Florida Senate - 2015                                     SB 916
       By Senator Montford
       3-00897A-15                                            2015916__
    1                        A bill to be entitled                      
    2         An act relating to commercial insurer rate filing
    3         procedures; amending s. 627.062, F.S.; limiting to
    4         residential property insurers the requirement that
    5         property insurers certify certain information
    6         presented in rate filings as truthful, complete, and
    7         in compliance with specified actuarial techniques;
    8         amending s. 627.0645, F.S.; revising the types of
    9         commercial insurers that are exempt from making
   10         certain required annual base rate filings with the
   11         Office of Insurance Regulation; reenacting s.
   12         627.0651(14)(a), F.S., relating to the making and use
   13         of rates for motor vehicle insurance, to incorporate
   14         the amendment made to s. 627.0645, F.S., in a
   15         reference thereto; providing an effective date.
   17  Be It Enacted by the Legislature of the State of Florida:
   19         Section 1. Paragraph (a) of subsection (8) of section
   20  627.062, Florida Statutes, is amended to read:
   21         627.062 Rate standards.—
   22         (8)(a) The chief executive officer or chief financial
   23  officer of a residential property insurer and the chief actuary
   24  of a residential property insurer must certify under oath and
   25  subject to the penalty of perjury, on a form approved by the
   26  commission, the following information, which must accompany a
   27  residential property rate filing:
   28         1. The signing officer and actuary have reviewed the rate
   29  filing;
   30         2. Based on the signing officer’s and actuary’s knowledge,
   31  the rate filing does not contain any untrue statement of a
   32  material fact or omit to state a material fact necessary to make
   33  the statements made, in light of the circumstances under which
   34  such statements were made, not misleading;
   35         3. Based on the signing officer’s and actuary’s knowledge,
   36  the information and other factors described in paragraph (2)(b),
   37  including, but not limited to, investment income, fairly present
   38  in all material respects the basis of the rate filing for the
   39  periods presented in the filing; and
   40         4. Based on the signing officer’s and actuary’s knowledge,
   41  the rate filing reflects all premium savings that are reasonably
   42  expected to result from legislative enactments and are in
   43  accordance with generally accepted and reasonable actuarial
   44  techniques.
   45         Section 2. Subsection (1) of section 627.0645, Florida
   46  Statutes, is amended to read:
   47         627.0645 Annual filings.—
   48         (1) Each rating organization filing rates for, and each
   49  insurer writing, any line of property or casualty insurance to
   50  which this part applies, except:
   51         (a) Workers’ compensation and employer’s liability
   52  insurance; or
   53         (b) Commercial property insurance and commercial casualty
   54  insurance, which have the same meaning as the terms “property
   55  insurance” and “casualty insurance” as defined in ss. 624.604
   56  and 624.605, respectively, but limited to coverage for
   57  commercial risks s. 627.0625(1) other than commercial multiple
   58  line and commercial motor vehicle,
   60  shall make an annual base rate filing for each such line with
   61  the office no later than 12 months after its previous base rate
   62  filing, demonstrating that its rates are not inadequate.
   63         Section 3. For the purpose of incorporating the amendment
   64  made by this act to section 627.0645, Florida Statutes, in a
   65  reference thereto, paragraph (a) of subsection (14) of section
   66  627.0651, Florida Statutes, is reenacted to read:
   67         627.0651 Making and use of rates for motor vehicle
   68  insurance.—
   69         (14)(a) Commercial motor vehicle insurance is not subject
   70  to subsection (1), subsection (2), or subsection (9) or s.
   71  627.0645.
   72         Section 4. This act shall take effect July 1, 2015.