Senate Bill sb0320c2

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    Florida Senate - 2002                     CS for CS for SB 320

    By the Committees on Finance and Taxation; Banking and
    Insurance; and Senator Holzendorf




    314-1870-02

  1                      A bill to be entitled

  2         An act relating to insurance; amending s.

  3         624.4072, F.S.; extending the term of the

  4         exemption from taxes and assessments on

  5         minority-owned property and casualty insurers;

  6         postponing the scheduled repeal of the law;

  7         providing an effective date.

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

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11         Section 1.  Section 624.4072, Florida Statutes, is

12  amended to read:

13         624.4072  Minority-owned property and casualty

14  insurers; limited exemption for taxation and assessments.--

15         (1)  A minority business that is at least 51 percent

16  owned by minority persons, as defined in s. 288.703(3),

17  initially issued a certificate of authority in this state as

18  an authorized insurer after May 1, 1998, and before January 1,

19  2002, to write property and casualty insurance shall be

20  exempt, for a period not to exceed 10 5 years from the date of

21  receiving its certificate of authority, from the following

22  taxes and assessments:

23         (a)  Taxes imposed under ss. 175.101, 185.08, and

24  624.509;

25         (b)  Assessments by the Florida Residential Property

26  and Casualty Joint Underwriting Association or by the Florida

27  Windstorm Underwriting Association, as provided under s.

28  627.351, except for emergency assessments collected from

29  policyholders pursuant to s. 627.351(2)(b)2.d.(III) and

30  (6)(b)3.d. Any such insurer shall be a member insurer of the

31  Florida Windstorm Underwriting Association and the Florida

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    Florida Senate - 2002                     CS for CS for SB 320
    314-1870-02




  1  Residential Property and Casualty Joint Underwriting

  2  Association. The premiums of such insurer shall be included in

  3  determining, for the Florida Windstorm Underwriting

  4  Association, the aggregate statewide direct written premium

  5  for property insurance and in determining, for the Florida

  6  Residential Property and Casualty Joint Underwriting

  7  Association, the aggregate statewide direct written premium

  8  for the subject lines of business for all member insurers.

  9         (2)  Subsection (1) applies only to personal lines and

10  commercial lines residential property insurance policies as

11  defined in s. 627.4025, and applies only to an insurer that

12  has employees in this state and has a home office or a

13  regional office in this state.  With respect to any tax year

14  or assessment year, the exemptions provided by subsection (1)

15  apply only if during the year an average of at least 10

16  percent of the insurer's Florida residential property policies

17  in force covered properties located in enterprise zones

18  designated pursuant to s. 290.0065.

19         (3)  The provision of the definition of "minority

20  person" in s. 288.703(3) that requires residency in Florida

21  shall not apply to the term "minority person" as used in this

22  section or s. 627.3511.

23         (4)  This section is repealed effective December 31,

24  2010 July 1, 2003, and the tax and assessment exemptions

25  authorized by this section shall terminate on such date.

26         Section 2.  This act shall take effect July 1, 2002.

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    Florida Senate - 2002                     CS for CS for SB 320
    314-1870-02




  1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
  2                            CS/SB 320

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  4  Limits the 5-year extension of the insurance premium tax
    exemption to a minority-owned insurer initially issued a
  5  certificate of authority as an authorized insurer after May 1,
    1998, and before January 1, 2002.
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CODING: Words stricken are deletions; words underlined are additions.