HB 967

1	A bill to be entitled
2	An act relating to offenses involving insurance; amending
3	s. 400.9935, F.S.; prohibiting clinical directors from
4	engaging in certain patient referral activities; providing
5	a definition; providing a criminal penalty; requiring
6	health care clinics to display signs displaying certain
7	information relating to insurance fraud; authorizing
8	compliance inspections by the Division of Insurance Fraud;
9	requiring clinics to allow inspection access; amending s.
10	440.105, F.S.; deleting the provision that a violation of
11	a stop-work order is a misdemeanor of the first degree;
12	increasing penalties for employers unlawfully failing to
13	secure workers' compensation insurance when an employee is
14	injured by or dies from a work-related injury; deleting
15	provisions relating to a prohibition against employers
16	participating in the creation of employment relationships
17	based on false, fraudulent, or misleading information;
18	deleting provisions relating to presentation of false,
19	fraudulent, or misleading information to obtain
20	employment; amending s. 448.09, F.S.; prohibiting the
21	presentation of certain false, fraudulent, or misleading
22	information for the purpose of obtaining employment;
23	providing penalties; revising penalties for unauthorized
24	employment of aliens; amending s. 624.15, F.S.; specifying
25	violations of rules of the Department of Financial
26	Services, Office of Insurance Regulation, or Financial
27	Services Commission as misdemeanors; specifying a
28	violation of emergency rules or orders as a felony of the
29	third degree; providing penalties; providing for
30	nonapplication to certain persons; amending s. 624.155,
31	F.S.; providing that civil actions may be brought against
32	any person acting as an insurer without a certificate of
33	authority if damaged by such acting; amending s. 626.112,
34	F.S.; providing a criminal penalty for transacting
35	insurance without a license; amending s. 626.901, F.S.;
36	clarifying nonapplication to certain independently
37	procured coverage of a prohibition against representing or
38	aiding an unauthorized insurer; amending s. 626.918, F.S.;
39	providing that certain letters of credit issued or
40	confirmed by a qualified United States financial
41	institution may be used for certain purposes; providing a
42	definition; amending s. 626.938, F.S.; revising provisions
43	requiring a report and taxation of independently procured
44	coverages; specifying nonauthorization of independent
45	procurement of workers' compensation, life, or health
46	insurance; amending s. 626.989, F.S.; including self-
47	insured entities associated with the National Insurance
48	Crime Bureau within a list of entities required to report
49	insurance fraud; authorizing the division to adopt rules
50	for standardized reporting of fraudulent activity;
51	creating s. 626.9893, F.S.; authorizing the division to
52	deposit certain revenues into the Insurance Regulatory
53	Trust Fund; specifying accounting and uses of such
54	revenues; providing for appropriation and use of such
55	revenues; amending s. 817.234, F.S.; clarifying provisions
56	specifying material omission and insurance fraud;
57	prohibiting scheming to create documentation of a motor
58	vehicle crash that did not occur; providing a criminal
59	penalty; amending s. 817.2361, F.S.; providing that
60	creating, presenting, or marketing fraudulent proof of
61	motor vehicle insurance is a felony of the third degree;
62	amending s. 817.50, F.S.; specifying nonapplication of
63	provisions specifying evidence of intent to defraud to
64	certain investigative actions taken by law enforcement
65	officers; amending s. 817.505, F.S.; providing an
66	additional patient brokering prohibition; revising a
67	definition; amending s. 843.08, F.S.; providing a criminal
68	penalty for falsely assuming or pretending to be an
69	officer of the Department of Financial Services; amending
70	s. 932.7055, F.S.; requiring certain proceeds seized by
71	the division under the Florida Contraband Forfeiture Act
72	to be deposited into certain trust funds; providing
73	severability; providing an effective date.
74
75	Be It Enacted by the Legislature of the State of Florida:
76
77	Section 1.  Paragraph (h) is added to subsection (1) of
78	section 400.9935, Florida Statutes, and subsection (13) is added
79	to said section, to read:
80	400.9935  Clinic responsibilities.--
81	(1)  Each clinic shall appoint a medical director or clinic
82	director who shall agree in writing to accept legal
83	responsibility for the following activities on behalf of the
84	clinic. The medical director or the clinic director shall:
85	(h)  Not engage in referring patients to the clinic if the
86	clinic performs magnetic resonance imaging, static radiographs,
87	computed tomography, or positron emission tomography. The term
88	"referring patients" means referring one or more patients of the
89	medical or clinic director or a member of the medical or clinic
90	director's group practice to the clinic for magnetic resonance
91	imaging, static radiographs, computed tomography, or positron
92	emission tomography. A medical or clinic director who is found
93	to violate this paragraph commits a felony of the third degree,
94	punishable as provided in s. 775.082, s. 775.083, or s. 775.084.
95	(13)  The clinic shall display a sign in a conspicuous
96	location within the clinic readily visible to all patients
97	indicating that, pursuant to s. 626.9892, the Department of
98	Financial Services may pay rewards of up to $25,000 to persons
99	providing information leading to the arrest and conviction of
100	persons committing crimes investigated by the Division of
101	Insurance Fraud arising from violations of s. 440.105, s.
102	624.15, s. 626.9541, s. 626.989, or s. 817.234. An authorized
103	employee of the Division of Insurance Fraud may make unannounced
104	inspections of a clinic licensed under this part as necessary to
105	determine whether the clinic is in compliance with this
106	subsection. A licensed clinic shall allow full and complete
107	access to the premises to such authorized employee of the
108	division who makes an inspection to determine compliance with
109	this subsection.
110	Section 2.  Subsections (2), (3), and (4) of section
111	440.105, Florida Statutes, are amended to read:
112	440.105  Prohibited activities; reports; penalties;
113	limitations.--
114	(2)  Whoever violates any provision of this subsection
115	commits a misdemeanor of the first degree, punishable as
116	provided in s. 775.082 or s. 775.083.
117	(a)  It shall be unlawful for any employer to knowingly:
118	1.  Coerce or attempt to coerce, as a precondition to
119	employment or otherwise, an employee to obtain a certificate of
120	election of exemption pursuant to s. 440.05.
121	2.  Discharge or refuse to hire an employee or job
122	applicant because the employee or applicant has filed a claim
123	for benefits under this chapter.
124	3.  Discharge, discipline, or take any other adverse
125	personnel action against any employee for disclosing information
126	to the department or any law enforcement agency relating to any
127	violation or suspected violation of any of the provisions of
128	this chapter or rules promulgated hereunder.
129	4.  Violate a stop-work order issued by the department
130	pursuant to s. 440.107.
131	(b)  It shall be unlawful for any insurance entity to
132	revoke or cancel a workers' compensation insurance policy or
133	membership because an employer has returned an employee to work
134	or hired an employee who has filed a workers' compensation
135	claim.
136	(3)  Whoever violates any provision of this subsection
137	commits a misdemeanor of the first degree, punishable as
138	provided in s. 775.082 or s. 775.083.
139	(a)  It shall be unlawful for any employer to knowingly
140	fail to update applications for coverage as required by s.
141	440.381(1) and department rules within 7 days after the
142	reporting date for any change in the required information, or to
143	post notice of coverage pursuant to s. 440.40.
144	(b)  It shall be unlawful for any employer to knowingly
145	participate in the creation of the employment relationship in
146	which the employee has used any false, fraudulent, or misleading
147	oral or written statement as evidence of identity.
148	(b)(c)  It is unlawful for any attorney or other person, in
149	his or her individual capacity or in his or her capacity as a
150	public or private employee, or for any firm, corporation,
151	partnership, or association to receive any fee or other
152	consideration or any gratuity from a person on account of
153	services rendered for a person in connection with any
154	proceedings arising under this chapter, unless such fee,
155	consideration, or gratuity is approved by a judge of
156	compensation claims or by the Deputy Chief Judge of Compensation
157	Claims.
158	(4)  Unless otherwise specifically provided, whoever
159	violates any provision of this subsection commits insurance
160	fraud, punishable as provided in paragraph (f).
161	(a)  It shall be unlawful for any employer to knowingly:
162	1.  Present or cause to be presented any false, fraudulent,
163	or misleading oral or written statement to any person as
164	evidence of compliance with s. 440.38.
165	2.  Make a deduction from the pay of any employee entitled
166	to the benefits of this chapter for the purpose of requiring the
167	employee to pay any portion of premium paid by the employer to a
168	carrier or to contribute to a benefit fund or department
169	maintained by such employer for the purpose of providing
170	compensation or medical services and supplies as required by
171	this chapter.
172	3.  Fail to secure workers' payment of compensation if
173	required to do so by this chapter.
174	a.  However, if an employer knowingly fails to secure
175	workers' compensation coverage for an employee when required by
176	this chapter and such employee subsequently suffers a work-
177	related injury requiring medical treatment, the employer commits
178	a felony of the second degree, punishable as provided in s.
179	775.082, s. 775.083, or s. 775.084.
180	b.  However, if an employer knowingly fails to secure
181	workers' compensation coverage for an employee when required by
182	this chapter and such employee subsequently suffers a work-
183	related death, the employer commits a felony of the first
184	degree, punishable as provided in s. 775.082, s. 775.083, or s.
185	775.084.
186	(b)  It is shall be unlawful for any person:
187	1.  To knowingly make, or cause to be made, any false,
188	fraudulent, or misleading oral or written statement for the
189	purpose of obtaining or denying any benefit or payment under
190	this chapter.
191	2.  To present or cause to be presented any written or oral
192	statement as part of, or in support of, a claim for payment or
193	other benefit pursuant to any provision of this chapter, knowing
194	that such statement contains any false, incomplete, or
195	misleading information concerning any fact or thing material to
196	such claim.
197	3.  To prepare or cause to be prepared any written or oral
198	statement that is intended to be presented to any employer,
199	insurance company, or self-insured program in connection with,
200	or in support of, any claim for payment or other benefit
201	pursuant to any provision of this chapter, knowing that such
202	statement contains any false, incomplete, or misleading
203	information concerning any fact or thing material to such claim.
204	4.  To knowingly assist, conspire with, or urge any person
205	to engage in activity prohibited by this section.
206	5.  To knowingly make any false, fraudulent, or misleading
207	oral or written statement, or to knowingly omit or conceal
208	material information, required by s. 440.185 or s. 440.381, for
209	the purpose of obtaining workers' compensation coverage or for
210	the purpose of avoiding, delaying, or diminishing the amount of
211	payment of any workers' compensation premiums.
212	6.  To knowingly misrepresent or conceal payroll,
213	classification of workers, or information regarding an
214	employer's loss history which would be material to the
215	computation and application of an experience rating modification
216	factor for the purpose of avoiding or diminishing the amount of
217	payment of any workers' compensation premiums.
218	7.  To knowingly present or cause to be presented any
219	false, fraudulent, or misleading oral or written statement to
220	any person as evidence of compliance with s. 440.38, as evidence
221	of eligibility for a certificate of exemption under s. 440.05.
222	8.  To knowingly violate a stop-work order issued by the
223	department pursuant to s. 440.107.
224	9.  To knowingly present or cause to be presented any
225	false, fraudulent, or misleading oral or written statement to
226	any person as evidence of identity for the purpose of obtaining
227	employment or filing or supporting a claim for workers'
228	compensation benefits.
229	(c)  It shall be unlawful for any physician licensed under
230	chapter 458, osteopathic physician licensed under chapter 459,
231	chiropractic physician licensed under chapter 460, podiatric
232	physician licensed under chapter 461, optometric physician
233	licensed under chapter 463, or any other practitioner licensed
234	under the laws of this state to knowingly and willfully assist,
235	conspire with, or urge any person to fraudulently violate any of
236	the provisions of this chapter.
237	(d)  It shall be unlawful for any person or governmental
238	entity licensed under chapter 395 to maintain or operate a
239	hospital in such a manner so that such person or governmental
240	entity knowingly and willfully allows the use of the facilities
241	of such hospital by any person, in a scheme or conspiracy to
242	fraudulently violate any of the provisions of this chapter.
243	(e)  It shall be unlawful for any attorney or other person,
244	in his or her individual capacity or in his or her capacity as a
245	public or private employee, or any firm, corporation,
246	partnership, or association, to knowingly assist, conspire with,
247	or urge any person to fraudulently violate any of the provisions
248	of this chapter.
249	(f)  If the monetary value of any violation of this
250	subsection:
251	1.  Is less than $20,000, the offender commits a felony of
252	the third degree, punishable as provided in s. 775.082, s.
253	775.083, or s. 775.084.
254	2.  Is $20,000 or more, but less than $100,000, the
255	offender commits a felony of the second degree, punishable as
256	provided in s. 775.082, s. 775.083, or s. 775.084.
257	3.  Is $100,000 or more, the offender commits a felony of
258	the first degree, punishable as provided in s. 775.082, s.
259	775.083, or s. 775.084.
260	Section 3.  Section 448.09, Florida Statutes, is amended to
261	read:
262	448.09  Unauthorized aliens; employment prohibited.--
263	(1)  It is shall be unlawful for any person knowingly to
264	employ, hire, recruit, or refer, either for herself or himself
265	or on behalf of another, for private or public employment within
266	the state, an alien who is not duly authorized to work by the
267	immigration laws or the Attorney General of the United States.
268	(2)  It is unlawful to knowingly present or cause to be
269	presented any false, fraudulent, or misleading oral or written
270	statements to any person as evidence of identity for the purpose
271	of obtaining employment. The first violation of subsection (1)
272	shall be a noncriminal violation as defined in s. 775.08(3) and,
273	upon conviction, shall be punishable as provided in s.
274	775.082(5) by a civil fine of not more than $500, regardless of
275	the number of aliens with respect to whom the violation
276	occurred.
277	(3)  Any person who violates has been previously convicted
278	for a violation of subsection (1) or subsection (2) is and who
279	thereafter violates subsection (1), shall be guilty of a
280	misdemeanor of the first second degree, punishable as provided
281	in s. 775.082 or s. 775.083. Any such subsequent violation of
282	this section shall constitute a separate offense with respect to
283	each unauthorized alien.
284	Section 4.  Section 624.15, Florida Statutes, is amended to
285	read:
286	624.15  General penalty.--
287	(1)  Each willful violation of this code or rule of the
288	department, office, or commission as to which a greater penalty
289	is not provided by another provision of this code or rule of the
290	department, office, or commission or by other applicable laws of
291	this state is a misdemeanor of the second degree and is, in
292	addition to any prescribed applicable denial, suspension, or
293	revocation of certificate of authority, license, or permit,
294	punishable as provided in s. 775.082 or s. 775.083. Each
295	instance of such violation shall be considered a separate
296	offense.
297	(2)  Each willful violation of an emergency rule or order
298	of the department, office, or commission by a person who is not
299	licensed, authorized, or eligible to engage in business in
300	accordance with the Florida Insurance Code is a felony of the
301	third degree, punishable as provided in s. 775.082, s. 775.083,
302	or s. 775.084. Each instance of such violation is a separate
303	offense. This subsection does not apply to licensees or
304	affiliated parties of licensees.
305	Section 5.  Subsection (2) of section 624.155, Florida
306	Statutes, is amended to read:
307	624.155  Civil remedy.--
308	(2)  Any party may bring a civil action against any person
309	acting as an unauthorized insurer without a certificate of
310	authority if such party is damaged by a violation of s. 624.401
311	by that person the unauthorized insurer.
312	Section 6.  Subsection (9) is added to section 626.112,
313	Florida Statutes, to read:
314	626.112  License and appointment required; agents, customer
315	representatives, adjusters, insurance agencies, service
316	representatives, managing general agents.--
317	(9)  Any person who transacts insurance or otherwise
318	engages in insurance activities in this state without a license
319	in violation of this section commits a felony of the third
320	degree, punishable as provided in s. 775.082, s. 775.083, or s.
321	775.084.
322	Section 7.  Paragraph (d) of subsection (4) of section
323	626.901, Florida Statutes, is amended to read:
324	626.901  Representing or aiding unauthorized insurer
325	prohibited.--
326	(4)  This section does not apply to:
327	(d)  Independently procured coverage written pursuant to s.
328	626.938 which is not solicited, marketed, or sold within this
329	state.
330	Section 8.  Section 626.918, Florida Statutes, is amended
331	to read:
332	626.918  Eligible surplus lines insurers.--
333	(1)  A No surplus lines agent may not shall place any
334	coverage with any unauthorized insurer which is not then an
335	eligible surplus lines insurer, except as permitted under
336	subsections (6)(5) and (7)(6).
337	(2)  An No unauthorized insurer may not shall be or become
338	an eligible surplus lines insurer unless made eligible by the
339	office in accordance with the following conditions:
340	(a)  Eligibility of the insurer must be requested in
341	writing by the Florida Surplus Lines Service Office;
342	(b)  The insurer must be currently an authorized insurer in
343	the state or country of its domicile as to the kind or kinds of
344	insurance proposed to be so placed and must have been such an
345	insurer for not less than the 3 years next preceding or must be
346	the wholly owned subsidiary of such authorized insurer or must
347	be the wholly owned subsidiary of an already eligible surplus
348	lines insurer as to the kind or kinds of insurance proposed for
349	a period of not less than the 3 years next preceding. However,
350	the office may waive the 3-year requirement if the insurer
351	provides a product or service not readily available to the
352	consumers of this state or has operated successfully for a
353	period of at least 1 year next preceding and has capital and
354	surplus of not less than $25 million;
355	(c)  Before granting eligibility, the requesting surplus
356	lines agent or the insurer shall furnish the office with a duly
357	authenticated copy of its current annual financial statement in
358	the English language and with all monetary values therein
359	expressed in United States dollars, at an exchange rate (in the
360	case of statements originally made in the currencies of other
361	countries) then-current and shown in the statement, and with
362	such additional information relative to the insurer as the
363	office may request;
364	(d)1.  The insurer must have and maintain surplus as to
365	policyholders of not less than $15 million; in addition, an
366	alien insurer must also have and maintain in the United States a
367	trust fund for the protection of all its policyholders in the
368	United States under terms deemed by the office to be reasonably
369	adequate, in an amount not less than $5.4 million. Any such
370	surplus as to policyholders or trust fund shall be represented
371	by investments consisting of eligible investments for like funds
372	of like domestic insurers under part II of chapter 625 provided,
373	however, that in the case of an alien insurance company, any
374	such surplus as to policyholders may be represented by
375	investments permitted by the domestic regulator of such alien
376	insurance company if such investments are substantially similar
377	in terms of quality, liquidity, and security to eligible
378	investments for like funds of like domestic insurers under part
379	II of chapter 625. Clean, irrevocable, unconditional, and
380	evergreen letters of credit issued or confirmed by a qualified
381	United States financial institution, as defined in subsection
382	(3), may be used to fund the trust;
383	2.  For those surplus lines insurers that were eligible on
384	January 1, 1994, and that maintained their eligibility
385	thereafter, the required surplus as to policyholders shall be:
386	a.  On December 31, 1994, and until December 30, 1995, $2.5
387	million.
388	b.  On December 31, 1995, and until December 30, 1996, $3.5
389	million.
390	c.  On December 31, 1996, and until December 30, 1997, $4.5
391	million.
392	d.  On December 31, 1997, and until December 30, 1998, $5.5
393	million.
394	e.  On December 31, 1998, and until December 30, 1999, $6.5
395	million.
396	f.  On December 31, 1999, and until December 30, 2000, $8
397	million.
398	g.  On December 31, 2000, and until December 30, 2001, $9.5
399	million.
400	h.  On December 31, 2001, and until December 30, 2002, $11
401	million.
402	i.  On December 31, 2002, and until December 30, 2003, $13
403	million.
404	j.  On December 31, 2003, and thereafter, $15 million.
405	3.  The capital and surplus requirements as set forth in
406	subparagraph 2. do not apply in the case of an insurance
407	exchange created by the laws of individual states, where the
408	exchange maintains capital and surplus pursuant to the
409	requirements of that state, or maintains capital and surplus in
410	an amount not less than $50 million in the aggregate. For an
411	insurance exchange which maintains funds in the amount of at
412	least $12 million for the protection of all insurance exchange
413	policyholders, each individual syndicate shall maintain minimum
414	capital and surplus in an amount not less than $3 million. If
415	the insurance exchange does not maintain funds in the amount of
416	at least $12 million for the protection of all insurance
417	exchange policyholders, each individual syndicate shall meet the
418	minimum capital and surplus requirements set forth in
419	subparagraph 2.;
420	4.  A surplus lines insurer which is a member of an
421	insurance holding company that includes a member which is a
422	Florida domestic insurer as set forth in its holding company
423	registration statement, as set forth in s. 628.801 and rules
424	adopted thereunder, may elect to maintain surplus as to
425	policyholders in an amount equal to the requirements of s.
426	624.408, subject to the requirement that the surplus lines
427	insurer shall at all times be in compliance with the
428	requirements of chapter 625.
429
430	The election shall be submitted to the office and shall be
431	effective upon the office's being satisfied that the
432	requirements of subparagraph 4. have been met. The initial date
433	of election shall be the date of office approval. The election
434	approval application shall be on a form adopted by commission
435	rule. The office may approve an election form submitted pursuant
436	to subparagraph 4. only if it was on file with the former
437	Department of Insurance before February 28, 1998;
438	(e)  The insurer must be of good reputation as to the
439	providing of service to its policyholders and the payment of
440	losses and claims;
441	(f)  The insurer must be eligible, as for authority to
442	transact insurance in this state, under s. 624.404(3); and
443	(g)  This subsection does not apply as to unauthorized
444	insurers made eligible under s. 626.917 as to wet marine and
445	aviation risks.
446	(3)  For purposes of subsection (2) relating to letters of
447	credit, the term "qualified United States financial institution"
448	means an institution that:
449	(a)  Is organized or, in the case of a United States office
450	of a foreign banking organization, is licensed under the laws of
451	the United States or any state thereof.
452	(b)  Is regulated, supervised, and examined by United
453	States or state authorities having regulatory authority over
454	banks and trust companies.
455	(c)  Has been determined by the office or the Securities
456	Valuation Office of the National Association of Insurance
457	Commissioners to meet such standards of financial condition and
458	standing as are considered necessary and appropriate to regulate
459	the quality of financial institutions whose letters of credit
460	are acceptable to the office.
461	(4)(3)  The office shall from time to time publish a list
462	of all currently eligible surplus lines insurers and shall mail
463	a copy thereof to each licensed surplus lines agent at his or
464	her office of record with the office.
465	(5)(4)  This section shall not be deemed to cast upon the
466	office any duty or responsibility to determine the actual
467	financial condition or claims practices of any unauthorized
468	insurer; and the status of eligibility, if granted by the
469	office, shall indicate only that the insurer appears to be sound
470	financially and to have satisfactory claims practices and that
471	the office has no credible evidence to the contrary.
472	(6)(5)  When it appears that any particular insurance risk
473	which is eligible for export, but on which insurance coverage,
474	in whole or in part, is not procurable from the eligible surplus
475	lines insurers, after a search of eligible surplus lines
476	insurers, then the surplus lines agent may file a supplemental
477	signed statement setting forth such facts and advising the
478	office that such part of the risk as shall be unprocurable, as
479	aforesaid, is being placed with named unauthorized insurers, in
480	the amounts and percentages set forth in the statement. Such
481	named unauthorized insurer shall, however, before accepting any
482	risk in this state, deposit with the department cash or
483	securities acceptable to the office and department of the market
484	value of $50,000 for each individual risk, contract, or
485	certificate, which deposit shall be held by the department for
486	the benefit of Florida policyholders only; and the surplus lines
487	agent shall procure from such unauthorized insurer and file with
488	the office a certified copy of its statement of condition as of
489	the close of the last calendar year. If such statement reveals,
490	including both capital and surplus, net assets of at least that
491	amount required for licensure of a domestic insurer, then the
492	surplus lines agent may proceed to consummate such contract of
493	insurance. Whenever any insurance risk, or any part thereof, is
494	placed with an unauthorized insurer, as provided herein, the
495	policy, binder, or cover note shall contain a statement signed
496	by the insured and the agent with the following notation: "The
497	insured is aware that certain insurers participating in this
498	risk have not been approved to transact business in Florida nor
499	have they been declared eligible as surplus lines insurers by
500	the Office of Insurance Regulation of Florida. The placing of
501	such insurance by a duly licensed surplus lines agent in Florida
502	shall not be construed as approval of such insurer by the Office
503	of Insurance Regulation of Florida. Consequently, the insured is
504	aware that the insured has severely limited the assistance
505	available under the insurance laws of Florida. The insured is
506	further aware that he or she may be charged a reasonable per
507	policy fee, as provided in s. 626.916(4), Florida Statutes, for
508	each policy certified for export." All other provisions of this
509	code shall apply to such placement the same as if such risks
510	were placed with an eligible surplus lines insurer.
511	(7)(6)  When any particular insurance risk subject to
512	subsection (6)(5) is eligible for placement with an unauthorized
513	insurer and not more than 12.5 percent of the risk is so
514	subject, the office may, at its discretion, permit the agent to
515	obtain from the insured a signed statement as indicated in
516	subsection (6)(5). All other provisions of this code apply to
517	such placement the same as if such risks were placed with an
518	eligible surplus lines insurer.
519	Section 9.  Subsections (1), (2), and (9) of section
520	626.938, Florida Statutes, are amended to read:
521	626.938  Report and tax of independently procured
522	coverages.--
523	(1)  Every insured who in this state procures or causes to
524	be procured or continues or renews insurance from another state
525	or country with an unauthorized foreign or alien insurer
526	legitimately licensed in that jurisdiction, or any self-insurer
527	who in this state so procures or continues excess loss,
528	catastrophe, or other insurance, upon a subject of insurance
529	resident, located, or to be performed within this state, other
530	than insurance procured through a surplus lines agent pursuant
531	to the Surplus Lines Law of this state or exempted from tax
532	under s. 626.932(4), shall, within 30 days after the date such
533	insurance was so procured, continued, or renewed, file a report
534	of the same with the Florida Surplus Lines Service Office in
535	writing and upon forms designated by the Florida Surplus Lines
536	Service Office and furnished to such an insured upon request, or
537	in a computer readable format as determined by the Florida
538	Surplus Lines Service Office. The report shall show the name and
539	address of the insured or insureds, the name and address of the
540	insurer, the subject of the insurance, a general description of
541	the coverage, the amount of premium currently charged therefor,
542	and such additional pertinent information as is reasonably
543	requested by the Florida Surplus Lines Service Office.
544	(2)  Any insurance on a risk located in this state in an
545	unauthorized insurer legitimately licensed in another state or
546	country procured through solicitations, negotiations, or an
547	application, in whole or in part occurring or made outside
548	within or from within this state, or for which premiums in whole
549	or in part are remitted directly or indirectly from within this
550	state, shall be deemed to be insurance procured, continued, or
551	renewed in this state within the intent of subsection (1).
552	(9)  This section does not authorize independent
553	procurement of workers' compensation insurance, apply as to life
554	insurance, or health insurance.
555	Section 10.  Subsection (6) of section 626.989, Florida
556	Statutes, is amended to read:
557	626.989  Investigation by department or Division of
558	Insurance Fraud; compliance; immunity; confidential information;
559	reports to division; division investigator's power of arrest.--
560	(6)  Any person, other than an insurer, agent, or other
561	person licensed under the code, or an employee thereof, having
562	knowledge or who believes that a fraudulent insurance act or any
563	other act or practice which, upon conviction, constitutes a
564	felony or a misdemeanor under the code, or under s. 817.234, is
565	being or has been committed may send to the Division of
566	Insurance Fraud a report or information pertinent to such
567	knowledge or belief and such additional information relative
568	thereto as the department may request. However, any professional
569	practitioner licensed or regulated by the Department of Business
570	and Professional Regulation, except as otherwise provided by
571	law, any medical review committee as defined in s. 766.101, any
572	private medical review committee, any self-insured entity
573	contracting or associated with the National Insurance Crime
574	Bureau, and any insurer, agent, or other person licensed under
575	the code, or an employee thereof, having knowledge or who
576	believes that a fraudulent insurance act or any other act or
577	practice which, upon conviction, constitutes a felony or a
578	misdemeanor under the code, or under s. 817.234, is being or has
579	been committed shall send to the Division of Insurance Fraud a
580	report or information pertinent to such knowledge or belief and
581	such additional information relative thereto as the department
582	may require. The Division of Insurance Fraud shall review such
583	information or reports and select such information or reports
584	as, in its judgment, may require further investigation. It shall
585	then cause an independent examination of the facts surrounding
586	such information or report to be made to determine the extent,
587	if any, to which a fraudulent insurance act or any other act or
588	practice which, upon conviction, constitutes a felony or a
589	misdemeanor under the code, or under s. 817.234, is being
590	committed. The Division of Insurance Fraud shall report any
591	alleged violations of law which its investigations disclose to
592	the appropriate licensing agency and state attorney or other
593	prosecuting agency having jurisdiction with respect to any such
594	violation, as provided in s. 624.310. If prosecution by the
595	state attorney or other prosecuting agency having jurisdiction
596	with respect to such violation is not begun within 60 days of
597	the division's report, the state attorney or other prosecuting
598	agency having jurisdiction with respect to such violation shall
599	inform the division of the reasons for the lack of prosecution.
600	The division may adopt rules which set forth requirements for
601	the manner in which suspected fraudulent activity shall be
602	reported to the division through the use of a standard referral
603	form.
604	Section 11.  Section 626.9893, Florida Statutes, is created
605	to read:
606	626.9893  Disposition of revenues; criminal or forfeiture
607	proceedings.--
608	(1)  The Division of Insurance Fraud of the Department of
609	Financial Services may deposit revenues received as a result of
610	criminal proceedings or forfeiture proceedings, other than
611	revenues deposited into the Department of Financial Services'
612	Federal Equitable Sharing Trust Fund under s. 17.43, into the
613	Insurance Regulatory Trust Fund. Moneys deposited pursuant to
614	this section shall be separately accounted for and shall be used
615	solely for the division to carry out its duties and
616	responsibilities.
617	(2)  Moneys deposited into the Insurance Regulatory Trust
618	Fund pursuant to this section shall be appropriated by the
619	Legislature, pursuant to the provisions of chapter 216, for the
620	sole purpose of enabling the division to carry out its duties
621	and responsibilities.
622	(3)  Notwithstanding the provisions of s. 216.301 and
623	pursuant to s. 216.351, any balance of moneys deposited into the
624	Insurance Regulatory Trust Fund pursuant to this section
625	remaining at the end of any fiscal year shall remain in the
626	trust fund at the end of that year and shall be available for
627	carrying out the duties and responsibilities of the division.
628	Section 12.  Paragraph (a) of subsection (7) and subsection
629	(9) of section 817.234, Florida Statutes, are amended to read:
630	817.234  False and fraudulent insurance claims.--
631	(7)(a)  It shall constitute a material omission and
632	insurance fraud, punishable as provided in subsection (11), for
633	any service physician or other provider, other than a hospital,
634	to engage in a general business practice of billing amounts as
635	its usual and customary charge, if such provider has agreed with
636	the insured patient or intends to waive deductibles or
637	copayments, or does not for any other reason intend to collect
638	the total amount of such charge. With respect to a determination
639	as to whether a service physician or other provider has engaged
640	in such general business practice, consideration shall be given
641	to evidence of whether the service physician or other provider
642	made a good faith attempt to collect such deductible or
643	copayment. This paragraph does not apply to physicians or other
644	providers who waive deductibles or copayments or reduce their
645	bills as part of a bodily injury settlement or verdict.
646	(9)  A person may not organize, plan, or knowingly
647	participate in an intentional motor vehicle crash or a scheme to
648	create documentation of a motor vehicle crash that did not occur
649	for the purpose of making motor vehicle tort claims or claims
650	for personal injury protection benefits as required by s.
651	627.736. Any person who violates this subsection commits a
652	felony of the second degree, punishable as provided in s.
653	775.082, s. 775.083, or s. 775.084. A person who is convicted of
654	a violation of this subsection shall be sentenced to a minimum
655	term of imprisonment of 2 years.
656	Section 13.  Section 817.2361, Florida Statutes, is amended
657	to read:
658	817.2361  False or fraudulent proof of motor vehicle
659	insurance card.--Any person who, with intent to deceive any
660	other person, creates, markets, or presents a false or
661	fraudulent proof of motor vehicle insurance card commits a
662	felony of the third degree, punishable as provided in s.
663	775.082, s. 775.083, or s. 775.084.
664	Section 14.  Subsection (2) of section 817.50, Florida
665	Statutes, is amended to read:
666	817.50  Fraudulently obtaining goods, services, etc., from
667	a health care provider.--
668	(2)  If any person gives to any health care provider in
669	this state a false or fictitious name or a false or fictitious
670	address or assigns to any health care provider the proceeds of
671	any health maintenance contract or insurance contract, then
672	knowing that such contract is no longer in force, is invalid, or
673	is void for any reason, such action shall be prima facie
674	evidence of the intent of such person to defraud the health care
675	provider. However, this subsection does not apply to
676	investigative actions taken by law enforcement officers for law
677	enforcement purposes in the course of their official duties.
678	Section 15.  Subsection (1) and paragraph (a) of subsection
679	(2) of section 817.505, Florida Statutes, are amended to read:
680	817.505  Patient brokering prohibited; exceptions;
681	penalties.--
682	(1)  It is unlawful for any person, including any health
683	care provider or health care facility, to:
684	(a)  Offer or pay any commission, bonus, rebate, kickback,
685	or bribe, directly or indirectly, in cash or in kind, or engage
686	in any split-fee arrangement, in any form whatsoever, to induce
687	the referral of patients or patronage to or from a health care
688	provider or health care facility;
689	(b)  Solicit or receive any commission, bonus, rebate,
690	kickback, or bribe, directly or indirectly, in cash or in kind,
691	or engage in any split-fee arrangement, in any form whatsoever,
692	in return for referring patients or patronage to or from a
693	health care provider or health care facility; or
694	(c)  Solicit or receive any commission, bonus, rebate,
695	kickback, or bribe, directly or indirectly, in cash or in kind,
696	or engage in any split-fee arrangement, in any form whatsoever,
697	in return for the acceptance or acknowledgement of treatment
698	from a health care provider or health care facility; or
699	(d)(c)  Aid, abet, advise, or otherwise participate in the
700	conduct prohibited under paragraph (a), or paragraph (b), or
701	paragraph (c).
702	(2)  For the purposes of this section, the term:
703	(a)  "Health care provider or health care facility" means
704	any person or entity licensed, certified, or registered;
705	required to be licensed, certified, or registered; or lawfully
706	exempt from being required to be licensed, certified, or
707	registered with the Agency for Health Care Administration; any
708	person or entity that has contracted with the Agency for Health
709	Care Administration to provide goods or services to Medicaid
710	recipients as provided under s. 409.907; a county health
711	department established under part I of chapter 154; any
712	community service provider contracting with the Department of
713	Children and Family Services to furnish alcohol, drug abuse, or
714	mental health services under part IV of chapter 394; any
715	substance abuse service provider licensed under chapter 397; or
716	any federally supported primary care program such as a migrant
717	or community health center authorized under ss. 329 and 330 of
718	the United States Public Health Services Act.
719	Section 16.  Section 843.08, Florida Statutes, is amended
720	to read:
721	843.08  Falsely personating officer, etc.--A person who
722	falsely assumes or pretends to be a sheriff, officer of the
723	Florida Highway Patrol, officer of the Fish and Wildlife
724	Conservation Commission, officer of the Department of
725	Environmental Protection, officer of the Department of
726	Transportation, officer of the Department of Financial Services,
727	officer of the Department of Corrections, correctional probation
728	officer, deputy sheriff, state attorney or assistant state
729	attorney, statewide prosecutor or assistant statewide
730	prosecutor, state attorney investigator, coroner, police
731	officer, lottery special agent or lottery investigator, beverage
732	enforcement agent, or watchman, or any member of the Parole
733	Commission and any administrative aide or supervisor employed by
734	the commission, or any personnel or representative of the
735	Department of Law Enforcement, and takes upon himself or herself
736	to act as such, or to require any other person to aid or assist
737	him or her in a matter pertaining to the duty of any such
738	officer, commits a felony of the third degree, punishable as
739	provided in s. 775.082, s. 775.083, or s. 775.084; however, a
740	person who falsely personates any such officer during the course
741	of the commission of a felony commits a felony of the second
742	degree, punishable as provided in s. 775.082, s. 775.083, or s.
743	775.084; except that if the commission of the felony results in
744	the death or personal injury of another human being, the person
745	commits a felony of the first degree, punishable as provided in
746	s. 775.082, s. 775.083, or s. 775.084.
747	Section 17.  Paragraph (m) is added to subsection (6) of
748	section 932.7055, Florida Statutes, to read:
749	932.7055  Disposition of liens and forfeited property.--
750	(6)  If the seizing agency is a state agency, all remaining
751	proceeds shall be deposited into the General Revenue Fund.
752	However, if the seizing agency is:
753	(m)  The Division of Insurance Fraud of the Department of
754	Financial Services, the proceeds accrued pursuant to the
755	provisions of the Florida Contraband Forfeiture Act shall be
756	deposited into Insurance Regulatory Trust Fund as provided in s.
757	626.9893 or into the Department of Financial Services' Federal
758	Equitable Sharing Trust Fund as provided in s. 17.43, as
759	applicable.
760	Section 18.  If any provision of this act or the
761	application thereof to any person or circumstance is held
762	invalid, the invalidity does not affect other provisions or
763	applications of the act which can be given effect without the
764	invalid provision or application, and to this end, the
765	provisions of this act are declared severable.
766	Section 19.  This act shall take effect July 1, 2005.

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