Senate Bill sb1722

    Florida Senate - 2001                                  SB 1722

    By Senator Horne





    6-1395-01

  1                      A bill to be entitled

  2         An act relating to surety bonds; amending s.

  3         625.071, F.S.; modifying the amount of reserve

  4         which surety insurers may maintain on bail

  5         bonds and judicial bonds in lieu of the

  6         unearned premium reserve required under s.

  7         625.051, F.S.; providing financial reporting

  8         requirements; providing an effective date.

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

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12         Section 1.  Section 625.071, Florida Statutes, is

13  amended to read:

14         625.071  Special reserve for bail and judicial

15  bonds.--In lieu of the unearned premium reserve required on

16  surety bonds under s. 625.051, the department may require any

17  surety insurer or limited surety insurer to set up and

18  maintain a reserve on all bail bonds or other single-premium

19  bonds without definite expiration date, furnished in judicial

20  proceedings, equal to the lesser of 35 25 percent of the bail

21  premiums in force or $7 per $1,000 of bail liability as of the

22  date of any financial statement filed with the department.

23  Each insurer shall file a supplementary schedule showing bail

24  premiums in force and bail liability and the associated

25  special reserve for bail and judicial bonds with financial

26  statements required by s. 624.424. Bail premiums in force do

27  not include amounts retained by licensed bail bond agents or

28  licensed managing general agents total consideration charged

29  for such bonds as are outstanding as of the date of any

30  current financial statement of the insurer.

31         Section 2.  This act shall take effect July 1, 2001.

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






    Florida Senate - 2001                                  SB 1722
    6-1395-01




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  2                          SENATE SUMMARY

  3    Modifies the amount of reserve that surety insurers may
      maintain on bail bonds and judicial bonds in lieu of the
  4    unearned premium reserve required under s. 625.051, F.S.
      Specifies financial reporting requirements.
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CODING: Words stricken are deletions; words underlined are additions.