Florida Senate - 2018                             CS for SB 1282
       
       
        
       By the Committee on Banking and Insurance; and Senator Taddeo
       
       
       
       
       
       597-02620-18                                          20181282c1
    1                        A bill to be entitled                      
    2         An act relating to residential property insurance;
    3         amending s. 627.7011, F.S.; revising a mandatory
    4         homeowner’s insurance policy disclosure regarding the
    5         absence of law and ordinance and flood insurance
    6         coverage; requiring insurers issuing such policies to
    7         include the disclosure with the policy documents upon
    8         the initial issuance of the policy and each renewal;
    9         providing applicability; providing an effective date.
   10          
   11  Be It Enacted by the Legislature of the State of Florida:
   12  
   13         Section 1. Subsection (4) of section 627.7011, Florida
   14  Statutes, is amended to read:
   15         627.7011 Homeowners’ policies; offer of replacement cost
   16  coverage and law and ordinance coverage.—
   17         (4) Upon the initial issuance and each renewal of a
   18  homeowner’s insurance policy, the insurer shall must include
   19  with the policy documents, in bold type no smaller than 18
   20  points, the following statement:
   21  
   22         “LAW AND ORDINANCE: LAW AND ORDINANCE COVERAGE IS AN
   23         IMPORTANT COVERAGE THAT YOU MAY WISH TO PURCHASE.
   24         PLEASE DISCUSS WITH YOUR INSURANCE AGENT.”
   25  
   26         “FLOOD INSURANCE: YOU MAY ALSO NEED TO CONSIDER THE
   27         PURCHASE OF FLOOD INSURANCE FROM THE NATIONAL FLOOD
   28         INSURANCE PROGRAM. YOUR HOMEOWNER’S INSURANCE POLICY
   29         DOES NOT INCLUDE COVERAGE FOR DAMAGE RESULTING FROM
   30         FLOOD, EVEN IF HURRICANE WINDS AND RAIN CAUSED THE
   31         FLOOD TO OCCUR. WITHOUT SEPARATE FLOOD INSURANCE THIS
   32         COVERAGE, YOU MAY HAVE UNCOVERED LOSSES CAUSED BY
   33         FLOOD. PLEASE DISCUSS THE NEED TO PURCHASE SEPARATE
   34         FLOOD INSURANCE COVERAGE THESE COVERAGES WITH YOUR
   35         INSURANCE AGENT.”
   36  
   37  The intent of this subsection is to encourage policyholders to
   38  purchase sufficient coverage to protect them in case events
   39  excluded from the standard homeowners policy, such as law and
   40  ordinance enforcement and flood, combine with covered events to
   41  produce damage or loss to the insured property. The intent is
   42  also to encourage policyholders to discuss these issues with
   43  their insurance agent.
   44         Section 2. The amendment made by this act to s. 627.7011,
   45  Florida Statutes, applies to policies issued or renewed on or
   46  after July 1, 2019.
   47         Section 3. This act shall take effect July 1, 2019.