Florida Senate - 2005                        SENATOR AMENDMENT
    Bill No. CS for CS for SB 1912
                        Barcode 553460
                            CHAMBER ACTION
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       05/04/2005 11:09 AM         .                    
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11  Senator Baker moved the following amendment:
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13         Senate Amendment (with title amendment) 
14         On page 39, between lines 20 and 21,
15  
16  insert:  
17         Section 34.  Section 628.511, Florida Statutes, is
18  amended to read:
19         628.511  Clearing corporations Book entry accounting
20  system.--
21         (1)  The purpose of this section is to authorize
22  domestic insurers to utilize modern systems for holding and
23  transferring securities without physical delivery of
24  securities certificates, subject to appropriate rules of the
25  commission.
26         (2)  The following terms are defined for use in this
27  section:
28         (a)  "Securities" means instruments as defined in s.
29  678.1021.
30         (b)  "Clearing corporation" means a clearing
31  corporation as defined in s. 678.1021. The term "clearing
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Florida Senate - 2005 SENATOR AMENDMENT Bill No. CS for CS for SB 1912 Barcode 553460 1 corporation" also includes "Treasury/Reserve Automated Debt 2 Entry Securities System" and "Treasury Direct" book-entry 3 securities systems established pursuant to 31 U.S.C. ss. 3100 4 et seq., 12 U.S.C. 391 and 5 U.S.C. 301. 5 (c) "Custodian" "Direct participant" means a national 6 bank, state bank, or trust company, or broker/dealer that 7 which maintains an account in its name in a clearing 8 corporation and through which an insurance company 9 participates in a clearing corporation. 10 (d) "Federal Reserve book-entry system" means the 11 computerized systems sponsored by the United States Department 12 of the Treasury and agencies and instrumentalities of the 13 United States for holding and transferring securities of the 14 United States Government and such agencies and 15 instrumentalities, respectively, in Federal Reserve banks 16 through banks which are members of the Federal Reserve System 17 or which otherwise have access to such computerized systems. 18 (e) "Member bank" means a national bank, state bank or 19 trust company which is a member of the Federal Reserve System 20 and through which an insurer participates in the Federal 21 Reserve book-entry system. 22 (3) Notwithstanding any other provision of law, a 23 domestic insurer may deposit or arrange for the deposit of 24 securities held in or purchased for its general account and 25 its separate accounts in a clearing corporation or in the 26 Federal Reserve book-entry system. When securities are 27 deposited with a clearing corporation, certificates 28 representing securities of the same class of the same issuer 29 may be merged and held in bulk in the name of the nominee of 30 such clearing corporation with any other securities deposited 31 with such clearing corporation by any person, regardless of 2 5:05 PM 05/03/05 s1912c2c-20-29g
Florida Senate - 2005 SENATOR AMENDMENT Bill No. CS for CS for SB 1912 Barcode 553460 1 the ownership of such securities, and certificates 2 representing securities of small denominations may be merged 3 into one or more certificates of larger denominations. The 4 records of any custodian bank through which an insurer holds 5 securities in the Federal Reserve book-entry system, and the 6 records of any custodian banks through which an insurer holds 7 securities in a clearing corporation, shall at all times show 8 that such securities are held for such insurer and for which 9 accounts thereof. Ownership of, and other interests in, such 10 securities may be transferred by bookkeeping entry on the 11 books of such clearing corporation or in the Federal Reserve 12 book-entry system without, in either case, physical delivery 13 of certificates representing such securities. 14 (4) The commission may adopt rules governing the 15 deposit by insurers of securities with clearing corporations 16 and in the Federal Reserve book-entry system. 17 18 (Redesignate subsequent sections.) 19 20 21 ================ T I T L E A M E N D M E N T =============== 22 And the title is amended as follows: 23 Delete everything before the enacting clause 24 25 and insert: 26 A bill to be entitled 27 An act relating to insurance; amending s. 28 624.317, F.S.; including insurance agencies 29 among entities the Department of Financial 30 Services is authorized to investigate; amending 31 s. 624.318, F.S.; providing for electronic 3 5:05 PM 05/03/05 s1912c2c-20-29g
Florida Senate - 2005 SENATOR AMENDMENT Bill No. CS for CS for SB 1912 Barcode 553460 1 scanning in the course of investigations and 2 examinations; amending s. 624.501, F.S.; 3 clarifying a license fee; amending s. 626.015, 4 F.S.; redefining the term "home state"; 5 defining the term "resident"; amending s. 6 626.016, F.S.; including insurance agencies 7 among entities subject to regulation by the 8 Chief Financial Officer; amending s. 626.025, 9 F.S.; correcting cross-references; amending s. 10 626.112, F.S.; delaying the effective date by 11 which agencies must obtain a license; providing 12 that an agency may file for registration in 13 lieu of licensure, under specified conditions; 14 imposing a fine on any agency that fails to 15 timely apply for licensure or registration; 16 deleting certain agency licensure requirement 17 provisions; amending s. 626.171, F.S.; 18 specifying licensure and registration 19 application requirements for insurance entities 20 other than insurance agencies; deleting a 21 provision applying to insurance agency license 22 application requirements; amending s. 626.172, 23 F.S.; revising insurance agency licensure 24 application requirements; providing procedures 25 and limitations; providing duties of the 26 department; amending s. 626.221, F.S.; revising 27 examination requirements; amending s. 626.2815, 28 F.S.; revising continuing education 29 requirements; amending ss. 626.292 and 626.321, 30 F.S.; correcting cross-references, to conform; 31 amending s. 626.342, F.S.; including insurance 4 5:05 PM 05/03/05 s1912c2c-20-29g
Florida Senate - 2005 SENATOR AMENDMENT Bill No. CS for CS for SB 1912 Barcode 553460 1 agencies under provisions prohibiting 2 furnishing supplies to certain unlicensed 3 agents and imposing civil liability under 4 certain circumstances; amending s. 626.382, 5 F.S.; providing for renewal of licenses; 6 amending s. 626.451, F.S.; revising 7 requirements for appointment; amending s. 8 626.536, F.S.; including insurance agencies 9 under an action reporting requirement; amending 10 s. 626.561, F.S.; including insurance agencies 11 under provisions providing funds reporting and 12 accounting requirements and imposing criminal 13 penalties; amending s. 626.572, F.S.; including 14 insurance agencies under provision prohibiting 15 rebating under certain circumstances; amending 16 s. 626.601, F.S.; including insurance agencies 17 under provisions authorizing the department to 18 inquire into improper conduct; creating s. 19 626.602, F.S.; authorizing the department to 20 disapprove the use of certain names under 21 certain circumstances; amending s. 626.6115, 22 F.S.; providing an additional ground for the 23 department to take compulsory adverse insurance 24 agency license actions; providing that the 25 existence of grounds for adverse action against 26 a licensed agency does not constitute grounds 27 for adverse action against another licensed 28 agency; amending s. 626.6215, F.S.; providing 29 an additional ground for the department to take 30 discretionary adverse insurance agency license 31 actions; providing that the existence of 5 5:05 PM 05/03/05 s1912c2c-20-29g
Florida Senate - 2005 SENATOR AMENDMENT Bill No. CS for CS for SB 1912 Barcode 553460 1 grounds for adverse action against a licensed 2 agency does not constitute grounds for adverse 3 action against another licensed agency; 4 amending s. 626.747, F.S.; revising agent 5 requirements for branch agencies to include 6 life or health agents; amending s. 626.621, 7 F.S.; revising criteria for the department's 8 refusal, suspension or revocation of a license 9 or appointment; amending s. 626.641, F.S.; 10 providing requirements for reinstatement of a 11 previously suspended license or appointment; 12 revising criteria for reapplication and 13 requalification for a previously revoked 14 license or appointment; amending s. 626.7351, 15 F.S.; revising the qualifications for a 16 customer representative's license; amending ss. 17 626.7355 and 626.8411, F.S.; deleting 18 cross-references, to conform; creating s. 19 626.84201, F.S.; providing for the issuance of 20 a nonresident title insurance agent license; 21 amending s. 648.50, F.S.; revising the persons 22 whose license or appointment may be revoked or 23 suspended when a bail bond's license or 24 appointment is revoked or suspended; repealing 25 s. 626.592, F.S., relating to primary agents; 26 creating s. 624.1275, F.S.; providing a 27 restriction for state agencies or political 28 subdivisions from preventing a licensed agent 29 from responding to a bid or negotiation for an 30 insurance product; amending s. 628.511, F.S.; 31 revising the definitions of the terms "clearing 6 5:05 PM 05/03/05 s1912c2c-20-29g
Florida Senate - 2005 SENATOR AMENDMENT Bill No. CS for CS for SB 1912 Barcode 553460 1 corporation" and "custodian"; deleting 2 definitions of the terms "book entry system" 3 and "member bank" and making conforming 4 changes; providing an effective date. 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 7 5:05 PM 05/03/05 s1912c2c-20-29g