Bill > H1053

This bill revises provisions related to insurers and the Florida Hurricane Catastrophe Fund (FHCF). It updates the definition of "retention," which is the amount of losses an insurer must cover before being eligible for reimbursement from the FHCF, by changing the calculation for contract years starting June 1, 2026, and beyond. The bill also adjusts the reimbursement amount promised by the FHCF board to property insurers, modifies the minimum for loss adjustment expenses (costs associated with processing claims), and revises how the hurricane loss portion of the formula for calculating premiums paid to the fund is determined, requiring it to average results from accepted catastrophe models. Importantly, the bill now authorizes, rather than mandates, the premium formula to include a cash build-up factor, with a specific provision for a zero cash build-up factor in the 2026-2027 contract year. Additionally, it clarifies that risk retention groups registered to do business in Florida are considered authorized insurance companies. The bill also reenacts a section of law concerning the Reinsurance to Assist Policyholders (RAP) program to reflect these changes.

Business and Industry

https://www.flsenate.gov/Session/Bill/2026/1053