The Florida Senate

527.04  Proof of insurance required.--

(1)  Before any license is issued, except to a dealer in appliances and equipment for use of liquefied petroleum gas or a category III liquefied petroleum gas cylinder exchange operator, the applicant must deliver to the department a good and sufficient bond in the amount of $1 million, payable to the Governor of Florida, with the applicant as principal and a surety company authorized to do business in this state as surety. The bond must be conditioned upon the principal's compliance with the provisions of this chapter and the rules of the department with respect to the conduct of such business and shall indemnify and hold harmless all persons from loss or damage by reason of the principal's failure to comply. However, the aggregated liability of the surety may not exceed $1 million. If the bond becomes insufficient, the department may require a new bond to be filed, and if the principal fails to do so, the department shall cancel the license issued and give the principal written notice that it is unlawful to engage in business without a license. If the applicant furnishes satisfactory evidence that he or she is covered by a primary policy of bodily injury liability and property damage liability insurance covering the products and operations with respect to such business, issued by an insurer authorized to do business in the state, for an amount not less than $1 million and that the premiums on such insurance are paid, an insurance affidavit or other satisfactory evidence of acceptable insurance coverage shall be accepted in lieu of the bond. A new bond is not required as long as the original bond remains sufficient and in force. If the licenseholder's insurance coverages as required by this subsection are canceled or otherwise terminated, the insurer must notify the department within 30 days after such cancellation or termination.

(2)  Before any license is issued to a class III liquefied petroleum gas cylinder exchange operator, the applicant must deliver to the department a good and sufficient bond in the amount of $300,000, payable to the Governor, with the applicant as principal and a surety company authorized to do business in this state as surety. The bond must be conditioned upon the principal's compliance with this chapter and the rules of the department with respect to the conduct of such business and must indemnify and hold harmless all persons from loss or damage by reason of the principal's failure to comply. However, the aggregated liability of the surety may not exceed $300,000. If the bond becomes insufficient, the department may require a new bond to be filed, and if the principal fails to do so, the department shall cancel the license and give the principal written notice that it is unlawful to engage in business without a license. If the applicant furnishes satisfactory evidence that he or she is covered by a primary policy of bodily injury liability and property damage liability insurance covering the products and operations with respect to such business, issued by an insurer authorized to do business in the state, for an amount not less than $300,000 and that the premiums on such insurance are paid, an insurance affidavit or other satisfactory evidence of acceptable insurance coverage shall be accepted in lieu of the bond. A new bond is not required as long as the original bond remains sufficient and in force. If the licenseholder's insurance coverages required by this subsection are canceled or otherwise terminated, the insurer must notify the department within 30 days after such cancellation or termination.

(3)  Any person having a cause of action on such bond may bring suit against the principal and surety, and a copy of such bond duly certified by the department shall be received in evidence in the courts of this state without further proof. The department shall furnish a certified copy of such bond upon payment to it of its lawful fee for making and certifying such copy.

History.--ss. 3, 4, ch. 24302, 1947; s. 1, ch. 25105, 1949; s. 11, ch. 25035, 1949; s. 1, ch. 29667, 1955; s. 1, ch. 61-158; ss. 13, 35, ch. 69-106; s. 3, ch. 76-168; s. 1, ch. 77-457; ss. 3, 18, 19, ch. 81-175; ss. 2, 3, ch. 81-318; ss. 1, 2, ch. 82-6; s. 125, ch. 83-218; s. 3, ch. 84-126; ss. 2, 3, ch. 87-34; s. 5, ch. 90-215; s. 4, ch. 91-429; s. 724, ch. 97-103; s. 3, ch. 2000-269.

Note.--Former ss. 526.14, 527.05.