Florida Senate - 2012                        COMMITTEE AMENDMENT
       Bill No. CS for SB 1860
                                Barcode 878070                          
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  02/29/2012           .                                

       The Committee on Budget (Flores) recommended the following:
    1         Senate Amendment (with title amendment)
    3         Delete lines 1298 - 1338
    4  and insert:
    5         (c) A notice is not deficient merely because there are
    6  calculation errors or payments not taken into account in the
    7  demand letter. In determining compliance with this subsection,
    8  the courts shall adhere to the standard of substantial
    9  compliance and consider the purpose of the notice, which is to
   10  provide notice of the overdue claim and to allow the insurer
   11  time to pay the overdue bills before litigation is initiated. If
   12  a demand is found to be deficient for any reason and suit has
   13  commenced, the insured or the insured’s assignee may abate the
   14  action to allow for compliance with this section. If the insurer
   15  is asserting that the notice is deficient, the insurer must
   16  respond to the notice by specifying each deficiency that the
   17  insurer is claiming pursuant to the notice. If the insurer fails
   18  to so specify, the insurer waives any deficiencies found in the
   19  notice.
   20         (d)(c) Each notice required by this subsection must be
   21  delivered to the insurer by United States certified or
   22  registered mail, return receipt requested. Such postal costs
   23  shall be reimbursed by the insurer if so requested by the
   24  claimant in the notice, when the insurer pays the claim. Such
   25  notice must be sent to the person and address specified by the
   26  insurer for the purposes of receiving notices under this
   27  subsection. Each licensed insurer, whether domestic, foreign, or
   28  alien, shall file with the office designation of the name and
   29  address of the person to whom notices must pursuant to this
   30  subsection shall be sent which the office shall make available
   31  on its Internet website. The name and address on file with the
   32  office pursuant to s. 624.422 are shall be deemed the authorized
   33  representative to accept notice pursuant to this subsection if
   34  in the event no other designation has been made.
   35         (e)(d) If, within 30 days after receipt of notice by the
   36  insurer, the overdue claim specified in the notice is paid by
   37  the insurer together with applicable interest and a penalty of
   38  10 percent of the overdue amount paid by the insurer, subject to
   39  a maximum penalty of $250, no action may be brought against the
   40  insurer. If the demand involves an insurer’s withdrawal of
   41  payment under paragraph (7)(a) for future treatment not yet
   42  rendered, no action may be brought against the insurer if,
   43  within 30 days after its receipt of the notice, the insurer
   44  mails to the person filing the notice a written statement of the
   45  insurer’s agreement to pay for such treatment in accordance with
   46  the notice and to pay a penalty of 10 percent, subject to a
   47  maximum penalty of $250, when it pays for such future treatment
   48  in accordance with the requirements of this section. To the
   49  extent the insurer determines not to pay any amount demanded,
   50  the penalty is shall not be payable in any subsequent action.
   51  For purposes of this subsection, payment or the insurer’s
   52  agreement shall be treated as being made on the date a draft or
   53  other valid instrument that is equivalent to payment, or the
   54  insurer’s written statement of agreement, is placed in the
   55  United States mail in a properly addressed, postpaid envelope,
   56  or if not so posted, on the date of delivery. The insurer is not
   57  obligated to pay any attorney attorney’s fees if the insurer
   58  pays the claim or mails its agreement to pay for future
   59  treatment within the time prescribed by this subsection.
   60         (f)(e) The applicable statute of limitation for an action
   62  ================= T I T L E  A M E N D M E N T ================
   63         And the title is amended as follows:
   64         Delete line 76
   65  and insert:
   66         when policy limits are reached; providing criteria for
   67         determining when a demand letter is deficient;
   68         consolidating