Bill Text: FL S0896 | 2019 | Regular Session | Introduced
Bill Title: Motor Vehicle Insurance
Spectrum: Partisan Bill (Republican 1-0)
Status: (Failed) 2019-05-03 - Died in Infrastructure and Security, companion bill(s) passed, see CS/CS/CS/HB 301 (Ch. 2019-108) [S0896 Detail]
Download: Florida-2019-S0896-Introduced.html
Florida Senate - 2019 SB 896
By Senator Brandes
24-00449E-19 2019896__
1 A bill to be entitled
2 An act relating to motor vehicle insurance; providing
3 a short title; amending ss. 316.646, 318.18, 320.02,
4 320.0609, 320.27, 320.771, 322.251, and 322.34, F.S.;
5 conforming provisions to changes made by the act;
6 amending s. 324.011, F.S.; revising legislative
7 intent; creating s. 324.015, F.S.; providing that
8 motor vehicle liability policies issued or renewed
9 after a specified date may not include personal injury
10 protection; providing requirements for, and
11 construction relating to, proof of financial
12 responsibility and motor vehicle liability policies;
13 specifying requirements for insurers relating to
14 changes in coverages and notices to insureds;
15 specifying requirements for such notice; providing for
16 construction relating to certain covered motor vehicle
17 accidents; amending s. 324.021, F.S.; revising the
18 definition of the term “motor vehicle”; increasing the
19 minimum required limits of bodily injury and property
20 damage liability coverages for proof of financial
21 responsibility; conforming a provision to changes made
22 by the act; amending s. 324.022, F.S.; revising
23 coverage requirements for combined property damage
24 liability and bodily injury liability policies that
25 may meet financial responsibility requirements;
26 conforming provisions to changes made by the act;
27 amending s. 324.0221, F.S.; providing construction;
28 conforming provisions to changes made by the act;
29 amending s. 324.032, F.S.; conforming a provision to
30 changes made by the act; amending ss. 324.051 and
31 324.091, F.S.; making technical changes; amending s.
32 324.151, F.S.; defining terms; revising requirements,
33 and authorized exclusions from coverage, for motor
34 vehicle liability insurance policies; amending s.
35 324.161, F.S.; revising the amount of a certain
36 certificate of deposit required before a certain
37 certificate of insurance may be issued as proof of
38 financial responsibility; amending s. 324.171, F.S.;
39 revising minimum net worth requirements for
40 qualification as a self-insurer; conforming a
41 provision to changes made by the act; amending s.
42 324.251, F.S.; revising a short title; amending s.
43 400.9905, F.S.; revising the definition of the term
44 “clinic” to conform to changes made by the act;
45 amending ss. 400.991, 400.9935, 409.901, 409.910,
46 456.057, and 456.072, F.S.; conforming provisions to
47 changes made by the act; amending s. 624.155, F.S.;
48 deleting provisions authorizing the Department of
49 Financial Services to return a certain notice for lack
50 of specificity which delays a certain time period;
51 revising the information the notice must contain;
52 requiring a trier of fact in bad faith actions against
53 a motor vehicle liability insurer to consider whether
54 certain persons made good faith efforts to cooperate
55 with the insurer’s investigation; requiring certain
56 persons to provide a written notice of loss to the
57 insurer before bringing bad faith actions; providing
58 that a claimant does not have a cause of action for
59 bad faith against the insurer if the insurer meets
60 certain conditions; defining terms; providing that,
61 under certain third-party claims, a motor vehicle
62 liability insurer is not liable beyond available
63 policy limits if it meets certain conditions;
64 requiring the trier of fact to determine the
65 allocation of policy limits among claimants under
66 certain circumstances; requiring third-party claimants
67 to execute and deliver a certain release under certain
68 circumstances; providing construction; amending ss.
69 626.9541, 626.989, 627.06501, 627.0652, 627.0653,
70 627.4132, and 627.7263, F.S.; conforming provisions to
71 changes made by the act; amending s. 627.727, F.S.;
72 specifying the legal liability of uninsured motorist
73 coverage insurers for uninsured and underinsured
74 vehicle coverage issued on or after a specified date;
75 conforming provisions to changes made by the act;
76 amending s. 627.7275, F.S.; revising liability
77 coverage requirements for motor vehicle insurance
78 policies; amending ss. 627.728 and 627.7295, F.S.;
79 conforming provisions to changes made by the act;
80 repealing ss. 627.730, 627.731, 627.7311, 627.732,
81 627.733, 627.734, 627.736, 627.737, 627.739, 627.7401,
82 627.7403, and 627.7405, F.S., which comprise the
83 Florida Motor Vehicle No-Fault Law; repealing s.
84 627.7407, F.S., relating to application of the Florida
85 Motor Vehicle No-Fault Law; amending ss. 627.748,
86 627.8405, 628.909, 705.184, and 713.78, F.S.;
87 conforming provisions to changes made by the act;
88 amending s. 817.234, F.S.; revising certain acts of
89 insurance fraud to apply to motor vehicle insurance
90 claims generally, rather than only to personal injury
91 protection claims; providing effective dates.
92
93 Be It Enacted by the Legislature of the State of Florida:
94
95 Section 1. This act may be cited as the “Responsible
96 Roadways Act.”
97 Section 2. Subsection (1) of section 316.646, Florida
98 Statutes, is amended to read:
99 316.646 Security required; proof of security and display
100 thereof.—
101 (1) A Any person operating a motor vehicle for which
102 liability coverage is required under by s. 324.022, s. 324.023,
103 s. 324.032, s. 627.7415, or s. 627.742 must to maintain property
104 damage liability security, required by s. 324.023 to maintain
105 liability security for bodily injury or death, or required by s.
106 627.733 to maintain personal injury protection security on a
107 motor vehicle shall have in his or her immediate possession at
108 all times while operating such motor vehicle proper proof of
109 maintenance of the required security.
110 (a) Such proof shall be in a uniform paper or electronic
111 format, as prescribed by the department, a valid insurance
112 policy, an insurance policy binder, a certificate of insurance,
113 or such other proof as may be prescribed by the department.
114 (b)1. The act of presenting to a law enforcement officer an
115 electronic device displaying proof of insurance in an electronic
116 format does not constitute consent for the officer to access any
117 information on the device other than the displayed proof of
118 insurance.
119 2. The person who presents the device to the officer
120 assumes the liability for any resulting damage to the device.
121 Section 3. Paragraph (b) of subsection (2) of section
122 318.18, Florida Statutes, is amended to read:
123 318.18 Amount of penalties.—The penalties required for a
124 noncriminal disposition pursuant to s. 318.14 or a criminal
125 offense listed in s. 318.17 are as follows:
126 (2) Thirty dollars for all nonmoving traffic violations
127 and:
128 (b) For all violations of ss. 320.0605, 320.07(1), 322.065,
129 and 322.15(1). Any person who is cited for a violation of s.
130 320.07(1) shall be charged a delinquent fee pursuant to s.
131 320.07(4).
132 1. If a person who is cited for a violation of s. 320.0605
133 or s. 320.07 can show proof of having a valid registration at
134 the time of arrest, the clerk of the court may dismiss the case
135 and may assess a dismissal fee of up to $10. A person who finds
136 it impossible or impractical to obtain a valid registration
137 certificate must submit an affidavit detailing the reasons for
138 the impossibility or impracticality. The reasons may include,
139 but are not limited to, the fact that the vehicle was sold,
140 stolen, or destroyed; that the state in which the vehicle is
141 registered does not issue a certificate of registration; or that
142 the vehicle is owned by another person.
143 2. If a person who is cited for a violation of s. 322.03,
144 s. 322.065, or s. 322.15 can show a driver license issued to him
145 or her and valid at the time of arrest, the clerk of the court
146 may dismiss the case and may assess a dismissal fee of up to
147 $10.
148 3. If a person who is cited for a violation of s. 316.646
149 can show proof of security as required by s. 324.022, s.
150 324.023, s. 324.032, s. 627.7415, or s. 627.742 627.733, issued
151 to the person and valid at the time of arrest, the clerk of the
152 court may dismiss the case and may assess a dismissal fee of up
153 to $10. A person who finds it impossible or impractical to
154 obtain proof of security must submit an affidavit detailing the
155 reasons for the impracticality. The reasons may include, but are
156 not limited to, the fact that the vehicle has since been sold,
157 stolen, or destroyed; that the owner or registrant of the
158 vehicle is not required by s. 627.733 to maintain personal
159 injury protection insurance; or that the vehicle is owned by
160 another person.
161 Section 4. Paragraphs (a) and (d) of subsection (5) of
162 section 320.02, Florida Statutes, are amended to read:
163 320.02 Registration required; application for registration;
164 forms.—
165 (5)(a) Proof that liability coverage has personal injury
166 protection benefits have been purchased if required under s.
167 324.022, s. 324.023, s. 324.032, s. 627.7415, or s. 627.742
168 627.733, that property damage liability coverage has been
169 purchased as required under s. 324.022, that bodily injury or
170 death coverage has been purchased if required under s. 324.023,
171 and that combined bodily liability insurance and property damage
172 liability insurance have been purchased if required under s.
173 627.7415 shall be provided in the manner prescribed by law by
174 the applicant at the time of application for registration of any
175 motor vehicle that is subject to such requirements. The issuing
176 agent may not shall refuse to issue registration if such proof
177 of purchase is not provided. Insurers shall furnish uniform
178 proof-of-purchase cards in a paper or electronic format in a
179 form prescribed by the department and include the name of the
180 insured’s insurance company, the coverage identification number,
181 and the make, year, and vehicle identification number of the
182 vehicle insured. The card must contain a statement notifying the
183 applicant of the penalty specified under s. 316.646(4). The card
184 or insurance policy, insurance policy binder, or certificate of
185 insurance or a photocopy of any of these; an affidavit
186 containing the name of the insured’s insurance company, the
187 insured’s policy number, and the make and year of the vehicle
188 insured; or such other proof as may be prescribed by the
189 department shall constitute sufficient proof of purchase. If an
190 affidavit is provided as proof, it must be in substantially the
191 following form:
192
193 Under penalty of perjury, I ...(Name of insured)... do hereby
194 certify that I have ...Bodily Injury Liability and (Personal
195 Injury Protection, Property Damage Liability coverage, and, if
196 required, Bodily Injury Liability)... Insurance currently in
197 effect with ...(Name of insurance company)... under ...(policy
198 number)... covering ...(make, year, and vehicle identification
199 number of vehicle).... ...(Signature of Insured)...
200
201 Such affidavit must include the following warning:
202
203 WARNING: GIVING FALSE INFORMATION IN ORDER TO OBTAIN A VEHICLE
204 REGISTRATION CERTIFICATE IS A CRIMINAL OFFENSE UNDER FLORIDA
205 LAW. ANYONE GIVING FALSE INFORMATION ON THIS AFFIDAVIT IS
206 SUBJECT TO PROSECUTION.
207
208 If an application is made through a licensed motor vehicle
209 dealer as required under s. 319.23, the original or a
210 photostatic copy of such card, insurance policy, insurance
211 policy binder, or certificate of insurance or the original
212 affidavit from the insured shall be forwarded by the dealer to
213 the tax collector of the county or the Department of Highway
214 Safety and Motor Vehicles for processing. By executing the
215 aforesaid affidavit, a no licensed motor vehicle dealer will not
216 be liable in damages for any inadequacy, insufficiency, or
217 falsification of any statement contained therein. A card must
218 also indicate the existence of any bodily injury liability
219 insurance voluntarily purchased.
220 (d) The verifying of proof of compliance with the liability
221 coverage requirements of the personal injury protection
222 insurance, proof of property damage liability insurance, proof
223 of combined bodily liability insurance and property damage
224 liability insurance, or proof of financial responsibility law
225 insurance and the issuance or failure to issue the motor vehicle
226 registration under the provisions of this chapter may not be
227 construed in any court as a warranty of the reliability or
228 accuracy of the evidence of such proof, or that the provisions
229 of any insurance policy furnished as proof of compliance with
230 the liability coverage requirements of the financial
231 responsibility law comply with the laws of this state. Neither
232 the department nor any tax collector is liable in damages for
233 any inadequacy, insufficiency, falsification, or unauthorized
234 modification of any item of the proof of compliance with the
235 liability coverage requirements of the personal injury
236 protection insurance, proof of property damage liability
237 insurance, proof of combined bodily liability insurance and
238 property damage liability insurance, or proof of financial
239 responsibility law insurance prior to, during, or subsequent to
240 the verification of the proof. The issuance of a motor vehicle
241 registration does not constitute prima facie evidence or a
242 presumption of insurance coverage.
243 Section 5. Paragraph (b) of subsection (1) of section
244 320.0609, Florida Statutes, is amended to read:
245 320.0609 Transfer and exchange of registration license
246 plates; transfer fee.—
247 (1)
248 (b) The transfer of a license plate from a vehicle disposed
249 of to a newly acquired vehicle does not constitute a new
250 registration. The application for transfer shall be accepted
251 without requiring proof of motor vehicle personal injury
252 protection or liability insurance.
253 Section 6. Subsection (3) of section 320.27, Florida
254 Statutes, is amended to read:
255 320.27 Motor vehicle dealers.—
256 (3) APPLICATION AND FEE.—The application for the license
257 application shall be in such form as may be prescribed by the
258 department and is shall be subject to such rules with respect
259 thereto as may be so prescribed by the department it. Such
260 application shall be verified by oath or affirmation and must
261 shall contain a full statement of the name and birth date of the
262 person or persons applying for the license therefor; the name of
263 the firm or copartnership, with the names and places of
264 residence of all members thereof, if such applicant is a firm or
265 copartnership; the names and places of residence of the
266 principal officers, if the applicant is a body corporate or
267 other artificial body; the name of the state under whose laws
268 the corporation is organized; the present and former place or
269 places of residence of the applicant; and the prior business in
270 which the applicant has been engaged and its the location
271 thereof. The Such application must shall describe the exact
272 location of the place of business and must shall state whether
273 the place of business is owned by the applicant and when
274 acquired, or, if leased, a true copy of the lease shall be
275 attached to the application. The applicant shall certify that
276 the location provides an adequately equipped office and is not a
277 residence; that the location affords sufficient unoccupied space
278 upon and within which adequately to store all motor vehicles
279 offered and displayed for sale; and that the location is a
280 suitable place where the applicant can in good faith carry on
281 such business and keep and maintain books, records, and files
282 necessary to conduct such business, which shall be available at
283 all reasonable hours to inspection by the department or any of
284 its inspectors or other employees. The applicant shall certify
285 that the business of a motor vehicle dealer is the principal
286 business that will which shall be conducted at that location.
287 The application must shall contain a statement that the
288 applicant is either franchised by a manufacturer of motor
289 vehicles, in which case the name of each motor vehicle that the
290 applicant is franchised to sell shall be included, or an
291 independent (nonfranchised) motor vehicle dealer. The
292 application must shall contain other relevant information as may
293 be required by the department. The applicant must furnish,
294 including evidence, in a form approved by the department, that
295 the applicant is insured under a garage liability insurance
296 policy or a general liability insurance policy coupled with a
297 business automobile policy, which shall include, at a minimum,
298 $25,000 combined single-limit bodily injury and property damage
299 liability coverage including bodily injury and property damage
300 protection and $10,000 personal injury protection. However, a
301 salvage motor vehicle dealer as defined in subparagraph (1)(c)5.
302 is exempt from the requirements for garage liability insurance
303 and personal injury protection insurance on those vehicles that
304 cannot be legally operated on roads, highways, or streets in
305 this state. Franchise dealers must submit a garage liability
306 insurance policy, and all other dealers must submit a garage
307 liability insurance policy or a general liability insurance
308 policy coupled with a business automobile policy. Such policy
309 shall be for the license period, and evidence of a new or
310 continued policy shall be delivered to the department at the
311 beginning of each license period. Upon making initial
312 application, the applicant shall pay to the department a fee of
313 $300 in addition to any other fees required by law. Applicants
314 may choose to extend the licensure period for 1 additional year
315 for a total of 2 years. An initial applicant shall pay to the
316 department a fee of $300 for the first year and $75 for the
317 second year, in addition to any other fees required by law. An
318 applicant for renewal shall pay to the department $75 for a 1
319 year renewal or $150 for a 2-year renewal, in addition to any
320 other fees required by law. Upon making an application for a
321 change of location, the applicant must person shall pay a fee of
322 $50 in addition to any other fees now required by law. The
323 department shall, in the case of every application for initial
324 licensure, verify whether certain facts set forth in the
325 application are true. Each applicant, general partner in the
326 case of a partnership, or corporate officer and director in the
327 case of a corporate applicant, must file a set of fingerprints
328 with the department for the purpose of determining any prior
329 criminal record or any outstanding warrants. The department
330 shall submit the fingerprints to the Department of Law
331 Enforcement for state processing and forwarding to the Federal
332 Bureau of Investigation for federal processing. The actual cost
333 of state and federal processing shall be borne by the applicant
334 and is in addition to the fee for licensure. The department may
335 issue a license to an applicant pending the results of the
336 fingerprint investigation, which license is fully revocable if
337 the department subsequently determines that any facts set forth
338 in the application are not true or correctly represented.
339 Section 7. Paragraph (j) of subsection (3) of section
340 320.771, Florida Statutes, is amended to read:
341 320.771 License required of recreational vehicle dealers.—
342 (3) APPLICATION.—The application for such license shall be
343 in the form prescribed by the department and subject to such
344 rules as may be prescribed by it. The application shall be
345 verified by oath or affirmation and shall contain:
346 (j) A statement that the applicant is insured under a
347 garage liability insurance policy, which shall include, at a
348 minimum, $25,000 combined single-limit bodily injury and
349 property damage liability coverage, including bodily injury and
350 property damage protection, and $10,000 personal injury
351 protection, if the applicant is to be licensed as a dealer in,
352 or intends to sell, recreational vehicles.
353
354 The department shall, if it deems necessary, cause an
355 investigation to be made to ascertain if the facts set forth in
356 the application are true and shall not issue a license to the
357 applicant until it is satisfied that the facts set forth in the
358 application are true.
359 Section 8. Subsections (1) and (2) of section 322.251,
360 Florida Statutes, are amended to read:
361 322.251 Notice of cancellation, suspension, revocation, or
362 disqualification of license.—
363 (1) All orders of cancellation, suspension, revocation, or
364 disqualification issued under the provisions of this chapter,
365 chapter 318, or chapter 324, or ss. 627.732-627.734 shall be
366 given either by personal delivery thereof to the licensee whose
367 license is being canceled, suspended, revoked, or disqualified
368 or by deposit in the United States mail in an envelope, first
369 class, postage prepaid, addressed to the licensee at his or her
370 last known mailing address furnished to the department. Such
371 mailing by the department constitutes notification, and any
372 failure by the person to receive the mailed order will not
373 affect or stay the effective date or term of the cancellation,
374 suspension, revocation, or disqualification of the licensee’s
375 driving privilege.
376 (2) The giving of notice and an order of cancellation,
377 suspension, revocation, or disqualification by mail is complete
378 upon expiration of 20 days after deposit in the United States
379 mail for all notices except those issued under chapter 324 or
380 ss. 627.732–627.734, which are complete 15 days after deposit in
381 the United States mail. Proof of the giving of notice and an
382 order of cancellation, suspension, revocation, or
383 disqualification in either manner shall be made by entry in the
384 records of the department that such notice was given. The entry
385 is admissible in the courts of this state and constitutes
386 sufficient proof that such notice was given.
387 Section 9. Paragraph (a) of subsection (8) of section
388 322.34, Florida Statutes, is amended to read:
389 322.34 Driving while license suspended, revoked, canceled,
390 or disqualified.—
391 (8)(a) Upon the arrest of a person for the offense of
392 driving while the person’s driver license or driving privilege
393 is suspended or revoked, the arresting officer shall determine:
394 1. Whether the person’s driver license is suspended or
395 revoked.
396 2. Whether the person’s driver license has remained
397 suspended or revoked since a conviction for the offense of
398 driving with a suspended or revoked license.
399 3. Whether the suspension or revocation was made under s.
400 316.646 or s. 627.733, relating to failure to maintain required
401 security, or under s. 322.264, relating to habitual traffic
402 offenders.
403 4. Whether the driver is the registered owner or coowner of
404 the vehicle.
405 Section 10. Section 324.011, Florida Statutes, is amended
406 to read:
407 324.011 Legislative intent and purpose of chapter.—It is
408 the intent of the Legislature this chapter to ensure that the
409 privilege of owning or operating a motor vehicle in this state
410 be exercised recognize the existing privilege to own or operate
411 a motor vehicle on the public streets and highways of this state
412 when such vehicles are used with due consideration for others
413 and their property in order, and to promote safety and provide
414 financial security requirements for such owners or operators
415 whose responsibility it is to recompense others for injury to
416 person or property caused by the operation of a motor vehicle.
417 Therefore, it is required herein that the operator of a motor
418 vehicle involved in a crash or convicted of certain traffic
419 offenses meeting the operative provisions of s. 324.051(2) shall
420 respond for such damages and show proof of financial ability to
421 respond for damages in future accidents as a requisite to his or
422 her future exercise of such privileges.
423 Section 11. Effective upon this act becoming a law, section
424 324.015, Florida Statutes, is created to read:
425 324.015 Applicability; notice to insured.—
426 (1) Effective January 1, 2021:
427 (a) Notwithstanding any other law, motor vehicle liability
428 policies issued or renewed on or after January 1, 2021, may not
429 include personal injury protection.
430 (b) A person subject to s. 324.022 must maintain proof of
431 financial responsibility.
432 (c) A new or renewal motor vehicle liability policy
433 delivered or issued for delivery in this state must provide
434 coverage that complies with proof of financial responsibility.
435 (d) An existing motor vehicle liability policy issued
436 before January 1, 2021, which provides personal injury
437 protection and property damage liability coverage and meets the
438 financial responsibility requirements on December 31, 2020, but
439 does not meet the financial responsibility requirements on or
440 after January 1, 2021, is deemed to meet the financial
441 responsibility requirements under this chapter until such policy
442 is renewed, nonrenewed, or canceled.
443 (2) An insurer must allow an insured who has a new or
444 renewal policy providing personal injury protection which
445 becomes effective before January 1, 2021, and whose policy does
446 not meet the financial responsibility requirements on or after
447 January 1, 2021, to change coverages to meet the financial
448 responsibility requirements that become effective on or after
449 January 1, 2021. The insurer is not required to provide coverage
450 complying with financial responsibility requirements in such
451 policies if the insured does not pay the required premium by
452 January 1, 2021, or such later date as the insurer may allow.
453 The insurer must refund any reduction in the premium. The
454 insurer may not impose an additional fee or charge on the
455 insured for such changes in coverage; however, the insurer may
456 charge an additional premium that is actuarially indicated.
457 (3) By September 1, 2020, a motor vehicle insurer must
458 provide each insured a notice of the provisions of this section.
459 The notice is subject to approval by the Office of Insurance
460 Regulation and must clearly inform the insured that:
461 (a) The Florida Motor Vehicle No-Fault Law is repealed,
462 effective January 1, 2021, and that on or after that date the
463 insured is no longer required to maintain personal injury
464 protection coverage, that personal injury protection coverage is
465 no longer available for purchase in this state, and that all new
466 or renewal policies issued on or after that date may not contain
467 such coverage.
468 (b) Effective January 1, 2021, a person subject to s.
469 324.022 must maintain financial responsibility requirements that
470 enable the person to respond in damages for liability on account
471 of accidents arising out of the ownership, maintenance, or use
472 of a motor vehicle in the following amounts:
473 1. Twenty-five thousand dollars for bodily injury to, or
474 the death of, one person in any one accident and, subject to
475 such limits for one person, in the amount of $50,000 for bodily
476 injury to, or the death of, two or more persons in any one
477 accident; and
478 2. Ten thousand dollars for damage to, or destruction of,
479 property of others in any one accident.
480 (c) Personal injury protection coverage pays covered
481 medical expenses for injuries sustained in a motor vehicle
482 accident by the insured, passengers, and relatives residing in
483 the insured’s household.
484 (d) Bodily injury liability coverage protects the insured,
485 up to the coverage limits, against loss if the insured is
486 legally responsible for the death of, or bodily injury to,
487 others in a motor vehicle accident.
488 (e) The insured may obtain underinsured motorist coverage,
489 which provides benefits, up to the limits of such coverage, to
490 an insured or other insured entitled to recover damages for
491 bodily injury, sickness, disease, or death resulting from a
492 motor vehicle accident with an uninsured or underinsured owner
493 or operator of a motor vehicle.
494 (f) If the insured’s new or renewal motor vehicle liability
495 policy is effective before January 1, 2021, and contains
496 personal injury protection and property damage liability
497 coverage as required by state law before January 1, 2021, but
498 does not meet the financial responsibility requirements on or
499 after January 1, 2021, the policy is deemed to meet the
500 financial responsibility requirements until it is renewed,
501 nonrenewed, or canceled.
502 (g) An insured whose new or renewal policy becomes
503 effective before January 1, 2021, but does not meet the
504 financial responsibility requirements on or after January 1,
505 2021, may change coverages under the policy so as to eliminate
506 personal injury protection and to obtain coverage meeting the
507 financial responsibility requirements, including bodily injury
508 liability coverage, which are effective on or after January 1,
509 2021.
510 (h) If the insured has any questions, he or she should
511 contact the name and phone number provided in the notice.
512 (4) The Florida Motor Vehicle No-Fault Law, ss. 627.730
513 627.7405, and ss. 400.9905, 400.991, 456.057, 456.072, 627.7263,
514 627.9541(1)(i), 817.234(7)(c), and 817.234(8) remain in full
515 force and effect for motor vehicle accidents covered under a
516 policy issued under the Florida Motor Vehicle No-Fault Law
517 before January 1, 2021, until that policy is renewed,
518 nonrenewed, or canceled.
519 Section 12. Subsections (1) and (7) and paragraph (c) of
520 subsection (9) of section 324.021, Florida Statutes, are amended
521 to read:
522 324.021 Definitions; minimum insurance required.—The
523 following words and phrases when used in this chapter shall, for
524 the purpose of this chapter, have the meanings respectively
525 ascribed to them in this section, except in those instances
526 where the context clearly indicates a different meaning:
527 (1) MOTOR VEHICLE.—Every self-propelled vehicle that is
528 designed and required to be licensed for use upon a highway,
529 including trailers and semitrailers designed for use with such
530 vehicles, except traction engines, road rollers, farm tractors,
531 power shovels, and well drillers, and every vehicle that is
532 propelled by electric power obtained from overhead wires but not
533 operated upon rails, but not including any personal delivery
534 device or mobile carrier as defined in s. 316.003, bicycle, or
535 moped. However, the term “motor vehicle” does not include a
536 motor vehicle as defined in s. 627.732(3) when the owner of such
537 vehicle has complied with the requirements of ss. 627.730
538 627.7405, inclusive, unless the provisions of s. 324.051 apply;
539 and, in such case, the applicable proof of insurance provisions
540 of s. 320.02 apply.
541 (7) PROOF OF FINANCIAL RESPONSIBILITY.—Proof That proof of
542 ability to respond in damages for liability on account of
543 accidents crashes arising out of the use of a motor vehicle:
544 (a) In the amount of $25,000 for $10,000 because of bodily
545 injury to, or the death of, one person in any one accident
546 crash;
547 (b) Subject to such limits for one person, in the amount of
548 $50,000 for $20,000 because of bodily injury to, or the death
549 of, two or more persons in any one accident crash;
550 (c) In the amount of $10,000 for damage because of injury
551 to, or destruction of, the property of others in any one
552 accident crash; and
553 (d) For With respect to commercial motor vehicles and
554 nonpublic sector buses, in the amounts specified in ss. 627.7415
555 and 627.742, respectively.
556 (9) OWNER; OWNER/LESSOR.—
557 (c) Application.—
558 1. The limits on liability in subparagraphs (b)2. and 3. do
559 not apply to an owner of motor vehicles that are used for
560 commercial activity in the owner’s ordinary course of business,
561 other than a rental company that rents or leases motor vehicles.
562 For purposes of this paragraph, the term “rental company”
563 includes only an entity that is engaged in the business of
564 renting or leasing motor vehicles to the general public and that
565 rents or leases a majority of its motor vehicles to persons with
566 no direct or indirect affiliation with the rental company. The
567 term also includes a motor vehicle dealer that provides
568 temporary replacement vehicles to its customers for up to 10
569 days. The term “rental company” also includes:
570 a. A related rental or leasing company that is a subsidiary
571 of the same parent company as that of the renting or leasing
572 company that rented or leased the vehicle.
573 b. The holder of a motor vehicle title or an equity
574 interest in a motor vehicle title if the title or equity
575 interest is held pursuant to or to facilitate an asset-backed
576 securitization of a fleet of motor vehicles used solely in the
577 business of renting or leasing motor vehicles to the general
578 public and under the dominion and control of a rental company,
579 as described in this subparagraph, in the operation of such
580 rental company’s business.
581 2. Furthermore, with respect to commercial motor vehicles
582 as defined in s. 627.732, the limits on liability in
583 subparagraphs (b)2. and 3. do not apply if, at the time of the
584 incident, the commercial motor vehicle is being used in the
585 transportation of materials found to be hazardous for the
586 purposes of the Hazardous Materials Transportation Authorization
587 Act of 1994, as amended, 49 U.S.C. ss. 5101 et seq., and that is
588 required pursuant to such act to carry placards warning others
589 of the hazardous cargo, unless at the time of lease or rental
590 either:
591 a. The lessee indicates in writing that the vehicle will
592 not be used to transport materials found to be hazardous for the
593 purposes of the Hazardous Materials Transportation Authorization
594 Act of 1994, as amended, 49 U.S.C. ss. 5101 et seq.; or
595 b. The lessee or other operator of the commercial motor
596 vehicle has in effect insurance with limits of at least
597 $5,000,000 combined property damage and bodily injury liability.
598 Section 13. Section 324.022, Florida Statutes, is amended
599 to read:
600 324.022 Financial responsibility requirements for property
601 damage.—
602 (1)(a) Every owner or operator of a motor vehicle required
603 to be registered in this state must shall establish and maintain
604 the ability to respond in damages for liability on account of
605 accidents arising out of the use of the motor vehicle in the
606 amount of:
607 1. Twenty-five thousand dollars for bodily injury to, or
608 the death of, one person in any one accident;
609 2. Subject to the limits for one person, $50,000 for bodily
610 injury to, or the death of, two or more persons in any one
611 accident; and $10,000 because of
612 3. Ten thousand dollars for damage to, or destruction of,
613 property of others in any one accident crash.
614 (b) The requirements of paragraph (a) this section may be
615 met by one of the methods established in s. 324.031; by self
616 insuring as authorized by s. 768.28(16); or by maintaining a
617 motor vehicle liability insurance an insurance policy providing
618 coverage for property damage liability in the amount of at least
619 $10,000 because of damage to, or destruction of, property of
620 others in any one accident arising out of the use of the motor
621 vehicle. The requirements of this section may also be met by
622 having a policy that which provides coverage in the amount of at
623 least $60,000 $30,000 for combined property damage liability and
624 bodily injury liability for any one accident crash arising out
625 of the use of the motor vehicle and that conforms to the
626 requirements of s. 324.151. An The policy, with respect to
627 coverage for property damage liability, must meet the applicable
628 requirements of s. 324.151, subject to the usual policy
629 exclusions that have been approved in policy forms by the Office
630 of Insurance Regulation. No insurer has no shall have any duty
631 to defend uncovered claims irrespective of their joinder with
632 covered claims.
633 (2) As used in this section, the term:
634 (a) “Motor vehicle” means any self-propelled vehicle that
635 has four or more wheels and that is of a type designed and
636 required to be licensed for use on the highways of this state,
637 and any trailer or semitrailer designed for use with such
638 vehicle. The term does not include:
639 1. A mobile home.
640 2. A motor vehicle that is used in mass transit and
641 designed to transport more than five passengers, exclusive of
642 the operator of the motor vehicle, and that is owned by a
643 municipality, transit authority, or political subdivision of the
644 state.
645 3. A school bus as defined in s. 1006.25.
646 4. A vehicle providing for-hire transportation that is
647 subject to the provisions of s. 324.031. A taxicab shall
648 maintain security as required under s. 324.032(1).
649 5. A personal delivery device as defined in s. 316.003.
650 (b) “Owner” means the person who holds legal title to a
651 motor vehicle or the debtor or lessee who has the right to
652 possession of a motor vehicle that is the subject of a security
653 agreement or lease with an option to purchase.
654 (3) Each nonresident owner or registrant of a motor vehicle
655 that, whether operated or not, has been physically present
656 within this state for more than 90 days during the preceding 365
657 days shall maintain security as required by subsection (1) that
658 is in effect continuously throughout the period the motor
659 vehicle remains within this state.
660 (4) An The owner or registrant of a motor vehicle who is
661 exempt from the requirements of this section if she or he is a
662 member of the United States Armed Forces and is called to or on
663 active duty outside the United States in an emergency situation
664 is exempt from this section while he or she. The exemption
665 provided by this subsection applies only as long as the member
666 of the Armed Forces is on such active duty outside the United
667 States. This exemption and applies only while the vehicle is not
668 operated by any person. Upon receipt of a written request by the
669 insured to whom the exemption provided in this subsection
670 applies, the insurer shall cancel the coverages and return any
671 unearned premium or suspend the security required by this
672 section. Notwithstanding s. 324.0221(2) s. 324.0221(3), the
673 department may not suspend the registration or operator’s
674 license of an any owner or registrant of a motor vehicle during
675 the time she or he qualifies for the an exemption under this
676 subsection. An Any owner or registrant of a motor vehicle who
677 qualifies for the an exemption under this subsection shall
678 immediately notify the department before prior to and at the end
679 of the expiration of the exemption.
680 Section 14. Subsections (1) and (2) of section 324.0221,
681 Florida Statutes, are amended, and subsection (4) is added to
682 that section, to read:
683 324.0221 Reports by insurers to the department; suspension
684 of driver license and vehicle registrations; reinstatement.—
685 (1)(a) Each insurer that has issued a policy providing
686 personal injury protection coverage or property damage liability
687 coverage shall report the cancellation or nonrenewal thereof to
688 the department within 10 days after the processing date or
689 effective date of each cancellation or nonrenewal. Upon the
690 issuance of a policy providing personal injury protection
691 coverage or property damage liability coverage to a named
692 insured not previously insured by the insurer during that
693 calendar year, the insurer shall report the issuance of the new
694 policy to the department within 10 days. The report must shall
695 be in a the form prescribed by the department and format and
696 contain any information required by the department and must be
697 provided in a format that is compatible with the data processing
698 capabilities of the department. Failure by an insurer to file
699 proper reports with the department as required by this
700 subsection constitutes a violation of the Florida Insurance
701 Code. These records shall be used by the department only for
702 enforcement and regulatory purposes, including the generation by
703 the department of data regarding compliance by owners of motor
704 vehicles with the requirements for financial responsibility
705 coverage.
706 (b) With respect to an insurance policy providing personal
707 injury protection coverage or property damage liability
708 coverage, each insurer shall notify the named insured, or the
709 first-named insured in the case of a commercial fleet policy, in
710 writing that any cancellation or nonrenewal of the policy will
711 be reported by the insurer to the department. The notice must
712 also inform the named insured that failure to maintain bodily
713 injury liability personal injury protection coverage and
714 property damage liability coverage on a motor vehicle when
715 required by law may result in the loss of registration and
716 driving privileges in this state and inform the named insured of
717 the amount of the reinstatement fees required by this section.
718 This notice is for informational purposes only, and an insurer
719 is not civilly liable for failing to provide this notice.
720 (2) The department shall suspend, after due notice and an
721 opportunity to be heard, the registration and driver license of
722 any owner or registrant of a motor vehicle with respect to which
723 security is required under s. ss. 324.022, s. 324.023, s.
724 324.032, s. 627.7415, or s. 627.742 and 627.733 upon:
725 (a) The department’s records showing that the owner or
726 registrant of such motor vehicle did not have the in full force
727 and effect when required security in full force and effect that
728 complies with the requirements of ss. 324.022 and 627.733; or
729 (b) Notification by the insurer to the department, in a
730 form approved by the department, of cancellation or termination
731 of the required security.
732 (4) All suspensions of license or registration under this
733 section for failure to maintain required security that occurred
734 before January 1, 2021, remain in full force and effect on or
735 after January 1, 2021.
736 Section 15. Subsection (1) of section 324.032, Florida
737 Statutes, is amended to read:
738 324.032 Manner of proving financial responsibility; for
739 hire passenger transportation vehicles.—Notwithstanding the
740 provisions of s. 324.031:
741 (1)(a) A person who is either the owner or a lessee of a
742 motor vehicle used as a taxicab required to maintain insurance
743 under s. 627.733(1)(b) and who operates one or more taxicabs,
744 limousines, jitneys, or any other for-hire passenger
745 transportation vehicles may prove financial responsibility by
746 furnishing satisfactory evidence of holding a motor vehicle
747 liability policy, but with minimum limits of
748 $125,000/250,000/50,000.
749 (b) A person who is either the owner or a lessee required
750 to maintain insurance under s. 324.021(9)(b) and who operates
751 limousines, jitneys, or any other for-hire passenger vehicles,
752 other than taxicabs, may prove financial responsibility by
753 furnishing satisfactory evidence of holding a motor vehicle
754 liability policy as defined in s. 324.031.
755
756 Upon request by the department, the applicant must provide the
757 department at the applicant’s principal place of business in
758 this state access to the applicant’s underlying financial
759 information and financial statements that provide the basis of
760 the certified public accountant’s certification. The applicant
761 shall reimburse the requesting department for all reasonable
762 costs incurred by it in reviewing the supporting information.
763 The maximum amount of self-insurance permissible under this
764 subsection is $300,000 and must be stated on a per-occurrence
765 basis, and the applicant shall maintain adequate excess
766 insurance issued by an authorized or eligible insurer licensed
767 or approved by the Office of Insurance Regulation. All risks
768 self-insured shall remain with the owner or lessee providing it,
769 and the risks are not transferable to any other person, unless a
770 policy complying with subsection (1) is obtained.
771 Section 16. Subsection (2) of section 324.051, Florida
772 Statutes, is amended to read:
773 324.051 Reports of accidents crashes; suspensions of
774 licenses and registrations.—
775 (2)(a) Thirty days after receipt of notice of any accident
776 described in paragraph (1)(a) involving a motor vehicle within
777 this state, the department shall suspend, after due notice and
778 opportunity to be heard, the license of each operator and all
779 registrations of the owner of the vehicles operated by such
780 operator whether or not involved in such accident crash and, in
781 the case of a nonresident owner or operator, shall suspend such
782 nonresident’s operating privilege in this state, unless such
783 operator or owner shall, prior to the expiration of such 30
784 days, be found by the department to be exempt from the operation
785 of this chapter, based upon evidence satisfactory to the
786 department that:
787 1. The motor vehicle was legally parked at the time of such
788 accident crash.
789 2. The motor vehicle was owned by the United States
790 Government, this state, or any political subdivision of this
791 state or any municipality therein.
792 3. Such operator or owner has secured a duly acknowledged
793 written agreement providing for release from liability by all
794 parties injured as the result of said accident crash and has
795 complied with one of the provisions of s. 324.031.
796 4. Such operator or owner has deposited with the department
797 security to conform with s. 324.061 when applicable and has
798 complied with one of the provisions of s. 324.031.
799 5. One year has elapsed since such owner or operator was
800 suspended pursuant to subsection (3), the owner or operator has
801 complied with one of the provisions of s. 324.031, and no bill
802 of complaint of which the department has notice has been filed
803 in a court of competent jurisdiction.
804 (b) This subsection shall not apply:
805 1. To such operator or owner if such operator or owner had
806 in effect at the time of such accident crash or traffic
807 conviction a motor vehicle an automobile liability policy with
808 respect to all of the registered motor vehicles owned by such
809 operator or owner.
810 2. To such operator, if not the owner of such motor
811 vehicle, if there was in effect at the time of such accident
812 crash or traffic conviction a motor vehicle an automobile
813 liability policy or bond with respect to his or her operation of
814 motor vehicles not owned by him or her.
815 3. To such operator or owner if the liability of such
816 operator or owner for damages resulting from such accident crash
817 is, in the judgment of the department, covered by any other form
818 of liability insurance or bond.
819 4. To a any person who has obtained from the department a
820 certificate of self-insurance, in accordance with s. 324.171, or
821 to a any person operating a motor vehicle for such self-insurer.
822
823 No such policy or bond shall be effective under this subsection
824 unless it contains limits of not less than those specified in s.
825 324.021(7).
826 Section 17. Subsection (1) of section 324.091, Florida
827 Statutes, is amended to read:
828 324.091 Notice to department; notice to insurer.—
829 (1) Each owner and operator involved in an accident a crash
830 or conviction case within the purview of this chapter shall
831 furnish evidence of automobile liability insurance or motor
832 vehicle liability insurance within 14 days after the date of the
833 mailing of notice of the accident crash by the department in the
834 form and manner as it may designate. Upon receipt of evidence
835 that a an automobile liability policy or motor vehicle liability
836 policy was in effect at the time of the accident crash or
837 conviction case, the department shall forward to the insurer
838 such information for verification in a method as determined by
839 the department. The insurer shall respond to the department
840 within 20 days after the notice whether or not such information
841 is valid. If the department determines that a an automobile
842 liability policy or motor vehicle liability policy was not in
843 effect and did not provide coverage for both the owner and the
844 operator, it shall take action as it is authorized to do under
845 this chapter.
846 Section 18. Section 324.151, Florida Statutes, is amended
847 to read:
848 324.151 Motor vehicle liability policies; required
849 provisions.—
850 (1) As used in this section, the term:
851 (a) “Newly acquired vehicle” means a vehicle owned by a
852 named insured or resident relative of the named insured which
853 was acquired 30 days or less before an accident.
854 (b) “Resident relative” means a person related to a named
855 insured by any degree by blood, marriage, or adoption, including
856 a ward or foster child, who usually makes her or his home in the
857 same family unit as the named insured, whether or not he or she
858 is temporarily living elsewhere.
859 (c) “Temporary substitute vehicle” means a motor vehicle,
860 as defined in s. 320.01(1), which is not owned by the named
861 insured and which is temporarily used with the permission of the
862 owner as a substitute for a motor vehicle designated on the
863 policy when the vehicle designated on the policy is withdrawn
864 from normal use because of breakdown, repair, servicing, loss,
865 or destruction.
866 (2)(1) A motor vehicle liability policy, as to be proof of
867 financial responsibility under s. 324.031(1), shall be issued to
868 owners or operators of motor vehicles under the following
869 provisions:
870 (a) A motor vehicle liability insurance policy issued to an
871 owner of a motor vehicle registered in this state must An
872 owner’s liability insurance policy shall designate by explicit
873 description or by appropriate reference all motor vehicles with
874 respect to which coverage is thereby granted. The policy must
875 and shall insure the person or persons owner named therein and
876 any resident relative of a named insured against other person as
877 operator using such motor vehicle or motor vehicles with the
878 express or implied permission of such owner against loss from
879 the liability imposed by law for damage arising out of the
880 ownership, maintenance, or use of any such motor vehicle, except
881 as otherwise provided in this section. The policy must also
882 insure any person operating an insured motor vehicle with the
883 express or implied permission of the named insured against loss
884 from liability imposed by law for damage arising out of the use
885 of such vehicle. However, the insurer may exclude in its policy
886 liability coverage for a motor vehicle not designated as an
887 insured vehicle on the policy if such motor vehicle does not
888 qualify as a newly acquired vehicle or a temporary substitute
889 vehicle and was owned by an insured or was furnished for an
890 insured’s regular use for more than 30 consecutive days before
891 an accident or motor vehicles within the United States or the
892 Dominion of Canada, subject to limits, exclusive of interest and
893 costs with respect to each such motor vehicle as is provided for
894 under s. 324.021(7). Insurers may make available, with respect
895 to property damage liability coverage, a deductible amount not
896 to exceed $500. In the event of a property damage loss covered
897 by a policy containing a property damage deductible provision,
898 the insurer shall pay to the third-party claimant the amount of
899 any property damage liability settlement or judgment, subject to
900 policy limits, as if no deductible existed.
901 (b) A motor vehicle liability insurance policy issued to a
902 person who does not own a motor vehicle registered in this state
903 and is not already insured under a policy described in paragraph
904 (a) must An operator’s motor vehicle liability policy of
905 insurance shall insure the person or persons named in the policy
906 therein against loss from the liability imposed upon him or her
907 by law for damages arising out of the use by the person of any
908 motor vehicle not owned by him or her, unless the vehicle was
909 furnished for the named insured’s regular use and used by the
910 named insured for more than 30 consecutive days before an
911 accident with the same territorial limits and subject to the
912 same limits of liability as referred to above with respect to an
913 owner’s policy of liability insurance.
914 (c) All such motor vehicle liability policies shall state
915 the name and address of the named insured, the coverage afforded
916 by the policy, the premium charged therefor, the policy period,
917 and the limits of liability, and shall contain an agreement or
918 be endorsed that insurance is provided in accordance with the
919 coverage defined in this chapter as respects bodily injury and
920 death or property damage or both and is subject to all
921 provisions of this chapter. The Said policies must shall also
922 contain a provision that the satisfaction by an insured of a
923 judgment for such injury or damage shall not be a condition
924 precedent to the right or duty of the insurer insurance carrier
925 to make payment on account of such injury or damage, and shall
926 also contain a provision that bankruptcy or insolvency of the
927 insured or of the insured’s estate shall not relieve the insurer
928 insurance carrier of any of its obligations under the said
929 policy. However, the policies may contain provisions excluding
930 liability coverage for a vehicle used outside of the United
931 States or Canada at the time of an accident.
932 (3)(2) The provisions of this section shall not be
933 applicable to any automobile liability policy unless and until
934 it is furnished as proof of financial responsibility for the
935 future pursuant to s. 324.031, and then only from and after the
936 date said policy is so furnished.
937 Section 19. Section 324.161, Florida Statutes, is amended
938 to read:
939 324.161 Proof of financial responsibility; deposit.
940 Annually, before any certificate of insurance may be issued to a
941 person, including any firm, partnership, association,
942 corporation, or other person, other than a natural person, proof
943 of a certificate of deposit of $60,000 $30,000 issued and held
944 by a financial institution must be submitted to the department.
945 A power of attorney will be issued to and held by the
946 department, and may be executed upon a judgment issued against
947 such person making the deposit, for damages for because of
948 bodily injury to or death of any person or for damages for
949 because of injury to or destruction of property resulting from
950 the use or operation of any motor vehicle occurring after such
951 deposit was made. Money so deposited is shall not be subject to
952 attachment or execution unless such attachment or execution
953 shall arise out of a suit for such damages as aforesaid.
954 Section 20. Subsections (1) and (2) of section 324.171,
955 Florida Statutes, are amended to read:
956 324.171 Self-insurer.—
957 (1) A Any person may qualify as a self-insurer by obtaining
958 a certificate of self-insurance from the department. Upon which
959 may, in its discretion and upon application of such a person,
960 the department may issue a said certificate of self-insurance if
961 the applicant when such person has satisfied the requirements of
962 this section to qualify as a self-insurer under this section:
963 (a) A private individual with private passenger vehicles
964 must shall possess an a net unencumbered net worth of at least
965 $60,000 $40,000.
966 (b) A person, including any firm, partnership, association,
967 corporation, or other person, other than a natural person, must
968 shall:
969 1. Possess an a net unencumbered net worth of at least
970 $60,000 $40,000 for the first motor vehicle and $30,000 $20,000
971 for each additional motor vehicle; or
972 2. Maintain sufficient net worth in an amount determined by
973 the department to be financially responsible for potential
974 losses. The department must annually determine the minimum net
975 worth sufficient to satisfy this section, as determined annually
976 by the department, pursuant to rules adopted promulgated by the
977 department, with the assistance of the Office of Insurance
978 Regulation of the Financial Services Commission, to be
979 financially responsible for potential losses. The rules must
980 consider any shall take into consideration excess insurance
981 carried by the applicant. The department’s determination shall
982 be based upon reasonable actuarial principles considering the
983 frequency, severity, and loss development of claims incurred by
984 casualty insurers writing coverage on the type of motor vehicles
985 for which a certificate of self-insurance is desired.
986 (c) The owner of a commercial motor vehicle, as defined in
987 s. 207.002 or s. 320.01, may qualify as a self-insurer subject
988 to the standards provided for in subparagraph (b)2.
989 (2) The self-insurance certificate shall provide limits of
990 liability insurance in the amounts specified under s. 324.021(7)
991 or s. 627.7415 and shall provide personal injury protection
992 coverage under s. 627.733(3)(b).
993 Section 21. Section 324.251, Florida Statutes, is amended
994 to read:
995 324.251 Short title.—This chapter may be cited as the
996 “Motor Vehicle Financial Responsibility Law.” of 1955” and shall
997 become effective at 12:01 a.m., October 1, 1955.
998 Section 22. Subsection (4) of section 400.9905, Florida
999 Statutes, is amended to read:
1000 400.9905 Definitions.—
1001 (4) “Clinic” means an entity where health care services are
1002 provided to individuals and which tenders charges for
1003 reimbursement for such services, including a mobile clinic and a
1004 portable equipment provider. As used in this part, the term does
1005 not include and the licensure requirements of this part do not
1006 apply to:
1007 (a) Entities licensed or registered by the state under
1008 chapter 395; entities licensed or registered by the state and
1009 providing only health care services within the scope of services
1010 authorized under their respective licenses under ss. 383.30
1011 383.332, chapter 390, chapter 394, chapter 397, this chapter
1012 except part X, chapter 429, chapter 463, chapter 465, chapter
1013 466, chapter 478, chapter 484, or chapter 651; end-stage renal
1014 disease providers authorized under 42 C.F.R. part 405, subpart
1015 U; providers certified under 42 C.F.R. part 485, subpart B or
1016 subpart H; or any entity that provides neonatal or pediatric
1017 hospital-based health care services or other health care
1018 services by licensed practitioners solely within a hospital
1019 licensed under chapter 395.
1020 (b) Entities that own, directly or indirectly, entities
1021 licensed or registered by the state pursuant to chapter 395;
1022 entities that own, directly or indirectly, entities licensed or
1023 registered by the state and providing only health care services
1024 within the scope of services authorized pursuant to their
1025 respective licenses under ss. 383.30-383.332, chapter 390,
1026 chapter 394, chapter 397, this chapter except part X, chapter
1027 429, chapter 463, chapter 465, chapter 466, chapter 478, chapter
1028 484, or chapter 651; end-stage renal disease providers
1029 authorized under 42 C.F.R. part 405, subpart U; providers
1030 certified under 42 C.F.R. part 485, subpart B or subpart H; or
1031 any entity that provides neonatal or pediatric hospital-based
1032 health care services by licensed practitioners solely within a
1033 hospital licensed under chapter 395.
1034 (c) Entities that are owned, directly or indirectly, by an
1035 entity licensed or registered by the state pursuant to chapter
1036 395; entities that are owned, directly or indirectly, by an
1037 entity licensed or registered by the state and providing only
1038 health care services within the scope of services authorized
1039 pursuant to their respective licenses under ss. 383.30-383.332,
1040 chapter 390, chapter 394, chapter 397, this chapter except part
1041 X, chapter 429, chapter 463, chapter 465, chapter 466, chapter
1042 478, chapter 484, or chapter 651; end-stage renal disease
1043 providers authorized under 42 C.F.R. part 405, subpart U;
1044 providers certified under 42 C.F.R. part 485, subpart B or
1045 subpart H; or any entity that provides neonatal or pediatric
1046 hospital-based health care services by licensed practitioners
1047 solely within a hospital under chapter 395.
1048 (d) Entities that are under common ownership, directly or
1049 indirectly, with an entity licensed or registered by the state
1050 pursuant to chapter 395; entities that are under common
1051 ownership, directly or indirectly, with an entity licensed or
1052 registered by the state and providing only health care services
1053 within the scope of services authorized pursuant to their
1054 respective licenses under ss. 383.30-383.332, chapter 390,
1055 chapter 394, chapter 397, this chapter except part X, chapter
1056 429, chapter 463, chapter 465, chapter 466, chapter 478, chapter
1057 484, or chapter 651; end-stage renal disease providers
1058 authorized under 42 C.F.R. part 405, subpart U; providers
1059 certified under 42 C.F.R. part 485, subpart B or subpart H; or
1060 any entity that provides neonatal or pediatric hospital-based
1061 health care services by licensed practitioners solely within a
1062 hospital licensed under chapter 395.
1063 (e) An entity that is exempt from federal taxation under 26
1064 U.S.C. s. 501(c)(3) or (4), an employee stock ownership plan
1065 under 26 U.S.C. s. 409 that has a board of trustees at least
1066 two-thirds of which are Florida-licensed health care
1067 practitioners and provides only physical therapy services under
1068 physician orders, any community college or university clinic,
1069 and any entity owned or operated by the federal or state
1070 government, including agencies, subdivisions, or municipalities
1071 thereof.
1072 (f) A sole proprietorship, group practice, partnership, or
1073 corporation that provides health care services by physicians
1074 covered by s. 627.419, that is directly supervised by one or
1075 more of such physicians, and that is wholly owned by one or more
1076 of those physicians or by a physician and the spouse, parent,
1077 child, or sibling of that physician.
1078 (g) A sole proprietorship, group practice, partnership, or
1079 corporation that provides health care services by licensed
1080 health care practitioners under chapter 457, chapter 458,
1081 chapter 459, chapter 460, chapter 461, chapter 462, chapter 463,
1082 chapter 466, chapter 467, chapter 480, chapter 484, chapter 486,
1083 chapter 490, chapter 491, or part I, part III, part X, part
1084 XIII, or part XIV of chapter 468, or s. 464.012, and that is
1085 wholly owned by one or more licensed health care practitioners,
1086 or the licensed health care practitioners set forth in this
1087 paragraph and the spouse, parent, child, or sibling of a
1088 licensed health care practitioner if one of the owners who is a
1089 licensed health care practitioner is supervising the business
1090 activities and is legally responsible for the entity’s
1091 compliance with all federal and state laws. However, a health
1092 care practitioner may not supervise services beyond the scope of
1093 the practitioner’s license, except that, for the purposes of
1094 this part, a clinic owned by a licensee in s. 456.053(3)(b)
1095 which provides only services authorized pursuant to s.
1096 456.053(3)(b) may be supervised by a licensee specified in s.
1097 456.053(3)(b).
1098 (h) Clinical facilities affiliated with an accredited
1099 medical school at which training is provided for medical
1100 students, residents, or fellows.
1101 (i) Entities that provide only oncology or radiation
1102 therapy services by physicians licensed under chapter 458 or
1103 chapter 459 or entities that provide oncology or radiation
1104 therapy services by physicians licensed under chapter 458 or
1105 chapter 459 which are owned by a corporation whose shares are
1106 publicly traded on a recognized stock exchange.
1107 (j) Clinical facilities affiliated with a college of
1108 chiropractic accredited by the Council on Chiropractic Education
1109 at which training is provided for chiropractic students.
1110 (k) Entities that provide licensed practitioners to staff
1111 emergency departments or to deliver anesthesia services in
1112 facilities licensed under chapter 395 and that derive at least
1113 90 percent of their gross annual revenues from the provision of
1114 such services. Entities claiming an exemption from licensure
1115 under this paragraph must provide documentation demonstrating
1116 compliance.
1117 (l) Orthotic, prosthetic, pediatric cardiology, or
1118 perinatology clinical facilities or anesthesia clinical
1119 facilities that are not otherwise exempt under paragraph (a) or
1120 paragraph (k) and that are a publicly traded corporation or are
1121 wholly owned, directly or indirectly, by a publicly traded
1122 corporation. As used in this paragraph, a publicly traded
1123 corporation is a corporation that issues securities traded on an
1124 exchange registered with the United States Securities and
1125 Exchange Commission as a national securities exchange.
1126 (m) Entities that are owned by a corporation that has $250
1127 million or more in total annual sales of health care services
1128 provided by licensed health care practitioners where one or more
1129 of the persons responsible for the operations of the entity is a
1130 health care practitioner who is licensed in this state and who
1131 is responsible for supervising the business activities of the
1132 entity and is responsible for the entity’s compliance with state
1133 law for purposes of this part.
1134 (n) Entities that employ 50 or more licensed health care
1135 practitioners licensed under chapter 458 or chapter 459 where
1136 the billing for medical services is under a single tax
1137 identification number. The application for exemption under this
1138 subsection must include shall contain information that includes:
1139 the name, residence, and business address and telephone phone
1140 number of the entity that owns the practice; a complete list of
1141 the names and contact information of all the officers and
1142 directors of the corporation; the name, residence address,
1143 business address, and medical license number of each licensed
1144 Florida health care practitioner employed by the entity; the
1145 corporate tax identification number of the entity seeking an
1146 exemption; a listing of health care services to be provided by
1147 the entity at the health care clinics owned or operated by the
1148 entity and a certified statement prepared by an independent
1149 certified public accountant which states that the entity and the
1150 health care clinics owned or operated by the entity have not
1151 received payment for health care services under motor vehicle
1152 personal injury protection insurance coverage for the preceding
1153 year. If the agency determines that an entity that which is
1154 exempt under this subsection has received payments for medical
1155 services under motor vehicle personal injury protection
1156 insurance coverage, the agency may deny or revoke the exemption
1157 from licensure under this subsection.
1158
1159 Notwithstanding this subsection, an entity shall be deemed a
1160 clinic and must be licensed under this part in order to receive
1161 reimbursement under the Florida Motor Vehicle No-Fault Law, ss.
1162 627.730-627.7405, unless exempted under s. 627.736(5)(h).
1163 Section 23. Subsection (6) of section 400.991, Florida
1164 Statutes, is amended to read:
1165 400.991 License requirements; background screenings;
1166 prohibitions.—
1167 (6) All agency forms for licensure application or exemption
1168 from licensure under this part must contain the following
1169 statement:
1170
1171 INSURANCE FRAUD NOTICE.—A person commits a fraudulent
1172 insurance act under s. 626.989 or s. 817.234, Florida
1173 Statutes, if such person who knowingly submits a
1174 false, misleading, or fraudulent application or other
1175 document when applying for licensure as a health care
1176 clinic, seeking an exemption from licensure as a
1177 health care clinic, or demonstrating compliance with
1178 part X of chapter 400, Florida Statutes, with the
1179 intent to use the license, exemption from licensure,
1180 or demonstration of compliance to provide services or
1181 seek reimbursement under a motor vehicle insurance
1182 policy the Florida Motor Vehicle No-Fault Law, commits
1183 a fraudulent insurance act, as defined in s. 626.989,
1184 Florida Statutes. A person who presents a claim under
1185 a motor vehicle insurance policy, for personal injury
1186 protection benefits knowing that the payee knowingly
1187 submitted such health care clinic application or
1188 document, commits insurance fraud, as defined in s.
1189 817.234, Florida Statutes.
1190 Section 24. Paragraph (g) of subsection (1) of section
1191 400.9935, Florida Statutes, is amended to read:
1192 400.9935 Clinic responsibilities.—
1193 (1) Each clinic shall appoint a medical director or clinic
1194 director who shall agree in writing to accept legal
1195 responsibility for the following activities on behalf of the
1196 clinic. The medical director or the clinic director shall:
1197 (g) Conduct systematic reviews of clinic billings to ensure
1198 that the billings are not fraudulent or unlawful. Upon discovery
1199 of an unlawful charge, the medical director or clinic director
1200 shall take immediate corrective action. If the clinic performs
1201 only the technical component of magnetic resonance imaging,
1202 static radiographs, computed tomography, or positron emission
1203 tomography, and provides the professional interpretation of such
1204 services, in a fixed facility that is accredited by a national
1205 accrediting organization that is approved by the Centers for
1206 Medicare and Medicaid Services for magnetic resonance imaging
1207 and advanced diagnostic imaging services and if, in the
1208 preceding quarter, the percentage of scans performed by that
1209 clinic which was billed to motor vehicle all personal injury
1210 protection insurance carriers was less than 15 percent, the
1211 chief financial officer of the clinic may, in a written
1212 acknowledgment provided to the agency, assume the responsibility
1213 for the conduct of the systematic reviews of clinic billings to
1214 ensure that the billings are not fraudulent or unlawful.
1215 Section 25. Subsections (27) and (28) of section 409.901,
1216 Florida Statutes, are amended to read:
1217 409.901 Definitions; ss. 409.901-409.920.—As used in ss.
1218 409.901-409.920, except as otherwise specifically provided, the
1219 term:
1220 (27) “Third party” means an individual, entity, or program,
1221 excluding Medicaid, that is, may be, could be, should be, or has
1222 been liable for all or part of the cost of medical services
1223 related to any medical assistance covered by Medicaid. A third
1224 party includes a third-party administrator; a pharmacy benefits
1225 manager; a health insurer; a self-insured plan; a group health
1226 plan, as defined in s. 607(1) of the Employee Retirement Income
1227 Security Act of 1974; a service benefit plan; a managed care
1228 organization; liability insurance, including self-insurance; no
1229 fault insurance; workers’ compensation laws or plans; or other
1230 parties that are, by statute, contract, or agreement, legally
1231 responsible for payment of a claim for a health care item or
1232 service.
1233 (28) “Third-party benefit” means any benefit that is or may
1234 be available at any time through contract, court award,
1235 judgment, settlement, agreement, or any arrangement between a
1236 third party and any person or entity, including, without
1237 limitation, a Medicaid recipient, a provider, another third
1238 party, an insurer, or the agency, for any Medicaid-covered
1239 injury, illness, goods, or services, including costs of medical
1240 services related thereto, for bodily personal injury or for
1241 death of the recipient, but specifically excluding policies of
1242 life insurance on the recipient, unless available under terms of
1243 the policy to pay medical expenses prior to death. The term
1244 includes, without limitation, collateral, as defined in this
1245 section, health insurance, any benefit under a health
1246 maintenance organization, a preferred provider arrangement, a
1247 prepaid health clinic, liability insurance, uninsured motorist
1248 insurance or motor vehicle insurance personal injury protection
1249 coverage, medical benefits under workers’ compensation, and any
1250 obligation under law or equity to provide medical support.
1251 Section 26. Paragraph (f) of subsection (11) of section
1252 409.910, Florida Statutes, is amended to read:
1253 409.910 Responsibility for payments on behalf of Medicaid
1254 eligible persons when other parties are liable.—
1255 (11) The agency may, as a matter of right, in order to
1256 enforce its rights under this section, institute, intervene in,
1257 or join any legal or administrative proceeding in its own name
1258 in one or more of the following capacities: individually, as
1259 subrogee of the recipient, as assignee of the recipient, or as
1260 lienholder of the collateral.
1261 (f) Notwithstanding any provision in this section to the
1262 contrary, in the event of an action in tort against a third
1263 party in which the recipient or his or her legal representative
1264 is a party which results in a judgment, award, or settlement
1265 from a third party, the amount recovered shall be distributed as
1266 follows:
1267 1. After attorney attorney’s fees and taxable costs as
1268 defined by the Florida Rules of Civil Procedure, one-half of the
1269 remaining recovery shall be paid to the agency up to the total
1270 amount of medical assistance provided by Medicaid.
1271 2. The remaining amount of the recovery shall be paid to
1272 the recipient.
1273 3. For purposes of calculating the agency’s recovery of
1274 medical assistance benefits paid, the fee for services of an
1275 attorney retained by the recipient or his or her legal
1276 representative shall be calculated at 25 percent of the
1277 judgment, award, or settlement.
1278 4. Notwithstanding any other provision of this section to
1279 the contrary, the agency shall be entitled to all medical
1280 coverage benefits up to the total amount of medical assistance
1281 provided by Medicaid. For purposes of this paragraph, the term
1282 “medical coverage” means any benefits under health insurance, a
1283 health maintenance organization, a preferred provider
1284 arrangement, or a prepaid health clinic, and the portion of
1285 benefits designated for medical payments under coverage for
1286 workers’ compensation insurance policy or a motor vehicle
1287 liability insurance policy, personal injury protection, and
1288 casualty.
1289 Section 27. Paragraph (k) of subsection (2) of section
1290 456.057, Florida Statutes, is amended to read:
1291 456.057 Ownership and control of patient records; report or
1292 copies of records to be furnished; disclosure of information.—
1293 (2) As used in this section, the terms “records owner,”
1294 “health care practitioner,” and “health care practitioner’s
1295 employer” do not include any of the following persons or
1296 entities; furthermore, the following persons or entities are not
1297 authorized to acquire or own medical records, but are authorized
1298 under the confidentiality and disclosure requirements of this
1299 section to maintain those documents required by the part or
1300 chapter under which they are licensed or regulated:
1301 (k) Persons or entities practicing under s. 627.736(7).
1302 Section 28. Paragraphs (ee) and (ff) of subsection (1) of
1303 section 456.072, Florida Statutes, are amended to read:
1304 456.072 Grounds for discipline; penalties; enforcement.—
1305 (1) The following acts shall constitute grounds for which
1306 the disciplinary actions specified in subsection (2) may be
1307 taken:
1308 (ee) With respect to making a personal injury protection
1309 claim as required by s. 627.736, intentionally submitting a
1310 claim, statement, or bill that has been “upcoded” as defined in
1311 s. 627.732.
1312 (ff) With respect to making a personal injury protection
1313 claim as required by s. 627.736, intentionally submitting a
1314 claim, statement, or bill for payment of services that were not
1315 rendered.
1316 Section 29. Subsection (3) of section 624.155, Florida
1317 Statutes, is amended, and subsection (10) is added to that
1318 section, to read:
1319 624.155 Civil remedy.—
1320 (3)(a) As a condition precedent to bringing an action under
1321 this section, the department and the authorized insurer must be
1322 have been given 60 days’ written notice of the violation. If the
1323 department returns a notice for lack of specificity, the 60-day
1324 time period shall not begin until a proper notice is filed.
1325 (b) The notice shall be on a form provided by the
1326 department and shall state with specificity the following
1327 information, and such other information as the department may
1328 require:
1329 1. The statutory provision, including the specific language
1330 of the statute, which the authorized insurer allegedly violated.
1331 2. The facts and circumstances giving rise to the
1332 violation.
1333 3. The name of any individual involved in the violation.
1334 4. Reference to specific policy language that is relevant
1335 to the violation, if any. If the person bringing the civil
1336 action is a third-party third party claimant, she or he shall
1337 not be required to reference the specific policy language if the
1338 authorized insurer has not provided a copy of the policy to the
1339 third-party third party claimant pursuant to written request.
1340 5. A statement that the notice is given in order to perfect
1341 the right to pursue the civil remedy authorized by this section.
1342 6. The specific amount of money that constitutes a cure of
1343 the alleged violation.
1344 (c) Within 20 days of receipt of the notice, the department
1345 may return any notice that does not provide the specific
1346 information required by this section, and the department shall
1347 indicate the specific deficiencies contained in the notice. A
1348 determination by the department to return a notice for lack of
1349 specificity shall be exempt from the requirements of chapter
1350 120.
1351 (c)(d) No action shall lie if, within 60 days after filing
1352 notice, the damages are paid or the circumstances giving rise to
1353 the violation are corrected.
1354 (d)(e) The authorized insurer that is the recipient of a
1355 notice filed pursuant to this section shall report to the
1356 department on the disposition of the alleged violation.
1357 (e)(f) The applicable statute of limitations for an action
1358 under this section shall be tolled for a period of 65 days by
1359 the mailing of the notice required by this subsection or the
1360 mailing of a subsequent notice required by this subsection.
1361 (10) In an action for bad faith against a motor vehicle
1362 liability insurer relating to motor vehicle liability insurance
1363 coverage, whether asserted at common law or pursuant to this
1364 section, in addition to other provisions of this section, the
1365 following apply:
1366 (a) In evaluating whether the insurer attempted in good
1367 faith to settle the claim when, under all the circumstances, it
1368 could have and should have done so had it acted fairly and
1369 honestly toward its insured and with due regard for its
1370 insured’s interests, the trier of fact must also consider
1371 whether the insured, claimant, or representative of the insured
1372 or claimant made good-faith efforts to cooperate with the
1373 insurer in investigation of the claim.
1374 (b)1. As a condition precedent to a common law or statutory
1375 cause of action against the insurer for bad faith, the insured,
1376 claimant, or representative of the insured or claimant must
1377 provide the insurer with a written notice of loss.
1378 2. A claimant does not have a common law or statutory cause
1379 of action against the insurer for bad faith if:
1380 a. Within 45 days after receipt of the written notice of
1381 loss, excluding Saturdays, Sundays, and state holidays, the
1382 insurer offers to pay the claimant the lesser of the amount the
1383 claimant is willing to accept or the policy limits of the motor
1384 vehicle liability coverage applicable to the claimant’s claims
1385 in exchange for full release of the insured from any liability
1386 arising from the incident; and
1387 b. The insurer complied with a properly noticed request, if
1388 received, for the policy disclosure under s. 627.4137 or s.
1389 626.9372.
1390
1391 The insurer’s offer to pay the claimant pursuant to this
1392 subparagraph does not alter or amend the insurer’s obligation to
1393 defend its insured.
1394 (c)1. As used in this paragraph, the term:
1395 a. “Third-party claim” means a claim brought against an
1396 insured for harm or damage allegedly caused by the insured and
1397 covered by a motor vehicle liability insurance policy.
1398 b. “Third-party claimant” means a person who brings or
1399 seeks to bring a third-party claim.
1400 2. If two or more claimants make competing claims arising
1401 out of a single occurrence and the combined total damages for
1402 the claims exceed the applicable policy limits, the insurer is
1403 not liable beyond the policy limits for failure to pay all or
1404 any portion of the policy limits to one or more of the claimants
1405 if, within 90 days after receiving notice of the competing
1406 claims, the insurer files an interpleader action under the
1407 Florida Rules of Civil Procedure and tenders the policy limits
1408 into the registry of the court. If the combined total of the
1409 competing claims exceeds the policy limits, the trier of fact
1410 must determine the allocation of the policy limits among the
1411 claimants entitled to recovery. Upon conclusion of an
1412 interpleader action, a third-party claimant whose claim was
1413 included in the interpleader action shall execute and deliver a
1414 release for any and all claims under the policy in favor of each
1415 party insured by the insurer who filed the interpleader action.
1416 An insurer’s interpleader action does not alter or amend the
1417 insurer’s obligation to defend its insured.
1418 3. Each claimant who recovers against an insurer is
1419 responsible for resolution and satisfaction of all valid liens
1420 from the settlement funds. Lien interest does not establish a
1421 competing claim for resolution in an interpleader action.
1422 (d) An insurer is not presumed to have acted in bad faith
1423 if the insurer does not, within the time periods specified in
1424 this subsection, tender the lesser of the amount a claimant is
1425 willing to accept or the policy limits or file an interpleader
1426 action.
1427 (e) In the event of any conflict between this subsection
1428 and other provisions of this section as applied to a bad-faith
1429 action against a motor vehicle liability insurer relating to
1430 motor vehicle liability insurance coverage, this subsection
1431 controls.
1432 Section 30. Paragraphs (i) and (o) of subsection (1) of
1433 section 626.9541, Florida Statutes, are amended to read:
1434 626.9541 Unfair methods of competition and unfair or
1435 deceptive acts or practices defined.—
1436 (1) UNFAIR METHODS OF COMPETITION AND UNFAIR OR DECEPTIVE
1437 ACTS.—The following are defined as unfair methods of competition
1438 and unfair or deceptive acts or practices:
1439 (i) Unfair claim settlement practices.—
1440 1. Attempting to settle claims on the basis of an
1441 application, when serving as a binder or intended to become a
1442 part of the policy, or any other material document which was
1443 altered without notice to, or knowledge or consent of, the
1444 insured;
1445 2. A material misrepresentation made to an insured or any
1446 other person having an interest in the proceeds payable under
1447 such contract or policy, for the purpose and with the intent of
1448 effecting settlement of such claims, loss, or damage under such
1449 contract or policy on less favorable terms than those provided
1450 in, and contemplated by, such contract or policy; or
1451 3. Committing or performing with such frequency as to
1452 indicate a general business practice any of the following:
1453 a. Failing to adopt and implement standards for the proper
1454 investigation of claims;
1455 b. Misrepresenting pertinent facts or insurance policy
1456 provisions relating to coverages at issue;
1457 c. Failing to acknowledge and act promptly upon
1458 communications with respect to claims;
1459 d. Denying claims without conducting reasonable
1460 investigations based upon available information;
1461 e. Failing to affirm or deny full or partial coverage of
1462 claims, and, as to partial coverage, the dollar amount or extent
1463 of coverage, or failing to provide a written statement that the
1464 claim is being investigated, upon the written request of the
1465 insured within 30 days after proof-of-loss statements have been
1466 completed;
1467 f. Failing to promptly provide a reasonable explanation in
1468 writing to the insured of the basis in the insurance policy, in
1469 relation to the facts or applicable law, for denial of a claim
1470 or for the offer of a compromise settlement;
1471 g. Failing to promptly notify the insured of any additional
1472 information necessary for the processing of a claim; or
1473 h. Failing to clearly explain the nature of the requested
1474 information and the reasons why such information is necessary.
1475 i. Failing to pay personal injury protection insurance
1476 claims within the time periods required by s. 627.736(4)(b). The
1477 office may order the insurer to pay restitution to a
1478 policyholder, medical provider, or other claimant, including
1479 interest at a rate consistent with the amount set forth in s.
1480 55.03(1), for the time period within which an insurer fails to
1481 pay claims as required by law. Restitution is in addition to any
1482 other penalties allowed by law, including, but not limited to,
1483 the suspension of the insurer’s certificate of authority.
1484 4. Failing to pay undisputed amounts of partial or full
1485 benefits owed under first-party property insurance policies
1486 within 90 days after an insurer receives notice of a residential
1487 property insurance claim, determines the amounts of partial or
1488 full benefits, and agrees to coverage, unless payment of the
1489 undisputed benefits is prevented by an act of God, prevented by
1490 the impossibility of performance, or due to actions by the
1491 insured or claimant that constitute fraud, lack of cooperation,
1492 or intentional misrepresentation regarding the claim for which
1493 benefits are owed.
1494 (o) Illegal dealings in premiums; excess or reduced charges
1495 for insurance.—
1496 1. Knowingly collecting any sum as a premium or charge for
1497 insurance, which is not then provided, or is not in due course
1498 to be provided, subject to acceptance of the risk by the
1499 insurer, by an insurance policy issued by an insurer as
1500 permitted by this code.
1501 2. Knowingly collecting as a premium or charge for
1502 insurance any sum in excess of or less than the premium or
1503 charge applicable to such insurance, in accordance with the
1504 applicable classifications and rates as filed with and approved
1505 by the office, and as specified in the policy; or, in cases when
1506 classifications, premiums, or rates are not required by this
1507 code to be so filed and approved, premiums and charges collected
1508 from a Florida resident in excess of or less than those
1509 specified in the policy and as fixed by the insurer.
1510 Notwithstanding any other provision of law, this provision shall
1511 not be deemed to prohibit the charging and collection, by
1512 surplus lines agents licensed under part VIII of this chapter,
1513 of the amount of applicable state and federal taxes, or fees as
1514 authorized by s. 626.916(4), in addition to the premium required
1515 by the insurer or the charging and collection, by licensed
1516 agents, of the exact amount of any discount or other such fee
1517 charged by a credit card facility in connection with the use of
1518 a credit card, as authorized by subparagraph (q)3., in addition
1519 to the premium required by the insurer. This subparagraph shall
1520 not be construed to prohibit collection of a premium for a
1521 universal life or a variable or indeterminate value insurance
1522 policy made in accordance with the terms of the contract.
1523 3.a. Imposing or requesting an additional premium for a
1524 policy of motor vehicle liability, personal injury protection,
1525 medical payment, or collision coverage in a motor vehicle
1526 liability insurance policy insurance or any combination thereof
1527 or refusing to renew the policy solely because the insured was
1528 involved in a motor vehicle accident unless the insurer’s file
1529 contains information from which the insurer in good faith
1530 determines that the insured was substantially at fault in the
1531 accident.
1532 b. An insurer which imposes and collects such a surcharge
1533 or which refuses to renew such policy shall, in conjunction with
1534 the notice of premium due or notice of nonrenewal, notify the
1535 named insured that he or she is entitled to reimbursement of
1536 such amount or renewal of the policy under the conditions listed
1537 below and will subsequently reimburse him or her or renew the
1538 policy, if the named insured demonstrates that the operator
1539 involved in the accident was:
1540 (I) Lawfully parked;
1541 (II) Reimbursed by, or on behalf of, a person responsible
1542 for the accident or has a judgment against such person;
1543 (III) Struck in the rear by another vehicle headed in the
1544 same direction and was not convicted of a moving traffic
1545 violation in connection with the accident;
1546 (IV) Hit by a “hit-and-run” driver, if the accident was
1547 reported to the proper authorities within 24 hours after
1548 discovering the accident;
1549 (V) Not convicted of a moving traffic violation in
1550 connection with the accident, but the operator of the other
1551 automobile involved in such accident was convicted of a moving
1552 traffic violation;
1553 (VI) Finally adjudicated not to be liable by a court of
1554 competent jurisdiction;
1555 (VII) In receipt of a traffic citation which was dismissed
1556 or nolle prossed; or
1557 (VIII) Not at fault as evidenced by a written statement
1558 from the insured establishing facts demonstrating lack of fault
1559 which are not rebutted by information in the insurer’s file from
1560 which the insurer in good faith determines that the insured was
1561 substantially at fault.
1562 c. In addition to the other provisions of this
1563 subparagraph, an insurer may not fail to renew a policy if the
1564 insured has had only one accident in which he or she was at
1565 fault within the current 3-year period. However, an insurer may
1566 nonrenew a policy for reasons other than accidents in accordance
1567 with s. 627.728. This subparagraph does not prohibit nonrenewal
1568 of a policy under which the insured has had three or more
1569 accidents, regardless of fault, during the most recent 3-year
1570 period.
1571 4. Imposing or requesting an additional premium for, or
1572 refusing to renew, a policy for motor vehicle insurance solely
1573 because the insured committed a noncriminal traffic infraction
1574 as described in s. 318.14 unless the infraction is:
1575 a. A second infraction committed within an 18-month period,
1576 or a third or subsequent infraction committed within a 36-month
1577 period.
1578 b. A violation of s. 316.183, when such violation is a
1579 result of exceeding the lawful speed limit by more than 15 miles
1580 per hour.
1581 5. Upon the request of the insured, the insurer and
1582 licensed agent shall supply to the insured the complete proof of
1583 fault or other criteria which justifies the additional charge or
1584 cancellation.
1585 6. No insurer shall impose or request an additional premium
1586 for motor vehicle insurance, cancel or refuse to issue a policy,
1587 or refuse to renew a policy because the insured or the applicant
1588 is a handicapped or physically disabled person, so long as such
1589 handicap or physical disability does not substantially impair
1590 such person’s mechanically assisted driving ability.
1591 7. No insurer may cancel or otherwise terminate any
1592 insurance contract or coverage, or require execution of a
1593 consent to rate endorsement, during the stated policy term for
1594 the purpose of offering to issue, or issuing, a similar or
1595 identical contract or coverage to the same insured with the same
1596 exposure at a higher premium rate or continuing an existing
1597 contract or coverage with the same exposure at an increased
1598 premium.
1599 8. No insurer may issue a nonrenewal notice on any
1600 insurance contract or coverage, or require execution of a
1601 consent to rate endorsement, for the purpose of offering to
1602 issue, or issuing, a similar or identical contract or coverage
1603 to the same insured at a higher premium rate or continuing an
1604 existing contract or coverage at an increased premium without
1605 meeting any applicable notice requirements.
1606 9. No insurer shall, with respect to premiums charged for
1607 motor vehicle insurance, unfairly discriminate solely on the
1608 basis of age, sex, marital status, or scholastic achievement.
1609 10. Imposing or requesting an additional premium for motor
1610 vehicle comprehensive or uninsured motorist coverage solely
1611 because the insured was involved in a motor vehicle accident or
1612 was convicted of a moving traffic violation.
1613 11. No insurer shall cancel or issue a nonrenewal notice on
1614 any insurance policy or contract without complying with any
1615 applicable cancellation or nonrenewal provision required under
1616 the Florida Insurance Code.
1617 12. No insurer shall impose or request an additional
1618 premium, cancel a policy, or issue a nonrenewal notice on any
1619 insurance policy or contract because of any traffic infraction
1620 when adjudication has been withheld and no points have been
1621 assessed pursuant to s. 318.14(9) s. 318.14(9) and (10).
1622 However, this subparagraph does not apply to traffic infractions
1623 involving accidents in which the insurer has incurred a loss due
1624 to the fault of the insured.
1625 Section 31. Paragraph (a) of subsection (1) of section
1626 626.989, Florida Statutes, is amended to read:
1627 626.989 Investigation by department or Division of
1628 Investigative and Forensic Services; compliance; immunity;
1629 confidential information; reports to division; division
1630 investigator’s power of arrest.—
1631 (1) For the purposes of this section:
1632 (a) A person commits a “fraudulent insurance act” if the
1633 person:
1634 1. Knowingly and with intent to defraud presents, causes to
1635 be presented, or prepares with knowledge or belief that it will
1636 be presented, to or by an insurer, self-insurer, self-insurance
1637 fund, servicing corporation, purported insurer, broker, or any
1638 agent thereof, any written statement as part of, or in support
1639 of, an application for the issuance of, or the rating of, any
1640 insurance policy, or a claim for payment or other benefit
1641 pursuant to any insurance policy, which the person knows to
1642 contain materially false information concerning any fact
1643 material thereto or if the person conceals, for the purpose of
1644 misleading another, information concerning any fact material
1645 thereto.
1646 2. Knowingly submits:
1647 a. A false, misleading, or fraudulent application or other
1648 document when applying for licensure as a health care clinic,
1649 seeking an exemption from licensure as a health care clinic, or
1650 demonstrating compliance with part X of chapter 400 with an
1651 intent to use the license, exemption from licensure, or
1652 demonstration of compliance to provide services or seek
1653 reimbursement under a motor vehicle insurance policy the Florida
1654 Motor Vehicle No-Fault Law.
1655 b. A claim for payment or other benefit pursuant to a motor
1656 vehicle personal injury protection insurance policy under the
1657 Florida Motor Vehicle No-Fault Law if the person knows that the
1658 payee knowingly submitted a false, misleading, or fraudulent
1659 application or other document when applying for licensure as a
1660 health care clinic, seeking an exemption from licensure as a
1661 health care clinic, or demonstrating compliance with part X of
1662 chapter 400.
1663 Section 32. Subsection (1) of section 627.06501, Florida
1664 Statutes, is amended to read:
1665 627.06501 Insurance discounts for certain persons
1666 completing driver improvement course.—
1667 (1) Any rate, rating schedule, or rating manual for the
1668 liability, personal injury protection, and collision coverages
1669 of a motor vehicle insurance policy filed with the office may
1670 provide for an appropriate reduction in premium charges as to
1671 such coverages if when the principal operator on the covered
1672 vehicle has successfully completed a driver improvement course
1673 approved and certified by the Department of Highway Safety and
1674 Motor Vehicles which is effective in reducing accident crash or
1675 violation rates, or both, as determined pursuant to s. 318.1451
1676 s. 318.1451(5). Any discount, not to exceed 10 percent, used by
1677 an insurer is presumed to be appropriate unless credible data
1678 demonstrates otherwise.
1679 Section 33. Subsection (1) of section 627.0652, Florida
1680 Statutes, is amended to read:
1681 627.0652 Insurance discounts for certain persons completing
1682 safety course.—
1683 (1) Any rates, rating schedules, or rating manuals for the
1684 liability, personal injury protection, and collision coverages
1685 of a motor vehicle insurance policy filed with the office must
1686 shall provide for an appropriate reduction in premium charges as
1687 to such coverages if when the principal operator on the covered
1688 vehicle is an insured 55 years of age or older who has
1689 successfully completed a motor vehicle accident prevention
1690 course approved by the Department of Highway Safety and Motor
1691 Vehicles. Any discount used by an insurer is presumed to be
1692 appropriate unless credible data demonstrates otherwise.
1693 Section 34. Subsections (1), (3), and (6) of section
1694 627.0653, Florida Statutes, are amended to read:
1695 627.0653 Insurance discounts for specified motor vehicle
1696 equipment.—
1697 (1) Any rates, rating schedules, or rating manuals for the
1698 liability, personal injury protection, and collision coverages
1699 of a motor vehicle insurance policy filed with the office shall
1700 provide a premium discount if the insured vehicle is equipped
1701 with factory-installed, four-wheel antilock brakes.
1702 (3) Any rates, rating schedules, or rating manuals for
1703 personal injury protection coverage and medical payments
1704 coverage, if offered, of a motor vehicle insurance policy filed
1705 with the office shall provide a premium discount if the insured
1706 vehicle is equipped with one or more air bags which are factory
1707 installed.
1708 (6) The Office of Insurance Regulation may approve a
1709 premium discount to any rates, rating schedules, or rating
1710 manuals for the liability, personal injury protection, and
1711 collision coverages of a motor vehicle insurance policy filed
1712 with the office if the insured vehicle is equipped with
1713 autonomous driving technology or electronic vehicle collision
1714 avoidance technology that is factory installed or a retrofitted
1715 system and that complies with National Highway Traffic Safety
1716 Administration standards.
1717 Section 35. Section 627.4132, Florida Statutes, is amended
1718 to read:
1719 627.4132 Stacking of coverages prohibited.—If an insured or
1720 named insured is protected by any type of motor vehicle
1721 insurance policy for liability, personal injury protection, or
1722 other coverage, the policy must shall provide that the insured
1723 or named insured is protected only to the extent of the coverage
1724 she or he has on the vehicle involved in the accident. However,
1725 if none of the insured’s or named insured’s vehicles are is
1726 involved in the accident, coverage is available only to the
1727 extent of coverage on any one of the vehicles with applicable
1728 coverage. Coverage on any other vehicles may shall not be added
1729 to or stacked upon that coverage. This section does not apply:
1730 (1) To uninsured motorist coverage, which is separately
1731 governed by s. 627.727.
1732 (2) To reduce the coverage available by reason of insurance
1733 policies insuring different named insureds.
1734 Section 36. Section 627.7263, Florida Statutes, is amended
1735 to read:
1736 627.7263 Rental and leasing driver’s insurance to be
1737 primary; exception.—
1738 (1) The valid and collectible liability insurance or
1739 personal injury protection insurance providing coverage for the
1740 lessor of a motor vehicle for rent or lease is primary unless
1741 otherwise stated in at least 10-point type on the face of the
1742 rental or lease agreement. Such insurance is primary for the
1743 limits of liability in an amount not less than the minimum
1744 limits described in s. 324.021(7) and personal injury protection
1745 coverage as required by ss. 324.021(7) and 627.736.
1746 (2) If the lessee’s coverage is to be primary, the rental
1747 or lease agreement must contain the following language, in at
1748 least 10-point type:
1749
1750 “The valid and collectible liability insurance and personal
1751 injury protection insurance of an any authorized rental or
1752 leasing driver is primary for the limits of liability in an
1753 amount not less than the minimum limits described in s.
1754 324.021(7) and personal injury protection coverage required by
1755 ss. 324.021(7) and 627.736, Florida Statutes.”
1756 Section 37. Subsections (1) and (7) of section 627.727,
1757 Florida Statutes, are amended to read:
1758 627.727 Motor vehicle insurance; uninsured and underinsured
1759 vehicle coverage; insolvent insurer protection.—
1760 (1) No motor vehicle liability insurance policy which
1761 provides bodily injury liability coverage shall be delivered or
1762 issued for delivery in this state with respect to any
1763 specifically insured or identified motor vehicle registered or
1764 principally garaged in this state unless uninsured motor vehicle
1765 coverage is provided therein or supplemental thereto for the
1766 protection of persons insured thereunder who are legally
1767 entitled to recover damages from owners or operators of
1768 uninsured motor vehicles because of bodily injury, sickness, or
1769 disease, including death, resulting therefrom. However, the
1770 coverage required under this section is not applicable if when,
1771 or to the extent that, an insured named in the policy makes a
1772 written rejection of the coverage on behalf of all insureds
1773 under the policy. If When a motor vehicle is leased for a period
1774 of 1 year or longer and the lessor of such vehicle, by the terms
1775 of the lease contract, provides liability coverage on the leased
1776 vehicle, the lessee of such vehicle shall have the sole
1777 privilege to reject uninsured motorist coverage or to select
1778 lower limits than the bodily injury liability limits, regardless
1779 of whether the lessor is qualified as a self-insurer pursuant to
1780 s. 324.171. Unless an insured, or lessee having the privilege of
1781 rejecting uninsured motorist coverage, requests such coverage or
1782 requests higher uninsured motorist limits in writing, the
1783 coverage or such higher uninsured motorist limits need not be
1784 provided in or supplemental to any other policy which renews,
1785 extends, changes, supersedes, or replaces an existing policy
1786 with the same bodily injury liability limits when an insured or
1787 lessee had rejected the coverage. When an insured or lessee has
1788 initially selected limits of uninsured motorist coverage lower
1789 than her or his bodily injury liability limits, higher limits of
1790 uninsured motorist coverage need not be provided in or
1791 supplemental to any other policy that which renews, extends,
1792 changes, supersedes, or replaces an existing policy with the
1793 same bodily injury liability limits unless an insured requests
1794 higher uninsured motorist coverage in writing. The rejection or
1795 selection of lower limits shall be made on a form approved by
1796 the office. The form must shall fully advise the applicant of
1797 the nature of the coverage and must shall state that the
1798 coverage is equal to bodily injury liability limits unless lower
1799 limits are requested or the coverage is rejected. The heading of
1800 the form shall be in 12-point bold type and shall state: “You
1801 are electing not to purchase certain valuable coverage that
1802 which protects you and your family or you are purchasing
1803 uninsured motorist limits less than your bodily injury liability
1804 limits when you sign this form. Please read carefully.” If this
1805 form is signed by a named insured, it will be conclusively
1806 presumed that there was an informed, knowing rejection of
1807 coverage or election of lower limits on behalf of all insureds.
1808 The insurer shall notify the named insured at least annually of
1809 her or his options as to the coverage required by this section.
1810 Such notice must shall be part of, and attached to, the notice
1811 of premium, must shall provide for a means to allow the insured
1812 to request such coverage, and must shall be given in a manner
1813 approved by the office. Receipt of this notice does not
1814 constitute an affirmative waiver of the insured’s right to
1815 uninsured motorist coverage if where the insured has not signed
1816 a selection or rejection form. The coverage described under this
1817 section shall be over and above, but shall not duplicate, the
1818 benefits available to an insured under any workers’ compensation
1819 law, personal injury protection benefits, disability benefits
1820 law, or similar law; under any automobile medical payments
1821 expense coverage; under any motor vehicle liability insurance
1822 coverage; or from the owner or operator of the uninsured motor
1823 vehicle or any other person or organization jointly or severally
1824 liable together with such owner or operator for the accident;
1825 and such coverage shall cover the difference, if any, between
1826 the sum of such benefits and the damages sustained, up to the
1827 maximum amount of such coverage provided under this section. The
1828 amount of coverage available under this section may shall not be
1829 reduced by a setoff against any coverage, including liability
1830 insurance. Such coverage does shall not inure directly or
1831 indirectly to the benefit of any workers’ compensation or
1832 disability benefits carrier or any person or organization
1833 qualifying as a self-insurer under any workers’ compensation or
1834 disability benefits law or similar law.
1835 (7)(a) For uninsured and underinsured vehicle coverage
1836 issued before January 1, 2021, the legal liability of an
1837 uninsured motorist coverage insurer does not include damages in
1838 tort for pain, suffering, mental anguish, and inconvenience
1839 unless the injury or disease consists in whole or in part of:
1840 1. Significant and permanent loss of an important bodily
1841 function.
1842 2. Permanent injury within a reasonable degree of medical
1843 probability, other than scarring or disfigurement.
1844 3. Significant and permanent scarring or disfigurement.
1845 4. Death is described in one or more of paragraphs (a)-(d)
1846 of s. 627.737(2).
1847 (b) For uninsured and underinsured vehicle coverage issued
1848 on or after January 1, 2021, the legal liability of an uninsured
1849 motorist coverage insurer includes damages in tort for pain,
1850 suffering, disability or physical impairment, disfigurement,
1851 mental anguish, inconvenience, and the loss of capacity for the
1852 enjoyment of life experienced in the past and to be experienced
1853 in the future.
1854 Section 38. Subsection (1) and paragraphs (a) and (b) of
1855 subsection (2) of section 627.7275, Florida Statutes, are
1856 amended to read:
1857 627.7275 Motor vehicle liability.—
1858 (1) A motor vehicle insurance policy providing personal
1859 injury protection as set forth in s. 627.736 may not be
1860 delivered or issued for delivery in this state for a with
1861 respect to any specifically insured or identified motor vehicle
1862 registered or principally garaged in this state must provide
1863 bodily injury liability coverage and unless the policy also
1864 provides coverage for property damage liability coverage as
1865 required under by s. 324.022.
1866 (2)(a) Insurers writing motor vehicle insurance in this
1867 state shall make available, subject to the insurers’ usual
1868 underwriting restrictions:
1869 1. Coverage under policies as described in subsection (1)
1870 to an applicant for private passenger motor vehicle insurance
1871 coverage who is seeking the coverage in order to reinstate the
1872 applicant’s driving privileges in this state if the driving
1873 privileges were revoked or suspended pursuant to s. 316.646 or
1874 s. 324.0221 due to the failure of the applicant to maintain
1875 required security.
1876 2. Coverage under policies as described in subsection (1),
1877 which also provides bodily injury liability coverage and
1878 property damage liability coverage for bodily injury, death, and
1879 property damage arising out of the ownership, maintenance, or
1880 use of the motor vehicle in an amount not less than the minimum
1881 limits described in s. 324.021(7) or s. 324.023 and conforms to
1882 the requirements of s. 324.151, to an applicant for private
1883 passenger motor vehicle insurance coverage who is seeking the
1884 coverage in order to reinstate the applicant’s driving
1885 privileges in this state after such privileges were revoked or
1886 suspended under s. 316.193 or s. 322.26(2) for driving under the
1887 influence.
1888 (b) The policies described in paragraph (a) shall be issued
1889 for at least 6 months and, as to the minimum coverages required
1890 under this section, may not be canceled by the insured for any
1891 reason or by the insurer after 60 days, during which period the
1892 insurer is completing the underwriting of the policy. After the
1893 insurer has completed underwriting the policy, the insurer shall
1894 notify the Department of Highway Safety and Motor Vehicles that
1895 the policy is in full force and effect and is not cancelable for
1896 the remainder of the policy period. A premium shall be collected
1897 and the coverage is in effect for the 60-day period during which
1898 the insurer is completing the underwriting of the policy whether
1899 or not the person’s driver license, motor vehicle tag, and motor
1900 vehicle registration are in effect. Once the noncancelable
1901 provisions of the policy become effective, the bodily injury
1902 liability and property damage liability coverages for bodily
1903 injury, property damage, and personal injury protection may not
1904 be reduced below the minimum limits required under s. 324.021 or
1905 s. 324.023 during the policy period.
1906 Section 39. Paragraph (a) of subsection (1) of section
1907 627.728, Florida Statutes, is amended to read:
1908 627.728 Cancellations; nonrenewals.—
1909 (1) As used in this section, the term:
1910 (a) “Policy” means the bodily injury and property damage
1911 liability, personal injury protection, medical payments,
1912 comprehensive, collision, and uninsured motorist coverage
1913 portions of a policy of motor vehicle insurance delivered or
1914 issued for delivery in this state:
1915 1. Insuring a natural person as named insured or one or
1916 more related individuals who are residents resident of the same
1917 household; and
1918 2. Insuring only a motor vehicle of the private passenger
1919 type or station wagon type which is not used as a public or
1920 livery conveyance for passengers or rented to others; or
1921 insuring any other four-wheel motor vehicle having a load
1922 capacity of 1,500 pounds or less which is not used in the
1923 occupation, profession, or business of the insured other than
1924 farming; other than any policy issued under an automobile
1925 insurance assigned risk plan or covering garage, automobile
1926 sales agency, repair shop, service station, or public parking
1927 place operation hazards.
1928
1929 The term “policy” does not include a binder as defined in s.
1930 627.420 unless the duration of the binder period exceeds 60
1931 days.
1932 Section 40. Subsection (1), paragraph (a) of subsection
1933 (5), and subsections (6) and (7) of section 627.7295, Florida
1934 Statutes, are amended to read:
1935 627.7295 Motor vehicle insurance contracts.—
1936 (1) As used in this section, the term:
1937 (a) “Policy” means a motor vehicle insurance policy that
1938 provides bodily injury liability coverage and personal injury
1939 protection coverage, property damage liability coverage, or
1940 both.
1941 (b) “Binder” means a binder that provides motor vehicle
1942 bodily injury liability coverage personal injury protection and
1943 property damage liability coverage.
1944 (5)(a) A licensed general lines agent may charge a per
1945 policy fee up not to exceed $10 to cover the administrative
1946 costs of the agent associated with selling the motor vehicle
1947 insurance policy if the policy covers only bodily injury
1948 liability coverage personal injury protection coverage as
1949 provided by s. 627.736 and property damage liability coverage as
1950 provided by s. 627.7275 and if no other insurance is sold or
1951 issued in conjunction with or collateral to the policy. The fee
1952 is not considered part of the premium.
1953 (6) If a motor vehicle owner’s driver license, license
1954 plate, and registration have previously been suspended pursuant
1955 to s. 316.646 or s. 627.733, an insurer may cancel a new policy
1956 only as provided in s. 627.7275.
1957 (7) A policy of private passenger motor vehicle insurance
1958 or a binder for such a policy may be initially issued in this
1959 state only if, before the effective date of such binder or
1960 policy, the insurer or agent has collected from the insured an
1961 amount equal to 2 months’ premium from the insured. An insurer,
1962 agent, or premium finance company may not, directly or
1963 indirectly, take any action that results resulting in the
1964 insured paying having paid from the insured’s own funds an
1965 amount less than the 2 months’ premium required by this
1966 subsection. This subsection applies without regard to whether
1967 the premium is financed by a premium finance company or is paid
1968 pursuant to a periodic payment plan of an insurer or an
1969 insurance agent.
1970 (a) This subsection does not apply:
1971 1. If an insured or member of the insured’s family is
1972 renewing or replacing a policy or a binder for such policy
1973 written by the same insurer or a member of the same insurer
1974 group.
1975 2. To This subsection does not apply to an insurer that
1976 issues private passenger motor vehicle coverage primarily to
1977 active duty or former military personnel or their dependents.
1978 3. If This subsection does not apply if all policy payments
1979 are paid pursuant to a payroll deduction plan, an automatic
1980 electronic funds transfer payment plan from the policyholder, or
1981 a recurring credit card or debit card agreement with the
1982 insurer.
1983 (b) This subsection and subsection (4) do not apply if:
1984 1. All policy payments to an insurer are paid pursuant to
1985 an automatic electronic funds transfer payment plan from an
1986 agent, a managing general agent, or a premium finance company
1987 and if the policy includes, at a minimum, bodily injury
1988 liability and personal injury protection pursuant to ss.
1989 627.730-627.7405; motor vehicle property damage liability
1990 coverage pursuant to s. 627.7275.; and bodily injury liability
1991 in at least the amount of $10,000 because of bodily injury to,
1992 or death of, one person in any one accident and in the amount of
1993 $20,000 because of bodily injury to, or death of, two or more
1994 persons in any one accident. This subsection and subsection (4)
1995 do not apply if an
1996 2. An insured has had a policy in effect for at least 6
1997 months, the insured’s agent is terminated by the insurer that
1998 issued the policy, and the insured obtains coverage on the
1999 policy’s renewal date with a new company through the terminated
2000 agent.
2001 Section 41. Sections 627.730, 627.731, 627.7311, 627.732,
2002 627.733, 627.734, 627.736, 627.737, 627.739, 627.7401, 627.7403,
2003 and 627.7405, Florida Statutes, which comprise the Florida Motor
2004 Vehicle No-Fault Law, are repealed.
2005 Section 42. Section 627.7407, Florida Statutes, is
2006 repealed.
2007 Section 43. Paragraphs (b), (c), and (g) of subsection (7)
2008 and paragraph (b) of subsection (8) of section 627.748, Florida
2009 Statutes, are amended to read:
2010 627.748 Transportation network companies.—
2011 (7) TRANSPORTATION NETWORK COMPANY AND TNC DRIVER INSURANCE
2012 REQUIREMENTS.—
2013 (b) The following automobile insurance requirements apply
2014 while a participating TNC driver is logged on to the digital
2015 network but is not engaged in a prearranged ride:
2016 1. Automobile insurance that provides:
2017 a. A primary automobile liability coverage of at least
2018 $50,000 for death and bodily injury per person, $100,000 for
2019 death and bodily injury per incident, and $25,000 for property
2020 damage; and
2021 b. Personal injury protection benefits that meet the
2022 minimum coverage amounts required under ss. 627.730-627.7405;
2023 and
2024 b.c. Uninsured and underinsured vehicle coverage as
2025 required by s. 627.727.
2026 2. The coverage requirements of this paragraph may be
2027 satisfied by any of the following:
2028 a. Automobile insurance maintained by the TNC driver;
2029 b. Automobile insurance maintained by the TNC; or
2030 c. A combination of sub-subparagraphs a. and b.
2031 (c) The following automobile insurance requirements apply
2032 while a TNC driver is engaged in a prearranged ride:
2033 1. Automobile insurance that provides:
2034 a. A primary automobile liability coverage of at least $1
2035 million for death, bodily injury, and property damage; and
2036 b. Personal injury protection benefits that meet the
2037 minimum coverage amounts required of a limousine under ss.
2038 627.730-627.7405; and
2039 b.c. Uninsured and underinsured vehicle coverage as
2040 required by s. 627.727.
2041 2. The coverage requirements of this paragraph may be
2042 satisfied by any of the following:
2043 a. Automobile insurance maintained by the TNC driver;
2044 b. Automobile insurance maintained by the TNC; or
2045 c. A combination of sub-subparagraphs a. and b.
2046 (g) Insurance satisfying the requirements under this
2047 subsection is deemed to satisfy the financial responsibility
2048 requirement for a motor vehicle under chapter 324 and the
2049 security required under s. 627.733 for any period when the TNC
2050 driver is logged onto the digital network or engaged in a
2051 prearranged ride.
2052 (8) TRANSPORTATION NETWORK COMPANY AND INSURER; DISCLOSURE;
2053 EXCLUSIONS.—
2054 (b)1. An insurer that provides an automobile liability
2055 insurance policy under this part may exclude any and all
2056 coverage afforded under the policy issued to an owner or
2057 operator of a TNC vehicle while driving that vehicle for any
2058 loss or injury that occurs while a TNC driver is logged on to a
2059 digital network or while a TNC driver provides a prearranged
2060 ride. Exclusions imposed under this subsection are limited to
2061 coverage while a TNC driver is logged on to a digital network or
2062 while a TNC driver provides a prearranged ride. This right to
2063 exclude all coverage may apply to any coverage included in an
2064 automobile insurance policy, including, but not limited to:
2065 a. Liability coverage for bodily injury and property
2066 damage;
2067 b. Uninsured and underinsured motorist coverage;
2068 c. Medical payments coverage;
2069 d. Comprehensive physical damage coverage; and
2070 e. Collision physical damage coverage; and
2071 f. Personal injury protection.
2072 2. The exclusions described in subparagraph 1. apply
2073 notwithstanding any requirement under chapter 324. These
2074 exclusions do not affect or diminish coverage otherwise
2075 available for permissive drivers or resident relatives under the
2076 personal automobile insurance policy of the TNC driver or owner
2077 of the TNC vehicle who are not occupying the TNC vehicle at the
2078 time of loss. This section does not require that a personal
2079 automobile insurance policy provide coverage while the TNC
2080 driver is logged on to a digital network, while the TNC driver
2081 is engaged in a prearranged ride, or while the TNC driver
2082 otherwise uses a vehicle to transport riders for compensation.
2083 3. This section must not be construed to require an insurer
2084 to use any particular policy language or reference to this
2085 section in order to exclude any and all coverage for any loss or
2086 injury that occurs while a TNC driver is logged on to a digital
2087 network or while a TNC driver provides a prearranged ride.
2088 4. This section does not preclude an insurer from providing
2089 primary or excess coverage for the TNC driver’s vehicle by
2090 contract or endorsement.
2091 Section 44. Section 627.8405, Florida Statutes, is amended
2092 to read:
2093 627.8405 Prohibited acts; financing companies.—A No premium
2094 finance company shall, in a premium finance agreement or other
2095 agreement, may not finance the cost of or otherwise provide for
2096 the collection or remittance of dues, assessments, fees, or
2097 other periodic payments of money for the cost of:
2098 (1) A membership in an automobile club. The term
2099 “automobile club” means a legal entity that which, in
2100 consideration of dues, assessments, or periodic payments of
2101 money, promises its members or subscribers to assist them in
2102 matters relating to the ownership, operation, use, or
2103 maintenance of a motor vehicle; however, the term this
2104 definition of “automobile club” does not include persons,
2105 associations, or corporations which are organized and operated
2106 solely for the purpose of conducting, sponsoring, or sanctioning
2107 motor vehicle races, exhibitions, or contests upon racetracks,
2108 or upon racecourses established and marked as such for the
2109 duration of such particular events. The term words “motor
2110 vehicle” used herein has have the same meaning as defined in
2111 chapter 320.
2112 (2) An accidental death and dismemberment policy sold in
2113 combination with a policy providing only bodily injury liability
2114 coverage personal injury protection and property damage
2115 liability coverage only policy.
2116 (3) Any product not regulated under the provisions of this
2117 insurance code.
2118
2119 This section also applies to premium financing by any insurance
2120 agent or insurance company under part XVI. The commission shall
2121 adopt rules to assure disclosure, at the time of sale, of motor
2122 vehicle liability insurance coverages financed with personal
2123 injury protection and shall prescribe the form of such
2124 disclosure.
2125 Section 45. Subsections (2) and (3) of section 628.909,
2126 Florida Statutes, are amended to read:
2127 628.909 Applicability of other laws.—
2128 (2) The following provisions of the Florida Insurance Code
2129 apply to captive insurance companies that who are not industrial
2130 insured captive insurance companies to the extent that such
2131 provisions are not inconsistent with this part:
2132 (a) Chapter 624, except for ss. 624.407, 624.408, 624.4085,
2133 624.40851, 624.4095, 624.411, 624.425, and 624.426.
2134 (b) Chapter 625, part II.
2135 (c) Chapter 626, part IX.
2136 (d) Sections 627.730-627.7405, when no-fault coverage is
2137 provided.
2138 (d)(e) Chapter 628.
2139 (3) The following provisions of the Florida Insurance Code
2140 shall apply to industrial insured captive insurance companies to
2141 the extent that such provisions are not inconsistent with this
2142 part:
2143 (a) Chapter 624, except for ss. 624.407, 624.408, 624.4085,
2144 624.40851, 624.4095, 624.411, 624.425, 624.426, and 624.609(1).
2145 (b) Chapter 625, part II, if the industrial insured captive
2146 insurance company is incorporated in this state.
2147 (c) Chapter 626, part IX.
2148 (d) Sections 627.730-627.7405 when no-fault coverage is
2149 provided.
2150 (d)(e) Chapter 628, except for ss. 628.341, 628.351, and
2151 628.6018.
2152 Section 46. Subsections (2), (6), and (7) of section
2153 705.184, Florida Statutes, are amended to read:
2154 705.184 Derelict or abandoned motor vehicles on the
2155 premises of public-use airports.—
2156 (2) The airport director or the director’s designee shall
2157 contact the Department of Highway Safety and Motor Vehicles to
2158 notify that department that the airport has possession of the
2159 abandoned or derelict motor vehicle and to determine the name
2160 and address of the owner of the motor vehicle, the insurance
2161 company insuring the motor vehicle, notwithstanding the
2162 provisions of s. 627.736, and any person who has filed a lien on
2163 the motor vehicle. Within 7 business days after receipt of the
2164 information, the director or the director’s designee shall send
2165 notice by certified mail, return receipt requested, to the owner
2166 of the motor vehicle, the insurance company insuring the motor
2167 vehicle, notwithstanding the provisions of s. 627.736, and all
2168 persons of record claiming a lien against the motor vehicle. The
2169 notice shall state the fact of possession of the motor vehicle,
2170 that charges for reasonable towing, storage, and parking fees,
2171 if any, have accrued and the amount thereof, that a lien as
2172 provided in subsection (6) will be claimed, that the lien is
2173 subject to enforcement pursuant to law, that the owner or
2174 lienholder, if any, has the right to a hearing as set forth in
2175 subsection (4), and that any motor vehicle which, at the end of
2176 30 calendar days after receipt of the notice, has not been
2177 removed from the airport upon payment in full of all accrued
2178 charges for reasonable towing, storage, and parking fees, if
2179 any, may be disposed of as provided in s. 705.182(2)(a), (b),
2180 (d), or (e), including, but not limited to, the motor vehicle
2181 being sold free of all prior liens after 35 calendar days after
2182 the time the motor vehicle is stored if any prior liens on the
2183 motor vehicle are more than 5 years of age or after 50 calendar
2184 days after the time the motor vehicle is stored if any prior
2185 liens on the motor vehicle are 5 years of age or less.
2186 (6) The airport pursuant to this section or, if used, a
2187 licensed independent wrecker company pursuant to s. 713.78 shall
2188 have a lien on an abandoned or derelict motor vehicle for all
2189 reasonable towing, storage, and accrued parking fees, if any,
2190 except that no storage fee shall be charged if the motor vehicle
2191 is stored less than 6 hours. As a prerequisite to perfecting a
2192 lien under this section, the airport director or the director’s
2193 designee must serve a notice in accordance with subsection (2)
2194 on the owner of the motor vehicle, the insurance company
2195 insuring the motor vehicle, notwithstanding the provisions of s.
2196 627.736, and all persons of record claiming a lien against the
2197 motor vehicle. If attempts to notify the owner, the insurance
2198 company insuring the motor vehicle, notwithstanding the
2199 provisions of s. 627.736, or lienholders are not successful, the
2200 requirement of notice by mail shall be considered met. Serving
2201 of the notice does not dispense with recording the claim of
2202 lien.
2203 (7)(a) For the purpose of perfecting its lien under this
2204 section, the airport shall record a claim of lien which shall
2205 state:
2206 1. The name and address of the airport.
2207 2. The name of the owner of the motor vehicle, the
2208 insurance company insuring the motor vehicle, notwithstanding
2209 the provisions of s. 627.736, and all persons of record claiming
2210 a lien against the motor vehicle.
2211 3. The costs incurred from reasonable towing, storage, and
2212 parking fees, if any.
2213 4. A description of the motor vehicle sufficient for
2214 identification.
2215 (b) The claim of lien shall be signed and sworn to or
2216 affirmed by the airport director or the director’s designee.
2217 (c) The claim of lien shall be sufficient if it is in
2218 substantially the following form:
2219
2220 CLAIM OF LIEN
2221 State of ........
2222 County of ........
2223 Before me, the undersigned notary public, personally appeared
2224 ........, who was duly sworn and says that he/she is the
2225 ........ of ............, whose address is........; and that the
2226 following described motor vehicle:
2227 ...(Description of motor vehicle)...
2228 owned by ........, whose address is ........, has accrued
2229 $........ in fees for a reasonable tow, for storage, and for
2230 parking, if applicable; that the lienor served its notice to the
2231 owner, the insurance company insuring the motor vehicle
2232 notwithstanding the provisions of s. 627.736, Florida Statutes,
2233 and all persons of record claiming a lien against the motor
2234 vehicle on ...., ...(year)..., by.........
2235 ...(Signature)...
2236 Sworn to (or affirmed) and subscribed before me this .... day of
2237 ...., ...(year)..., by ...(name of person making statement)....
2238 ...(Signature of Notary Public)......(Print, Type, or Stamp
2239 Commissioned name of Notary Public)...
2240 Personally Known....OR Produced....as identification.
2241
2242 However, the negligent inclusion or omission of any information
2243 in this claim of lien which does not prejudice the owner does
2244 not constitute a default that operates to defeat an otherwise
2245 valid lien.
2246 (d) The claim of lien shall be served on the owner of the
2247 motor vehicle, the insurance company insuring the motor vehicle,
2248 notwithstanding the provisions of s. 627.736, and all persons of
2249 record claiming a lien against the motor vehicle. If attempts to
2250 notify the owner, the insurance company insuring the motor
2251 vehicle notwithstanding the provisions of s. 627.736, or
2252 lienholders are not successful, the requirement of notice by
2253 mail shall be considered met. The claim of lien shall be so
2254 served before recordation.
2255 (e) The claim of lien shall be recorded with the clerk of
2256 court in the county where the airport is located. The recording
2257 of the claim of lien shall be constructive notice to all persons
2258 of the contents and effect of such claim. The lien shall attach
2259 at the time of recordation and shall take priority as of that
2260 time.
2261 Section 47. Paragraphs (a), (b), and (c) of subsection (4)
2262 of section 713.78, Florida Statutes, are amended to read:
2263 713.78 Liens for recovering, towing, or storing vehicles
2264 and vessels.—
2265 (4)(a) Any person regularly engaged in the business of
2266 recovering, towing, or storing vehicles or vessels who comes
2267 into possession of a vehicle or vessel pursuant to subsection
2268 (2), and who claims a lien for recovery, towing, or storage
2269 services, shall give notice to the registered owner, the
2270 insurance company insuring the vehicle notwithstanding the
2271 provisions of s. 627.736, and to all persons claiming a lien
2272 thereon, as disclosed by the records in the Department of
2273 Highway Safety and Motor Vehicles or as disclosed by the records
2274 of any corresponding agency in any other state in which the
2275 vehicle is identified through a records check of the National
2276 Motor Vehicle Title Information System or an equivalent
2277 commercially available system as being titled or registered.
2278 (b) Whenever any law enforcement agency authorizes the
2279 removal of a vehicle or vessel or whenever any towing service,
2280 garage, repair shop, or automotive service, storage, or parking
2281 place notifies the law enforcement agency of possession of a
2282 vehicle or vessel pursuant to s. 715.07(2)(a)2., the law
2283 enforcement agency of the jurisdiction where the vehicle or
2284 vessel is stored shall contact the Department of Highway Safety
2285 and Motor Vehicles, or the appropriate agency of the state of
2286 registration, if known, within 24 hours through the medium of
2287 electronic communications, giving the full description of the
2288 vehicle or vessel. Upon receipt of the full description of the
2289 vehicle or vessel, the department shall search its files to
2290 determine the owner’s name, the insurance company insuring the
2291 vehicle or vessel, and whether any person has filed a lien upon
2292 the vehicle or vessel as provided in s. 319.27(2) and (3) and
2293 notify the applicable law enforcement agency within 72 hours.
2294 The person in charge of the towing service, garage, repair shop,
2295 or automotive service, storage, or parking place shall obtain
2296 such information from the applicable law enforcement agency
2297 within 5 days after the date of storage and shall give notice
2298 pursuant to paragraph (a). The department may release the
2299 insurance company information to the requestor notwithstanding
2300 the provisions of s. 627.736.
2301 (c) Notice by certified mail shall be sent within 7
2302 business days after the date of storage of the vehicle or vessel
2303 to the registered owner, the insurance company insuring the
2304 vehicle notwithstanding the provisions of s. 627.736, and all
2305 persons of record claiming a lien against the vehicle or vessel.
2306 It shall state the fact of possession of the vehicle or vessel,
2307 that a lien as provided in subsection (2) is claimed, that
2308 charges have accrued and the amount thereof, that the lien is
2309 subject to enforcement pursuant to law, and that the owner or
2310 lienholder, if any, has the right to a hearing as set forth in
2311 subsection (5), and that any vehicle or vessel which remains
2312 unclaimed, or for which the charges for recovery, towing, or
2313 storage services remain unpaid, may be sold free of all prior
2314 liens after 35 days if the vehicle or vessel is more than 3
2315 years of age or after 50 days if the vehicle or vessel is 3
2316 years of age or less.
2317 Section 48. Paragraph (a) of subsection (1), paragraph (c)
2318 of subsection (7), and subsections (8), (9), and (10) of section
2319 817.234, Florida Statutes, are amended to read:
2320 817.234 False and fraudulent insurance claims.—
2321 (1)(a) A person commits insurance fraud punishable as
2322 provided in subsection (11) if that person, with the intent to
2323 injure, defraud, or deceive any insurer:
2324 1. Presents or causes to be presented any written or oral
2325 statement as part of, or in support of, a claim for payment or
2326 other benefit pursuant to an insurance policy or a health
2327 maintenance organization subscriber or provider contract,
2328 knowing that such statement contains any false, incomplete, or
2329 misleading information concerning any fact or thing material to
2330 such claim;
2331 2. Prepares or makes any written or oral statement that is
2332 intended to be presented to any insurer in connection with, or
2333 in support of, any claim for payment or other benefit pursuant
2334 to an insurance policy or a health maintenance organization
2335 subscriber or provider contract, knowing that such statement
2336 contains any false, incomplete, or misleading information
2337 concerning any fact or thing material to such claim;
2338 3.a. Knowingly presents, causes to be presented, or
2339 prepares or makes with knowledge or belief that it will be
2340 presented to any insurer, purported insurer, servicing
2341 corporation, insurance broker, or insurance agent, or any
2342 employee or agent thereof, any false, incomplete, or misleading
2343 information or written or oral statement as part of, or in
2344 support of, an application for the issuance of, or the rating
2345 of, any insurance policy, or a health maintenance organization
2346 subscriber or provider contract; or
2347 b. Knowingly conceals information concerning any fact
2348 material to such application; or
2349 4. Knowingly presents, causes to be presented, or prepares
2350 or makes with knowledge or belief that it will be presented to
2351 any insurer a claim for payment or other benefit under a motor
2352 vehicle personal injury protection insurance policy if the
2353 person knows that the payee knowingly submitted a false,
2354 misleading, or fraudulent application or other document when
2355 applying for licensure as a health care clinic, seeking an
2356 exemption from licensure as a health care clinic, or
2357 demonstrating compliance with part X of chapter 400.
2358 (7)
2359 (c) An insurer, or any person acting at the direction of or
2360 on behalf of an insurer, may not change an opinion in a mental
2361 or physical report prepared under s. 627.736(7) or direct the
2362 physician preparing the report to change such opinion; however,
2363 this provision does not preclude the insurer from calling to the
2364 attention of the physician errors of fact in the report based
2365 upon information in the claim file. Any person who violates this
2366 paragraph commits a felony of the third degree, punishable as
2367 provided in s. 775.082, s. 775.083, or s. 775.084.
2368 (8)(a) It is unlawful for any person intending to defraud
2369 any other person to solicit or cause to be solicited any
2370 business from a person involved in a motor vehicle accident for
2371 the purpose of making, adjusting, or settling motor vehicle tort
2372 claims or claims for personal injury protection benefits
2373 required by s. 627.736. Any person who violates the provisions
2374 of this paragraph commits a felony of the second degree,
2375 punishable as provided in s. 775.082, s. 775.083, or s. 775.084.
2376 A person who is convicted of a violation of this subsection
2377 shall be sentenced to a minimum term of imprisonment of 2 years.
2378 (b) A person may not solicit or cause to be solicited any
2379 business from a person involved in a motor vehicle accident by
2380 any means of communication other than advertising directed to
2381 the public for the purpose of making motor vehicle tort claims
2382 or claims for personal injury protection benefits required by s.
2383 627.736, within 60 days after the occurrence of the motor
2384 vehicle accident. Any person who violates this paragraph commits
2385 a felony of the third degree, punishable as provided in s.
2386 775.082, s. 775.083, or s. 775.084.
2387 (c) A lawyer, health care practitioner as defined in s.
2388 456.001, or owner or medical director of a clinic required to be
2389 licensed pursuant to s. 400.9905 may not, at any time after 60
2390 days have elapsed from the occurrence of a motor vehicle
2391 accident, solicit or cause to be solicited any business from a
2392 person involved in a motor vehicle accident by means of in
2393 person or telephone contact at the person’s residence, for the
2394 purpose of making motor vehicle tort claims or claims for
2395 personal injury protection benefits required by s. 627.736. Any
2396 person who violates this paragraph commits a felony of the third
2397 degree, punishable as provided in s. 775.082, s. 775.083, or s.
2398 775.084.
2399 (d) Charges for any services rendered by any person who
2400 violates this subsection in regard to the person for whom such
2401 services were rendered are noncompensable and unenforceable as a
2402 matter of law.
2403 (9) A person may not organize, plan, or knowingly
2404 participate in an intentional motor vehicle accident crash or a
2405 scheme to create documentation of a motor vehicle accident crash
2406 that did not occur for the purpose of making motor vehicle tort
2407 claims or claims for personal injury protection benefits as
2408 required by s. 627.736. Any person who violates this subsection
2409 commits a felony of the second degree, punishable as provided in
2410 s. 775.082, s. 775.083, or s. 775.084. A person who is convicted
2411 of a violation of this subsection shall be sentenced to a
2412 minimum term of imprisonment of 2 years.
2413 (10) A licensed health care practitioner who is found
2414 guilty of insurance fraud under this section for an act relating
2415 to a motor vehicle personal injury protection insurance policy
2416 loses his or her license to practice for 5 years and may not
2417 receive reimbursement for motor vehicle insurance coverage
2418 personal injury protection benefits for 10 years.
2419 Section 49. Except as otherwise expressly provided in this
2420 act and except for this section, which shall take effect upon
2421 this act becoming a law, this act shall take effect January 1,
2422 2021.
