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NAMIC 2006 Survey of New State Insurance Laws Summary and Analysis

2006 SUMMARY OF NEW STATE LAWS - FLORIDA

Florida State Legislative Website

BILL #

CHAPTER #

ISSUE

BILL DESCRIPTION

HB 47

7

Property insurance

Provides an exemption from the sales and use tax for sales of certain tangible personal property for a certain period; provides an exception for sales within certain facilities; authorizes the Department of Revenue to adopt certain rules; provides for reversion and reappropriation of a certain unexpended balance. Effective: April 27, 2006.

HB 145

6

Tort Reform - joint and several liability

Deletes exceptions to a requirement for liability based on percentage of fault instead of joint and several liability. Effective: May 26, 2006.

HB 561

305

Policy form filings

Specifies information to be included in a crash report; provides an additional fee for certain offenses relating to insurance crimes; prohibits medical directors from referring specified patients to certain clinics for specified medical examinations and tests; provides a criminal penalty for knowingly transacting insurance without a license; provides a limitation on retroactive assumption of certain coverages and liabilities, etc. Effective: July 1, 2006.

HB 821

78

Tax issues

Increases the amount of available tax credits against the sales tax, corporate income tax, and insurance premium tax, respectively, for projects under the community contribution tax credit program and provides separate annual limitations for specified projects; revises requirements and procedures for the Office of Tourism, Trade, and Economic Development in granting tax credits under the program. Effective: July 1, 2006.

HB 841

280

Tort Reform -- bonds

Limits the amount of supersedeas bond required for certain appellants; provides that a party may move the court to reduce the supersedeas bond; provides an exception to limits if an appellant engages in certain conduct for the purpose of avoiding payment of the judgment. Effective: July 1, 2006.

HB 1113

184

Producer licensure - licensing requirements

Provides additional requirements for applications for specified licenses; requires applicants to submit fingerprints and pay a processing fee; provides for fingerprints to be taken by a designated examination center; requires the Department of Financial Services to require designated examination centers to have fingerprinting equipment and take fingerprints; prohibits the department from approving licensure applications without submitted fingerprints; deletes a prohibition against the department denying, delaying, or withholding approval of applications lacking a criminal history report; revises circumstances under which the department must notify an applicant about examinations; expands the authorized adjuster designations for exemptions from adjuster license examinations; provides authorization and procedures for applying on the department's Internet website to take a licensure examination prior to applying for licensure; specifies required application information; requires an application disclosure statement; requires payment of an examination fee with an application; provides for application of examination provisions to specified persons; requires the department to annually prepare, publicly announce, and publish reports of examination statistical information; provides report requirements; authorizes the department to provide contracted testing service providers with demographic application information; requires the department to provide specified information to examination applicants; specifies required conduct for examination applicants; applies reexamination provisions to examination applicants; requires the department to issue a license for specified applicants after the department approves the application; specifies a period of validity of a passing examination grade; prohibits the department from issuing a license based on an examination taken more than 1 year prior to filing an application; provides appropriations and authorizes additional positions. Effective: July 1, 2006.

HB 1139

281

Tort reform - construction defects

Revises provisions to expand application to construction defects in any property other than public transportation projects; deletes language limiting application to only residential property; revises provisions relating to required notices for construction defect claims under construction contracts; applies provisions of ch. 558, F.S., notwithstanding specified notice requirements. Effective: Oct. 1, 2006.

HB 7259

117

Tort reform - class actions

Provides requirements for capacity to file a class action; limits actions to Florida residents; provides exceptions; eliminates private class action recovery of statutory penalties in certain actions unless actual damages are alleged and proven; provides that the Attorney General's ability to seek statutory penalties is not affected; provides for availability of non-monetary relief; provides no effect on class action lawsuits involving civil rights laws. July 1, 2006.

HM 541

Catastrophe related legislation

Urges Congress to support a National Catastrophe Insurance Program. Effective: Not specified.

SB 1620

272

Motor vehicle insurance -- miscellaneous

Exempts certain licensed motor vehicle service agreement company affiliates from application of motor vehicle service agreement requirements under certain circumstances; prohibits motor vehicle service agreement company from investing or lending company funds for specified purposes; prohibits home warranty association or service warranty association from investing or lending association funds for specified purposes, etc. Amends Ch. 634. Effective date: July 1, 2006.

SB 1774

65

Building codes

Authorizes Fla. Building Commission to update & modify standard for wind design; authorizes said commission to adopt certain limited amendments to Fla. Building Code pursuant to rule adoption procedures for certain purposes after triennial updates; provides for use of private providers of building code inspection services under certain circumstances; defines term "fire hydrant" for purpose of Fla. Fire Prevention Code, etc. Amends FS. Effective date: July 1, 2006.

SB 1980

12

Property insurance

Redefines term "losses" for purposes of Fla. Hurricane Catastrophe Fund; allows limited apportionment companies to purchase additional coverage amounts from fund; specifies procedures for Citizens Property Insurance Corporation to obtain coverage for certain policies from fund; establishes Fla. Comprehensive Hurricane Damage Mitigation Program within DFS, etc. Effective: date: May 16, 2006 except as otherwise provided.

The information contained in this summary is not intended as a portrayal of every property/casualty-related law enacted in each state. Rather, it represents recently enacted legislation specifically identified by NAMIC State and Regulatory Affairs Staff as bearing direct relevance to those issues that represent NAMIC's National State Legislative Agenda or otherwise deemed pertinent to the interests of the majority of NAMIC members.

This summary is for use as a convenient tool for our members, and is not intended, and should not be considered to be, legal advice. Please consult your legal representatives.