Bill > S0328

This bill extends the Valued Policy Law (VPL) to include surplus lines insurers, which are specialized insurance providers that offer coverage for high-risk or unique properties that standard insurers won't cover. Specifically, the bill requires unauthorized surplus lines insurers that issue property or casualty insurance in Florida to comply with the Valued Policy Law, starting July 1, 2025. Under the VPL, if a insured building is totally lost due to a covered peril, the insurer must pay the full amount specified in the policy, provided there is no fraudulent activity or unauthorized risk changes. The bill modifies several sections of Florida Statutes to incorporate surplus lines insurers into the definition of "insurer" for VPL purposes, ensuring these specialized insurers are subject to the same loss settlement requirements as traditional insurance companies. The changes also update cross-references in related statutes about homeowners' policies and claims processes to reflect the new language. These modifications aim to provide consistent consumer protections across different types of insurance providers and clarify the legal obligations of surplus lines insurers in property loss scenarios.