Senate Bill sb1070

CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2001                                  SB 1070

    By Senator Campbell





    33-362A-01

  1                      A bill to be entitled

  2         An act relating to motor vehicle insurance;

  3         amending s. 324.021, F.S.; modifying the

  4         definition of the term "motor vehicle";

  5         modifying limits required for proof of

  6         financial responsibility for bodily injury;

  7         creating s. 324.023, F.S.; prescribing methods

  8         of providing financial responsibility for

  9         bodily injury or death; amending s. 324.221,

10         F.S.; providing a criminal penalty for making

11         false claims against an insurance policy issued

12         under ch. 324, F.S.; amending s. 627.730, F.S.;

13         changing the name of the Florida Motor Vehicle

14         No-Fault Law to the Florida Motor Vehicle

15         Personal Responsibility Act; amending s.

16         627.731, F.S.; providing the purpose of such

17         act; amending 627.733, F.S.; providing an

18         additional way to secure insurance coverage;

19         amending s. 627.736, F.S.; requiring certain

20         insurance policies to provide bodily injury

21         liability protection; providing for a lien;

22         requiring insurers to pay bodily injury

23         liability protection benefits for specified

24         injuries; amending s. 627.739, F.S.; modifying

25         certain deductibles and limitations on personal

26         injury protection coverage; amending s.

27         627.7401, F.S.; conforming references;

28         repealing s. 627.737, F.S., relating to a tort

29         exemption, limitation on right to damages, and

30         punitive damages; providing an effective date.

31

                                  1

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




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

  2

  3         Section 1.  Subsections (1) and (7) of section 324.021,

  4  Florida Statutes, are amended to read:

  5         324.021  Definitions; minimum insurance required.--The

  6  following words and phrases when used in this chapter shall,

  7  for the purpose of this chapter, have the meanings

  8  respectively ascribed to them in this section, except in those

  9  instances where the context clearly indicates a different

10  meaning:

11         (1)  MOTOR VEHICLE.--Every self-propelled vehicle which

12  is designed and required to be licensed for use upon a

13  highway, including trailers and semitrailers designed for use

14  with such vehicles, except traction engines, road rollers,

15  farm tractors, power shovels, and well drillers, and every

16  vehicle which is propelled by electric power obtained from

17  overhead wires but not operated upon rails, but not including

18  any bicycle or moped. However, the term "motor vehicle" shall

19  not include any motor vehicle as defined in s. 627.732(1) when

20  the owner of such vehicle has complied with the requirements

21  of ss. 627.730-627.7405, inclusive, unless the provisions of

22  s. 324.051 apply; and, in such case, the applicable proof of

23  insurance provisions of s. 320.02 apply.

24         (7)  PROOF OF FINANCIAL RESPONSIBILITY.--That proof of

25  ability to respond in damages for liability on account of

26  crashes arising out of the use of a motor vehicle:

27         (a)  In the amount of $25,000 $10,000 because of bodily

28  injury to, or death of, one person in any one crash;

29         (b)  Subject to such limits for one person, in the

30  amount of $50,000 $20,000 because of bodily injury to, or

31  death of, two or more persons in any one crash;

                                  2

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1         (c)  In the amount of $10,000 because of injury to, or

  2  destruction of, property of others in any one crash; and

  3         (d)  With respect to commercial motor vehicles and

  4  nonpublic sector buses, in the amounts specified in ss.

  5  627.7415 and 627.742, respectively.

  6         Section 2.  Section 324.023, Florida Statutes, is

  7  created to read:

  8         324.023  Financial responsibility for bodily injury or

  9  death.--The owner of a motor vehicle that is required to be

10  registered in this state or located within this state shall,

11  by one of the methods prescribed in s. 324.031, establish and

12  maintain the ability to respond in damages for liability

13  resulting from accidents arising out of the use of the motor

14  vehicle in the amounts prescribed in s. 324.021(7)(a) and (b).

15         Section 3.  Subsection (4) is added to section 324.221,

16  Florida Statutes, to read:

17         324.221  Penalties.--

18         (4)  Any person who commits fraud in connection with

19  any claim against an insurance policy issued pursuant to this

20  chapter shall receive a minimum mandatory sentence of 1 year

21  imprisonment.

22         Section 4.  Section 627.730, Florida Statutes, is

23  amended to read:

24         627.730  Florida Motor Vehicle No-Fault Law.--Sections

25  627.730-627.7405 may be cited and known as the "Florida Motor

26  Vehicle Personal Responsibility Act No-Fault Law."

27         Section 5.  Section 627.731, Florida Statutes, is

28  amended to read:

29         627.731  Purpose.--The purpose of ss. 627.730-627.7405

30  is to provide for medical, surgical, funeral, and disability

31  insurance benefits without regard to fault, and to require

                                  3

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  motor vehicle insurance securing such benefits, for motor

  2  vehicles required to be registered in this state and, with

  3  respect to motor vehicle accidents, a limitation on the right

  4  to claim damages for pain, suffering, mental anguish, and

  5  inconvenience.

  6         Section 6.  Subsections (4) and (7) of section 627.733,

  7  Florida Statutes, are amended to read:

  8         627.733  Required security.--

  9         (4)  An owner of a motor vehicle with respect to which

10  security is required by this section who fails to have such

11  security in effect at the time of an accident shall have no

12  immunity from tort liability, but shall be personally liable

13  for the payment of benefits under s. 627.736.  With respect to

14  such benefits, such an owner shall have all of the rights and

15  obligations of an insurer under ss. 627.730-627.7405.

16         (7)  Any operator or owner whose driver's license or

17  registration has been suspended pursuant to this section or s.

18  316.646 may effect its reinstatement upon compliance with the

19  requirements of this section and upon payment to the

20  Department of Highway Safety and Motor Vehicles of a

21  nonrefundable reinstatement fee of $150 for the first

22  reinstatement.  Such reinstatement fee shall be $250 for the

23  second reinstatement and $500 for each subsequent

24  reinstatement during the 3 years following the first

25  reinstatement. Any person reinstating her or his insurance

26  under this subsection must also secure noncancelable coverage

27  as described in s. 324.021(8) or s. 627.7275(2) and present to

28  the appropriate person proof that the coverage is in force on

29  a form promulgated by the Department of Highway Safety and

30  Motor Vehicles, such proof to be maintained for 2 years.  If

31  the person does not have a second reinstatement within 3 years

                                  4

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  after her or his initial reinstatement, the reinstatement fee

  2  shall be $150 for the first reinstatement after that 3-year

  3  period. In the event that a person's license and registration

  4  are suspended pursuant to this section or s. 316.646, only one

  5  reinstatement fee shall be paid to reinstate the license and

  6  the registration. All fees shall be collected by the

  7  Department of Highway Safety and Motor Vehicles at the time of

  8  reinstatement.  The Department of Highway Safety and Motor

  9  Vehicles shall issue proper receipts for such fees and shall

10  promptly deposit those fees in the Highway Safety Operating

11  Trust Fund. One-third of the fee collected under this

12  subsection shall be distributed from the Highway Safety

13  Operating Trust Fund to the local government entity or state

14  agency which employed the law enforcement officer or the

15  recovery agent who seizes a license plate pursuant to s.

16  324.201 or to s. 324.202.  Such funds may be used by the local

17  government entity or state agency for any authorized purpose.

18         Section 7.  Section 627.736, Florida Statutes, is

19  amended to read:

20         627.736  Required personal injury protection benefits;

21  exclusions; priority; claims.--

22         (1)  REQUIRED BENEFITS.--Every insurance policy

23  complying with the security requirements of s. 627.733 shall

24  provide bodily personal injury liability protection to the

25  named insured, relatives residing in the same household, and

26  persons operating the insured motor vehicle (and may provide

27  personal injury protection benefits to them), passengers in

28  such motor vehicle, and other persons struck by such motor

29  vehicle and suffering bodily injury while not an occupant of a

30  self-propelled vehicle, subject to the provisions of

31  subsection (2) and paragraph (4)(d), to a limit of $10,000 for

                                  5

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  loss sustained by any such person as a result of bodily

  2  injury, sickness, disease, or death arising out of the

  3  ownership, maintenance, or use of a motor vehicle as follows:

  4         (a)  Medical benefits.--Eighty percent of all

  5  reasonable expenses for necessary medical, surgical, X-ray,

  6  dental, and rehabilitative services, including prosthetic

  7  devices, and necessary ambulance, hospital, and nursing

  8  services.  Such benefits shall also include necessary remedial

  9  treatment and services recognized and permitted under the laws

10  of the state for an injured person who relies upon spiritual

11  means through prayer alone for healing, in accordance with his

12  or her religious beliefs.

13         (b)  Disability benefits.--Sixty percent of any loss of

14  gross income and loss of earning capacity per individual from

15  inability to work proximately caused by the injury sustained

16  by the injured person, plus all expenses reasonably incurred

17  in obtaining from others ordinary and necessary services in

18  lieu of those that, but for the injury, the injured person

19  would have performed without income for the benefit of his or

20  her household. All disability benefits payable under this

21  provision shall be paid not less than every 2 weeks.

22         (c)  Death benefits.--Death benefits of $5,000 per

23  individual.  The insurer may pay such benefits to the executor

24  or administrator of the deceased, to any of the deceased's

25  relatives by blood or legal adoption or connection by

26  marriage, or to any person appearing to the insurer to be

27  equitably entitled thereto.

28

29  Only insurers writing motor vehicle liability insurance in

30  this state may provide the required benefits of this section,

31  and no such insurer shall require the purchase of any other

                                  6

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  motor vehicle coverage other than the purchase of property

  2  damage liability coverage as required by s. 627.7275 as a

  3  condition for providing such required benefits. Insurers may

  4  not require that property damage liability insurance in an

  5  amount greater than $10,000 be purchased in conjunction with

  6  bodily personal injury liability protection.  Such insurers

  7  shall make benefits and required property damage liability

  8  insurance coverage available through normal marketing

  9  channels. Any insurer writing motor vehicle liability

10  insurance in this state who fails to comply with such

11  availability requirement as a general business practice shall

12  be deemed to have violated part X of chapter 626, and such

13  violation shall constitute an unfair method of competition or

14  an unfair or deceptive act or practice involving the business

15  of insurance; and any such insurer committing such violation

16  shall be subject to the penalties afforded in such part, as

17  well as those which may be afforded elsewhere in the insurance

18  code.

19         (2)  AUTHORIZED EXCLUSIONS.--Any insurer may exclude

20  benefits:

21         (a)  Under a personal injury protection policy, for

22  injury sustained by the named insured and relatives residing

23  in the same household while occupying another motor vehicle

24  owned by the named insured and not insured under the policy or

25  for injury sustained by any person operating the insured motor

26  vehicle without the express or implied consent of the insured,

27  or under a bodily injury liability policy, for bodily injury

28  caused by the named insured and relatives residing in the same

29  household under any of these circumstances.

30         (b)  Under either a personal injury protection or

31  bodily injury liability policy, to any injured person, if such

                                  7

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  person's conduct contributed to his or her injury under any of

  2  the following circumstances:

  3         1.  Causing injury to himself or herself intentionally;

  4  or

  5         2.  Being injured while committing a felony.

  6

  7  Whenever an insured is charged with conduct as set forth in

  8  subparagraph 2., the 30-day payment provision of paragraph

  9  (4)(b) shall be held in abeyance, and the insurer shall

10  withhold payment of any personal injury protection benefits

11  pending the outcome of the case at the trial level.  If the

12  charge is nolle prossed or dismissed or the insured is

13  acquitted, the 30-day payment provision shall run from the

14  date the insurer is notified of such action.

15         (3)  INSURED'S RIGHTS TO RECOVERY OF SPECIAL DAMAGES IN

16  TORT CLAIMS.--No insurer shall have a lien on any recovery in

17  tort by judgment, settlement, or otherwise for personal injury

18  protection benefits, whether suit has been filed or settlement

19  has been reached without suit, but may have a lien on any

20  recovery for bodily injury liability benefits or medical

21  payments insurance.  An injured party who is entitled to bring

22  suit under the provisions of ss. 627.730-627.7405, or his or

23  her legal representative, shall have no right to recover any

24  damages for which personal injury protection benefits are paid

25  or payable. The plaintiff may prove all of his or her special

26  damages notwithstanding this limitation, but if special

27  damages are introduced in evidence, the trier of facts,

28  whether judge or jury, shall not award damages for personal

29  injury protection benefits paid or payable.  In all cases in

30  which a jury is required to fix damages, the court shall

31  instruct the jury that the plaintiff shall not recover such

                                  8

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  special damages for personal injury protection benefits paid

  2  or payable.

  3         (4)  BENEFITS; WHEN DUE.--Benefits due from an insurer

  4  under ss. 627.730-627.7405 shall be primary, except that

  5  benefits received under any workers' compensation law shall be

  6  credited against the benefits provided by subsection (1) and

  7  shall be due and payable as loss accrues, upon receipt of

  8  reasonable proof of such loss and the amount of expenses and

  9  loss incurred which are covered by the policy issued under ss.

10  627.730-627.7405. When the Agency for Health Care

11  Administration provides, pays, or becomes liable for medical

12  assistance under the Medicaid program related to injury,

13  sickness, disease, or death arising out of the ownership,

14  maintenance, or use of a motor vehicle, benefits under ss.

15  627.730-627.7405 shall be subject to the provisions of the

16  Medicaid program.

17         (a)  An insurer may require written notice to be given

18  as soon as practicable after an accident involving a motor

19  vehicle with respect to which the policy affords the security

20  required by ss. 627.730-627.7405.

21         (b)  Personal injury protection insurance benefits paid

22  pursuant to this section shall be overdue if not paid within

23  30 days after the insurer is furnished written notice of the

24  fact of a covered loss and of the amount of same.  If such

25  written notice is not furnished to the insurer as to the

26  entire claim, any partial amount supported by written notice

27  is overdue if not paid within 30 days after such written

28  notice is furnished to the insurer.  Any part or all of the

29  remainder of the claim that is subsequently supported by

30  written notice is overdue if not paid within 30 days after

31  such written notice is furnished to the insurer.  However, any

                                  9

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  payment shall not be deemed overdue when the insurer has

  2  reasonable proof to establish that the insurer is not

  3  responsible for the payment, notwithstanding that written

  4  notice has been furnished to the insurer.  For the purpose of

  5  calculating the extent to which any benefits are overdue,

  6  payment shall be treated as being made on the date a draft or

  7  other valid instrument which is equivalent to payment was

  8  placed in the United States mail in a properly addressed,

  9  postpaid envelope or, if not so posted, on the date of

10  delivery.

11         (c)  All overdue payments shall bear simple interest at

12  the rate of 10 percent per year.

13         (d)  The insurer of the owner of a motor vehicle shall

14  pay personal injury protection benefits for:

15         1.  Accidental bodily injury sustained in this state by

16  the owner while occupying a motor vehicle, or while not an

17  occupant of a self-propelled vehicle if the injury is caused

18  by physical contact with a motor vehicle.

19         2.  Accidental bodily injury sustained outside this

20  state, but within the United States of America or its

21  territories or possessions or Canada, by the owner while

22  occupying the owner's motor vehicle.

23         3.  Accidental bodily injury sustained by a relative of

24  the owner residing in the same household, under the

25  circumstances described in subparagraph 1. or subparagraph 2.,

26  provided the relative at the time of the accident is domiciled

27  in the owner's household and is not himself or herself the

28  owner of a motor vehicle with respect to which security is

29  required under ss. 627.730-627.7405.

30         4.  Accidental bodily injury sustained in this state by

31  any other person while occupying the owner's motor vehicle or,

                                  10

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  if a resident of this state, while not an occupant of a

  2  self-propelled vehicle, if the injury is caused by physical

  3  contact with such motor vehicle, provided the injured person

  4  is not himself or herself:

  5         a.  The owner of a motor vehicle with respect to which

  6  security is required under ss. 627.730-627.7405; or

  7         b.  Entitled to personal injury benefits from the

  8  insurer of the owner or owners of such a motor vehicle.

  9         (c)  The insurer of the owner of a motor vehicle shall

10  pay bodily injury liability protection benefits for:

11         1.  Accidental bodily injury caused in this state by

12  the owner while occupying a motor vehicle, or while not an

13  occupant of a self-propelled vehicle, if the injury is caused

14  by physical contact with a motor vehicle.

15         2.  Accidental bodily injury caused outside this state,

16  but within the United States or its territories or possessions

17  or Canada, by the owner while occupying the owner's vehicle.

18         3.  Accidental bodily injury caused by a relative of

19  the owner residing in the same household under the

20  circumstances described in subparagraph 1. or subparagraph 2.,

21  provided that the relative is domiciled at the time of the

22  accident in the owner's household and is not the owner of a

23  motor vehicle with respect to which security is required under

24  ss. 627.730-627.7405.

25         4.  Accidental bodily injury sustained in this state by

26  any other person while occupying the owner's motor vehicle.

27         (f)(e)  If two or more insurers are liable to pay

28  personal injury protection benefits or bodily injury liability

29  benefits for the same injury to any one person, the maximum

30  payable shall be as specified in subsection (1), and any

31  insurer paying the benefits shall be entitled to recover from

                                  11

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  each of the other insurers an equitable pro rata share of the

  2  benefits paid and expenses incurred in processing the claim.

  3         (g)(f)  Medical payments insurance, if available in a

  4  policy of motor vehicle insurance, shall pay the portion of

  5  any claim for personal injury protection medical benefits

  6  which is otherwise covered but is not payable due to the

  7  coinsurance provision of paragraph (1)(a), regardless of

  8  whether the full amount of personal injury protection coverage

  9  has been exhausted.  The benefits shall not be payable for the

10  amount of any deductible which has been selected.

11         (h)(g)  It is a violation of the insurance code for an

12  insurer to fail to timely provide benefits as required by this

13  section with such frequency as to constitute a general

14  business practice.

15         (5)  CHARGES FOR TREATMENT OF INJURED PERSONS.--

16         (a)  Any physician, hospital, clinic, or other person

17  or institution lawfully rendering treatment to an injured

18  person for a bodily injury covered by personal injury

19  protection insurance may charge only a reasonable amount for

20  the products, services, and accommodations rendered, and the

21  insurer providing such coverage may pay for such charges

22  directly to such person or institution lawfully rendering such

23  treatment, if the insured receiving such treatment or his or

24  her guardian has countersigned the invoice, bill, or claim

25  form approved by the Department of Insurance upon which such

26  charges are to be paid for as having actually been rendered,

27  to the best knowledge of the insured or his or her guardian.

28  In no event, however, may such a charge be in excess of the

29  amount the person or institution customarily charges for like

30  products, services, or accommodations in cases involving no

31  insurance, provided that charges for cephalic thermograms and

                                  12

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  peripheral thermograms shall not exceed the maximum

  2  reimbursement allowance for such procedures as set forth in

  3  the applicable fee schedule established pursuant to s. 440.13.

  4         (b)  With respect to any treatment or service, other

  5  than medical services billed by a hospital for services

  6  rendered at a hospital-owned facility,  the statement of

  7  charges must be furnished to the insurer by the provider and

  8  may not include, and the insurer is not required to pay,

  9  charges for treatment or services rendered more than 30 days

10  before the postmark date of the statement, except for past due

11  amounts previously billed on a timely basis under this

12  paragraph, and except that, if the provider submits to the

13  insurer a notice of initiation of treatment within 21 days

14  after its first examination or treatment of the claimant, the

15  statement may include charges for treatment or services

16  rendered up to, but not more than, 60 days before the postmark

17  date of the statement. The injured party is not liable for,

18  and the provider shall not bill the injured party for, charges

19  that are unpaid because of the provider's failure to comply

20  with this paragraph. Any agreement requiring the injured

21  person or insured to pay for such charges is unenforceable.

22  For emergency services and care as defined in s. 395.002

23  rendered in a hospital emergency department or for transport

24  and treatment rendered by an ambulance provider licensed

25  pursuant to part III of chapter 401, the provider is not

26  required to furnish the statement of charges within the time

27  periods established by this paragraph; and the insurer shall

28  not be considered to have been furnished with notice of the

29  amount of covered loss for purposes of paragraph (4)(b) until

30  it receives a statement complying with paragraph (5)(d), or

31  copy thereof, which specifically identifies the place of

                                  13

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  service to be a hospital emergency department or an ambulance

  2  in accordance with billing standards recognized by the Health

  3  Care Finance Administration. Each notice of insured's rights

  4  under s. 627.7401 must include the following statement in type

  5  no smaller than 12 points:

  6         BILLING REQUIREMENTS.--Florida Statutes provide

  7         that with respect to any treatment or services,

  8         other than certain hospital and emergency

  9         services, the statement of charges furnished to

10         the insurer by the provider may not include,

11         and the insurer and the injured party are not

12         required to pay, charges for treatment or

13         services rendered more than 30 days before the

14         postmark date of the statement, except for past

15         due amounts previously billed on a timely

16         basis, and except that, if the provider submits

17         to the insurer a notice of initiation of

18         treatment within 21 days after its first

19         examination or treatment of the claimant, the

20         statement may include charges for treatment or

21         services rendered up to, but not more than, 60

22         days before the postmark date of the statement.

23         (c)  Every insurer shall include a provision in its

24  policy for personal injury protection benefits for binding

25  arbitration of any claims dispute involving medical benefits

26  arising between the insurer and any person providing medical

27  services or supplies if that person has agreed to accept

28  assignment of personal injury protection benefits. The

29  provision shall specify that the provisions of chapter 682

30  relating to arbitration shall apply.  The prevailing party

31  shall be entitled to attorney's fees and costs. For purposes

                                  14

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  of the award of attorney's fees and costs, the prevailing

  2  party shall be determined as follows:

  3         1.  When the amount of personal injury protection

  4  benefits determined by arbitration exceeds the sum of the

  5  amount offered by the insurer at arbitration plus 50 percent

  6  of the difference between the amount of the claim asserted by

  7  the claimant at arbitration and the amount offered by the

  8  insurer at arbitration, the claimant is the prevailing party.

  9         2.  When the amount of personal injury protection

10  benefits determined by arbitration is less than the sum of the

11  amount offered by the insurer at arbitration plus 50 percent

12  of the difference between the amount of the claim asserted by

13  the claimant at arbitration and the amount offered by the

14  insurer at arbitration, the insurer is the prevailing party.

15         3.  When neither subparagraph 1. nor subparagraph 2.

16  applies, there is no prevailing party. For purposes of this

17  paragraph, the amount of the offer or claim at arbitration is

18  the amount of the last written offer or claim made at least 30

19  days prior to the arbitration.

20         4.  In the demand for arbitration, the party requesting

21  arbitration must include a statement specifically identifying

22  the issues for arbitration for each examination or treatment

23  in dispute. The other party must subsequently issue a

24  statement specifying any other examinations or treatment and

25  any other issues that it intends to raise in the arbitration.

26  The parties may amend their statements up to 30 days prior to

27  arbitration, provided that arbitration shall be limited to

28  those identified issues and neither party may add additional

29  issues during arbitration.

30         (d)  All statements and bills for medical services

31  rendered by any physician, hospital, clinic, or other person

                                  15

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  or institution shall be submitted to the insurer on a Health

  2  Care Finance Administration 1500 form, UB 92 forms, or any

  3  other standard form approved by the department for purposes of

  4  this paragraph. All billings for such services shall, to the

  5  extent applicable, follow the Physicians' Current Procedural

  6  Terminology (CPT) in the year in which services are rendered.

  7  No statement of medical services may include charges for

  8  medical services of a person or entity that performed such

  9  services without possessing the valid licenses required to

10  perform such services. For purposes of paragraph (4)(b), an

11  insurer shall not be considered to have been furnished with

12  notice of the amount of covered loss or medical bills due

13  unless the statements or bills comply with this paragraph.

14         (6)  DISCOVERY OF FACTS ABOUT AN INJURED PERSON;

15  DISPUTES.--

16         (a)  Every employer shall, if a request is made by an

17  insurer providing personal injury protection benefits under

18  ss. 627.730-627.7405 or s. 324.023 against whom a claim has

19  been made, furnish forthwith, in a form approved by the

20  department, a sworn statement of the earnings, since the time

21  of the bodily injury and for a reasonable period before the

22  injury, of the person upon whose injury the claim is based.

23         (b)  Every physician, hospital, clinic, or other

24  medical institution providing, before or after bodily injury

25  upon which a claim for personal injury protection insurance

26  benefits is based, any products, services, or accommodations

27  in relation to that or any other injury, or in relation to a

28  condition claimed to be connected with that or any other

29  injury, shall, if requested to do so by the insurer against

30  whom the claim has been made, furnish forthwith a written

31  report of the history, condition, treatment, dates, and costs

                                  16

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  of such treatment of the injured person, together with a sworn

  2  statement that the treatment or services rendered were

  3  reasonable and necessary with respect to the bodily injury

  4  sustained and identifying which portion of the expenses for

  5  such treatment or services was incurred as a result of such

  6  bodily injury, and produce forthwith, and permit the

  7  inspection and copying of, his or her or its records regarding

  8  such history, condition, treatment, dates, and costs of

  9  treatment. Such sworn statement shall read as follows: "Under

10  penalty of perjury, I declare that I have read the foregoing,

11  and the facts alleged are true, to the best of my knowledge

12  and belief." No cause of action for violation of the

13  physician-patient privilege or invasion of the right of

14  privacy shall be permitted against any physician, hospital,

15  clinic, or other medical institution complying with the

16  provisions of this section. The person requesting such records

17  and such sworn statement shall pay all reasonable costs

18  connected therewith. If an insurer makes a written request for

19  documentation under this paragraph within 20 days after having

20  received notice of the amount of a covered loss under

21  paragraph (4)(a), the insurer shall pay the amount or partial

22  amount of covered loss to which such documentation relates in

23  accordance with paragraph (4)(b) or within 10 days after the

24  insurer's receipt of the requested documentation, whichever

25  occurs later. For purposes of this paragraph, the term

26  "receipt" includes, but is not limited to, inspection and

27  copying pursuant to this paragraph.

28         (c)  In the event of any dispute regarding an insurer's

29  right to discovery of facts about an injured person's earnings

30  or about his or her history, condition, or treatment, or the

31  dates and costs of such treatment, the insurer may petition a

                                  17

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  court of competent jurisdiction to enter an order permitting

  2  such discovery.  The order may be made only on motion for good

  3  cause shown and upon notice to all persons having an interest,

  4  and it shall specify the time, place, manner, conditions, and

  5  scope of the discovery. Such court may, in order to protect

  6  against annoyance, embarrassment, or oppression, as justice

  7  requires, enter an order refusing discovery or specifying

  8  conditions of discovery and may order payments of costs and

  9  expenses of the proceeding, including reasonable fees for the

10  appearance of attorneys at the proceedings, as justice

11  requires.

12         (d)  The injured person shall be furnished, upon

13  request, a copy of all information obtained by the insurer

14  under the provisions of this section, and shall pay a

15  reasonable charge, if required by the insurer.

16         (e)  Notice to an insurer of the existence of a claim

17  shall not be unreasonably withheld by an insured.

18         (7)  MENTAL AND PHYSICAL EXAMINATION OF INJURED PERSON;

19  REPORTS.--

20         (a)  Whenever the mental or physical condition of an

21  injured person covered by personal injury protection is

22  material to any claim that has been or may be made for past or

23  future personal injury protection insurance benefits, such

24  person shall, upon the request of an insurer, submit to mental

25  or physical examination by a physician or physicians.  The

26  costs of any examinations requested by an insurer shall be

27  borne entirely by the insurer. Such examination shall be

28  conducted within the municipality where the insured is

29  receiving treatment, or in a location reasonably accessible to

30  the insured, which, for purposes of this paragraph, means any

31  location within the municipality in which the insured resides,

                                  18

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  or any location within 10 miles by road of the insured's

  2  residence, provided such location is within the county in

  3  which the insured resides. If the examination is to be

  4  conducted in a location reasonably accessible to the insured,

  5  and if there is no qualified physician to conduct the

  6  examination in a location reasonably accessible to the

  7  insured, then such examination shall be conducted in an area

  8  of the closest proximity to the insured's residence.  Personal

  9  protection insurers are authorized to include reasonable

10  provisions in personal injury protection insurance policies

11  for mental and physical examination of those claiming personal

12  injury protection insurance benefits. An insurer may not

13  withdraw payment of a treating physician without the consent

14  of the injured person covered by the personal injury

15  protection, unless the insurer first obtains a report by a

16  physician licensed under the same chapter as the treating

17  physician whose treatment authorization is sought to be

18  withdrawn, stating that treatment was not reasonable, related,

19  or necessary.

20         (b)  If requested by the person examined, a party

21  causing an examination to be made shall deliver to him or her

22  a copy of every written report concerning the examination

23  rendered by an examining physician, at least one of which

24  reports must set out the examining physician's findings and

25  conclusions in detail.  After such request and delivery, the

26  party causing the examination to be made is entitled, upon

27  request, to receive from the person examined every written

28  report available to him or her or his or her representative

29  concerning any examination, previously or thereafter made, of

30  the same mental or physical condition.  By requesting and

31  obtaining a report of the examination so ordered, or by taking

                                  19

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  the deposition of the examiner, the person examined waives any

  2  privilege he or she may have, in relation to the claim for

  3  benefits, regarding the testimony of every other person who

  4  has examined, or may thereafter examine, him or her in respect

  5  to the same mental or physical condition. If a person

  6  unreasonably refuses to submit to an examination, the personal

  7  injury protection carrier is no longer liable for subsequent

  8  personal injury protection benefits.

  9         (8)  APPLICABILITY OF PROVISION REGULATING ATTORNEY'S

10  FEES.--With respect to any dispute under the provisions of ss.

11  627.730-627.7405 between the insured and the insurer, the

12  provisions of s. 627.428 shall apply.

13         (9)(a)  Each insurer which has issued a policy

14  providing bodily personal injury liability protection benefits

15  shall report the renewal, cancellation, or nonrenewal thereof

16  to the Department of Highway Safety and Motor Vehicles within

17  45 days from the effective date of the renewal, cancellation,

18  or nonrenewal. Upon the issuance of a policy providing bodily

19  personal injury liability protection benefits to a named

20  insured not previously insured by the insurer thereof during

21  that calendar year, the insurer shall report the issuance of

22  the new policy to the Department of Highway Safety and Motor

23  Vehicles within 30 days.  The report shall be in such form and

24  format and contain such information as may be required by the

25  Department of Highway Safety and Motor Vehicles which shall

26  include a format compatible with the data processing

27  capabilities of said department, and the Department of Highway

28  Safety and Motor Vehicles is authorized to adopt rules

29  necessary with respect thereto. Failure by an insurer to file

30  proper reports with the Department of Highway Safety and Motor

31  Vehicles as required by this subsection or rules adopted with

                                  20

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  respect to the requirements of this subsection constitutes a

  2  violation of the Florida Insurance Code. Reports of

  3  cancellations and policy renewals and reports of the issuance

  4  of new policies received by the Department of Highway Safety

  5  and Motor Vehicles are confidential and exempt from the

  6  provisions of s. 119.07(1). These records are to be used for

  7  enforcement and regulatory purposes only, including the

  8  generation by the department of data regarding compliance by

  9  owners of motor vehicles with financial responsibility

10  coverage requirements. In addition, the Department of Highway

11  Safety and Motor Vehicles shall release, upon a written

12  request by a person involved in a motor vehicle accident, by

13  the person's attorney, or by a representative of the person's

14  motor vehicle insurer, the name of the insurance company and

15  the policy number for the policy covering the vehicle named by

16  the requesting party.  The written request must include a copy

17  of the appropriate accident form as provided in s. 316.065, s.

18  316.066, or s. 316.068.

19         (b)  Every insurer with respect to each insurance

20  policy providing bodily personal injury liability protection

21  benefits shall notify the named insured or in the case of a

22  commercial fleet policy, the first named insured in writing

23  that any cancellation or nonrenewal of the policy will be

24  reported by the insurer to the Department of Highway Safety

25  and Motor Vehicles.  The notice shall also inform the named

26  insured that failure to maintain bodily personal injury

27  liability protection and property damage liability insurance

28  on a motor vehicle when required by law may result in the loss

29  of registration and driving privileges in this state, and the

30  notice shall inform the named insured of the amount of the

31  reinstatement fees required by s. 627.733(7).  This notice is

                                  21

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1  for informational purposes only, and no civil liability shall

  2  attach to an insurer due to failure to provide this notice.

  3         (10)  An insurer may negotiate and enter into contracts

  4  with licensed health care providers for the benefits described

  5  in this section, referred to in this section as "preferred

  6  providers," which shall include health care providers licensed

  7  under chapters 458, 459, 460, 461, and 463. The insurer may

  8  provide an option to an insured to use a preferred provider at

  9  the time of purchase of the policy for bodily personal injury

10  liability protection benefits, if the requirements of this

11  subsection are met.  If the insured elects to use a provider

12  who is not a preferred provider, whether the insured purchased

13  a preferred provider policy or a nonpreferred provider policy,

14  the medical benefits provided by the insurer shall be as

15  required by this section.  If the insured elects to use a

16  provider who is a preferred provider, the insurer may pay

17  medical benefits in excess of the benefits required by this

18  section and may waive or lower the amount of any deductible

19  that applies to such medical benefits.  If the insurer offers

20  a preferred provider policy to a policyholder or applicant, it

21  must also offer a nonpreferred provider policy. The insurer

22  shall provide each policyholder with a current roster of

23  preferred providers in the county in which the insured resides

24  at the time of purchase of such policy, and shall make such

25  list available for public inspection during regular business

26  hours at the principal office of the insurer within the state.

27         Section 8.  Subsection (1) of section 627.739, Florida

28  Statutes, is amended to read:

29         627.739  Personal injury protection; optional

30  limitations; deductibles.--

31

                                  22

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1         (1)  The named insured may elect a deductible or

  2  modified coverage or combination thereof to apply to the named

  3  insured alone or to the named insured and dependent relatives

  4  residing in the same household, but may not elect a deductible

  5  or modified coverage to apply to any other person covered

  6  under the policy. Any person electing a deductible or modified

  7  coverage, or a combination thereof, or subject to such

  8  deductible or modified coverage as a result of the named

  9  insured's election, shall have no right to claim or to recover

10  any amount so deducted from any owner, registrant, operator,

11  or occupant of a vehicle or any person or organization legally

12  responsible for any such person's acts or omissions who is

13  made exempt from tort liability by ss. 627.730-627.7405.

14         Section 9.  Subsection (1) of section 627.7401, Florida

15  Statutes, is amended to read:

16         627.7401  Notification of insured's rights.--

17         (1)  The department, by rule, shall adopt a form for

18  the notification of insureds of their right to receive

19  personal injury protection benefits under the Florida Motor

20  Vehicle Personal Responsibility Act No-Fault Law. Such notice

21  shall include a description of the benefits provided by

22  personal injury protection, including, but not limited to, the

23  specific types of services for which medical benefits are

24  paid, disability benefits, death benefits, significant

25  exclusions from and limitations on personal injury protection

26  benefits, when payments are due, how benefits are coordinated

27  with other insurance benefits that the insured may have,

28  penalties and interest that may be imposed on insurers for

29  failure to make timely payments of benefits, and rights of

30  parties regarding disputes as to benefits.

31

                                  23

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






    Florida Senate - 2001                                  SB 1070
    33-362A-01




  1         Section 10.  Section 627.737, Florida Statutes, is

  2  repealed.

  3         Section 11.  This act shall take effect July 1, 2001.

  4

  5            *****************************************

  6                          SENATE SUMMARY

  7    Changes the Florida Motor Vehicle No-Fault Law to the
      Florida Motor Vehicle Personal Responsibility Law.
  8    Repeals s. 627.737, F.S., relating to the exemption from
      tort liability for owners, registrants, operators, or
  9    occupants of a motor vehicle for whom security has been
      provided under the act. Provides conforming changes to
10    act and to ch. 324, F.S. (See bill for details.)

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29

30

31

                                  24

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