| 1 | Representative(s) Gelber offered the following: |
| 2 |
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| 3 | Amendment |
| 4 | Remove line(s) 439-500 and insert: |
| 5 | premium for coverage from the authorized insurer is more than 15 |
| 6 | 25 percent greater than the premium for comparable coverage from |
| 7 | the corporation. If the risk is not able to obtain any such |
| 8 | offer, the risk is eligible for either a standard policy |
| 9 | including wind coverage or a basic policy including wind |
| 10 | coverage issued by the corporation; however, if the risk could |
| 11 | not be insured under a standard policy including wind coverage |
| 12 | regardless of market conditions, the risk shall be eligible for |
| 13 | a basic policy including wind coverage unless rejected under |
| 14 | subparagraph 8. However, with regard to a policyholder of the |
| 15 | corporation, the policyholder remains eligible for coverage from |
| 16 | the corporation regardless of any offer of coverage from an |
| 17 | authorized insurer or surplus lines insurer. The corporation |
| 18 | shall determine the type of policy to be provided on the basis |
| 19 | of objective standards specified in the underwriting manual and |
| 20 | based on generally accepted underwriting practices. |
| 21 | (I) If the risk accepts an offer of coverage through the |
| 22 | market assistance plan or an offer of coverage through a |
| 23 | mechanism established by the corporation before a policy is |
| 24 | issued to the risk by the corporation or during the first 30 |
| 25 | days of coverage by the corporation, and the producing agent who |
| 26 | submitted the application to the plan or to the corporation is |
| 27 | not currently appointed by the insurer, the insurer shall: |
| 28 | (A) Pay to the producing agent of record of the policy, |
| 29 | for the first year, an amount that is the greater of the |
| 30 | insurer's usual and customary commission for the type of policy |
| 31 | written or a fee equal to the usual and customary commission of |
| 32 | the corporation; or |
| 33 | (B) Offer to allow the producing agent of record of the |
| 34 | policy to continue servicing the policy for a period of not less |
| 35 | than 1 year and offer to pay the agent the greater of the |
| 36 | insurer's or the corporation's usual and customary commission |
| 37 | for the type of policy written. |
| 38 |
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| 39 | If the producing agent is unwilling or unable to accept |
| 40 | appointment, the new insurer shall pay the agent in accordance |
| 41 | with sub-sub-sub-subparagraph (A). |
| 42 | (II) When the corporation enters into a contractual |
| 43 | agreement for a take-out plan, the producing agent of record of |
| 44 | the corporation policy is entitled to retain any unearned |
| 45 | commission on the policy, and the insurer shall: |
| 46 | (A) Pay to the producing agent of record of the |
| 47 | corporation policy, for the first year, an amount that is the |
| 48 | greater of the insurer's usual and customary commission for the |
| 49 | type of policy written or a fee equal to the usual and customary |
| 50 | commission of the corporation; or |
| 51 | (B) Offer to allow the producing agent of record of the |
| 52 | corporation policy to continue servicing the policy for a period |
| 53 | of not less than 1 year and offer to pay the agent the greater |
| 54 | of the insurer's or the corporation's usual and customary |
| 55 | commission for the type of policy written. |
| 56 |
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| 57 | If the producing agent is unwilling or unable to accept |
| 58 | appointment, the new insurer shall pay the agent in accordance |
| 59 | with sub-sub-sub-subparagraph (A). |
| 60 | b. With respect to commercial lines residential risks, for |
| 61 | a new application to the corporation for coverage, if the risk |
| 62 | is offered coverage under a policy including wind coverage from |
| 63 | an authorized insurer at its approved rate, the risk is not |
| 64 | eligible for any policy issued by the corporation unless the |
| 65 | premium for coverage from the authorized insurer is more than 15 |
| 66 | 25 percent greater than the premium for comparable coverage from |