Florida Senate - 2005                        SENATOR AMENDMENT
    Bill No. CS for CS for SB 1488, 1st Eng.
                        Barcode 561706
                            CHAMBER ACTION
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11  Senator Campbell moved the following amendment:
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13         Senate Amendment (with title amendment) 
14         On page 66, between lines 9 and 10,
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16  insert:  
17         Section 27.  Paragraph (i) of subsection (1) of section
18  626.9541, Florida Statutes, is amended to read:
19         626.9541  Unfair methods of competition and unfair or
20  deceptive acts or practices defined.--
21         (1)  UNFAIR METHODS OF COMPETITION AND UNFAIR OR
22  DECEPTIVE ACTS.--The following are defined as unfair methods
23  of competition and unfair or deceptive acts or practices:
24         (i)  Unfair claim settlement practices.--
25         1.  Attempting to settle claims on the basis of an
26  application, when serving as a binder or intended to become a
27  part of the policy, or any other material document which was
28  altered without notice to, or knowledge or consent of, the
29  insured;
30         2.  A material misrepresentation made to an insured or
31  any other person having an interest in the proceeds payable
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    9:56 PM   05/06/05                             s1488e1c-32-t01

Florida Senate - 2005 SENATOR AMENDMENT Bill No. CS for CS for SB 1488, 1st Eng. Barcode 561706 1 under such contract or policy, for the purpose and with the 2 intent of effecting settlement of such claims, loss, or damage 3 under such contract or policy on less favorable terms than 4 those provided in, and contemplated by, such contract or 5 policy; or 6 3. Committing or performing with such frequency as to 7 indicate a general business practice any of the following: 8 a. Failing to adopt and implement standards for the 9 proper investigation of claims; 10 b. Misrepresenting pertinent facts or insurance policy 11 provisions relating to coverages at issue; 12 c. Failing to acknowledge and act promptly upon 13 communications with respect to claims; 14 d. Denying claims without conducting reasonable 15 investigations based upon available information; 16 e. Failing to affirm or deny full or partial coverage 17 of claims, and, as to partial coverage, the dollar amount or 18 extent of coverage, or failing to provide a written statement 19 that the claim is being investigated, upon the written request 20 of the insured within 30 days after proof-of-loss statements 21 have been completed; 22 f. Failing to promptly provide a reasonable 23 explanation in writing to the insured of the basis in the 24 insurance policy, in relation to the facts or applicable law, 25 for denial of a claim or for the offer of a compromise 26 settlement; 27 g. Failing to promptly notify the insured of any 28 additional information necessary for the processing of a 29 claim; or 30 h. Failing to clearly explain the nature of the 31 requested information and the reasons why such information is 2 9:56 PM 05/06/05 s1488e1c-32-t01
Florida Senate - 2005 SENATOR AMENDMENT Bill No. CS for CS for SB 1488, 1st Eng. Barcode 561706 1 necessary; or. 2 i. Failing to fairly and honestly participate in the 3 alternative procedures for resolution of disputed insurance 4 claims. 5 6 (Redesignate subsequent sections.) 7 8 9 ================ T I T L E A M E N D M E N T =============== 10 And the title is amended as follows: 11 On page 7, line 23, following the second semicolon, 12 13 insert: 14 amending s. 626.9541, F.S.; providing that it 15 is an unfair method of competition and an 16 unfair or deceptive act or practice to fail to 17 fairly and honestly participate in alternative 18 procedures for resolving disputed insurance 19 claims; 20 21 22 23 24 25 26 27 28 29 30 31 3 9:56 PM 05/06/05 s1488e1c-32-t01