HB 561

1
A bill to be entitled
2An act relating to offenses involving insurance; amending
3s. 322.21, F.S.; providing an additional fee for certain
4offenses relating to insurance crimes; providing for
5deposit of the fee into the Highway Safety Operating Trust
6Fund; amending s. 322.26, F.S.; providing an additional
7circumstance relating to insurance crimes for mandatory
8revocation of a person's driver's license; amending s.
9400.9935, F.S.; requiring health care clinics to display
10signs containing certain information relating to insurance
11fraud; authorizing compliance inspections by the Division
12of Insurance Fraud; requiring clinics to allow inspection
13access; amending s. 440.105, F.S.; deleting the provision
14that a violation of a stop-work order is a misdemeanor of
15the first degree; amending s. 456.054, F.S.; revising the
16definition of the term "kickback" for criminal prosecution
17purposes; amending s. 624.15, F.S.; specifying violations
18of rules of the Department of Financial Services, Office
19of Insurance Regulation, or Financial Services Commission
20as misdemeanors; specifying a violation of emergency rules
21or orders as a felony of the third degree; providing
22penalties; providing for nonapplication to certain
23persons; amending s. 626.112, F.S.; providing a criminal
24penalty for knowingly transacting insurance without a
25license; amending s. 626.938, F.S.; revising provisions
26requiring a report and taxation of independently procured
27coverages; specifying nonauthorization of independent
28procurement of workers' compensation, life, or health
29insurance; amending s. 626.9891, F.S.; expanding
30authorization to impose administrative fines on insurers
31for failure to comply with certain anti-fraud plan or
32anti-fraud investigative unit description requirements;
33creating s. 626.9893, F.S.; authorizing the division to
34deposit certain revenues into the Insurance Regulatory
35Trust Fund; specifying accounting and uses of such
36revenues; providing for appropriation and use of such
37revenues; amending s. 627.736, F.S.; requiring insurers to
38provide certain persons with notice of the department's
39Anti-Fraud Reward Program and the criminal violations that
40may be reported in pursuit of a reward; amending s.
41817.234, F.S.; revising provisions specifying material
42omission and insurance fraud; prohibiting scheming to
43create documentation of a motor vehicle crash that did not
44occur; providing a criminal penalty; amending s. 817.2361,
45F.S.; providing that creating, marketing, or presenting
46fraudulent proof of motor vehicle insurance is a felony of
47the third degree; amending s. 817.50, F.S.; specifying
48nonapplication of provisions specifying evidence of intent
49to defraud to certain investigative actions taken by law
50enforcement officers; amending s. 817.505, F.S.; providing
51an additional patient brokering prohibition, to which
52penalties apply; revising a definition; amending s.
53843.08, F.S.; providing a criminal penalty for falsely
54assuming or pretending to be an officer of the Department
55of Financial Services; amending s. 932.7055, F.S.;
56requiring certain proceeds seized by the division under
57the Florida Contraband Forfeiture Act to be deposited into
58certain trust funds; providing severability; providing an
59effective date.
60
61Be It Enacted by the Legislature of the State of Florida:
62
63     Section 1.  Subsection (8) of section 322.21, Florida
64Statutes, is amended to read:
65     322.21  License fees; procedure for handling and collecting
66fees.--
67     (8)  Any person who applies for reinstatement following the
68suspension or revocation of the person's driver's license shall
69pay a service fee of $35 following a suspension, and $60
70following a revocation, which is in addition to the fee for a
71license. Any person who applies for reinstatement of a
72commercial driver's license following the disqualification of
73the person's privilege to operate a commercial motor vehicle
74shall pay a service fee of $60, which is in addition to the fee
75for a license. The department shall collect all of these fees at
76the time of reinstatement. The department shall issue proper
77receipts for such fees and shall promptly transmit all funds
78received by it as follows:
79     (a)  Of the $35 fee received from a licensee for
80reinstatement following a suspension, the department shall
81deposit $15 in the General Revenue Fund and $20 in the Highway
82Safety Operating Trust Fund.
83     (b)  Of the $60 fee received from a licensee for
84reinstatement following a revocation or disqualification, the
85department shall deposit $35 in the General Revenue Fund and $25
86in the Highway Safety Operating Trust Fund.
87
88If the revocation or suspension of the driver's license was for
89a violation of s. 316.193, or for refusal to submit to a lawful
90breath, blood, or urine test, an additional fee of $115 must be
91charged. However, only one $115 fee may be collected from one
92person convicted of violations arising out of the same incident.
93The department shall collect the $115 fee and deposit the fee
94into the Highway Safety Operating Trust Fund at the time of
95reinstatement of the person's driver's license, but the fee may
96not be collected if the suspension or revocation is overturned.
97If the revocation or suspension of the driver's license was for
98a conviction for a violation of s. 817.234(8) or (9) or s.
99817.505, an additional fee of $180 is imposed for each offense.
100The department shall collect and deposit the additional fee into
101the Highway Safety Operating Trust Fund at the time of
102reinstatement of the person's driver's license.
103     Section 2.  Subsection (9) is added to section 322.26,
104Florida Statutes, to read:
105     322.26  Mandatory revocation of license by department.--The
106department shall forthwith revoke the license or driving
107privilege of any person upon receiving a record of such person's
108conviction of any of the following offenses:
109     (9)  Conviction in any court having jurisdiction over
110offenses committed under s. 817.234(8) or (9) or s. 817.505.
111     Section 3.  Subsection (13) is added to section 400.9935,
112Florida Statutes, to read:
113     400.9935  Clinic responsibilities.--
114     (13)  The clinic shall display a sign in a conspicuous
115location within the clinic readily visible to all patients
116indicating that, pursuant to s. 626.9892, the Department of
117Financial Services may pay rewards of up to $25,000 to persons
118providing information leading to the arrest and conviction of
119persons committing crimes investigated by the Division of
120Insurance Fraud arising from violations of s. 440.105, s.
121624.15, s. 626.9541, s. 626.989, or s. 817.234. An authorized
122employee of the Division of Insurance Fraud may make unannounced
123inspections of a clinic licensed under this part as necessary to
124determine whether the clinic is in compliance with this
125subsection. A licensed clinic shall allow full and complete
126access to the premises to such authorized employee of the
127division who makes an inspection to determine compliance with
128this subsection.
129     Section 4.  Paragraph (a) of subsection (2) of section
130440.105, Florida Statutes, is amended to read:
131     440.105  Prohibited activities; reports; penalties;
132limitations.--
133     (2)  Whoever violates any provision of this subsection
134commits a misdemeanor of the first degree, punishable as
135provided in s. 775.082 or s. 775.083.
136     (a)  It shall be unlawful for any employer to knowingly:
137     1.  Coerce or attempt to coerce, as a precondition to
138employment or otherwise, an employee to obtain a certificate of
139election of exemption pursuant to s. 440.05.
140     2.  Discharge or refuse to hire an employee or job
141applicant because the employee or applicant has filed a claim
142for benefits under this chapter.
143     3.  Discharge, discipline, or take any other adverse
144personnel action against any employee for disclosing information
145to the department or any law enforcement agency relating to any
146violation or suspected violation of any of the provisions of
147this chapter or rules promulgated hereunder.
148     4.  Violate a stop-work order issued by the department
149pursuant to s. 440.107.
150     Section 5.  Subsection (1) of section 456.054, Florida
151Statutes, is amended to read:
152     456.054  Kickbacks prohibited.--
153     (1)  As used in this section, the term "kickback" means a
154remuneration or payment back pursuant to an investment interest,
155compensation arrangement, or otherwise, by or on behalf of a
156provider of health care services or items, of a portion of the
157charges for services rendered to any person a referring health
158care provider as an incentive or inducement to refer patients
159for past or future services or items, when the payment is not
160tax deductible as an ordinary and necessary expense.
161     Section 6.  Section 624.15, Florida Statutes, is amended to
162read:
163     624.15  General penalty.--
164     (1)  Each willful violation of this code or rule of the
165department, office, or commission as to which a greater penalty
166is not provided by another provision of this code or rule of the
167department, office, or commission or by other applicable laws of
168this state is a misdemeanor of the second degree and is, in
169addition to any prescribed applicable denial, suspension, or
170revocation of certificate of authority, license, or permit,
171punishable as provided in s. 775.082 or s. 775.083. Each
172instance of such violation shall be considered a separate
173offense.
174     (2)  Each willful violation of an emergency rule or order
175of the department, office, or commission by a person who is not
176licensed, authorized, or eligible to engage in business in
177accordance with the Florida Insurance Code is a felony of the
178third degree, punishable as provided in s. 775.082, s. 775.083,
179or s. 775.084. Each instance of such violation is a separate
180offense. This subsection does not apply to licensees or
181affiliated parties of licensees.
182     Section 7.  Subsection (9) is added to section 626.112,
183Florida Statutes, to read:
184     626.112  License and appointment required; agents, customer
185representatives, adjusters, insurance agencies, service
186representatives, managing general agents.--
187     (9)  Any person who knowingly transacts insurance or
188otherwise engages in insurance activities in this state without
189a license in violation of this section commits a felony of the
190third degree, punishable as provided in s. 775.082, s. 775.083,
191or s. 775.084.
192     Section 8.  Subsections (1), (2), and (9) of section
193626.938, Florida Statutes, are amended to read:
194     626.938  Report and tax of independently procured
195coverages.--
196     (1)  Every insured who in this state procures or causes to
197be procured or continues or renews insurance from another state
198or country with an unauthorized foreign or alien insurer
199legitimately licensed in that jurisdiction, or any self-insurer
200who in this state so procures or continues excess loss,
201catastrophe, or other insurance, upon a subject of insurance
202resident, located, or to be performed within this state, other
203than insurance procured through a surplus lines agent pursuant
204to the Surplus Lines Law of this state or exempted from tax
205under s. 626.932(4), shall, within 30 days after the date such
206insurance was so procured, continued, or renewed, file a report
207of the same with the Florida Surplus Lines Service Office in
208writing and upon forms designated by the Florida Surplus Lines
209Service Office and furnished to such an insured upon request, or
210in a computer readable format as determined by the Florida
211Surplus Lines Service Office. The report shall show the name and
212address of the insured or insureds, the name and address of the
213insurer, the subject of the insurance, a general description of
214the coverage, the amount of premium currently charged therefor,
215and such additional pertinent information as is reasonably
216requested by the Florida Surplus Lines Service Office.
217     (2)  Any insurance on a risk located in this state in an
218unauthorized insurer legitimately licensed in another state or
219country procured through solicitations, negotiations, or an
220application, in whole or in part occurring or made outside
221within or from within this state, or for which premiums in whole
222or in part are remitted directly or indirectly from within this
223state, shall be deemed to be insurance procured, continued, or
224renewed in this state within the intent of subsection (1).
225     (9)  This section does not authorize independent
226procurement of workers' compensation insurance, apply as to life
227insurance, or health insurance.
228     Section 9.  Subsection (7) of section 626.9891, Florida
229Statutes, is amended to read:
230     626.9891  Insurer anti-fraud investigative units; reporting
231requirements; penalties for noncompliance.--
232     (7)  If an insurer fails to timely submit a final
233acceptable anti-fraud plan or anti-fraud investigative unit
234description otherwise fails to submit a plan, fails to implement
235the provisions of a plan or an anti-fraud investigative unit
236description, or otherwise refuses to comply with the provisions
237of this section, the department, office, or commission may:
238     (a)  Impose an administrative fine of not more than $2,000
239per day for such failure by an insurer to submit an acceptable
240anti-fraud plan or anti-fraud investigative unit description,
241until the department, office, or commission deems the insurer to
242be in compliance;
243     (b)  Impose an administrative fine for failure by an upon
244the insurer to implement or follow the provisions of an anti-
245fraud plan or anti-fraud investigative unit description a fraud
246detection and prevention plan that is deemed to be appropriate
247by the department and that must be implemented by the insurer;
248or
249     (c)  Impose the provisions of both paragraphs (a) and (b).
250     Section 10.  Section 626.9893, Florida Statutes, is created
251to read:
252     626.9893  Disposition of revenues; criminal or forfeiture
253proceedings.--
254     (1)  The Division of Insurance Fraud of the Department of
255Financial Services may deposit revenues received as a result of
256criminal proceedings or forfeiture proceedings, other than
257revenues deposited into the Department of Financial Services'
258Federal Equitable Sharing Trust Fund under s. 17.43, into the
259Insurance Regulatory Trust Fund. Moneys deposited pursuant to
260this section shall be separately accounted for and shall be used
261solely for the division to carry out its duties and
262responsibilities.
263     (2)  Moneys deposited into the Insurance Regulatory Trust
264Fund pursuant to this section shall be appropriated by the
265Legislature, pursuant to the provisions of chapter 216, for the
266sole purpose of enabling the division to carry out its duties
267and responsibilities.
268     (3)  Notwithstanding the provisions of s. 216.301 and
269pursuant to s. 216.351, any balance of moneys deposited into the
270Insurance Regulatory Trust Fund pursuant to this section
271remaining at the end of any fiscal year shall remain in the
272trust fund at the end of that year and shall be available for
273carrying out the duties and responsibilities of the division.
274     Section 11.  Subsection (14) is added to section 627.736,
275Florida Statutes, to read:
276     627.736  Required personal injury protection benefits;
277exclusions; priority; claims.--
278     (14)  FRAUD ADVISORY NOTICE.--Upon receiving notice of a
279claim under this section, an insurer shall provide a notice to
280the insured or to a person for whom a claim for reimbursement
281for diagnosis or treatment of injuries has been filed, advising
282that:
283     (a)  Pursuant to s. 626.9892, the Department of Financial
284Services may pay rewards of up to $25,000 to persons providing
285information leading to the arrest and conviction of persons
286committing crimes investigated by the Division of Insurance
287Fraud arising from violations of s. 440.105, s. 624.15, s.
288626.9541, s. 626.989, or s. 817.234.
289     (b)  Solicitation of a person injured in a motor vehicle
290crash for purposes of filing personal injury protection or tort
291claims could be a violation of s. 817.234, s. 817.505, or the
292rules regulating The Florida Bar and should be immediately
293reported to the Division of Insurance Fraud if such conduct has
294taken place.
295     Section 12.  Paragraph (a) of subsection (7) and subsection
296(9) of section 817.234, Florida Statutes, are amended to read:
297     817.234  False and fraudulent insurance claims.--
298     (7)(a)  It shall constitute a material omission and
299insurance fraud, punishable as provided in subsection (11), for
300any service physician or other provider, other than a hospital,
301to engage in a general business practice of billing amounts as
302its usual and customary charge, if such provider has agreed with
303the insured patient or intends to waive deductibles or
304copayments, or does not for any other reason intend to collect
305the total amount of such charge. With respect to a determination
306as to whether a service physician or other provider has engaged
307in such general business practice, consideration shall be given
308to evidence of whether the physician or other provider made a
309good faith attempt to collect such deductible or copayment. This
310paragraph does not apply to physicians or other providers who
311waive deductibles or copayments or reduce their bills as part of
312a bodily injury settlement or verdict.
313     (9)  A person may not organize, plan, or knowingly
314participate in an intentional motor vehicle crash or a scheme to
315create documentation of a motor vehicle crash that did not occur
316for the purpose of making motor vehicle tort claims or claims
317for personal injury protection benefits as required by s.
318627.736. Any person who violates this subsection commits a
319felony of the second degree, punishable as provided in s.
320775.082, s. 775.083, or s. 775.084. A person who is convicted of
321a violation of this subsection shall be sentenced to a minimum
322term of imprisonment of 2 years.
323     Section 13.  Section 817.2361, Florida Statutes, is amended
324to read:
325     817.2361  False or fraudulent proof of motor vehicle
326insurance card.--Any person who, with intent to deceive any
327other person, creates, markets, or presents a false or
328fraudulent proof of motor vehicle insurance card commits a
329felony of the third degree, punishable as provided in s.
330775.082, s. 775.083, or s. 775.084.
331     Section 14.  Subsection (2) of section 817.50, Florida
332Statutes, is amended to read:
333     817.50  Fraudulently obtaining goods, services, etc., from
334a health care provider.--
335     (2)  If any person gives to any health care provider in
336this state a false or fictitious name or a false or fictitious
337address or assigns to any health care provider the proceeds of
338any health maintenance contract or insurance contract, then
339knowing that such contract is no longer in force, is invalid, or
340is void for any reason, such action shall be prima facie
341evidence of the intent of such person to defraud the health care
342provider. However, this subsection does not apply to
343investigative actions taken by law enforcement officers for law
344enforcement purposes in the course of their official duties.
345     Section 15.  Subsection (1) and paragraph (a) of subsection
346(2) of section 817.505, Florida Statutes, are amended to read:
347     817.505  Patient brokering prohibited; exceptions;
348penalties.--
349     (1)  It is unlawful for any person, including any health
350care provider or health care facility, to:
351     (a)  Offer or pay any commission, bonus, rebate, kickback,
352or bribe, directly or indirectly, in cash or in kind, or engage
353in any split-fee arrangement, in any form whatsoever, to induce
354the referral of patients or patronage to or from a health care
355provider or health care facility;
356     (b)  Solicit or receive any commission, bonus, rebate,
357kickback, or bribe, directly or indirectly, in cash or in kind,
358or engage in any split-fee arrangement, in any form whatsoever,
359in return for referring patients or patronage to or from a
360health care provider or health care facility; or
361     (c)  Solicit or receive any commission, bonus, rebate,
362kickback, or bribe, directly or indirectly, in cash or in kind,
363or engage in any split-fee arrangement, in any form whatsoever,
364in return for the acceptance or acknowledgement of treatment
365from a health care provider or health care facility; or
366     (d)(c)  Aid, abet, advise, or otherwise participate in the
367conduct prohibited under paragraph (a), or paragraph (b), or
368paragraph (c).
369     (2)  For the purposes of this section, the term:
370     (a)  "Health care provider or health care facility" means
371any person or entity licensed, certified, or registered;
372required to be licensed, certified, or registered; or lawfully
373exempt from being required to be licensed, certified, or
374registered with the Agency for Health Care Administration or the
375Department of Health; any person or entity that has contracted
376with the Agency for Health Care Administration to provide goods
377or services to Medicaid recipients as provided under s. 409.907;
378a county health department established under part I of chapter
379154; any community service provider contracting with the
380Department of Children and Family Services to furnish alcohol,
381drug abuse, or mental health services under part IV of chapter
382394; any substance abuse service provider licensed under chapter
383397; or any federally supported primary care program such as a
384migrant or community health center authorized under ss. 329 and
385330 of the United States Public Health Services Act.
386     Section 16.  Section 843.08, Florida Statutes, is amended
387to read:
388     843.08  Falsely personating officer, etc.--A person who
389falsely assumes or pretends to be a sheriff, officer of the
390Florida Highway Patrol, officer of the Fish and Wildlife
391Conservation Commission, officer of the Department of
392Environmental Protection, officer of the Department of
393Transportation, officer of the Department of Financial Services,
394officer of the Department of Corrections, correctional probation
395officer, deputy sheriff, state attorney or assistant state
396attorney, statewide prosecutor or assistant statewide
397prosecutor, state attorney investigator, coroner, police
398officer, lottery special agent or lottery investigator, beverage
399enforcement agent, or watchman, or any member of the Parole
400Commission and any administrative aide or supervisor employed by
401the commission, or any personnel or representative of the
402Department of Law Enforcement, and takes upon himself or herself
403to act as such, or to require any other person to aid or assist
404him or her in a matter pertaining to the duty of any such
405officer, commits a felony of the third degree, punishable as
406provided in s. 775.082, s. 775.083, or s. 775.084; however, a
407person who falsely personates any such officer during the course
408of the commission of a felony commits a felony of the second
409degree, punishable as provided in s. 775.082, s. 775.083, or s.
410775.084; except that if the commission of the felony results in
411the death or personal injury of another human being, the person
412commits a felony of the first degree, punishable as provided in
413s. 775.082, s. 775.083, or s. 775.084.
414     Section 17.  Paragraph (n) is added to subsection (6) of
415section 932.7055, Florida Statutes, to read:
416     932.7055  Disposition of liens and forfeited property.--
417     (6)  If the seizing agency is a state agency, all remaining
418proceeds shall be deposited into the General Revenue Fund.
419However, if the seizing agency is:
420     (n)  The Division of Insurance Fraud of the Department of
421Financial Services, the proceeds accrued pursuant to the
422provisions of the Florida Contraband Forfeiture Act shall be
423deposited into the Insurance Regulatory Trust Fund as provided
424in s. 626.9893 or into the Department of Financial Services'
425Federal Equitable Sharing Trust Fund as provided in s. 17.43, as
426applicable.
427     Section 18.  If any provision of this act or the
428application thereof to any person or circumstance is held
429invalid, the invalidity does not affect other provisions or
430applications of the act which can be given effect without the
431invalid provision or application, and, to this end, the
432provisions of this act are declared severable.
433     Section 19.  This act shall take effect July 1, 2006.


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