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





                                                   HOUSE AMENDMENT

                                                   Bill No. HB 413

    Amendment No. 1 (for drafter's use only)

                            CHAMBER ACTION
              Senate                               House
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 5                                           ORIGINAL STAMP BELOW

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10                                                                

11  Representative(s) Wiles offered the following:

12

13         Amendment (with title amendment) 

14  Remove from the bill:  Everything after the enacting clause

15

16  and insert in lieu thereof:

17         Section 1.  Subsection (5) is added to section 624.426,

18  Florida Statutes, to read:

19         624.426  Exceptions to resident agent and

20  countersignature law.--Section 624.425 does not apply to:

21         (5)  Policies of insurance issued by insurers whose

22  agents represent, as to property, casualty, and surety

23  insurance, only one company or group of companies under common

24  ownership and for which a Florida resident agent is the agent

25  of record and the application has been lawfully submitted to

26  the insurer.

27         Section 2.  Paragraph (q) of subsection(1) of section

28  626.9541, Florida Statutes, is amended to read:

29         626.9541  Unfair methods of competition and unfair or

30  deceptive acts or practices defined.--

31         (1)  UNFAIR METHODS OF COMPETITION AND UNFAIR OR

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                                                   HOUSE AMENDMENT

                                                   Bill No. HB 413

    Amendment No. 1 (for drafter's use only)





 1  DECEPTIVE ACTS.--The following are defined as unfair methods

 2  of competition and unfair or deceptive acts or practices:

 3         (q)  Certain insurance transactions through credit card

 4  facilities prohibited.--

 5         1.  Except as provided in subparagraph 3., no person

 6  shall knowingly solicit or negotiate any insurance; seek or

 7  accept applications for insurance; issue or deliver any

 8  policy; receive, collect, or transmit premiums, to or for any

 9  insurer; or otherwise transact insurance in this state, or

10  relative to a subject of insurance resident, located, or to be

11  performed in this state, through the arrangement or facilities

12  of a credit card facility or organization, for the purpose of

13  insuring credit card holders or prospective credit card

14  holders. The term "credit card holder" as used in this

15  paragraph means any person who may pay the charge for

16  purchases or other transactions through the credit card

17  facility or organization, whose credit with such facility or

18  organization is evidenced by a credit card identifying such

19  person as being one whose charges the credit card facility or

20  organization will pay, and who is identified as such upon the

21  credit card either by name, account number, symbol, insignia,

22  or any other method or device of identification.  This

23  subparagraph does not apply as to health insurance or to

24  credit life, credit disability, or credit property insurance.

25         2.  Whenever any person does or performs in this state

26  any of the acts in violation of subparagraph 1. for or on

27  behalf of any insurer or credit card facility, such insurer or

28  credit card facility shall be held to be doing business in

29  this state and, if an insurer, shall be subject to the same

30  state, county, and municipal taxes as insurers that have been

31  legally qualified and admitted to do business in this state by

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                                                   HOUSE AMENDMENT

                                                   Bill No. HB 413

    Amendment No. 1 (for drafter's use only)





 1  agents or otherwise are subject, the same to be assessed and

 2  collected against such insurers; and such person so doing or

 3  performing any of such acts shall be personally liable for all

 4  such taxes.

 5         3.  A licensed agent or insurer may solicit or

 6  negotiate any insurance; seek or accept applications for

 7  insurance; issue or deliver any policy; receive, collect, or

 8  transmit premiums, to or for any insurer; or otherwise

 9  transact insurance in this state, or relative to a subject of

10  insurance resident, located, or to be performed in this state,

11  through the arrangement or facilities of a credit card

12  facility or organization, for the purpose of insuring credit

13  card holders or prospective credit card holders if:

14         a.  The insurance or policy which is the subject of the

15  transaction is noncancelable by any person other than the

16  named insured, the policyholder, or the insurer;

17         b.  Any refund of unearned premium is made directly to

18  the credit card holder; and

19         c.  The credit card transaction is authorized by the

20  signature of the credit card holder or other person authorized

21  to sign on the credit card account.

22

23  The conditions enumerated in sub-subparagraphs a. through c.

24  do not apply to health insurance or to credit life, credit

25  disability, or credit property insurance; and sub-subparagraph

26  c. does not apply to property and casualty insurance so long

27  as the transaction is authorized by the insured.

28         4.  No person may use or disclose information resulting

29  from the use of a credit card in conjunction with the purchase

30  of insurance, when such information is to the advantage of

31  such credit card facility or an insurance agent, or is to the

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                                                   HOUSE AMENDMENT

                                                   Bill No. HB 413

    Amendment No. 1 (for drafter's use only)





 1  detriment of the insured or any other insurance agent; except

 2  that this provision does not prohibit a credit card facility

 3  from using or disclosing such information in any judicial

 4  proceeding or consistent with applicable law on credit

 5  reporting.

 6         5.  No such insurance shall be sold through a credit

 7  card facility in conjunction with membership in any automobile

 8  club. The term "automobile club" means a legal entity which,

 9  in consideration of dues, assessments, or periodic payments of

10  money, promises its members or subscribers to assist them in

11  matters relating to the ownership, operation, use, or

12  maintenance of a motor vehicle; however, the definition of

13  automobile clubs does not include persons, associations, or

14  corporations which are organized and operated solely for the

15  purpose of conducting, sponsoring, or sanctioning motor

16  vehicle races, exhibitions, or contests upon race tracks, or

17  upon race courses established and marked as such for the

18  duration of such particular event.  The words "motor vehicle"

19  used herein shall be the same as defined in chapter 320.

20         Section 3.  Subsection (8) is added to section

21  627.7295, Florida Statutes, to read:

22         627.7295  Motor vehicle insurance contracts.--

23         (8)  Subsection (7) of this section does not apply if

24  an insured or family member has previously purchased and has

25  in effect a policy of private passenger motor vehicle

26  insurance and is purchasing additional coverage or adding

27  coverage for an additional vehicle, with such coverage being

28  written by the same insurer or a member of the same insurer

29  group.

30         Section 4.  This act shall take effect upon becoming a

31  law.

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                                                   HOUSE AMENDMENT

                                                   Bill No. HB 413

    Amendment No. 1 (for drafter's use only)





 1  ================ T I T L E   A M E N D M E N T ===============

 2  And the title is amended as follows:

 3         On page 1, lines 2-5

 4  remove from the title of the bill:  all of said lines

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 6  and insert in lieu thereof:

 7         An act relating to insurance policy sales and

 8         delivery procedures; amending s. 627.426, F.S.;

 9         relating to countersignature of certain

10         insurance policies; creating an exception to

11         the countersignature law; amending s. 626.9541,

12         F.S.; relating to sales of insurance by credit

13         card; amending s. 627.7295, F.S.; relating to

14         insurance policy down payments; providing an

15         effective date.

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