Florida Senate - 2011 SENATOR AMENDMENT Bill No. CS/CS/CS/SB 408, 2nd Eng. Barcode 499748 LEGISLATIVE ACTION Senate . House . . . Floor: 4/F/RM . 05/05/2011 06:42 PM . ————————————————————————————————————————————————————————————————— ————————————————————————————————————————————————————————————————— Senator Margolis moved the following: 1 Senate Amendment to House Amendment (844961) (with title 2 amendment) 3 4 Delete lines 1146 - 1206 5 and insert: 6 (1)(a) It is the intent of the Legislature that insurers 7mustprovide savings to consumers who install or implement 8 windstorm damage mitigation techniques, alterations, or 9 solutions to their properties to prevent windstorm losses. A 10 rate filing for residential property insurance must include 11 actuarially reasonable discounts, credits, or other rate 12 differentials, or appropriate reductions in deductibles, for 13 properties on which fixtures or construction techniques 14 demonstrated to reduce the amount of loss in a windstorm have 15 been installed or implemented. The fixtures or construction 16 techniques mustshallinclude, but are notbelimited to, 17 fixtures or construction techniques thatwhichenhance roof 18 strength, roof covering performance, roof-to-wall strength, 19 wall-to-floor-to-foundation strength, opening protection, and 20 window, door, and skylight strength. Credits, discounts, or 21 other rate differentials, or appropriate reductions in 22 deductibles, for fixtures and construction techniques thatwhich23 meet the minimum requirements of the Florida Building Code must 24 be included in the rate filing.All insurance companies must25make a rate filing which includes the credits, discounts, or26other rate differentials or reductions in deductibles by27February 28, 2003. By July 1, 2007, the office shall reevaluate28the discounts, credits, other rate differentials, and29appropriate reductions in deductibles for fixtures and30construction techniques that meet the minimum requirements of31the Florida Building Code, based upon actual experience or any32other loss relativity studies available to the office.The 33 office shall determine the discounts, credits, other rate 34 differentials, and appropriate reductions in deductibles that 35 reflect the full actuarial value of such revaluation, which may 36 be used by insurers in rate filings. 37 (b) By February 1, 2011, the Office of Insurance 38 Regulation, in consultation with the Department of Financial 39 Services and the Department of Community Affairs, shall develop 40 and make publicly available a proposed method for insurers to 41 establish discounts, credits, or other rate differentials for 42 hurricane mitigation measures which directly correlate to the 43 numerical rating assigned to a structure pursuant to the uniform 44 home grading scale adopted by the Financial Services Commission 45 pursuant to s. 215.55865, including any proposed changes to the 46 uniform home grading scale. By October 1, 2011, the commission 47 shall adopt rules requiring insurers to make rate filings for 48 residential property insurance which revise insurers' discounts, 49 credits, or other rate differentials for hurricane mitigation 50 measures so that such rate differentials correlate directly to 51 the uniform home grading scale. The rules may include such 52 changes to the uniform home grading scale as the commission 53 determines are necessary, and may specify the minimum required 54 discounts, credits, or other rate differentials. Such rate 55 differentials must be consistent with generally accepted 56 actuarial principles and wind-loss mitigation studies. The rules 57 shall allow a period of at least 2 years after the effective 58 date of the revised mitigation discounts, credits, or other rate 59 differentials for a property owner to obtain an inspection or 60 otherwise qualify for the revised credit, during which time the 61 insurer shall continue to apply the mitigation credit that was 62 applied immediately prior to the effective date of the revised 63 credit. Discounts, credits, and other rate differentials 64 established for rate filings under this paragraph shall 65 supersede, after adoption, the discounts, credits, and other 66 rate differentials included in rate filings under paragraph (a). 67 68 ================= T I T L E A M E N D M E N T ================ 69 And the title is amended as follows: 70 Delete lines 3612 - 3616 71 and insert: 72 F.S.; deleting obsolete provisions; conforming 73 provisions to changes made by the act;