| 1 | Representative Legg offered the following: |
| 2 |
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| 3 | Amendment (with title amendment) |
| 4 | Between lines 323 and 324, insert: |
| 5 | Section 7. (1) By February 1, 2007, the Office of |
| 6 | Insurance Regulation shall calculate a presumed factor to |
| 7 | reflect the impact of the changes made in this act to rates |
| 8 | filed by residential property insurers providing sinkhole loss |
| 9 | coverage. The office shall issue a notice informing all insurers |
| 10 | writing residential property insurance coverage of the presumed |
| 11 | factor. |
| 12 | (2) In determining the presumed factor, the office shall |
| 13 | use generally accepted actuarial techniques and standards in |
| 14 | determining the expected impact on losses, expenses, and |
| 15 | investment income of the insurer. |
| 16 | (3) The office may contract with an appropriate vendor to |
| 17 | determine the presumed factor. |
| 18 | (4) Each residential property insurer shall, at its next |
| 19 | annual rate filing after May 1, 2007, reflect an overall rate |
| 20 | reduction at least as great as the presumed factor determined |
| 21 | under subsection (1). |
| 22 | (5) The sum of $250,000 in nonrecurring funds is |
| 23 | appropriated from the Insurance Regulatory Trust Fund in the |
| 24 | Department of Financial Services to the Office of Insurance |
| 25 | Regulation for the 2006-2007 fiscal year for the purposes of |
| 26 | funding the provisions of this section. |
| 27 | Section 8. The sums of $115,322 in recurring funds and |
| 28 | $10,486 in nonrecurring funds are appropriated from the |
| 29 | Insurance Regulatory Trust Fund in the Department of Financial |
| 30 | Services for the 2006-2007 fiscal year for the purposes of |
| 31 | funding the provisions of this act, and two full-time equivalent |
| 32 | positions with 59,435 in associated salary rate are authorized. |
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| 34 |
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| 35 | ======= T I T L E A M E N D M E N T ======= |
| 36 | Remove line 33 and insert: |
| 37 | requiring the Office of Insurance Regulation to calculate |
| 38 | a certain presumed factor on residential property |
| 39 | insurance rates; providing requirements and procedures for |
| 40 | determining such calculation; requiring the office to |
| 41 | provide notice of such rate factor to insurers; requiring |
| 42 | insurers to include such rate factor in certain rate |
| 43 | filings; providing appropriations and authorizing |
| 44 | additional positions and salary rates; providing effective |
| 45 | dates. |