Bill > S0234

This bill requires insurers to provide detailed annual financial information to the Office of Insurance Regulation about transactions with their affiliates and managing general agents (MGAs), with the goal of ensuring transparency and preventing financial manipulation. Specifically, insurers must submit comprehensive reports detailing the costs and descriptions of services provided by affiliates, including benchmarking studies that compare fees to market rates, and certify that their affiliate fees do not exceed 20% of gross written premiums (or explain why they do if they exceed that threshold). The bill mandates that the Office of Insurance Regulation contract with an independent third-party entity annually to review these transactions and identify any that are not fair and reasonable. Additionally, the bill prohibits insurers from engaging in transactions designed to misrepresent their financial condition, such as forgiving fees or creating circular transactions, and prevents insurers in hazardous financial condition from paying dividends or issuing executive bonuses. Insurers must also publicly post this financial information on their websites, which will no longer be considered trade secret and will be subject to public disclosure. The bill aims to increase accountability and transparency in insurers' financial operations and protect against potential financial misconduct.

https://www.flsenate.gov/Session/Bill/2026/234