ENROLLED
2016 Legislature SB 812
2016812er
1
2 An act relating to reciprocal insurers; amending s.
3 629.271, F.S.; authorizing domestic reciprocal
4 insurers to pay a portion of unassigned funds to their
5 subscribers; providing limitations; providing an
6 effective date.
7
8 Be It Enacted by the Legislature of the State of Florida:
9
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 distribution limited
24 to 50 percent of net income from the previous calendar year.
25 Such distribution may not unfairly discriminate between classes
26 of risks or policies, or between subscribers, but may vary as to
27 classes of subscribers based on the experience of the classes.
28 Section 2. This act shall take effect July 1, 2016.