Amendment
Bill No. CS/HB 853
Amendment No. 056447
CHAMBER ACTION
Senate House
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1Representative Patterson offered the following:
2
3     Amendment (with title amendment)
4     Remove lines 45-69 and insert:
5     Section 3.  Section 626.9371, Florida Statutes, is created
6to read:
7     626.9371  Payment of premiums and claims.--
8     (1)  The premiums for surplus lines insurance contracts
9issued on or after October 1, 2009, in this state or covering
10risks located in this state shall be paid in cash consisting of
11coins, currency, checks, or money orders or by using a debit
12card, credit card, automatic electronic funds transfer, or
13payroll deduction plan.
14     (2)  All payments of claims made in this state under any
15contract of surplus lines insurance issued on or after October
161, 2009, shall be made:
17     (a)  In cash consisting of coins, currency, checks, drafts,
18or money orders and, if made by check or draft, shall be in such
19form as will comply with the standards for cash items adopted by
20the Federal Reserve System to facilitate the sorting, routing,
21and mechanized processing of such items; or
22     (b)  By debit card or any other form of electronic transfer
23if authorized in writing by the recipient or the recipient's
24representative. Any fees or costs to be charged against the
25recipient must be disclosed in writing to the recipient or the
26recipient's representative at the time of written authorization.
27However, the written authorization requirement may be waived by
28the recipient or the recipient's representative if the insurer
29verifies the identity of the insured or the insured's recipient
30and does not charge a fee for the transaction. If the funds are
31misdirected, the insurer remains liable for the payment of the
32claim.
33     Section 4.  Section 626.9372, Florida Statutes, is created
34to read:
35     626.9372  Disclosure statement of certain information
36required-liability claims.--
37     (1)  Each insurer that provides or may provide liability
38insurance coverage to pay all or a portion of any claim that
39might be made under surplus lines policies issued on or after
40October 1, 2009, shall provide, within 60 days after the written
41request of the claimant, a statement of a corporate officer or
42the insurer's claims manager or superintendent setting forth the
43following information with regard to each known policy of
44insurance, including excess or umbrella insurance:
45     (a)  The name of the insurer.
46     (b)  The name of each insured.
47     (c)  The limits of the liability coverage.
48     (d)  A statement of any policy or coverage defense that
49such insurer reasonably believes is available to such insurer at
50the time of filing such statement.
51     (e)  A copy of the policy.
52
53In addition, the insured, or her or his insurance agent, upon
54written request of the claimant or the claimant's attorney,
55shall disclose the name and coverage of each known insurer to
56the claimant and forward such request for information as
57required by this subsection to all affected insurers. The
58insurer shall supply the information required in this subsection
59to the claimant within 60 days after receipt of such request.
60     (2)  The statement required by subsection (1) must be
61amended within 60 days after the date of discovery of facts
62necessitating an amendment to such statement.
63     Section 5.  Section 626.9373, Florida Statutes, is created
64to read:
65     626.9373  Attorney's fees.--
66     (1)  Upon the rendition of a judgment or decree by any
67court of this state against a surplus lines insurer in favor of
68any named or omnibus insured or the named beneficiary under a
69policy or contract executed by the insurer on or after the
70effective date of this act, the trial court or, if the insured
71or beneficiary prevails on appeal, the appellate court, shall
72adjudge or decree against the insurer in favor of the insured or
73beneficiary a reasonable sum as fees or compensation for the
74insured's or beneficiary's attorney prosecuting the lawsuit for
75which recovery is awarded.
76     (2)  If awarded, attorney's fees or compensation shall be
77included in the judgment or decree rendered in the case.
78     Section 6.  Section 626.9374, Florida Statutes, is created
79to read:
80     626.9374  Liability of insureds; deductible and
81coinsurance.--
82     (1)  Any surplus lines, personal lines residential property
83insurance policy issued on or after October 1, 2009, containing
84a separate hurricane or wind deductible must on its face include
85in at least 14-point, boldface type the following statement:
86THIS POLICY CONTAINS A SEPARATE DEDUCTIBLE FOR HURRICANE OR WIND
87LOSSES, WHICH MAY RESULT IN HIGH OUT-OF-POCKET EXPENSES TO YOU.
88     (2)  A surplus lines, personal lines residential property
89insurance policy issued on or after October 1, 2009, containing
90a coinsurance provision applicable to hurricane or wind losses
91must on its face include in at least 14-point, boldface type the
92following statement: THIS POLICY CONTAINS A CO-PAY PROVISION
93THAT MAY RESULT IN HIGH OUT-OF-POCKET EXPENSES TO YOU.
94     Section 7.  The amendments to s. 626.913, Florida Statutes,
95in this act are remedial in nature and operate retroactively to
96the regulation of surplus lines insurers from October 1, 1988,
97except with respect to lawsuits that are filed on or before May
9815, 2009.
99      Section 8.  If any provision of this act or the application
100thereof to any person or circumstance is held invalid, the
101invalidity shall not affect other provisions or applications of
102the act which can be given effect without the invalid provision
103or application, and to this end the provisions of this act are
104declared severable.
105     Section 9.  This act shall take effect upon becoming a law.
106
107
108
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T I T L E  A M E N D M E N T
110     Remove lines 8-13 and insert:
111creating s. 626.9371, F.S.; providing methods of payment for
112premiums and claims regarding surplus lines contracts issued on
113or after a specified date; requiring a written authorization to
114complete payment under certain circumstances; providing for
115waiver of such requirement; providing that an insurer remains
116liable for payment of a claim if corresponding funds are
117misdirected; creating s. 626.9372, F.S.; requiring that certain
118insurers provide a disclosure statement to a claimant under
119certain circumstances; requiring that such statement include
120certain information; requiring that an insurer disclose certain
121additional information upon the request of a claimant; requiring
122the amendment of such statement under certain circumstances;
123creating s. 626.9373, F.S.; providing for the payment of
124attorney's fees in cases involving surplus lines insurers at the
125trial and appellate levels; amending s. 626.9374, F.S.;
126requiring that a surplus lines policy containing a separate
127hurricane or wind deductible issued on or after a specified date
128have a specified statement printed on the face of the policy;
129requiring that a surplus lines policy containing a coinsurance
130provision applicable to hurricane or wind losses issued on or
131after a specified date have a specified statement printed on the
132face of the policy; providing for the retroactive applicability
133of certain provisions; providing severability; providing


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