Florida Senate - 2021                          SENATOR AMENDMENT
       Bill No. CS/CS/SB 54, 1st Eng.
       
       
       
       
       
       
                                Ì946260ÉÎ946260                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
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                  Floor: WD            .                                
             04/28/2021 10:54 AM       .                                
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       Senator Burgess moved the following:
       
    1         Senate Amendment to Amendment (958927) (with title
    2  amendment)
    3  
    4         Delete lines 2395 - 2705
    5  and insert:
    6         627.7275 Required coverages in motor vehicle insurance
    7  policies; availability to certain applicants liability.—
    8         (1) A motor vehicle insurance policy providing personal
    9  injury protection as set forth in s. 627.736 may not be
   10  delivered or issued for delivery in this state for a with
   11  respect to any specifically insured or identified motor vehicle
   12  registered or principally garaged in this state must provide
   13  bodily injury liability coverage and unless the policy also
   14  provides coverage for property damage liability coverage as
   15  required under by s. 324.022 and s. 324.151 and the death
   16  benefit required under s. 627.72761.
   17         (2)(a) Insurers writing motor vehicle insurance in this
   18  state shall make available, subject to the insurers’ usual
   19  underwriting restrictions:
   20         1. Coverage under policies as described in subsection (1)
   21  to an applicant for private passenger motor vehicle insurance
   22  coverage who is seeking the coverage in order to reinstate the
   23  applicant’s driving privileges in this state if the driving
   24  privileges were revoked or suspended pursuant to s. 316.646 or
   25  s. 324.0221 due to the failure of the applicant to maintain
   26  required security.
   27         2. Coverage under policies as described in subsection (1),
   28  which includes bodily injury also provides liability coverage
   29  and property damage liability coverage, for bodily injury,
   30  death, and property damage arising out of the ownership,
   31  maintenance, or use of the motor vehicle in an amount not less
   32  than the minimum limits required under described in s.
   33  324.021(7) or s. 324.023 and which conforms to the requirements
   34  of s. 324.151, to an applicant for private passenger motor
   35  vehicle insurance coverage who is seeking the coverage in order
   36  to reinstate the applicant’s driving privileges in this state
   37  after such privileges were revoked or suspended under s. 316.193
   38  or s. 322.26(2) for driving under the influence.
   39         (b) The policies described in paragraph (a) must shall be
   40  issued for at least 6 months and, as to the minimum coverages
   41  required under this section, may not be canceled by the insured
   42  for any reason or by the insurer after 60 days, during which
   43  period the insurer is completing the underwriting of the policy.
   44  After the insurer has completed underwriting the policy, the
   45  insurer shall notify the Department of Highway Safety and Motor
   46  Vehicles that the policy is in full force and effect and is not
   47  cancelable for the remainder of the policy period. A premium
   48  must shall be collected and the coverage is in effect for the
   49  60-day period during which the insurer is completing the
   50  underwriting of the policy, whether or not the person’s driver
   51  license, motor vehicle tag, and motor vehicle registration are
   52  in effect. Once the noncancelable provisions of the policy
   53  become effective, the bodily injury liability and property
   54  damage liability coverages for bodily injury, property damage,
   55  and personal injury protection may not be reduced below the
   56  minimum limits required under s. 324.021 or s. 324.023 during
   57  the policy period.
   58         (c) This subsection controls to the extent of any conflict
   59  with any other section.
   60         (d) An insurer issuing a policy subject to this section may
   61  cancel the policy if, during the policy term, the named insured,
   62  or any other operator who resides in the same household or
   63  customarily operates an automobile insured under the policy, has
   64  his or her driver license suspended or revoked.
   65         (e) This subsection does not require an insurer to offer a
   66  policy of insurance to an applicant if such offer would be
   67  inconsistent with the insurer’s underwriting guidelines and
   68  procedures.
   69         Section 47. Section 627.72761, Florida Statutes, is created
   70  to read:
   71         627.72761Required motor vehicle death benefit coverage.—An
   72  insurance policy complying with the financial responsibility
   73  requirements of s. 324.022 must provide a death benefit upon the
   74  death of the named insured, relatives residing in the same
   75  household, persons operating the insured motor vehicle,
   76  passengers in the motor vehicle, and other persons struck by the
   77  motor vehicle and suffering bodily injury while not an occupant
   78  of a self-propelled motor vehicle, to a limit of $5,000, when
   79  such death arises out of the ownership, maintenance, or use of a
   80  motor vehicle. The insurer may pay death benefits to the
   81  executor or administrator of the deceased; to any of the
   82  deceased relatives by blood, legal adoption, or marriage; or to
   83  any person appearing to the insurer to be equitably entitled to
   84  such benefits. The benefit may not be paid to any person who
   85  died as a result of causing injury or death to himself or
   86  herself intentionally, or because of injuries or death incurred
   87  while committing a felony.
   88         Section 48. Effective upon this act becoming a law, section
   89  627.7278, Florida Statutes, is created to read:
   90         627.7278 Applicability and construction; notice to
   91  policyholders.—
   92         (1) As used in this section, the term “minimum security
   93  requirements” means security that enables a person to respond in
   94  damages for liability on account of crashes arising out of the
   95  ownership, maintenance, or use of a motor vehicle, in the
   96  amounts required by s. 324.022(1), as amended by this act.
   97         (2) Effective January 1, 2022:
   98         (a) Motor vehicle insurance policies issued or renewed on
   99  or after that date may not include personal injury protection.
  100         (b) All persons subject to s. 324.022, s. 324.032, s.
  101  627.7415, or s. 627.742 must maintain at least minimum security
  102  requirements.
  103         (c) Any new or renewal motor vehicle insurance policy
  104  delivered or issued for delivery in this state must provide
  105  coverage that complies with minimum security requirements and
  106  provides the death benefit set forth in s. 627.72761.
  107         (d) An existing motor vehicle insurance policy issued
  108  before that date which provides personal injury protection and
  109  property damage liability coverage that meets the requirements
  110  of s. 324.022 on December 31, 2021, but which does not meet
  111  minimum security requirements on or after January 1, 2022, is
  112  deemed to meet minimum security requirements until such policy
  113  is renewed, nonrenewed, or canceled on or after January 1, 2022.
  114  Sections 400.9905, 400.991, 456.057, 456.072, 626.9541(1)(i),
  115  627.7263, 627.727, 627.730-627.7405, 627.748, and 817.234,
  116  Florida Statutes 2020, remain in full force and effect for motor
  117  vehicle accidents covered under a policy issued under the
  118  Florida Motor Vehicle No-Fault Law before January 1, 2022, until
  119  the policy is renewed, nonrenewed, or canceled on or after
  120  January 1, 2022.
  121         (3) Each insurer shall allow each insured who has a new or
  122  renewal policy providing personal injury protection which
  123  becomes effective before January 1, 2022, and whose policy does
  124  not meet minimum security requirements on or after January 1,
  125  2022, to change coverages so as to eliminate personal injury
  126  protection and obtain coverage providing minimum security
  127  requirements and the death benefit set forth in s. 627.72761,
  128  which shall be effective on or after January 1, 2022. The
  129  insurer is not required to provide coverage complying with
  130  minimum security requirements and the death benefit set forth in
  131  s. 627.72761 in such policies if the insured does not pay the
  132  required premium, if any, by January 1, 2022, or such later date
  133  as the insurer may allow. The insurer also shall offer each
  134  insured medical payments coverage pursuant to s. 627.7265. Any
  135  reduction in the premium must be refunded by the insurer. The
  136  insurer may not impose on the insured an additional fee or
  137  charge that applies solely to a change in coverage; however, the
  138  insurer may charge an additional required premium that is
  139  actuarially indicated.
  140         (4) By September 1, 2021, each motor vehicle insurer shall
  141  provide notice of this section to each motor vehicle
  142  policyholder who is subject to this section. The notice is
  143  subject to approval by the office and must clearly inform the
  144  policyholder that:
  145         (a) The Florida Motor Vehicle No-Fault Law is repealed
  146  effective January 1, 2022, and that on or after that date, the
  147  insured is no longer required to maintain personal injury
  148  protection insurance coverage, that personal injury protection
  149  coverage is no longer available for purchase in this state, and
  150  that all new or renewal policies issued on or after that date
  151  will not contain that coverage.
  152         (b) Effective January 1, 2022, a person subject to the
  153  financial responsibility requirements of s. 324.022 must:
  154         1.Maintain minimum security requirements that enable the
  155  person to respond to damages for liability on account of
  156  accidents arising out of the use of a motor vehicle in the
  157  following amounts:
  158         a. Twenty-five thousand dollars for bodily injury to, or
  159  the death of, one person in any one crash and, subject to such
  160  limits for one person, in the amount of $50,000 for bodily
  161  injury to, or the death of, two or more persons in any one
  162  crash; and
  163         b. Ten thousand dollars for damage to, or destruction of,
  164  the property of others in any one crash.
  165         2.Purchase a death benefit pursuant to s. 627.72761
  166  providing $5,000 in coverage upon the death of the operator of a
  167  motor vehicle.
  168         (c) Bodily injury liability coverage protects the insured,
  169  up to the coverage limits, against loss if the insured is
  170  legally responsible for the death of or bodily injury to others
  171  in a motor vehicle accident.
  172         (d) Effective January 1, 2022, each policyholder of motor
  173  vehicle liability insurance purchased as proof of financial
  174  responsibility must be offered medical payments coverage
  175  benefits that comply with s. 627.7265. The insurer must offer
  176  medical payments coverage at limits of $5,000 and $10,000
  177  without a deductible. The insurer may also offer medical
  178  payments coverage at other limits greater than $5,000 and may
  179  offer coverage with a deductible of up to $500. Medical payments
  180  coverage pays covered medical expenses incurred due to bodily
  181  injury, sickness, or disease arising out of the ownership,
  182  maintenance, or use of the motor vehicle, up to the limits of
  183  such coverage, for injuries sustained in a motor vehicle crash
  184  by the named insured, resident relatives, any persons operating
  185  the insured motor vehicle, passengers in the insured motor
  186  vehicle, and persons who are struck by the insured motor vehicle
  187  and suffer bodily injury while not an occupant of a self
  188  propelled motor vehicle as provided in s. 627.7265. Medical
  189  payments coverage also provides a death benefit of at least
  190  $5,000.
  191         (e) The policyholder may obtain uninsured and underinsured
  192  motorist coverage that provides benefits, up to the limits of
  193  such coverage, to a policyholder or other insured entitled to
  194  recover damages for bodily injury, sickness, disease, or death
  195  resulting from a motor vehicle accident with an uninsured or
  196  underinsured owner or operator of a motor vehicle.
  197         (f) If the policyholder’s new or renewal motor vehicle
  198  insurance policy is effective before January 1, 2022, and
  199  contains personal injury protection and property damage
  200  liability coverage as required by state law before January 1,
  201  2022, but does not meet minimum security requirements on or
  202  after January 1, 2022, the policy is deemed to meet minimum
  203  security requirements and need not provide the death benefit set
  204  forth in s. 627.72761 until it is renewed, nonrenewed, or
  205  canceled on or after January 1, 2022.
  206         (g) A policyholder whose new or renewal policy becomes
  207  effective before January 1, 2022, but does not meet minimum
  208  security requirements on or after January 1, 2022, may change
  209  coverages under the policy so as to eliminate personal injury
  210  protection and to obtain coverage providing minimum security
  211  requirements, including bodily injury liability coverage and the
  212  death benefit set forth in s. 627.72761, which are effective on
  213  or after January 1, 2022.
  214         (h) If the policyholder has any questions, he or she should
  215  contact the person named at the telephone number provided in the
  216  notice.
  217         Section 49. Paragraph (a) of subsection (1) of section
  218  627.728, Florida Statutes, is amended to read:
  219         627.728 Cancellations; nonrenewals.—
  220         (1) As used in this section, the term:
  221         (a) “Policy” means the bodily injury and property damage
  222  liability, personal injury protection, medical payments,
  223  comprehensive, collision, and uninsured motorist coverage
  224  portions of a policy of motor vehicle insurance delivered or
  225  issued for delivery in this state:
  226         1. Insuring a natural person as named insured or one or
  227  more related individuals who are residents resident of the same
  228  household; and
  229         2. Insuring only a motor vehicle of the private passenger
  230  type or station wagon type which is not used as a public or
  231  livery conveyance for passengers or rented to others; or
  232  insuring any other four-wheel motor vehicle having a load
  233  capacity of 1,500 pounds or less which is not used in the
  234  occupation, profession, or business of the insured other than
  235  farming; other than any policy issued under an automobile
  236  insurance assigned risk plan or covering garage, automobile
  237  sales agency, repair shop, service station, or public parking
  238  place operation hazards.
  239  
  240  The term “policy” does not include a binder as defined in s.
  241  627.420 unless the duration of the binder period exceeds 60
  242  days.
  243         Section 50. Subsection (1), paragraph (a) of subsection
  244  (5), and subsections (6) and (7) of section 627.7295, Florida
  245  Statutes, are amended to read:
  246         627.7295 Motor vehicle insurance contracts.—
  247         (1) As used in this section, the term:
  248         (a) “Policy” means a motor vehicle insurance policy that
  249  provides bodily injury liability personal injury protection
  250  coverage and, property damage liability coverage, or both.
  251         (b) “Binder” means a binder that provides motor vehicle
  252  bodily injury liability coverage personal injury protection and
  253  property damage liability coverage.
  254         (5)(a) A licensed general lines agent may charge a per
  255  policy fee of up to not to exceed $10 to cover the
  256  administrative costs of the agent associated with selling the
  257  motor vehicle insurance policy if the policy covers only the
  258  death benefit coverage set forth in s. 627.72761, bodily injury
  259  liability coverage, personal injury protection coverage as
  260  provided by s. 627.736 and property damage liability coverage as
  261  provided by s. 627.7275 and if no other insurance is sold or
  262  issued in conjunction with or collateral to the policy. The fee
  263  is not considered part of the premium.
  264         (6) If a motor vehicle owner’s driver license, license
  265  plate, and registration have previously been suspended pursuant
  266  to s. 316.646 or s. 627.733, an insurer may cancel a new policy
  267  only as provided in s. 627.7275.
  268         (7) A policy of private passenger motor vehicle insurance
  269  or a binder for such a policy may be initially issued in this
  270  state only if, before the effective date of such binder or
  271  policy, the insurer or agent has collected from the insured an
  272  amount equal to at least 1 month’s premium. An insurer, agent,
  273  or premium finance company may not, directly or indirectly, take
  274  any action that results resulting in the insured paying having
  275  paid from the insured’s own funds an amount less than the 1
  276  month’s premium required by this subsection. This subsection
  277  applies without regard to whether the premium is financed by a
  278  premium finance company or is paid pursuant to a periodic
  279  payment plan of an insurer or an insurance agent.
  280         (a) This subsection does not apply:
  281         1. If an insured or member of the insured’s family is
  282  renewing or replacing a policy or a binder for such policy
  283  written by the same insurer or a member of the same insurer
  284  group. This subsection does not apply
  285         2. To an insurer that issues private passenger motor
  286  vehicle coverage primarily to active duty or former military
  287  personnel or their dependents. This subsection does not apply
  288         3. If all policy payments are paid pursuant to a payroll
  289  deduction plan, an automatic electronic funds transfer payment
  290  plan from the policyholder, or a recurring credit card or debit
  291  card agreement with the insurer.
  292         (b) This subsection and subsection (4) do not apply if:
  293         1. All policy payments to an insurer are paid pursuant to
  294  an automatic electronic funds transfer payment plan from an
  295  agent, a managing general agent, or a premium finance company
  296  and if the policy includes, at a minimum, the death benefit
  297  coverage set forth in s. 627.72761, bodily injury liability
  298  coverage, and personal injury protection pursuant to ss.
  299  627.730-627.7405; motor vehicle property damage liability
  300  coverage pursuant to s. 627.7275; or and bodily injury liability
  301  in at least the amount of $10,000 because of bodily injury to,
  302  or death of, one person in any one accident and in the amount of
  303  $20,000 because of bodily injury to, or death of, two or more
  304  persons in any one accident. This subsection and subsection (4)
  305  do not apply if
  306         2. An insured has had a policy in effect for at least 6
  307  months, the insured’s agent is terminated by the insurer that
  308  issued the policy, and the insured obtains coverage on the
  309  policy’s renewal date with a new company through the terminated
  310  agent.
  311         Section 51. Section 627.7415, Florida Statutes, is amended
  312  to read:
  313         627.7415 Commercial motor vehicles; additional liability
  314  insurance coverage.—Beginning January 1, 2022, commercial motor
  315  vehicles, as defined in s. 207.002 or s. 320.01, operated upon
  316  the roads and highways of this state must shall be insured with
  317  the following minimum levels of combined bodily liability
  318  insurance and property damage liability insurance in addition to
  319  any other insurance requirements:
  320         (1) Sixty Fifty thousand dollars per occurrence for a
  321  commercial motor vehicle with a gross vehicle weight of 26,000
  322  pounds or more, but less than 35,000 pounds.
  323         (2) One hundred twenty thousand dollars per occurrence for
  324  a commercial motor vehicle with a gross vehicle weight of 35,000
  325  pounds or more, but less than 44,000 pounds.
  326         (3) Three hundred thousand dollars per occurrence for a
  327  commercial motor vehicle with a gross vehicle weight of 44,000
  328  pounds or more.
  329         (4) All commercial motor vehicles subject to regulations of
  330  the United States Department of Transportation, 49 C.F.R. part
  331  387, subpart A, and as may be hereinafter amended, shall be
  332  insured in an amount equivalent to the minimum levels of
  333  financial responsibility as set forth in such regulations.
  334  
  335  A violation of this section is a noncriminal traffic infraction,
  336  punishable as a nonmoving violation as provided in chapter 318.
  337         Section 52. Section 627.747, Florida Statutes, is created
  338  to read:
  339         627.747 Named driver exclusion.—
  340         (1) A private passenger motor vehicle policy may exclude
  341  the following coverages for all claims or suits resulting from
  342  the operation of a motor vehicle by an identified individual who
  343  is not a named insured, provided that the identified individual
  344  is specifically excluded by name on the declarations page or by
  345  endorsement and the policyholder consents in writing to the
  346  exclusion:
  347         (a) Property damage liability coverage.
  348         (b) Bodily injury liability coverage.
  349         (c)Death benefit coverage under s. 627.72761.
  350  
  351  ================= T I T L E  A M E N D M E N T ================
  352  And the title is amended as follows:
  353         Between lines 3565 and 3566
  354  insert:
  355         creating s. 627.72761, F.S.; requiring motor vehicle
  356         insurance policies to provide death benefits;
  357         specifying requirements for and persons to whom such
  358         benefits may and may not be paid;