Florida Senate - 2009                                     SB 822
       
       
       
       By Senator Garcia
       
       
       
       
       40-00919-09                                            2009822__
    1                        A bill to be entitled                      
    2         An act relating to insurance rate incentives for
    3         carbon monoxide detectors and alarms; creating s.
    4         627.06295, F.S.; providing legislative intent;
    5         requiring residential property insurance rate filings
    6         to include certain rate incentives for installing and
    7         maintaining carbon monoxide detectors and alarms under
    8         certain circumstances; requiring the Office of
    9         Insurance Regulation to develop a proposed method for
   10         insurers to establish such incentives; requiring the
   11         Financial Services Commission to adopt rules for
   12         insurers to provide such incentives; providing an
   13         effective date.
   14         
   15  Be It Enacted by the Legislature of the State of Florida:
   16         
   17         Section 1. Section 627.06295, Florida Statutes, is created
   18  to read:
   19         627.06295 Residential property insurance; rate filings.—
   20         (1) It is the intent of the Legislature that insurers must
   21  provide savings to consumers who install and maintain carbon
   22  monoxide detectors and alarms in their properties to prevent
   23  loss of life through carbon monoxide inhalation. A rate filing
   24  for residential property insurance must include actuarially
   25  reasonable discounts, credits, or other rate differentials, or
   26  appropriate reductions in deductibles, for properties on which
   27  carbon monoxide detectors and alarms have been installed and
   28  maintained. Credits, discounts, or other rate differentials, or
   29  appropriate reductions in deductibles, for installation and
   30  maintenance of carbon monoxide detectors and alarms that meet
   31  the minimum requirements of the Florida Building Code must be
   32  included in the rate filing. All insurance companies must make a
   33  rate filing which includes the credits, discounts, or other rate
   34  differentials or reductions in deductibles by February 28, 2010.
   35  By October 1, 2009, the office shall reevaluate the discounts,
   36  credits, other rate differentials, and appropriate reductions in
   37  deductibles for installation and maintenance of carbon monoxide
   38  detectors and alarms that meet the minimum requirements of the
   39  Florida Building Code, based upon actual experience or any other
   40  loss relativity studies available to the office. The office
   41  shall determine the discounts, credits, other rate
   42  differentials, and appropriate reductions in deductibles that
   43  reflect the full actuarial value of such revaluation, which may
   44  be used by insurers in rate filings.
   45         (2) By February 1, 2011, the Office of Insurance
   46  Regulation, in consultation with the Department of Financial
   47  Services and the Department of Community Affairs, shall develop
   48  and make publicly available a proposed method for insurers to
   49  establish discounts, credits, or other rate differentials for
   50  carbon monoxide detectors and alarms. By October 1, 2011, the
   51  Financial Services Commission shall adopt rules requiring
   52  insurers to make rate filings for residential property insurance
   53  which revise insurers' discounts, credits, or other rate
   54  differentials for installation and maintenance of carbon
   55  monoxide detectors and alarms. The rules shall allow a period of
   56  at least 2 years after the effective date of the revised
   57  discounts, credits, or other rate differentials for a property
   58  owner to obtain an inspection or otherwise qualify for the
   59  revised discounts, credits, or other rate differentials, during
   60  which time the insurer shall continue to apply the discount,
   61  credit, or rate differential that was applied immediately prior
   62  to the effective date of the revised discount, credit, or rate
   63  differential.
   64         Section 2. This act shall take effect July 1, 2009.