Florida Senate - 2009                                     SB 742
       
       
       
       By Senator Fasano
       
       
       
       
       11-00701-09                                            2009742__
    1                        A bill to be entitled                      
    2         An act relating to property insurance; establishing
    3         the “Property Insurance Rate Reduction Act”; providing
    4         findings; requiring that insurance companies writing
    5         property insurance policies in this state consider
    6         certain information for the purpose of reducing the
    7         risk assumed by such insurers when setting rates;
    8         providing an effective date.
    9         
   10  Be It Enacted by the Legislature of the State of Florida:
   11         
   12         Section 1. This act may be cited as the “Property Insurance
   13  Rate Reduction Act.”
   14         Section 2. (1) The Legislature has delegated to local
   15  governmental units the responsibility to adopt regulations
   16  designed to protect the health, safety, and general welfare of
   17  the residents of this state.
   18         (2) Due to a large number of ground-settlement insurance
   19  claims in portions of this state, owners of property located in
   20  this state have been subjected to increased property insurance
   21  rates by insurers.
   22         (3) Local governmental officials have taken substantial
   23  steps to reduce increasing property insurance rates through the
   24  enactment of local ordinances focused on mitigating the risk of
   25  insurers with regard to sinkholes.
   26         Section 3. When assessing risk and setting rates, insurance
   27  companies writing property insurance policies in this state must
   28  consider local ordinances and local amendments to the Florida
   29  Building Code, which are intended to reduce or eliminate
   30  geologic hazards. Such considerations must be made for the
   31  purpose of reducing the level of risk assumed by an insurer when
   32  setting property insurance rates for persons owning property
   33  located in this state.
   34         Section 4. This act shall take effect upon becoming a law.