HB 533

1
A bill to be entitled
2An act relating to insurance fraud; amending s. 322.21,
3F.S.; requiring an additional fee for certain offenses for
4purposes of reinstatement of a driver's license; amending
5s. 322.26, F.S.; specifying additional circumstances for
6mandatory revocation of a driver's license by the
7Department of Highway Safety and Motor Vehicles; amending
8s. 456.072, F.S.; specifying additional acts constituting
9grounds for certain disciplinary actions against health
10care professionals; amending s. 626.989, F.S.; authorizing
11the Division of Insurance Fraud to adopt rules for
12reporting suspected fraudulent activity; requiring the
13division to develop and maintain a World Wide Web site for
14certain purposes; creating s. 626.9893, F.S.; authorizing
15the Division of Insurance Fraud to deposit certain
16revenues from criminal or forfeiture proceedings into the
17Insurance Regulatory Trust Fund; specifying accounting and
18use requirements; providing for appropriation of such
19revenues; providing for carrying forward moneys remaining
20in the fund each year; amending s. 627.736, F.S.;
21requiring insurers to provide a notice to insureds or
22persons for whom certain reimbursement claims are filed;
23specifying notice contents; amending s. 817.234, F.S.;
24revising provisions specifying what constitutes a material
25omission and insurance fraud; prohibiting organizing,
26planning, or participating in a scheme to create
27documentation of a nonoccurring motor vehicle crash;
28providing penalties; amending s. 817.2361, F.S.; applying
29a criminal penalty to activities relating to false or
30fraudulent proof of motor vehicle insurance; amending s.
31817.50, F.S.; specifying nonapplication to certain law
32enforcement investigative actions of provisions relating
33to evidence of intent to defraud a health care provider;
34amending s. 817.505, F.S.; specifying an additional
35circumstance of prohibited patient brokering, to which
36penalties apply; revising the definition of "health care
37provider or health care facility"; amending s. 843.08,
38F.S.; including officers of the Department of Financial
39Services among the list of personnel for which a criminal
40penalty is provided for falsely personating such
41personnel; amending s. 932.7055, F.S.; providing for
42deposit of certain proceeds seized by the division into
43certain trust funds; repealing s. 19, ch. 2003-411, Laws
44of Florida, relating to the future repeal of the Florida
45Motor Vehicle No-Fault Law; providing severability;
46providing appropriations for certain purposes; providing
47effective dates.
48
49Be It Enacted by the Legislature of the State of Florida:
50
51     Section 1.  Subsection (8) of section 322.21, Florida
52Statutes, is amended to read:
53     322.21  License fees; procedure for handling and collecting
54fees.--
55     (8)  Any person who applies for reinstatement following the
56suspension or revocation of the person's driver's license shall
57pay a service fee of $35 following a suspension, and $60
58following a revocation, which is in addition to the fee for a
59license. Any person who applies for reinstatement of a
60commercial driver's license following the disqualification of
61the person's privilege to operate a commercial motor vehicle
62shall pay a service fee of $60, which is in addition to the fee
63for a license. The department shall collect all of these fees at
64the time of reinstatement. The department shall issue proper
65receipts for such fees and shall promptly transmit all funds
66received by it as follows:
67     (a)  Of the $35 fee received from a licensee for
68reinstatement following a suspension, the department shall
69deposit $15 in the General Revenue Fund and $20 in the Highway
70Safety Operating Trust Fund.
71     (b)  Of the $60 fee received from a licensee for
72reinstatement following a revocation or disqualification, the
73department shall deposit $35 in the General Revenue Fund and $25
74in the Highway Safety Operating Trust Fund.
75
76If the revocation or suspension of the driver's license was for
77a violation of s. 316.193, or for refusal to submit to a lawful
78breath, blood, or urine test, an additional fee of $115 must be
79charged. However, only one $115 fee may be collected from one
80person convicted of violations arising out of the same incident.
81The department shall collect the $115 fee and deposit the fee
82into the Highway Safety Operating Trust Fund at the time of
83reinstatement of the person's driver's license, but the fee may
84not be collected if the suspension or revocation is overturned.
85If the revocation or suspension of the driver's license was for
86a conviction for violation of s. 817.234(8)(b) or (c) or (9) or
87s. 817.505(1)(b)2. or (c), an additional fee of $180 must be
88charged for each offense. The department shall collect and
89deposit the additional $180 fee into the Highway Safety
90Operating Trust Fund at the time of reinstatement of the
91person's driver's license.
92     Section 2.  Subsection (9) is added to section 322.26,
93Florida Statutes, to read:
94     322.26  Mandatory revocation of license by department.--The
95department shall forthwith revoke the license or driving
96privilege of any person upon receiving a record of such person's
97conviction of any of the following offenses:
98     (9)  Conviction in any court having jurisdiction over
99offenses committed under s. 817.234(8)(b) or (c) or (9) or s.
100817.505(1)(b)2. or (c).
101     Section 3.  Paragraphs (hh) and (ii) are added to
102subsection (1) of section 456.072, Florida Statutes, to read:
103     456.072  Grounds for discipline; penalties; enforcement.--
104     (1)  The following acts shall constitute grounds for which
105the disciplinary actions specified in subsection (2) may be
106taken:
107     (hh)  Paying or receiving any commission, bonus, kickback,
108or rebate or engaging in any split-fee arrangement, in any form
109whatsoever, with a physician, organization, agency, or person,
110directly or indirectly, for patients referred to providers of
111health care goods and services, including, but not limited to,
112hospitals, nursing homes, clinical laboratories, ambulatory
113surgical centers, or pharmacies. The provisions of this
114paragraph shall not be construed to prevent a health care
115provider from receiving a fee for professional consultation
116services.
117     (ii)  Submitting a claim for payment of diagnostic or
118treatment services of a person injured in an automobile crash
119when the licensee knows the automobile crash was staged or did
120not occur.
121     Section 4.  Subsection (6) of section 626.989, Florida
122Statutes, is amended, and subsection (10) is added to that
123section, to read:
124     626.989  Investigation by department or Division of
125Insurance Fraud; compliance; immunity; confidential information;
126reports to division; division investigator's power of arrest.--
127     (6)  Any person, other than an insurer, agent, or other
128person licensed under the code, or an employee thereof, having
129knowledge or who believes that a fraudulent insurance act or any
130other act or practice which, upon conviction, constitutes a
131felony or a misdemeanor under the code, or under s. 817.234, is
132being or has been committed may send to the Division of
133Insurance Fraud a report or information pertinent to such
134knowledge or belief and such additional information relative
135thereto as the department may request. Any professional
136practitioner licensed or regulated by the Department of Business
137and Professional Regulation, except as otherwise provided by
138law, any medical review committee as defined in s. 766.101, any
139private medical review committee, and any insurer, agent, or
140other person licensed under the code, or an employee thereof,
141having knowledge or who believes that a fraudulent insurance act
142or any other act or practice which, upon conviction, constitutes
143a felony or a misdemeanor under the code, or under s. 817.234,
144is being or has been committed shall send to the Division of
145Insurance Fraud a report or information pertinent to such
146knowledge or belief and such additional information relative
147thereto as the department may require. The Division of Insurance
148Fraud shall review such information or reports and select such
149information or reports as, in its judgment, may require further
150investigation. It shall then cause an independent examination of
151the facts surrounding such information or report to be made to
152determine the extent, if any, to which a fraudulent insurance
153act or any other act or practice which, upon conviction,
154constitutes a felony or a misdemeanor under the code, or under
155s. 817.234, is being committed. The Division of Insurance Fraud
156shall report any alleged violations of law which its
157investigations disclose to the appropriate licensing agency and
158state attorney or other prosecuting agency having jurisdiction
159with respect to any such violation, as provided in s. 624.310.
160If prosecution by the state attorney or other prosecuting agency
161having jurisdiction with respect to such violation is not begun
162within 60 days of the division's report, the state attorney or
163other prosecuting agency having jurisdiction with respect to
164such violation shall inform the division of the reasons for the
165lack of prosecution. The division may adopt rules that set forth
166requirements for the manner in which suspected fraudulent
167activity shall be reported to the division through the use of a
168standard referral form.
169     (10)  The Division of Insurance Fraud may develop and
170maintain a World Wide Web site page for the purpose of posting
171the identities and photographs of persons convicted of violating
172s. 817.234(9).
173     Section 5.  Section 626.9893, Florida Statutes, is created
174to read:
175     626.9893  Disposition of revenues; criminal or forfeiture
176proceedings.--
177     (1)  The Division of Insurance Fraud of the Department of
178Financial Services may deposit revenues received as a result of
179criminal proceedings or forfeiture proceedings, other than
180revenues deposited into the Department of Financial Services'
181Federal Equitable Sharing Trust Fund under s. 17.43, into the
182Insurance Regulatory Trust Fund. Moneys deposited pursuant to
183this subsection shall be separately accounted for and shall be
184used solely for the division to carry out its duties and
185responsibilities.
186     (2)  Moneys deposited into the Insurance Regulatory Trust
187Fund pursuant to subsection (1) shall be appropriated by the
188Legislature, pursuant to the provisions of chapter 216, for the
189sole purpose of enabling the division to carry out its duties
190and responsibilities.
191     (3)  Notwithstanding the provisions of s. 216.301 and
192pursuant to s. 216.351, any balance of moneys deposited into the
193Insurance Regulatory Trust Fund pursuant to subsection (1)
194remaining at the end of any fiscal year shall remain in the
195trust fund at the end of that year and shall be available for
196carrying out the duties and responsibilities of the Division of
197Insurance Fraud.
198     Section 6.  Subsection (14) is added to section 627.736,
199Florida Statutes, to read:
200     627.736  Required personal injury protection benefits;
201exclusions; priority; claims.--
202     (14)  FRAUD ADVISORY NOTICE.--Upon receiving notice of a
203claim under this section, an insurer shall provide to the
204insured or to a person for whom a claim for reimbursement for
205diagnosis or treatment of injuries has been filed, a notice that
206shall advise that:
207     (a)  Pursuant to s. 626.9892, the Department of Financial
208Services may pay rewards of up to $25,000 to persons providing
209information leading to the arrest and conviction of persons
210committing crimes investigated by the Division of Insurance
211Fraud arising from violations of s. 440.105, s. 624.15, s.
212626.9541, s. 626.989, or s. 817.234.
213     (b)  Solicitation of a person injured in an automobile
214crash to be treated or represented by a particular health care
215provider or attorney could be a violation of s. 817.234, s.
216817.505, or the rules regulating The Florida Bar and should
217immediately be reported to the department if illegal or
218unethical conduct is suspected.
219     Section 7.  Paragraph (a) of subsection (7) and subsection
220(9) of section 817.234, Florida Statutes, are amended to read:
221     817.234  False and fraudulent insurance claims.--
222     (7)(a)  It shall constitute a material omission and
223insurance fraud, punishable as provided in subsection (11), for
224any service physician or other provider, other than a hospital,
225to engage in a general business practice of billing amounts as
226its usual and customary charge, if such provider has agreed with
227the insured patient or intends to waive deductibles or
228copayments, or does not for any other reason intend to collect
229the total amount of such charge. With respect to a determination
230as to whether a service physician or other provider has engaged
231in such general business practice, consideration shall be given
232to evidence of whether the service physician or other provider
233made a good faith attempt to collect such deductible or
234copayment. This paragraph does not apply to service physicians
235or other providers who waive deductibles or copayments or reduce
236their bills as part of a bodily injury settlement or verdict.
237     (9)  A person may not organize, plan, or knowingly
238participate in an intentional motor vehicle crash or a scheme to
239create documentation of a motor vehicle crash that did not occur
240for the purpose of making motor vehicle tort claims or claims
241for personal injury protection benefits as required by s.
242627.736. Any person who violates this subsection commits a
243felony of the second degree, punishable as provided in s.
244775.082, s. 775.083, or s. 775.084. A person who is convicted of
245a violation of this subsection shall be sentenced to a minimum
246term of imprisonment of 2 years.
247     Section 8.  Section 817.2361, Florida Statutes, is amended
248to read:
249     817.2361  False or fraudulent proof of motor vehicle
250insurance card.--Any person who, with intent to deceive any
251other person, creates, markets, or presents a false or
252fraudulent proof of motor vehicle insurance card commits a
253felony of the third degree, punishable as provided in s.
254775.082, s. 775.083, or s. 775.084.
255     Section 9.  Subsection (2) of section 817.50, Florida
256Statutes, is amended to read:
257     817.50  Fraudulently obtaining goods, services, etc., from
258a health care provider.--
259     (2)  If any person gives to any health care provider in
260this state a false or fictitious name or a false or fictitious
261address or assigns to any health care provider the proceeds of
262any health maintenance contract or insurance contract, then
263knowing that such contract is no longer in force, is invalid, or
264is void for any reason, such action shall be prima facie
265evidence of the intent of such person to defraud the health care
266provider. However, this subsection does not apply to
267investigative actions taken by law enforcement officers for law
268enforcement purposes in the course of their official duties.
269     Section 10.  Paragraph (b) of subsection (1) and paragraph
270(a) of subsection (2) of section 817.505, Florida Statutes, are
271amended to read:
272     817.505  Patient brokering prohibited; exceptions;
273penalties.--
274     (1)  It is unlawful for any person, including any health
275care provider or health care facility, to:
276     (b)  Solicit or receive any commission, bonus, rebate,
277kickback, or bribe, directly or indirectly, in cash or in kind,
278or engage in any split-fee arrangement, in any form whatsoever,
279in return for:
280     1.  Referring patients or patronage to a health care
281provider or health care facility; or
282     2.  Signing a disclosure and acknowledgment form or a
283patient log required by s. 627.736(5) when such medical
284treatment is intentionally not provided; or
285     (2)  For the purposes of this section, the term:
286     (a)  "Health care provider or health care facility" means
287any person or entity licensed, certified, or registered, or
288required to be licensed, certified, or registered, under part I,
289part II, part III, or part IV of chapter 395, part XIII of
290chapter 400, chapter 457, chapter 458, chapter 459, chapter 460,
291chapter 461, chapter 462, chapter 463, chapter 464, chapter 465,
292chapter 466, chapter 467, part I, part II, part III, part IV,
293part X, part XIII, or part XIV of chapter 468, chapter 480,
294chapter 484, chapter 486, chapter 490, or chapter 491, or
295lawfully exempt from such licensure, certification, or
296registration with the Agency for Health Care Administration; any
297person or entity that has contracted with the Agency for Health
298Care Administration to provide goods or services to Medicaid
299recipients as provided under s. 409.907; a county health
300department established under part I of chapter 154; any
301community service provider contracting with the Department of
302Children and Family Services to furnish alcohol, drug abuse, or
303mental health services under part IV of chapter 394; any
304substance abuse service provider licensed under chapter 397; or
305any federally supported primary care program such as a migrant
306or community health center authorized under ss. 329 and 330 of
307the United States Public Health Services Act.
308     Section 11.  Section 843.08, Florida Statutes, is amended
309to read:
310     843.08  Falsely personating officer, etc.--A person who
311falsely assumes or pretends to be a sheriff, officer of the
312Florida Highway Patrol, officer of the Fish and Wildlife
313Conservation Commission, officer of the Department of
314Environmental Protection, officer of the Department of
315Transportation, officer of the Department of Corrections,
316officer of the Department of Financial Services, correctional
317probation officer, deputy sheriff, state attorney or assistant
318state attorney, statewide prosecutor or assistant statewide
319prosecutor, state attorney investigator, coroner, police
320officer, lottery special agent or lottery investigator, beverage
321enforcement agent, or watchman, or any member of the Parole
322Commission and any administrative aide or supervisor employed by
323the commission, or any personnel or representative of the
324Department of Law Enforcement, and takes upon himself or herself
325to act as such, or to require any other person to aid or assist
326him or her in a matter pertaining to the duty of any such
327officer, commits a felony of the third degree, punishable as
328provided in s. 775.082, s. 775.083, or s. 775.084; however, a
329person who falsely personates any such officer during the course
330of the commission of a felony commits a felony of the second
331degree, punishable as provided in s. 775.082, s. 775.083, or s.
332775.084; except that if the commission of the felony results in
333the death or personal injury of another human being, the person
334commits a felony of the first degree, punishable as provided in
335s. 775.082, s. 775.083, or s. 775.084.
336     Section 12.  Paragraph (n) is added to subsection (6) of
337section 932.7055, Florida Statutes, to read:
338     932.7055  Disposition of liens and forfeited property.--
339     (6)  If the seizing agency is a state agency, all remaining
340proceeds shall be deposited into the General Revenue Fund.
341However, if the seizing agency is:
342     (n)  The Division of Insurance Fraud of the Department of
343Financial Services, the proceeds accrued under the Florida
344Contraband Forfeiture Act shall be deposited into the Insurance
345Regulatory Trust Fund as provided in s. 626.9893 or into the
346Department of Financial Services' Federal Equitable Sharing
347Trust Fund as provided in s. 17.43, as applicable.
348     Section 13.  Effective upon this act becoming a law,
349section 19 of chapter 2003-411, Laws of Florida, is repealed.
350     Section 14.  If any provision of this act or its
351application to any person or circumstance is held invalid, the
352invalidity does not affect other provisions or applications of
353the act which can be given effect without the invalid provision
354or application, and to this end the provisions of this act are
355declared severable.
356     Section 15.  For the 2006-2007 fiscal year:
357     (1)  The sum of $1,670,000 in recurring funds is
358appropriated from the Insurance Regulatory Trust Fund, and nine
359new positions are authorized to the Division of Insurance Fraud
360within the Department of Financial Services. The purposes of
361this appropriation are to administer and implement the
362provisions of s. 626.989, Florida Statutes, establish a new
363fraud unit in the Division of Insurance Fraud of the Department
364of Financial Services, and provide an approximate $10,000 salary
365increase for each of the 122 existing sworn fraud law
366enforcement investigators within the Division of Insurance Fraud
367to achieve relative parity with investigators who have similar
368responsibilities at other state law enforcement agencies. The
369Legislature recognizes and finds that without such an increase,
370the Division of Insurance Fraud will continue to have difficulty
371recruiting, training, and retaining qualified and experienced
372fraud investigators.
373     (2)  The sum of $750,000 in recurring funds is appropriated
374to the state attorneys' offices in the six judicial circuits
375comprising Broward, Palm Beach, Hillsborough, Pinellas/Pasco,
376Duval, and Orange Counties. The purpose of this appropriation is
377to establish and fund six new prosecutors dedicated to insurance
378fraud cases.
379     Section 16.  Except as otherwise expressly provided in this
380act, this act shall take effect July 1, 2006.


CODING: Words stricken are deletions; words underlined are additions.