| 1 | A bill to be entitled |
| 2 | An act relating to nonprofit organization self-insurance |
| 3 | funds; creating s. 624.4624, F.S.; authorizing two or more |
| 4 | nonprofit organizations to form a self-insurance fund for |
| 5 | certain purposes; providing specific requirements; |
| 6 | providing an effective date. |
| 7 |
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| 8 | Be It Enacted by the Legislature of the State of Florida: |
| 9 |
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| 10 | Section 1. Section 624.4624, Florida Statutes, is created |
| 11 | to read: |
| 12 | 624.4624 Nonprofit organization self-insurance funds.-- |
| 13 | (1) Notwithstanding any other provision of law, any two or |
| 14 | more nonprofit organizations located in and organized under the |
| 15 | laws of this state may form a self-insurance fund for the |
| 16 | purpose of pooling and spreading liabilities of its group |
| 17 | members in any property or casualty risk or surety insurance or |
| 18 | securing the payment of benefits under chapter 440, provided the |
| 19 | nonprofit organization self-insurance fund that is created: |
| 20 | (a) Has annual normal premiums in excess of $5 million. |
| 21 | (b) Requires for qualification that each participating |
| 22 | member receive at least 75 percent of its revenues from local, |
| 23 | state, or federal governmental sources. |
| 24 | (c) Maintains a continuing program of excess insurance |
| 25 | coverage and reserve evaluation to protect the financial |
| 26 | stability of the fund in an amount and manner determined by a |
| 27 | qualified, independent actuary. |
| 28 | (d) Submits to the office annually an audited fiscal year- |
| 29 | end financial statement by an independent certified public |
| 30 | accountant within 6 months after the end of the fiscal year. |
| 31 | (e) Has a governing body which is comprised entirely of |
| 32 | nonprofit organization officials. |
| 33 | (2) A nonprofit organization self-insurance fund that |
| 34 | meets the requirements of this section is not subject to s. |
| 35 | 624.4621 and is not required to file any report with the |
| 36 | department under s. 440.38(2)(b) which is uniquely required of |
| 37 | group self-insurer funds qualified under s. 624.4621. If any of |
| 38 | the requirements of this section are not met, the nonprofit |
| 39 | organization self-insurance fund is subject to the requirements |
| 40 | of s. 624.4621. |
| 41 | Section 2. This act shall take effect July 1, 2006. |