| 1 | Representative Nelson offered the following: |
| 2 |
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| 3 | Amendment (with title amendment) |
| 4 | Between lines 440 and 441, insert: |
| 5 | Section 6. Subsection (3) of section 626.7451, Florida |
| 6 | Statutes, is amended to read: |
| 7 | 626.7451 Managing general agents; required contract |
| 8 | provisions.-No person acting in the capacity of a managing |
| 9 | general agent shall place business with an insurer unless there |
| 10 | is in force a written contract between the parties which sets |
| 11 | forth the responsibility for a particular function, specifies |
| 12 | the division of responsibilities, and contains the following |
| 13 | minimum provisions: |
| 14 | (3) All funds collected for the account of the insurer |
| 15 | shall be held by the managing general agent in a fiduciary |
| 16 | capacity in a bank which is insured by the Federal Deposit |
| 17 | Insurance Corporation a member of the Federal Reserve System. |
| 18 | The This account shall be used for all payment as directed by |
| 19 | the insurer. The managing general agent may retain up to no more |
| 20 | than 60 days of estimated claims payments and allocated loss |
| 21 | adjustment expenses. |
| 22 |
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| 23 | For the purposes of this section and ss. 626.7453 and 626.7454, |
| 24 | the term "controlling person" or "controlling" has the meaning |
| 25 | set forth in s. 625.012(5)(b)1., and the term "controlled |
| 26 | person" or "controlled" has the meaning set forth in s. |
| 27 | 625.012(5)(b)2. |
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| 30 | ----------------------------------------------------- |
| 31 | T I T L E A M E N D M E N T |
| 32 | Remove line 42 and insert: |
| 33 | Florida Insurance Code; amending s. 626.7451, F.S.; requiring |
| 34 | funds collected for an insurer to be held in a bank insured by |
| 35 | the Federal Deposit Insurance Corporation; amending s. 626.8651, |
| 36 | F.S.; |