| 1 | Representative(s) Johnson offered the following: |
| 2 |
|
| 3 | Amendment (with title amendment) |
| 4 | Between lines 1240 and 1241, insert: |
| 5 | Section 15. Subsections (1) and (7) of section 627.7015, |
| 6 | Florida Statutes, are amended to read: |
| 7 | 627.7015 Alternative procedure for resolution of disputed |
| 8 | property insurance claims.-- |
| 9 | (1) PURPOSE AND SCOPE.--This section sets forth a |
| 10 | nonadversarial alternative dispute resolution procedure for a |
| 11 | mediated claim resolution conference prompted by the need for |
| 12 | effective, fair, and timely handling of property insurance |
| 13 | claims. There is a particular need for an informal, |
| 14 | nonthreatening forum for helping parties who elect this |
| 15 | procedure to resolve their claims disputes because most |
| 16 | homeowner's insurance policies obligate insureds to participate |
| 17 | in a potentially expensive and time-consuming adversarial |
| 18 | appraisal process prior to litigation. The procedure set forth |
| 19 | in this section is designed to bring the parties together for a |
| 20 | mediated claims settlement conference without any of the |
| 21 | trappings or drawbacks of an adversarial process. Before |
| 22 | resorting to these procedures, insureds and insurers are |
| 23 | encouraged to resolve claims as quickly and fairly as possible. |
| 24 | This section is available with respect to claims under personal |
| 25 | lines and commercial policies for all claimants and insurers |
| 26 | prior to commencing the appraisal process, or commencing |
| 27 | litigation. If requested by the insured, participation by legal |
| 28 | counsel shall be permitted. Mediation under this section is also |
| 29 | available to litigants referred to the department by a county |
| 30 | court or circuit court. This section does not apply to |
| 31 | commercial coverages, to private passenger motor vehicle |
| 32 | insurance coverages, or to disputes relating to liability |
| 33 | coverages in policies of property insurance. |
| 34 | (7) If the insurer fails to comply with subsection (2) by |
| 35 | failing to notify a claimant of its right to participate in the |
| 36 | mediation program under this section or if the insurer requests |
| 37 | the mediation, and the mediation results are rejected by either |
| 38 | party, the insured shall not be required to submit to or |
| 39 | participate in any contractual loss appraisal process of the |
| 40 | property loss damage as a precondition to legal action for |
| 41 | breach of contract against the insurer for its failure to pay |
| 42 | the policyholder's claims covered by the policy. |
| 43 |
|
| 44 |
|
| 45 | ================ T I T L E A M E N D M E N T ============= |
| 46 | Remove line 101 and insert: |
| 47 | under certain circumstances; amending s. 627.7015, F.S.; |
| 48 | revising the purpose and scope of an alternative procedure for |
| 49 | resolution of disputed property insurance claims to include |
| 50 | commercial policies; providing an additional circumstance for |
| 51 | excusing an insured from submitting to or participating in |
| 52 | certain damage appraisal processes as a precondition to legal |
| 53 | action; requiring the Auditor General |