Senate Bill sb1506er

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    2006 Legislature                 CS for SB 1506, 1st Engrossed



  1                                 

  2         An act relating to insurance; amending s.

  3         626.9913, F.S., relating to viatical settlement

  4         providers; specifying a beginning date for

  5         submission of a required annual statement;

  6         specifying required information; specifying the

  7         period of application of an unaudited financial

  8         statement; specifying administrative action for

  9         failing to timely file an audited financial

10         statement; amending ss. 626.99175, 627.836,

11         651.026, and 651.0261, F.S., relating to

12         viatical settlement providers, premium finance

13         companies, and continuing care providers;

14         authorizing the Financial Services Commission

15         to require by rule that certain statements or

16         filings be submitted by electronic means in a

17         certain format; amending s. 628.281, F.S.;

18         authorizing the Office of Insurance Regulation

19         to require that certain records or copies be

20         submitted by remote electronic access;

21         providing an effective date.

22  

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

24  

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

26  Statutes, is amended to read:

27         626.9913  Viatical settlement provider license

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

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

30  settlement provider licensee shall file a statement containing

31  information the commission requires and shall pay to the


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    2006 Legislature                 CS for SB 1506, 1st Engrossed



 1  office a license fee in the amount of $500. After December 31,

 2  2007, the annual statement shall include audited financial

 3  statements prepared in accordance with generally accepted

 4  accounting principles by an independent certified public

 5  accountant as of the last day of the preceding calendar year.

 6  If the audited financial statement has not been completed,

 7  however, the licensee shall include in its annual statement an

 8  unaudited financial statement for the preceding calendar year

 9  and an affidavit from an officer of the licensee stating that

10  the audit has not been completed. In this event, the licensee

11  shall submit the audited statement on or before June 1. The

12  annual statement, due on or before March 1 each year, shall

13  also provide the office with a report of all life expectancy

14  providers who have provided life expectancies directly or

15  indirectly to the viatical settlement provider for use in

16  connection with a viatical settlement contract or a viatical

17  settlement investment. A viatical settlement provider shall

18  include in all statements filed with the office all

19  information requested by the office regarding a related

20  provider trust established by the viatical settlement

21  provider. The office may require more frequent reporting.

22  Failure to timely file the annual statement or the audited

23  financial statement or to timely pay the license fee is

24  grounds for immediate suspension of the license. The

25  commission may by rule require all or part of the statements

26  or filings required under this section to be submitted by

27  electronic means in a computer-readable form compatible with

28  the electronic data format specified by the commission.

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

30  626.99175, Florida Statutes, to read:

31  


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    2006 Legislature                 CS for SB 1506, 1st Engrossed



 1         626.99175  Life expectancy providers; registration

 2  required; denial, suspension, revocation.--

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

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

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

 6  computer-readable format specified by the commission.

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

 8  Statutes, is amended to read:

 9         627.836  Licensee's books and records; reports.--

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

11  1, file a report with the office giving such information as

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

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

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

15  627.849.  The office may make and publish annually an analysis

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

17  may require such additional regular or special reports as it

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

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

20  section to be submitted by electronic means in a

21  computer-readable form compatible with the electronic data

22  format specified by the commission.

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

24  628.281, Florida Statutes, is amended to read:

25         628.281  Exceptions to requirement that office,

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

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

28  to prohibit or prevent an insurer from:

29         (c)  Establishing and maintaining its principal

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

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


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    2006 Legislature                 CS for SB 1506, 1st Engrossed



 1  in another state in which the insurer is authorized to

 2  transact insurance in order that general administration of its

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

 4  insurers, but subject to the following conditions:

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

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

 7  evidence satisfactory to it that the same will facilitate and

 8  make more economical the operations of the insurer and will

 9  not unreasonably diminish the service or protection thereafter

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

11  elsewhere;

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

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

14  maintain therein available to the inspection of the office

15  complete records of its corporate proceedings and a copy of

16  each financial statement of the insurer current within the

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

18  statement prepared for the information of the insurer's

19  officers or directors;

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

21  insurer will with reasonable promptness provide the office

22  remote electronic access to or produce at its principal

23  corporate offices in this state for examination or for

24  subpoena its records or copies thereof relative to a

25  particular transaction or transactions of the insurer as

26  designated by the office in its request; and

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

28  conditions justifying the maintenance of the such offices,

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

30  that the insurer has willfully and knowingly violated any of

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


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    2006 Legislature                 CS for SB 1506, 1st Engrossed



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

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

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

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

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

 6  insurer's certificate of authority.

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

 8  Florida Statutes, to read:

 9         651.026  Annual reports.--

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

11  the statements or filings required under this section to be

12  submitted by electronic means in a computer-readable form

13  compatible with the electronic data format specified by the

14  commission.

15         Section 6.  Section 651.0261, Florida Statutes, is

16  amended to read:

17         651.0261  Quarterly statements.--If the office finds,

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

19  needed to properly monitor the financial condition of a

20  provider or facility or is otherwise needed to protect the

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

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

23  quarterly unaudited financial statement of the provider or of

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

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

26  statements or filings required under this section to be

27  submitted by electronic means in a computer-readable form

28  compatible with the electronic data format specified by the

29  commission.

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

31  law.


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