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



                                                   HOUSE AMENDMENT

                                                Bill No. CS/HB 393

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

                            CHAMBER ACTION
              Senate                               House
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  4  ______________________________________________________________

  5                                           ORIGINAL STAMP BELOW

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10  ______________________________________________________________

11  Representative(s) Simmons, Brown, and Waters offered the

12  following:

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14         Amendment (with title amendment) 

15         On page 2, line 11 through page 3, line 25

16  remove:  all of said lines

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18  and insert:  of limits of $10,000/20,000/10,000 or $30,000

19  combined single limits, and such excess insurance shall

20  provide minimum limits of $125,000/250,000/50,000

21  $50,000/100,000/50,000 or $300,000 $150,000 combined single

22  limits. These increased limits shall not affect the

23  requirements for proving financial responsibility under s.

24  324.032(1).

25         Section 2.  Subsection (1) of section 324.032, Florida

26  Statutes, is amended to read:

27         324.032  Manner of proving financial responsibility;

28  for-hire passenger transportation vehicles.--

29         (1)  Notwithstanding the provisions of s. 324.031, a

30  person who is either the owner or a lessee required to

31  maintain insurance under s. 324.021(9)(b) and who operates at

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    File original & 9 copies    03/20/02
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                                                   HOUSE AMENDMENT

                                                Bill No. CS/HB 393

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





  1  least 300 taxicabs, limousines, jitneys, or any other for-hire

  2  passenger transportation vehicles may prove financial

  3  responsibility by satisfying the following:

  4         (a)  Furnishing satisfactory evidence of holding a

  5  motor vehicle liability policy as defined in s. 324.031; or

  6         (b)  Complying with the provisions of s. 324.171, such

  7  compliance to be demonstrated by maintaining at its principal

  8  place of business an audited financial statement, prepared in

  9  accordance with generally accepted accounting principles, and

10  providing to the department a certification issued by a

11  certified public accountant that the applicant's net worth is

12  at least equal to the requirements of s. 324.171 as determined

13  by the Department of Insurance, including claims liabilities

14  in an amount certified as adequate by a Fellow of the Casualty

15  Actuarial Society.

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17  Upon request by the department, the applicant must provide the

18  department at the applicant's principal place of business in

19  this state access to the applicant's underlying financial

20  information and financial statements that provide the basis of

21  the certified public accountant's certification.  The

22  applicant shall reimburse the requesting department for all

23  reasonable costs incurred by it in reviewing the supporting

24  information.  The maximum amount of self-insurance permissible

25  under this subsection is $300,000 $100,000 and must be stated

26  on a per-occurrence basis, and the applicant shall maintain

27  adequate excess insurance issued by an authorized or eligible

28  insurer licensed or approved by the Department of Insurance.

29  All risks self-insured shall remain with the owner or lessee

30  providing it, and the risks are not transferable to any other

31  person, unless a policy complying with paragraph (a) is

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    File original & 9 copies    03/20/02
    hin0002                     12:25 pm         00393-0037-752503




                                                   HOUSE AMENDMENT

                                                Bill No. CS/HB 393

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





  1  obtained.

  2         Section 3.  Subsection (7) of section 627.7295, Florida

  3  Statutes, is amended to read:

  4         627.7295  Motor vehicle insurance contracts.--

  5         (7)  A policy of private passenger motor vehicle

  6  insurance or a binder for such a policy may be initially

  7  issued in this state only if the insurer or agent has

  8  collected from the insured an amount equal to 2 months'

  9  premium.  An insurer, agent, or premium finance company may

10  not directly or indirectly take any action resulting in the

11  insured having paid from the insured's own funds an amount

12  less than the 2 months' premium required by this subsection.

13  This subsection applies without regard to whether the premium

14  is financed by a premium finance company or is paid pursuant

15  to a periodic payment plan of an insurer or an insurance

16  agent.  This subsection does not apply if an insured or member

17  of the insured's family is renewing or replacing a policy or a

18  binder for such policy written by the same insurer or a member

19  of the same insurer group.  This subsection does not apply to

20  an insurer that issues private passenger motor vehicle

21  coverage primarily to active duty or former military personnel

22  or their dependents. This subsection does not apply if all

23  policy payments are paid pursuant to a payroll deduction plan

24  or an automatic electronic funds transfer payment plan from

25  the policyholder, provided that the first policy payment may

26  be is made by cash, cashier's check, check, or a money order.

27  This subsection and subsection (4) do not apply if all policy

28  payments to an insurer are paid pursuant to an automatic

29  electronic funds transfer payment plan from an agent or a

30  managing general agent, or if the policy is issued pursuant to

31  the transfer of a private passenger motor vehicle insurance

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    File original & 9 copies    03/20/02
    hin0002                     12:25 pm         00393-0037-752503




                                                   HOUSE AMENDMENT

                                                Bill No. CS/HB 393

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





  1  book of business by an agent from one insurer to another,

  2  provided that and if the policy includes, at a minimum,

  3  personal injury protection pursuant to ss. 627.730-627.7405;

  4  motor vehicle property damage liability pursuant to s.

  5  627.7275; and bodily injury liability in at least the amount

  6  of $10,000 because of bodily injury to, or death of, one

  7  person in any one accident and in the amount of $20,000

  8  because of bodily injury to, or death of, two or more persons

  9  in any one accident. This subsection and subsection (4) do not

10  apply if an insured has had a policy in effect for at least 6

11  months, the insured's agent is terminated by the insurer that

12  issued the policy, and the insured obtains coverage on the

13  policy's renewal date with a new company through the

14  terminated agent.

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16

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

18  And the title is amended as follows:

19         On page 1,

20  remove:  the entire title

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22  and insert:

23                  A bill to be entitled

24         An act relating to motor vehicle insurance;

25         amending ss. 324.031 and 324.032, F.S.;

26         increasing certain limits of financial

27         responsibility; specifying effect; amending s.

28         627.7295, F.S.; clarifying an exception;

29         providing an additional exception to a

30         requirement that a minimum of 2 months' premium

31         be collected to issue a policy or binder for

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    File original & 9 copies    03/20/02
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                                                   HOUSE AMENDMENT

                                                Bill No. CS/HB 393

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





  1         motor vehicle insurance; providing an effective

  2         date.

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    File original & 9 copies    03/20/02
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