Senate Bill sb1506c1

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    Florida Senate - 2006                           CS for SB 1506

    By the Committee on Banking and Insurance; and Senator
    Alexander




    597-1806-06

  1                      A bill to be entitled

  2         An act relating to insurance; amending ss.

  3         626.9913, 626.99175, 627.836, 651.026, and

  4         651.0261, F.S., relating to viatical settlement

  5         providers, premium finance companies, and

  6         continuing care providers; authorizing the

  7         Financial Services Commission to require by

  8         rule that certain statements or filings be

  9         submitted by electronic means in a certain

10         format; amending s. 628.281, F.S.; authorizing

11         the Office of Insurance Regulation to require

12         that certain records or copies be submitted by

13         remote electronic access; providing an

14         effective date.

15  

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

17  

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

19  Statutes, is amended to read:

20         626.9913  Viatical settlement provider license

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

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

23  settlement provider licensee shall file a statement containing

24  information the commission requires and shall pay to the

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

26  statement shall include audited financial statements prepared

27  in accordance with generally accepted accounting principles by

28  an independent certified public accountant as of the last day

29  of the preceding calendar year. If the audited financial

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

31  include in its annual statement an unaudited financial

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    Florida Senate - 2006                           CS for SB 1506
    597-1806-06




 1  statement and an affidavit from an officer of the licensee

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

 3  the licensee shall submit the audited statement on or before

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

 5  with a report of all life expectancy providers who have

 6  provided life expectancies directly or indirectly to the

 7  viatical settlement provider for use in connection with a

 8  viatical settlement contract or a viatical settlement

 9  investment. A viatical settlement provider shall include in

10  all statements filed with the office all information requested

11  by the office regarding a related provider trust established

12  by the viatical settlement provider. The office may require

13  more frequent reporting. Failure to timely file the annual

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

15  immediate suspension of the license. The commission may by

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

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

18  computer-readable form compatible with the electronic data

19  format specified by the commission.

20         Section 2.  Subsection (13) is added to section

21  626.99175, Florida Statutes, to read:

22         626.99175  Life expectancy providers; registration

23  required; denial, suspension, revocation.--

24         (13)  The Financial Services Commission may, by rule,

25  require that all or part of the statements or filings required

26  under this section be submitted by electronic means and in a

27  computer-readable format specified by the commission.

28         Section 3.  Subsection (2) of section 627.836, Florida

29  Statutes, is amended to read:

30         627.836  Licensee's books and records; reports.--

31  

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    Florida Senate - 2006                           CS for SB 1506
    597-1806-06




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

 2  1, file a report with the office giving such information as

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

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

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

 6  627.849.  The office may make and publish annually an analysis

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

 8  may require such additional regular or special reports as it

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

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

11  section to be submitted by electronic means in a

12  computer-readable form compatible with the electronic data

13  format specified by the commission.

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

15  628.281, Florida Statutes, is amended to read:

16         628.281  Exceptions to requirement that office,

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

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

19  to prohibit or prevent an insurer from:

20         (c)  Establishing and maintaining its principal

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

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

23  in another state in which the insurer is authorized to

24  transact insurance in order that general administration of its

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

26  insurers, but subject to the following conditions:

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

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

29  evidence satisfactory to it that the same will facilitate and

30  make more economical the operations of the insurer and will

31  not unreasonably diminish the service or protection thereafter

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    Florida Senate - 2006                           CS for SB 1506
    597-1806-06




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

 2  elsewhere;

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

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

 5  maintain therein available to the inspection of the office

 6  complete records of its corporate proceedings and a copy of

 7  each financial statement of the insurer current within the

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

 9  statement prepared for the information of the insurer's

10  officers or directors;

11         3.  That, upon the written request of the office, the

12  insurer will with reasonable promptness provide the office

13  remote electronic access to or produce at its principal

14  corporate offices in this state for examination or for

15  subpoena its records or copies thereof relative to a

16  particular transaction or transactions of the insurer as

17  designated by the office in its request; and

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

19  conditions justifying the maintenance of the such offices,

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

21  that the insurer has willfully and knowingly violated any of

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

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

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

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

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

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

28  insurer's certificate of authority.

29         Section 5.  Subsection (9) is added to section 651.026,

30  Florida Statutes, to read:

31         651.026  Annual reports.--

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    Florida Senate - 2006                           CS for SB 1506
    597-1806-06




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

 2  the statements or filings required under this section to be

 3  submitted by electronic means in a computer-readable form

 4  compatible with the electronic data format specified by the

 5  commission.

 6         Section 6.  Section 651.0261, Florida Statutes, is

 7  amended to read:

 8         651.0261  Quarterly statements.--If the office finds,

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

10  needed to properly monitor the financial condition of a

11  provider or facility or is otherwise needed to protect the

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

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

14  quarterly unaudited financial statement of the provider or of

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

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

17  statements or filings required under this section to be

18  submitted by electronic means in a computer-readable form

19  compatible with the electronic data format specified by the

20  commission.

21         Section 7.  This act shall take effect upon becoming a

22  law.

23  

24          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
25                         Senate Bill 1506

26                                 

27  Authorizes the Financial Services Commission (Governor and
    Cabinet) to adopt a rule requiring statements or filings
28  submitted by life expectancy providers to the Office of
    Insurance Regulation to be submitted by electronic means in a
29  computer-readable form.

30  

31  

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