SB 714 – Relating to Insurance
On Monday, April 8, SB 714 by Senator Jeff Brandes (R-Saint Petersburg) was heard in the Senate Banking and Insurance Committee and was reported favorably with 7 yeas and 0 nays. AIF’s Senior Vice President of State and Federal Affairs, Brewster Bevis, stood in support of this legislation.
This bill amends several insurance-related statutes, specifically:
- Requires the Florida Hurricane Catastrophe Fund (FHCF) to reimburse a covered insurer’s loss adjustment expenses at 10 percent of the insurer’s loss reimbursement, instead of 5 percent as under current law;
- Authorizes insurers to transfer title of totaled motor vehicles or mobile homes to the Department of Highway Safety and Motor Vehicles electronically as well as through regular mail;
- Provides that workers compensation insurance applicants and their agents are no longer required to have their sworn statements notarized;
- Allows an insurer to offer and give insureds goods or services of any value for the purposes of loss control or loss mitigation related to covered risks. Currently it is an unfair insurance trade practice to provide items or services to an insured valued at more than $100 per year;
- Allows a property, casualty, or surety insurer to offer a premium discount for a policy if another policy has been purchased from a different insurer that:
- Has a joint marketing arrangement with the insurer offering the discount;
- Issued the policy pursuant to the Citizens clearinghouse program if the same agent is servicing both policies; or
- Has its policy serviced by the same agent who is servicing the discounted policy.
- Requires a premium discount offered by a property, casualty, or surety insurer to be actuarially sound.
SB 714 will now move to the Senate Rules Committee.
AIF supports legislative efforts to reduce insurance rates to maintain Florida’s business friendly climate.