for a loss to each insured structure under a commercial residential policy; for nonpayment of premium; material misstatement or fraud related to the claim; or if the carrier determines that the policyholder unreasonably caused a delay in the repairs.  (Return to Top of List)

Department of Financial Services  ̶  HB 989 by Rep. Chip LaMarca (R-Lighthouse Point) and SB 1098 by Senator Nick DiCeglie (R-St. Petersburg) are the annual omnibus bills that touch on the many regulations and responsibilities of the Florida Department of Financial Services (DFS), including insurance.  Here’s what we’re watching:

• Section 11: Requires insurance companies to designate a contact person for escalated consumer complaints.
• Section 16: Requires adjusters to identify the type of adjuster appointment held in any written document or advertising; and prohibits an adjuster who has lost their state license from participating in any part of the claims process.
• Section 19: Requires insurance companies to put the notice of change in policy terms in a one-page summary with any policy renewal sent to the consumer.

HB 989 passed the State Administration & Technology Appropriations Committee.  The Senate bill is scheduled for tomorrow (February 13) at 8.30 am in the Agriculture, Environment & General Government Appropriations Subcommittee.  The bills are “noncontroversial” for most stakeholders and look to pass through their chambers without any obstacles.  (Return to Top of List)

Insurance  ̶  SB 1622 by Senator Jay Trumbull (R-Panama City) increases regulation of reciprocal insurance exchanges, which are a form of insurance organization in which individuals and businesses exchange insurance contracts and spread the risks associated with those contracts among themselves.  The House companion, HB 1611 by Rep. Cyndi Stevenson (R-St. Johns) passed its first committee stop on February 1 but didn’t move this week.  SB 1622 passed the Agriculture, Environment & General Government Appropriations Subcommittee unanimously and is waiting to be heard in Senate Fiscal Policy, its last stop before a hearing in the full Senate Chambers.  Both bills, in addition to reciprocal insurer regulation changes, clarify that surplus lines insurers are subject to the same laws as admitted companies regarding unrepaired damage and the parameters around nonrenewals post storm, and still require monthly versus quarterly QUASR reporting to OIR.  Here is the latest bill analysis on the Senate bill, which now differs slightly from the House bill.  (Return to Top of List) 

Litigation Financing  ̶  SB 1276 by Senator Jay Collins (R-Tampa) and the identical HB 1179 by Reps. Tommy Gregory (R-Lakewood Ranch) and Toby Overdorf (R-Palm City).  SB 1276 passed the Senate Fiscal Policy Committee, it’s last stop before heading to the full Senate.  HB 1179 was placed on the agenda for the House Justice Appropriations Subcommittee but was “temporarily postponed” and is not on this week’s agenda either.  Some Republican lawmakers have joined with their Democratic colleagues in expressing reservations on limiting or regulating such litigation.  If you have not watched Senator Collins debate and present a bill, you are missing the style and candor of a great American. The bills received wide press coverage recently, including the Sun-Sentinel’s Who’s funding your lawsuit? Florida bills would require disclosure.

These bills pick up where past efforts in recent sessions made no progress in regulating third-party funding of lawsuits against businesses, including insurance companies.  To be called the  “Litigation Investment Safeguards and Transparency Act” the bill requires a court’s consideration of potential conflicts of interest which may arise from the existence of a litigation financing agreement in specified circumstances; prohibits specified acts by litigation financiers; requires certain disclosures related to litigation financing agreements and the involvement of foreign persons, foreign principals, or sovereign wealth funds; and requires the indemnification of specified fees, costs, and sanctions by a litigation financier in specified circumstances, among other provisions.  (Return to Top of List)

Property Insurance – Condominium & Homeowners Associations:

Hurricane Protections for Homeowners’ Associations  ̶  SB 600 by Rep. Tyler Sirois (R-Merritt Island) and the identical HB 293 by Senator Blaise Ingoglia (R-Spring Hill) requires a homeowners association committee or board to adopt hurricane protection specifications that conform to applicable building codes.  It also prohibits the committee or board from denying an application to install or enhance certain hurricane protections and contains provisions for adhering to guidelines on the external appearance of buildings.  SB 600 passed the Senate Community Affairs Committee unanimously.  HB 293 is awaiting its third and last hearing in the House Commerce Committee and we won’t know if it makes this week’s agenda until mid-week.  (Return to Top of List)

My Safe Florida Condominium Pilot Program  ̶  SB 1366 by Senator Nick DiCeglie (R-St. Petersburg) and the identical HB 1029 by Reps. Vicki Lopez (R-Miami) and Rep. Christine Hunschofsky (D-Parkland) would apply the popular homeowners program of the same name to condominium complexes & individual condo unit owners in an initial pilot program.  The program includes requirements on associations and unit owners that choose to participate, required inspections, and on the hurricane mitigation inspectors who perform the services.  These bills are now back in play.  HB 1029 passed unanimously in the House Insurance and Banking Subcommittee and has its second hearing tomorrow (February 13) at 11:30am before the State Administration & Technology Appropriations Subcommittee.  The Senate Bill passed unanimously last week in the Banking and Insurance Committee and had an additional committee reference removed and so can now move directly to the Appropriations Committee before going to the Senate floor.  (Return to Top of List)

My Safe Florida Home Program (MSFH)  ̶  On January 11, SB 7028 was released that for all intents and purposes replaced SB 1208 by Senator Jonathan Martin (R-Fort Myers).  The bill passed the full Senate and is on its way to the House for consideration along with its House companion.  The bill analysis lists the changes to the MSFH program, the most notable of which is that the grant award criteria will give preference to Floridians over 60 and low income.  HB 1263 by Rep. Chip LaMarca (R-Lighthouse Point) is similar to SB 7028 and passed unanimously last week in the Insurance & Banking subcommittee and is scheduled tomorrow (February 13) at 11:30am in the State Administration & Technology Appropriations Subcommittee.  These bills revise provisions in this popular program that offers free home inspections and grants of up to $10,000 on a $2 to $1 match to incentivize homeowners to harden their homes from future hurricanes.  The legislature re-established the program in 2023 but by mid-summer the number of applications exceeded the $100 million program funding.  The legislature in special session in November 2023 pumped another $176 million into the program, and this bill funds another $100 million in the upcoming fiscal year July 1.  (Return to Top of List)

Property Insurance – Citizens Property Insurance Corporation:

Citizens Property Insurance Corporation  ̶  SB 1716 by Senate Banking and Insurance Committee Chairman Jim Boyd (R-Bradenton) passed the Senate Banking and Insurance Committee last week and in a sign this bill is on the fast track, its additional committee references were removed and its awaiting its last committee stop in Senate Fiscal Policy which meets mid-week.  We will report later this week if it made the agenda as it has not been released as of this morning’s newsletter release.  HB 1503 by Rep. Tiffany Esposito (R-Ft. Myers) which is similar to SB 1716 made its first move last week and is the House companion.  We anticipate it to be heard in its last committee stop, the House Commerce Committee.  You can read the latest bill analysis.  The bills authorize surplus lines companies to do takeouts of Citizens’ non-homesteaded residential properties, such as second homes. It also makes needed reference changes reflecting that combining Citizens’ three accounts into one will make it much less likely that Citizens policyholders will face a future surcharge and even more unlikely that non-Citizen policyholders will face an emergency assessment from a future catastrophe.  One key difference between the bills: SB 1716 was amended to restore the statute’s consumer choice provisions (which allow an agent to retain a policy when taken out of Citizens) to the section allowing surplus lines carriers to takeout second homes from Citizens.  HB 1503 does not have the consumer protection provision but most likely will have that change in its next (and final) awaited committee stop.  (Return to Top of List)

Consumer Protections:

Consumer Protection  ̶  SB 1066 by Senator Colleen Burton (R-Lakeland) and the identical HB 939 by Rep. Griff Griffitts, Jr. (R-Panama City Beach) is a multi-part bill.  Both bills were early this session and passed out of their first respective committees and SB 1066 passed the Senate Judiciary Committee and is awaiting to be heard in Senate Rules Committee, anticipated this week.  HB 939 awaits its second committee hearing, most likely this week.  The difference between the bills is the time limit to file condominium unit owner loss assessment claims.  The House bill provides the filing deadline to be triggered by when the condo board votes to enact the assessment.  The Senate bill provides that a claim must be given to the insurer within 90 days after the date on which the condominium association board votes to levy the assessment if the board votes within 33 months after the date of the loss that created the need for the assessment.  Both bills include requiring contractors put in big letters on their contracts that a homeowner has 10 days to rescind repair/replacement of their roof after a hurricane; and (on lines 440-444) puts public adjusters on the hook now for condominium associations and apartment complexes for various solicitation and contractual requirements that previously just applied to single-family homes and condo units.  (Return to Top of List)

Flood Disclosure in the Sale of Real Property  ̶  SB 484 and the similar HB 1049 by Senator Jennifer Bradley (R-Fleming Island) and Rep. Christine Hunschofsky (D-Parkland) would require a seller of real property to disclose in writing a variety of flood information to a prospective purchaser before executing a contract for the sale of the property.  This includes: 

• Whether the property has flooded before and if so, the frequency.
• Whether the property owner has maintained flood insurance.
• Whether any portion of the property is located in a FEMA-designated Special Flood Hazard Area (SFHA) or moderate risk flood hazard zone.
• Whether the seller has ever received federal assistance for flood damage to the property.
• Whether the seller has ever filed a claim with the National Flood Insurance Program (NFIP) or any other insurance provider relating to flood damage.
• Whether a Federal Emergency Management Agency elevation certificate is available for the property.

Similar bills in the 2023 session never received a hearing.  These bills are now back in play.  HB 1049 passed the House Regulatory Reform & Economic Development Subcommittee on February 6 but still has two committee stops (Judiciary & Commerce) to go.  SB 484 passed unanimously in the Senate Judiciary Committee on February 5 but still has two committee stops (Fiscal Policy & Rules) as well.  (Return to Top of List)

Property Insurance – Reinsurance:

Florida Hurricane Catastrophe Fund and Reinsurance Assistance  ̶  HB 1293 by Rep. Hillary Cassel (D-Dania Beach).  While this bill is not moving, property insurance rates are still the number one issue on Floridian’s minds as weighting down their pocketbooks.  We are hopeful that the behind-the-scenes discussions about reducing the cost of reinsurance and using our state’s reinsurance fund (The Florida Hurricane Catastrophe Fund) is in the cards.  Most insurers are able to buy their reinsurance and all indicators are that reinsurance prices will not be meteoric as in the past two years.  What would be nice is to see if we could help consumers with a reduction in reinsurance costs that would translate to some savings in their ultimate premium.  Stay tuned!  The bill eliminates the rapid cash buildup factor for one year; resets the attachment point at the 2023 contract year figure of $8.5 billion; reauthorizes the RAP and FORA programs; requires the Cat Fund to pay actual loss adjustment expense; allows insurance companies an option to purchase 100% coverage; requires the Cat Fund rates to be based on an average of all seven approved catastrophe models; requires cat fund rates to be filed with the Florida Office of Insurance Regulation (OIR); and clarifies the statute that the Cat Fund’s claims-paying capacity limit is $17 billion.  An identical bill has been filed in the Senate (SB 1668) by Senator Nick DiCeglie (R-St. Petersburg) but like HB 1293, has not received a hearing.  (Return to Top of List)

Property Insurance – Regulation & Claims:

Personal Lines Residential Property Insurance  ̶  HB 809 and the identical SB 1070 by Rep. Alina Garcia (R-Miami) and Senator Ileana Garcia (R-Miami) requires insurance companies before writing a traditional personal lines residential property insurance policy to offer instead a policy that covers losses equal to only the unpaid principal balance of all mortgage loans on the property.  It requires a signed statement by the purchaser acknowledging “the significant financial losses” they may incur for damage that exceeds such coverage.  The bill also prohibits insurance companies from requiring a coverage limit that includes the value of the land upon which the dwelling sits.  As neither bill has received its first hearing, these bills are most likely dead.  (Return to Top of List)

Access by Insureds to Claim-related Documents  ̶  SB 1726 by Senator Jonathan Martin (R-Fort Myers) and the identical HB 1287 by Rep. Hillary Cassel (D-Dania Beach) defines the term “claim-related documents” and requires insurance companies notify policyholders and certain parties that they may obtain copies of all claim-related documents upon request.  It also requires companies provide to policyholders, their agents and attorneys, copies of all claim-related documents within a specified timeframe after receiving requests, among other provisions.  As neither bill has received its first hearing, these bills are most likely dead.  (Return to Top of List)

Financial Strength of Property Insurers  ̶  SB 1724 and the similar HB 1661 by Senator Erin Grall (R-Fort Pierce) and Rep. Spencer Roach (R-North Fort Myers) sets up an independent rating agency for Florida’s domestic property insurance companies.  It defines a financial strength rating and an independent rating agency, among other qualifications.  Neither bill has been scheduled to receive a hearing.  (Return to Top of List)

Property Insurance – Condominium & Homeowners Associations:

Condominium Windstorm Pilot Program  ̶  HB 655 by Rep. Hillary Cassel (D-Dania Beach) and the identical SB 802 by Senator Ana Maria Rodriguez (R-Miami-Dade) attempts to provide help for condominium complexes seeking basic wind-only coverage.  The bill would require the Office of Insurance Regulation (OIR) to create a pilot program for commercial residential coverage with Citizens Property Insurance for actual cash value (ACV) coverage rather than replacement cost value.  A condominium association would have to receive a majority vote of its members in order to participate in the pilot program.  The Citizens policy would be required to ensure the ACV of the residential condominium association’s roof aligns with the reserves required under HB 5-D and passed under HB 4-D in the May 2022 special session.  The condo complex would also be required to have biannual roof inspections and submit those along with the most recent structural integrity reserve study to Citizens.  The program would begin July 1, 2024 and sunset five years later.  If passed, it is expected to increase the Citizens policy count.  Citizens Chairman Carlos Beruff at its Exposure Reduction Committee meeting in December commented “I don’t want to be the Lloyd’s of London of Florida where we’re creating insurance products just because we can.”  Neither bill has been scheduled to receive a hearing.  (Return to Top of List)

Property Insurance – Citizens Property Insurance Corporation:

Citizens Property Insurance Corporation.  ̶  SB 604 and the similar HB 565 by Senator Ana Maria Rodriguez (R-Miami-Dade) and Rep. Jim Mooney, Jr. (R-Islamorada) and Rep. Vicki Lopez (R-Miami) would create a special carve-out to the legislatively-created rate glide path for Citizens with its annual mandatory rate increase caps.  It also relaxes the requirements that Citizens policyholders carry flood insurance.  

The carve-out is specially tailored to Monroe County (the Florida Keys) policyholders who have complained for years about what they say is higher than appropriate premiums.  But it also includes the densely populated Miami-Dade County, home to some of the highest insured values in Florida.  The bill requires that in those two counties and in counties where there is not a reasonable degree of competition that Citizens cap annual rate increases to 10% compared to the graduated cap for the rest of the state that will be 13% in 2024.  The Citizens Board of Governors in December 2023 expressed concern that the bill represents backward progress on growing the rate cap glide path and will make Citizens the only insurer in Monroe and Miami-Dade counties.  It also increases Citizens’ Coverage A limit from $1 million to $1.5 million in counties that have been designated as areas with no competition (Miami-Dade and Monroe Counties).  The bill also further relaxes the flood insurance requirement by exempting policies for structures that are elevated at least 1 foot above the flood zone’s minimum base flood elevation.  Neither bill has been scheduled to receive a hearing.  (Return to Top of List)

Coverage by Citizens Property Insurance Corp.  ̶  HB 889 by Rep. Kim Berfield (R-Pinellas County) broadens the eligibility to qualify for a Citizens policy, removes the rate cap glide path and adds a surcharge on higher value policies, and prohibits some higher value policies from Citizens coverage if a comparable private market policy is available – regardless of price.  Specifically the bill:

• Expands Citizens by allowing it to write policies with a dwelling replacement cost (houses) or dwelling and contents replacement cost (condo units) of up to $1 million (up from the current limit of up to $700,000 coverage) which in LMA’s opinion does not contribute to a healthy private market.
• Eliminates the legislatively-set glide path cap on rate increases for policies with dwelling replacement cost (houses) or dwelling and contents replacement cost (condo units) of $700,000 or more.
• Requires a surcharge on the above homes and condo units of $700,000 or more coverage that is equal to the lesser of $2,500 or 25% of the Citizens’ rate to ensure Citizens’ rates are not competitive with the private market.
• Removes eligibility for a Citizens policy for the above homes and condo units of $700,000 or more coverage if there is comparable coverage offered from a private market company under a standard policy that includes wind coverage.

The companion to HB 889, SB 1106 by Senator Ed Hooper (R-Palm Harbor) passed unanimously in the Senate Banking and Insurance Committee on January 16, despite Chairman Jim Boyd (R-Bradenton) expressing concern at growing Citizens.  It is scheduled for its second hearing tomorrow (February 13) at 8:30am before the Senate Appropriations Committee on Agriculture, Environment, and General Government.  However, given HB 889 is not on the agenda of the House Insurance & Subcommittee, these bills collectively are dead.  Senator Boyd’s bill above, SB 1716, previously had some of the elements of HB 889 in expanding Citizens dwelling replacement cost limits to up to $1 million.  Those provisions have since been removed from his bill.  (Return to Top of List)

Windstorm Coverage by Citizens Property Insurance Corporation  ̶  HB 1213 by Rep. Spencer Roach (R-North Fort Myers) requires Citizens to make windstorm coverage available to homeowners of any residential and commercial residential structures.  It provides underwriting & administering requirements for the windstorm coverage portion of policies and also removes provisions relating to windstorm risk apportionment plan agreements among property insurance companies.  The bill has no direct Senate companion bill.

There is a comparable bill in HB 893 and its similar Senate bill SB 1428 by Rep. Vicki Lopez (R-Miami) and Senator Nick DiCeglie (R-St. Petersburg).  The Senate bill allows Citizens to amend areas it deems eligible for wind-only coverage and develop new criteria and rates for personal residential, commercial residential, and commercial nonresidential policy coverages.  HB 893 was passed on February 6 in the House Insurance and Banking Subcommittee, however SB 1428 never received a hearing.  (Return to Top of List) 

There are other filed property insurance bills that we are watching but have shown little or no signs of movement.  You can fully review them here.  They include:

HB 1191, Assignment of Benefits for Surplus Lines Insurers by Rep. Tom Fabricio (R-Miami Lakes)

HB 625, Property Insurance Coverage by Rep. James Buchanan (R-Osprey).

HB 41, Mortgage Loans and Insurance Payments Grant Program by Rep. Jervonte “Tae” Edmonds (D-Palm Beach)

HB 329 / SB 860, Financial Assistance for Homeowners by Rep. Jervonte “Tae” Edmonds (D-Palm Beach), Rep. Jennifer “Rita” Harris (D-Orlando), Rep. Michelle Rayner (D-St. Petersburg) and Senator Shevrin “Shev” Jones (D-Miami Gardens)

SB 348, Insurance Rebate Program for Low-Income Seniors by Senator Lauren Book (D-Davie)

HM 371, Federal Catastrophe Pool by Rep. Kelly Skidmore (D-Boca Raton)

SB 102 / HB 1017, Property Insurance by Senator Shevrin “Shev” Jones (D-Miami Gardens) and Rep. Tae Edmonds (D-West Palm Beach)

SB 178, Resolution of Disputed Property Insurance Claims by Senator Tina Polsky (D-Boca Raton)

SB 500, Surplus Requirements for Residential Property Insurers by Senator Linda Stewart (D-Orlando)  (Return to Top of List)

Auto Insurance:

Motor Vehicle Insurance  ̶  HB 653 and the identical SB 464 by Rep. Danny Alvarez (R-Brandon) and Senators Erin Grall (R-Fort Pierce) and Senator Darryl Rouson (D-St. Petersburg) is a perennial effort to do away with Personal Injury Protection (PIP) coverage under Florida’s No-Fault insurance law and replace it with bodily injury (BI) liability coverage.  The primary difference between PIP and mandatory BI is that under PIP, someone injured in an auto accident seek coverage first under their own PIP policy, whereas under mandatory BI, someone injured in an auto accident would seek recovery from a responsible third-party’s (other driver’s) BI coverage.  The bills are similar to the bill vetoed in 2021 by Governor DeSantis, and filed again in 2022 and 2023.  Last spring’s bills were never heard by a committee.  Neither bill has been scheduled to receive a hearing this session.  (Return to Top of List)

Insurance Claims  ̶  HB 731 by Rep. Adam Botana (R-Bonita Springs) passed its first committee on February 6 by a 15-1 vote in the House Insurance & Banking Subcommittee.  It requires insurance companies to report to the Office of Insurance Regulation (OIR) the recovery of funds from automobile claim judgments, settlements, and attorney fees and costs, as well as repayment of claims paid from unlawful acts.  OIR, in turn, would be required to consider recovery of those funds in reviewing companies’ rates.  The bill also specifies that a policyholder’s payment of a deductible or copayment is not a condition of a carrier’s payment obligations.  There is a similar bill in the Senate (SB 1024) by Senator Erin Grall (R-Fort Pierce) that never received a hearing.  (Return to Top of List) 

Flood Insurance:

Flood Damage Prevention  ̶  SB 1766  by Senator Ana Maria Rodriguez (R-Miami) passed on January 30 in the Senate Environment & Natural Resources Committee and awaits its third committee stop.  However, the similar HB 749 by Rep. Fabián Basabe (R-Miami Beach) has not been scheduled for a hearing.  Both bills are significant, seeking to improve building regulation and flood mitigation.  To be titled the “Flood Damage Prevention Act of 2024,” it specifies a maximum voluntary freeboard requirement of 10 feet for new construction and substantial improvements to existing construction.  The bill also prohibits voluntary freeboard from being used in the calculation of the maximum allowable height for certain construction; and requires the Florida Building Commission to develop and adopt by rule minimum freeboard requirements by a specified date and to incorporate such requirements into the next edition of the Florida Building Code, among other provisions.  (Return to Top of List) 

LMA Newsletter of 2-12-24