House Bill 0841e1

                                           HB 841, First Engrossed



  1                      A bill to be entitled

  2         An act relating to insurance; creating s.

  3         627.5015, F.S.; prohibiting delivery or

  4         issuance of industrial life insurance policies

  5         after a certain date; providing application;

  6         requiring disclosure of certain information to

  7         policyholders or premium payors; amending s.

  8         627.5045, F.S.; deleting an application

  9         exception from certain secondary notice

10         requirements; providing an effective date.

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12  Be It Enacted by the Legislature of the State of Florida:

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14         Section 1.  Section 627.5015, Florida Statutes, is

15  created to read:

16         627.5015  Industrial life insurance prohibited;

17  application; disclosure.--

18         (1)  No policy of industrial life insurance shall be

19  delivered or issued in this state on or after October 1, 1999.

20         (2)  Each policy of industrial life insurance that has

21  been issued or delivered in this state prior to October 1,

22  1999, shall be subject to all applicable provisions of the

23  Florida Insurance Code and rules adopted under the code.

24         (3)  Each insurer which presently collects premiums in

25  this state for a policy of industrial life insurance shall

26  annually disclose to the policyholder or premium payor the

27  total amount of premiums paid, the cash value, and the amount

28  of the death benefits payable under such policy.

29         Section 2.  Section 627.5045, Florida Statutes, is

30  amended to read:

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CODING: Words stricken are deletions; words underlined are additions.






                                           HB 841, First Engrossed



  1         627.5045  Secondary notice.--Except as provided in this

  2  section, A contract for an industrial life insurance policy

  3  issued or issued for delivery in this state on or after

  4  October 1, 1997, for which premiums are paid monthly or more

  5  frequently, covering a natural person 64 years of age or older

  6  or owned by a natural person 64 years of age or older, which

  7  has been in force for at least 1 year, may not be lapsed for

  8  nonpayment of premium unless, after expiration of the grace

  9  period, and at least 21 days before the effective date of such

10  lapse, the insurer has mailed a notification of the impending

11  lapse in coverage to the policyowner and to a specified

12  secondary addressee if such addressee has been designated in

13  writing by name and address by the policyowner. An insurer

14  issuing an industrial life insurance contract on or after

15  October 1, 1997, shall notify the applicant of the right to

16  designate a secondary addressee at the time of application for

17  the policy on a form provided by the insurer and at any time

18  the policy is in force by submitting a written notice to the

19  insurer containing the name and address of the secondary

20  addressee. This section does not apply to any life insurance

21  contract under which premiums are payable monthly or more

22  frequently and are regularly collected by a licensed agent.

23         Section 3.  This act shall take effect October 1, 1999.

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