Senate Bill sb1694

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    Florida Senate - 2003                                  SB 1694

    By Senator Posey





    24-766-03

  1                      A bill to be entitled

  2         An act relating to insurance; amending s.

  3         624.310, F.S.; prohibiting certain persons

  4         under disciplinary sanctions from participating

  5         in the insurance business; providing penalties;

  6         amending s. 626.989, F.S.; providing that

  7         certain investigators in the Division of

  8         Insurance Fraud are law enforcement officers;

  9         amending s. 817.234, F.S.; revising a provision

10         that prohibits certain solicitation of business

11         from persons involved in motor vehicle

12         collisions; deleting a specific prohibition

13         against attorney solicitation of such business;

14         prohibiting a person involved in an intentional

15         collision from making motor vehicle tort or

16         personal injury protection claims; providing

17         penalties; amending s. 817.236, F.S.;

18         increasing a penalty for making a false or

19         fraudulent application for motor vehicle

20         insurance; creating s. 817.2361, F.S.;

21         prohibiting the use of or involvement with a

22         fraudulent motor vehicle insurance card;

23         providing penalties; amending s. 817.412, F.S.;

24         increasing a penalty for the misrepresentation

25         of certain goods; amending s. 860.15, F.S.;

26         increasing a penalty for overcharging for

27         repairs or parts; providing an effective date.

28

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

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    Florida Senate - 2003                                  SB 1694
    24-766-03




  1         Section 1.  Subsection (8) is added to section 624.310,

  2  Florida Statutes, to read:

  3         624.310  Enforcement; cease and desist orders; removal

  4  of certain persons; fines.--

  5         (8)  CRIMINAL ENFORCEMENT.--It is unlawful for any

  6  affiliated party who is removed, restricted, or prohibited

  7  from participation in the affairs of a licensee pursuant to

  8  this section, or for any licensee whose rights or privileges

  9  have been suspended or revoked pursuant to the Florida

10  Insurance Code, to participate in the insurance business until

11  authorized to do so by the department. Any person who violates

12  this subsection commits a felony of the third degree,

13  punishable as provided in s. 775.082, s. 775.083 or s.

14  775.084.

15         Section 2.  Subsection (7) of section 626.989, Florida

16  Statutes, is amended to read:

17         626.989  Investigation by department or Division of

18  Insurance Fraud; compliance; immunity; confidential

19  information; reports to division; division investigator's

20  power of arrest.--

21         (7)  Division investigators shall have the power to

22  make arrests for criminal violations established as a result

23  of investigations. only.  The general laws applicable to

24  arrests by law enforcement officers of this state shall also

25  be applicable to such investigators.  Such investigators are

26  state law enforcement officers and shall have the power to

27  execute arrest warrants and search warrants for the same

28  criminal violations; to serve subpoenas issued for the

29  examination, investigation, and trial of all offenses

30  determined by their investigations; and to arrest upon

31  probable cause without warrant any person found in the act of

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    Florida Senate - 2003                                  SB 1694
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  1  violating any of the provisions of applicable laws.

  2  Investigators empowered to make arrests under this section

  3  shall be empowered to bear arms in the performance of their

  4  duties.  In such a situation, the investigator must be

  5  certified in compliance with the provisions of s. 943.1395 or

  6  must meet the temporary employment or appointment exemption

  7  requirements of s. 943.131 until certified.

  8         Section 3.  Subsections (8) and (9) of section 817.234,

  9  Florida Statutes, are amended to read:

10         817.234  False and fraudulent insurance claims.--

11         (8)(a)  It is unlawful for any person, with the intent

12  to defraud another person in his or her individual capacity or

13  in his or her capacity as a public or private employee, or for

14  any firm, corporation, partnership, or association, to solicit

15  or cause to be solicited any business from a person involved

16  in a motor vehicle accident by any means of communication

17  other than advertising directed to the public for the purpose

18  of making motor vehicle tort claims or claims for personal

19  injury protection benefits required by s. 627.736.  Charges

20  for any services rendered by a health care provider or

21  attorney who violates this subsection in regard to the person

22  for whom such services were rendered are noncompensable and

23  unenforceable as a matter of law. Any person who violates the

24  provisions of this subsection commits a felony of the second

25  third degree, punishable as provided in s. 775.082, s.

26  775.083, or s. 775.084.

27         (b)  It is unlawful to solicit or cause to be

28  solicited, more than 60 days after the date of the motor

29  vehicle accident, any business from a person involved in a

30  motor vehicle accident by any communication other than

31  advertising directed to the public, for the purpose of making

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    Florida Senate - 2003                                  SB 1694
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  1  motor vehicle tort claims or claims for personal injury

  2  protection benefits required by s. 627.736. Any person who

  3  violates this paragraph commits a felony of the third degree,

  4  punishable as provided in s. 775.082, s. 775.083, or s.

  5  775.084.

  6         (c)  It is unlawful for any attorney, chiropractor,

  7  physician, or owner or medical director of a clinic required

  8  to be registered pursuant to s. 456.0375 to solicit or cause

  9  to be solicited, more than 60 days after a motor vehicle

10  accident, any business from a person involved in the accident

11  by personal or telephone contact at the person's residence,

12  for the purpose of making motor vehicle tort claims or claims

13  for person injury protection benefits required by s. 627.736.

14  Any person who violates this paragraph commits a felony of the

15  third degree, punishable as provided in s. 775.082, s.

16  775.083, or s. 775.084.

17         (9)  It is unlawful to organize, plan, or knowingly

18  participate in an intentional motor vehicle collision for the

19  purpose of making motor vehicle tort claims or claims for

20  personal injury protection benefits under s. 627.736. for any

21  attorney to solicit any business relating to the

22  representation of a person involved in a motor vehicle

23  accident for the purpose of filing a motor vehicle tort claim

24  or a claim for personal injury protection benefits required by

25  s. 627.736.  The solicitation by advertising of any business

26  by an attorney relating to the representation of a person

27  injured in a specific motor vehicle accident is prohibited by

28  this section. Any person attorney who violates the provisions

29  of this subsection commits a felony of the second third

30  degree, punishable as provided in s. 775.082, s. 775.083, or

31  s. 775.084 and shall receive a sentence of imprisonment of at

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    Florida Senate - 2003                                  SB 1694
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  1  least 2 years. Whenever any circuit or special grievance

  2  committee acting under the jurisdiction of the Supreme Court

  3  finds probable cause to believe that an attorney is guilty of

  4  a violation of this section, such committee shall forward to

  5  the appropriate state attorney a copy of the finding of

  6  probable cause and the report being filed in the matter. This

  7  section shall not be interpreted to prohibit advertising by

  8  attorneys which does not entail a solicitation as described in

  9  this subsection and which is permitted by the rules regulating

10  The Florida Bar as promulgated by the Florida Supreme Court.

11         Section 4.  Subsection 817.236, Florida Statutes, is

12  amended to read:

13         817.236  False and fraudulent motor vehicle insurance

14  application.--Any person who, with intent to injure, defraud,

15  or deceive any motor vehicle insurer, including any

16  statutorily created underwriting association or pool of motor

17  vehicle insurers, presents or causes to be presented any

18  written application, or written statement in support thereof,

19  for motor vehicle insurance knowing that the application or

20  statement contains any false, incomplete, or misleading

21  information concerning any fact or matter material to the

22  application commits a felony misdemeanor of the third first

23  degree, punishable as provided in s. 775.082, or s. 775.083,

24  or s. 775.084.

25         Section 5.  Section 817.2361, Florida Statutes, is

26  created to read:

27         817.2361  False or fraudulent motor vehicle insurance

28  card.--Any person who, with intent to deceive another person,

29  creates, markets, or presents a false or fraudulent motor

30  vehicle insurance card commits a felony of the third degree,

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    Florida Senate - 2003                                  SB 1694
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  1  punishable as provided in s. 775.082, s. 775.083, or s.

  2  775.084.

  3         Section 6.  Section 817.412, Florida Statutes, is

  4  amended to read:

  5         817.412  Sale of used goods as new; penalty.--

  6         (1)  It is unlawful for a seller in a transaction where

  7  the purchase price of goods exceeds $100 to misrepresent

  8  orally, in writing, or by failure to speak that the goods are

  9  new or original when they are used or repossessed or where

10  they have been used for sales demonstration.

11         (2)  A person who violates the provisions of this

12  section commits a felony misdemeanor of the third first

13  degree, punishable as provided in s. 775.082, or s. 775.083,

14  or s. 775.084.

15         Section 7.  Section 860.15, Florida Statutes, is

16  amended to read:

17         860.15  Overcharging for repairs and parts; penalty.--

18         (1)  It is unlawful for a person to knowingly charge

19  for any services on motor vehicles which are not actually

20  performed, to knowingly and falsely charge for any parts and

21  accessories for motor vehicles not actually furnished, or to

22  knowingly and fraudulently substitute parts when such

23  substitution has no relation to the repairing or servicing of

24  the motor vehicle.

25         (2)  Any person who willfully violates violating the

26  provisions of this section commits shall be guilty of a felony

27  misdemeanor of the third second degree, punishable as provided

28  in s. 775.082, or s. 775.083, or s. 775.084.

29         Section 8.  This act shall take effect July 1, 2003.

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    Florida Senate - 2003                                  SB 1694
    24-766-03




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  2                          SENATE SUMMARY

  3    Revises provisions relating to insurance fraud. Prohibits
      certain persons under disciplinary sanctions from
  4    participating in the insurance business. Increases the
      powers of certain investigators. Revises several penalty
  5    provisions. Prohibits certain solicitation of motor
      vehicle collision participants. Prohibits certain
  6    fraudulent actions regarding collisions. Prohibits the
      use of fraudulent cards. (See bill for details.)
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