Florida Senate - 2015                              CS for SB 678
       By the Committee on Banking and Insurance; and Senator Diaz de
       la Portilla
       597-01932-15                                           2015678c1
    1                        A bill to be entitled                      
    2         An act relating to reciprocal insurers; amending s.
    3         629.271, F.S.; authorizing domestic reciprocal
    4         insurers to return a portion of unassigned funds to
    5         their subscribers; providing limitations; providing an
    6         effective date.
    8  Be It Enacted by the Legislature of the State of Florida:
   10         Section 1. Section 629.271, Florida Statutes, is amended to
   11  read:
   12         629.271 Distribution of savings.—
   13         (1) A reciprocal insurer may from time to time return to
   14  its subscribers any unused premiums, savings, or credits
   15  accruing to their accounts. Any Such distribution may shall not
   16  unfairly discriminate between classes of risks, or policies, or
   17  between subscribers, but such distribution may vary as to
   18  classes of subscribers based on upon the experience of the such
   19  classes.
   20         (2) In addition to the option provided in subsection (1), a
   21  domestic reciprocal insurer may, upon the prior written approval
   22  of the office, pay to its subscribers a portion of unassigned
   23  funds of up to 10 percent of surplus with such distribution
   24  limited to 50 percent of net income from the previous calendar
   25  year. Such distribution may not unfairly discriminate between
   26  classes of risks or policies, or between subscribers, but may
   27  vary as to classes of subscribers based on the experience of
   28  such classes.
   29         Section 2. This act shall take effect July 1, 2015.