Bill > H1141

Introduced Session

An act relating to insurance regulations; amending s. 48.151, F.S.; providing that the Chief Financial Officer is the agent for service of process on health maintenance organizations; amending s. 252.63, F.S.; revising the content of a publication from the Commissioner of Insurance Regulation relating to orders applicable to insurance in areas under the state of emergency; amending s. 624.4085, F.S.; revising the definition of the term "life and health insurer"; amending s. 624.422, F.S.; providing that the appointment of the Chief Financial Officer for service of process applies to insurers withdrawing from and ceasing operations in this state until all insurers' liabilities in this state are extinguished; amending s. 624.45, F.S.; conforming a provision to changes made by the act; amending s. 624.610, F.S.; removing certain provisions relating to credits allowed in specified reinsurance circumstances and relating to assuming insurers' accreditations; requiring filing fees from reinsurers requesting to operate in this state; removing applicability provisions; amending s. 626.9651, F.S.; requiring the Office of Insurance Regulation and the Financial Services Commission to adopt rules on cybersecurity of certain insurance data; providing requirements for such rules; providing duties of the office; amending s. 627.062, F.S.; prohibiting personal residential property insurers from submitting more than one "use and file" filing under certain circumstances; providing an exception; amending s. 627.0621, F.S.; requiring certain rate filings with the office from residential property insurers to include rate transparency reports; providing for acceptance or rejection by the office of such reports; providing requirements for such reports; requiring insurers to provide such reports to consumers; requiring the office to define terms used in such reports; requiring the office to establish and maintain a specified center on its website; providing requirements for the website; amending s. 627.0645, F.S.; revising requirements of rate filing with the office; amending s. 627.0651, F.S.; prohibiting motor vehicle insurers from submitting more than one "use and file" filing under certain circumstances; amending s. 627.4554, F.S.; requiring that certain forms be posted on the website of the Department of Financial Services, rather than the office; amending s. 627.6699, F.S.; removing and revising definitions; removing provisions relating to the creation of the Florida Small Employer Health Reinsurance Program; amending s. 627.711, F.S.; requiring the office to contract with a state university to design, operate, upgrade, and maintain a specified database; requiring property insurers to file certain policyholder forms in the database; requiring the commission to adopt rules; amending s. 627.7152, F.S.; removing provisions relating to requirements for reporting and rulemaking regarding property insurance claims paid under assignment agreements; creating s. 627.9145, F.S.; providing reporting requirements for residential property insurers; requiring the commission to adopt rules; amending s. 627.915, F.S.; revising reporting requirements for private passenger automobile insurers; requiring the commission to adopt rules; providing requirements for such rules; removing reporting requirement provisions for certain insurers; amending ss. 628.081 and 628.091, F.S.; removing the requirement that domestic insurer incorporators execute articles of incorporation and file them with the office in triplicate; amending s. 628.111, F.S.; removing the requirement that domestic insurers make copies of amendments to articles of incorporation in triplicate; amending s. 628.461, F.S.; specifying the method of sending notifications regarding transactions or proposed transactions of voting securities of stock insurers or controlling companies; revising the method of filing certain statements; amending s. 628.4615, F.S.; revising the method by which amendments to certain applications must be sent to specialty insurers; amending s. 628.717, F.S.; revising requirements for the office's responses upon receipt of articles of incorporation; amending s. 628.719, F.S.; revising the method by which mutual insurance holding companies show their adoption of article of incorporation amendments and deliver the amendments to the office; revising the requirements for the office's responses upon receipt of amendments; amending s. 628.910, F.S.; removing the requirement that captive insurance company incorporators file articles of incorporation in triplicate; revising the office's responses upon receipt of captive insurance company articles of incorporation; amending s. 629.011, F.S.; revising and providing definitions; amending s. 629.071, F.S.; authorizing assessable and nonassessable reciprocal insurers, rather than domestic reciprocal insurers, to transact insurance if they maintain specified amounts of surplus funds; amending s. 629.081, F.S.; conforming a provision to changes made by the act; creating s. 629.082, F.S.; providing that attorneys in fact of reciprocals are affiliates of the reciprocals for specified purposes; creating s. 629.1015, F.S.; requiring documentation supporting that fees, commissions, and other financial considerations and payments to affiliates by reciprocal insurers are fair and reasonable; providing guidelines for the office in determining whether the fees, commissions, and other financial considerations and payments are fair and reasonable; providing requirements for documentation of such fees; amending s. 629.121, F.S.; providing that certain bonds filed with the office as security are filed by attorneys in fact, rather than attorneys of domestic reciprocal insurers; increasing the bond amount; creating s. 629.162, F.S.; authorizing reciprocal insurers to require subscriber contributions; providing disclosure and reporting requirements for subscriber contributions; creating s. 629.163, F.S.; authorizing reciprocal insurers to establish subscriber savings accounts; providing construction; providing requirements for subscriber savings accounts; creating s. 629.164, F.S.; authorizing reciprocal insurers to make distributions to subscribers from subscriber savings accounts; granting to subscribers' advisory committees sole authority to authorize distributions, subject to prior written approval by the office; providing requirements for reciprocal insurers that prohibit subscribers from receiving distributions for a specified period of time; providing construction; authorizing reciprocal insurers to return to subscribers unused premiums, savings, and credits accruing to their accounts; authorizing domestic reciprocal insurers to pay portions of unassigned funds; providing distribution limits; prohibiting distribution discriminations; amending s. 629.171, F.S.; revising requirements for filing with the office annual statements by reciprocal insurers; amending s. 629.181, F.S; replacing surplus deposits of subscribers with subscriber contributions; providing limits on subscriber contributions; amending s. 629.201, F.S.; requiring that each domestic reciprocal insurer have a subscribers' advisory committee; requiring that such committee be formed in compliance with specified laws; requiring that rules and amendments adopted by subscribers have prior approval by the office; revising subscribers' advisory committees' duties and membership; providing for election and terms; repealing s. 629.271, F.S., relating to distribution of savings; amending s. 629.291, F.S.; providing that forms filed with the office for plans to merge a reciprocal insurer with another reciprocal insurer or to convert a reciprocal insurer to a stock or mutual insurer are adopted by the commission rather than the office; amending s. 629.301, F.S.; specifying the manner in which impaired reciprocal insurers are proceeded against if they cannot make up deficiencies in assets; specifying the manner in which assessments are levied upon subscribers if reciprocal insurers are liquidated; providing that assessments are subject to specified limits; repealing ss. 629.401 and 629.520, F.S., relating to insurance exchange and the authority of a limited reciprocal insurer, respectively; creating s. 629.56, F.S.; requiring reciprocal insurers to maintain unearned premium reserves at all times; amending s. 634.401, F.S.; revising provisions relating to coverage for accidental damage under a service warranty; creating s. 641.2012, F.S.; providing applicability of service of process provisions to health maintenance organizations; amending s. 641.26, F.S.; revising requirements for filing annual and quarterly reports by health maintenance organizations; creating s. 641.283, F.S.; providing applicability of administrative supervision and hazardous insurer condition provisions to health maintenance organizations; amending s. 651.011, F.S.; providing and revising definitions; amending s. 651.018, F.S.; providing duties for the office if certain conditions exist in continuing care facilities; amending s. 651.019, F.S.; requiring continuing care providers to provide to the office specified information on financing and intended use of proceeds under certain circumstances; creating s. 651.0212, F.S.; requiring and authorizing the office to deny or revoke a provider's authority to engage in certain continuing care activities under certain circumstances; amending s. 651.0215, F.S.; revising the timeframe for the office to examine and respond to consolidated applications for provisional certificates of authority and certificates of authority for providers of continuing care; removing provisions relating to the duties of the office in responding to such applications; amending s. 651.022, F.S.; revising requirements for applications for provisional certificates of authority of providers of continuing care; removing provisions relating to duties of the office in responding to such applications; amending s. 651.023, F.S.; conforming cross-references and provisions to changes made by the act; amending s. 651.024, F.S.; providing applicability of certain specialty insurer provisions and nonapplicability of certain continuing care provider requirements to bondholders under certain circumstances; defining the term "consent rights"; providing applicability of such provisions to certain entities under certain circumstances; amending s. 651.0246, F.S.; revising requirements for applications for expansion of certificated continuing care facilities; removing specified duties of the office in responding to such applications; revising the timeframe for the office to review such applications; amending s. 651.026, F.S.; revising requirements for annual reports filed by providers of continuing care; providing requirements for quarterly reports; amending s. 651.0261, F.S.; providing additional requirements for quarterly reports filed by continuing care facilities; amending s. 651.033, F.S.; requiring office approval before execution of an agreement for establishing an escrow account; defining the terms "emergency" and "business day"; specifying circumstances under which providers of continuing care may withdraw a specified percentage of the required minimum liquid reserve; revising the timeframe for the office to deny petitions for emergency withdrawals; providing duties of escrow agents; amending s. 651.034, F.S.; revising duties of the office relating to impaired continuing care providers; amending s. 651.035, F.S.; providing requirements for continuing care providers' minimum liquid reserve accounts in escrow; providing requirements for debt service reserve transfers from one financial institution or lender to another; revising and providing requirements for continuing care providers' operating reserves in escrow; amending s. 651.043, F.S.; revising circumstances under which certain notices of management changes must be provided to the office; amending s. 651.055, F.S.; conforming cross-references; amending s. 651.071, F.S.; providing that continuing care and continuing care at-home contracts are not subordinate to any secured claims and must be treated with higher priority over all other claims in the event of receivership or liquidation proceedings against a provider; providing an exception; amending s. 651.085, F.S.; requiring designated resident representatives in continuing care facilities to perform their duties in good faith; requiring each continuing care facility to have its own designated resident representative; specifying the methods for notifications to designated resident representatives of certain meetings; creating s. 651.087, F.S; providing requirements for certain collection and distribution of funds by residents of continuing care facilities; providing duties of providers relating to such funds; providing requirements for providers who borrow or solicit funds from residents; providing that failure to comply with specified collection and distribution provisions is a violation of minimum liquid reserve requirements; authorizing the commission to require certain statements or filing to be submitted by electronic means; amending s. 651.091, F.S.; requiring continuing care facilities to post notices of bankruptcy proceedings; providing requirements for such notices; requiring continuing care facilities to maintain certain records; requiring providers of continuing care to make certain records available for review and to deliver copies of specified disclosure statements; providing liability and penalties; providing applicability; prohibiting persons from filing or maintaining actions under certain circumstances; creating s. 651.104, F.S.; prohibiting persons from acting or holding themselves out as management companies for continuing care retirement communities without a certificate of authority; providing requirements for certificate of authority applications; prohibiting the office from issuing certificates of authority under certain circumstances; creating s. 651.1041, F.S.; providing applicability of specified insurer provisions to acquisitions of management companies; creating s. 651.1043, F.S.; providing requirements for management company annual and quarterly financial statements; requiring acquisition application filings under certain circumstances; requiring monthly statement filings under certain circumstances; providing fines for noncompliance; providing rulemaking authority; creating s. 651.1045, F.S.; providing grounds for the office to refuse, suspend, and revoke management company certificates of authority; providing that revocation of a management company's certificate of authority does not relieve a provider from specified obligations to residents and from annual statement filings and license fees; authorizing the office to seek enforcement actions; amending s. 651.105, F.S.; authorizing the office to examine the businesses of management companies and their parents, subsidiaries, and affiliates under certain circumstances; requiring the office to notify management companies of compliance deficiencies and to require corrective actions or plans; requiring management companies to respond to such notices; amending s. 651.1065, F.S.; prohibiting management companies from engaging in certain acts if delinquency proceedings have been or are to be initiated; providing penalties; creating s. 651.1068, F.S.; prohibiting officers and directors of insolvent providers or management companies from serving as officers and directors of providers and management companies and from having control over the selection of officers and directors under certain circumstances; amending s. 651.107, F.S.; requiring management companies to file annual statements and pay license fees during periods of certificate of authority suspension; providing for automatic reinstatement or revocation of certificates of authority; amending s. 651.108, F.S.; providing administrative fines for management companies for certain violations; creating s. 651.113, F.S.; defining the term "negative fund balance"; providing guidelines for the commissioner to determine whether a provider or facility is insolvent or in imminent danger of becoming insolvent; requiring providers and facilities determined to be insolvent or in danger of insolvency to prepare a plan; authorizing the office to issue an order requiring a provider or facility to engage in certain acts under certain circumstances; authorizing the office to issue immediate final orders requiring certain acts; providing construction; amending s. 651.114, F.S.; removing provisions relating to continuing care facility trustees and lenders; creating s. 651.1165, F.S.; requiring the office to record notices of lien against continuing care facilities' properties; providing requirements for such liens; providing for lien foreclosures in civil actions; providing that such liens are preferred to all liens, mortgages, and other encumbrances upon the property and all unrecorded liens, mortgages, and other encumbrances; providing conditions for lien releases; amending ss. 627.642, 627.6475, 627.657, and 627.66997, F.S.; conforming cross-references; providing applicability dates; providing effective dates.

AI Summary

Tom Fabricio (R)*, 

Withdrawn prior to introduction (on 02/26/2025)

Official Document