Bill Text: FL S1428 | 2012 | Regular Session | Comm Sub

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Bill Title: Insurance

Spectrum: Slight Partisan Bill (? 2-1)

Status: (Introduced - Dead) 2012-03-09 - Laid on Table, refer to CS/HB 941 -SJ 1175 [S1428 Detail]

Download: Florida-2012-S1428-Comm_Sub.html

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       Florida Senate - 2012                      CS for CS for SB 1428
       
       
       
       By the Committees on Budget Subcommittee on General Government
       Appropriations; and Banking and Insurance; and Senator Smith
       
       
       
       601-04293-12                                          20121428c2
    1                        A bill to be entitled                      
    2         An act relating to insurance; amending s. 624.307,
    3         F.S.; authorizing the Office of Insurance Regulation
    4         to expend funds for the professional development of
    5         its employees; amending s. 627.4133, F.S.; providing
    6         that the transfer of a policy to certain other
    7         insurers is considered a renewal of the policy rather
    8         than a cancellation or nonrenewal; requiring notice of
    9         such transfer; specifying which types of policies such
   10         transfer provisions apply to; amending s. 627.442,
   11         F.S.; exempting certain insurers from performing
   12         onsite premium audits for workers’ compensation
   13         insurance; providing an effective date.
   14  
   15  Be It Enacted by the Legislature of the State of Florida:
   16  
   17         Section 1. Subsections (7) and (8) of section 624.307,
   18  Florida Statutes, are renumbered as subsections (8) and (9),
   19  respectively, and a new subsection (7) is added to that section,
   20  to read:
   21         624.307 General powers; duties.—
   22         (7) The office, within existing resources, may expend funds
   23  for the professional development of its employees, including,
   24  but not limited to, professional dues for employees who are
   25  required to be members of professional organizations;
   26  examinations leading to professional designations required for
   27  employment with the office; training courses and examinations
   28  provided through, and to ensure compliance with, the National
   29  Association of Insurance Commissioners; or other training
   30  courses related to the regulation of insurance.
   31         Section 2. Subsection (8) is added to section 627.4133,
   32  Florida Statutes, to read:
   33         627.4133 Notice of cancellation, nonrenewal, or renewal
   34  premium.—
   35         (8) Upon expiration of the policy term, an insurer may
   36  transfer a commercial lines policy to another authorized insurer
   37  that is a member of the same group or owned by the same holding
   38  company as the transferring insurer. The transfer constitutes a
   39  renewal of the policy and may not be treated as a cancellation
   40  or a nonrenewal of the policy. The insurer must provide notice
   41  of its intent to transfer the policy at least 45 days before the
   42  effective date of the transfer along with the financial rating
   43  of the authorized insurer to which the policy is being
   44  transferred. Such notice may be provided in the notice of
   45  renewal premium. This subsection does not apply to a policy
   46  providing residential property insurance coverage, except for
   47  farmowners insurance and commercial general liability policies
   48  providing farm coverage or commercial property policies
   49  providing farm coverage.
   50         Section 3. Subsection (2) of section 627.442, Florida
   51  Statutes, is amended to read:
   52         627.442 Insurance contracts.—
   53         (2) Notwithstanding s. 440.381(3), an insurer having at
   54  least $200 million in surplus, or an insurer within an insurer
   55  group that has at least $400 million in surplus, as reflected in
   56  the combined annual statement filed by the insurer group with
   57  the office, is not required to perform physical onsite premium
   58  audits are not required for workers’ compensation coverage,
   59  other than an audit required by the insurance policy or an order
   60  of the office, or at least once each policy period, if requested
   61  by the insured.
   62         Section 4. This act shall take effect upon becoming a law.