Senate Bill sb1506

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    Florida Senate - 2006                                  SB 1506

    By Senator Alexander





    17-1135-06

  1                      A bill to be entitled

  2         An act relating to insurance; amending ss.

  3         626.9913, 627.836, 651.026, and 651.0261, F.S.,

  4         relating to viatical settlement providers,

  5         premium finance companies, and continuing care

  6         providers; authorizing the Financial Services

  7         Commission to require by rule that certain

  8         statements or filings be submitted by

  9         electronic means in a certain format; amending

10         s. 628.281, F.S.; authorizing the Office of

11         Insurance Regulation to require that certain

12         records or copies be submitted by remote

13         electronic access; providing an effective date.

14  

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

16  

17         Section 1.  Subsection (2) of section 626.9913, Florida

18  Statutes, is amended to read:

19         626.9913  Viatical settlement provider license

20  continuance; annual report; fees; deposit.--

21         (2)  Annually, on or before March 1, the viatical

22  settlement provider licensee shall file a statement containing

23  information the commission requires and shall pay to the

24  office a license fee in the amount of $500. The annual

25  statement shall include audited financial statements prepared

26  in accordance with generally accepted accounting principles by

27  an independent certified public accountant as of the last day

28  of the preceding calendar year. If the audited financial

29  statement has not been completed, however, the licensee shall

30  include in its annual statement an unaudited financial

31  statement and an affidavit from an officer of the licensee

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    Florida Senate - 2006                                  SB 1506
    17-1135-06




 1  stating that the audit has not been completed. In this event,

 2  the licensee shall submit the audited statement on or before

 3  June 1. The annual statement shall also provide the office

 4  with a report of all life expectancy providers who have

 5  provided life expectancies directly or indirectly to the

 6  viatical settlement provider for use in connection with a

 7  viatical settlement contract or a viatical settlement

 8  investment. A viatical settlement provider shall include in

 9  all statements filed with the office all information requested

10  by the office regarding a related provider trust established

11  by the viatical settlement provider. The office may require

12  more frequent reporting. Failure to timely file the annual

13  statement or to timely pay the license fee is grounds for

14  immediate suspension of the license. The commission may by

15  rule require all or part of the statements or filings required

16  under this section to be submitted by electronic means in a

17  computer-readable form compatible with the electronic data

18  format specified by the commission.

19         Section 2.  Subsection (2) of section 627.836, Florida

20  Statutes, is amended to read:

21         627.836  Licensee's books and records; reports.--

22         (2)  Each licensee shall annually, on or before March

23  1, file a report with the office giving such information as

24  the office may require.  The report shall be made under oath

25  and in the form prescribed by the commission and shall be

26  accompanied by the annual report filing fee specified in s.

27  627.849.  The office may make and publish annually an analysis

28  and recapitulation of such reports.  In addition, the office

29  may require such additional regular or special reports as it

30  deems may deem necessary. The commission may by rule require

31  all or part of the statements or filings required under this

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    Florida Senate - 2006                                  SB 1506
    17-1135-06




 1  section to be submitted by electronic means in a

 2  computer-readable form compatible with the electronic data

 3  format specified by the commission.

 4         Section 3.  Paragraph (c) of subsection (1) of section

 5  628.281, Florida Statutes, is amended to read:

 6         628.281  Exceptions to requirement that office,

 7  records, and assets be maintained in this state.--

 8         (1)  The provisions of s. 628.271 shall not be deemed

 9  to prohibit or prevent an insurer from:

10         (c)  Establishing and maintaining its principal

11  operations offices, its usual operations records, and such of

12  its assets as may be necessary or convenient for the purpose,

13  in another state in which the insurer is authorized to

14  transact insurance in order that general administration of its

15  affairs may be combined with that of an affiliated insurer or

16  insurers, but subject to the following conditions:

17         1.  That the office consent in writing to the such

18  removal of offices, records, and assets from this state upon

19  evidence satisfactory to it that the same will facilitate and

20  make more economical the operations of the insurer and will

21  not unreasonably diminish the service or protection thereafter

22  to be given the insurer's policyholders in this state and

23  elsewhere;

24         2.  That the insurer will continue to maintain in this

25  state its principal corporate office or place of business, and

26  maintain therein available to the inspection of the office

27  complete records of its corporate proceedings and a copy of

28  each financial statement of the insurer current within the

29  preceding 5 years, including a copy of each interim financial

30  statement prepared for the information of the insurer's

31  officers or directors;

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    Florida Senate - 2006                                  SB 1506
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 1         3.  That, upon the written request of the office, the

 2  insurer will with reasonable promptness provide the office

 3  remote electronic access to or produce at its principal

 4  corporate offices in this state for examination or for

 5  subpoena its records or copies thereof relative to a

 6  particular transaction or transactions of the insurer as

 7  designated by the office in its request; and

 8         4.  That, if at any time the office finds that the

 9  conditions justifying the maintenance of the such offices,

10  records, and assets outside this state no longer exist, or

11  that the insurer has willfully and knowingly violated any of

12  the conditions stated in subparagraphs 2. and 3., the office

13  may order the return of the such offices, records, and assets

14  to this state within such reasonable time, not less than 6

15  months, as may be specified in the order; and that for failure

16  to comply with the such order, as thereafter modified or

17  extended, if any, the office shall suspend or revoke the

18  insurer's certificate of authority.

19         Section 4.  Subsection (9) is added to section 651.026,

20  Florida Statutes, to read:

21         651.026  Annual reports.--

22         (9)  The commission may by rule require all or part of

23  the statements or filings required under this section to be

24  submitted by electronic means in a computer-readable form

25  compatible with the electronic data format specified by the

26  commission.

27         Section 5.  Section 651.0261, Florida Statutes, is

28  amended to read:

29         651.0261  Quarterly statements.--If the office finds,

30  pursuant to rules of the commission, that such information is

31  needed to properly monitor the financial condition of a

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    Florida Senate - 2006                                  SB 1506
    17-1135-06




 1  provider or facility or is otherwise needed to protect the

 2  public interest, the office may require the provider to file,

 3  within 45 days after the end of each fiscal quarter, a

 4  quarterly unaudited financial statement of the provider or of

 5  the facility in the form prescribed by the commission by rule.

 6  The commission may by rule require all or part of the

 7  statements or filings required under this section to be

 8  submitted by electronic means in a computer-readable form

 9  compatible with the electronic data format specified by the

10  commission.

11         Section 6.  This act shall take effect upon becoming a

12  law.

13  

14            *****************************************

15                          SENATE SUMMARY

16    Authorizes the Financial Services Commission to require
      by rule that certain statements or filings be submitted
17    by electronic means in a certain format. Authorizes the
      Office of Insurance Regulation to require that certain
18    records or copies be submitted by remote electronic
      access.
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