Florida Senate - 2018 SB 518 By Senator Bean 4-00624-18 2018518__ 1 A bill to be entitled 2 An act relating to motor vehicle insurance coverage 3 exclusions; creating s. 627.747, F.S.; providing that 4 private passenger motor vehicle policies may exclude 5 certain identified individuals from specified 6 coverages under certain circumstances; providing that 7 such policies may not exclude coverage under certain 8 circumstances; amending ss. 324.151, 627.736, and 9 627.7407, F.S.; conforming provisions to changes made 10 by the act; providing an effective date. 11 12 Be It Enacted by the Legislature of the State of Florida: 13 14 Section 1. Section 627.747, Florida Statutes, is created to 15 read: 16 627.747 Named driver exclusion.— 17 (1) A private passenger motor vehicle policy may exclude an 18 identified individual who is not a named insured from the 19 following coverages while the identified individual is operating 20 a motor vehicle, provided the identified individual is named on 21 the declarations page or by endorsement, and the named insured 22 consents in writing to such exclusion: 23 (a) Notwithstanding the Florida Motor Vehicle No-Fault Law, 24 the personal injury protection coverage specifically applicable 25 to the identified individual’s injuries, lost wages, and death 26 benefits. 27 (b) Property damage liability coverage. 28 (c) Bodily injury liability coverage, if required by law 29 and purchased by the named insured. 30 (d) Uninsured motorist coverage for any damages sustained 31 by the identified excluded individual, if the named insured has 32 purchased such coverage. 33 (e) Any coverage the named insured is not required by law 34 to purchase. 35 (2) A private passenger motor vehicle policy may not 36 exclude coverage when: 37 (a) The identified individual is injured while not 38 operating a motor vehicle; 39 (b) The exclusion is unfairly discriminatory under the 40 Florida Insurance Code, as determined by the office; or 41 (c) The exclusion is inconsistent with the underwriting 42 rules filed by the insurer pursuant to s. 627.0651(13)(a). 43 Section 2. Paragraph (a) of subsection (1) of section 44 324.151, Florida Statutes, is amended to read: 45 324.151 Motor vehicle liability policies; required 46 provisions.— 47 (1) A motor vehicle liability policy to be proof of 48 financial responsibility under s. 324.031(1), shall be issued to 49 owners or operators under the following provisions: 50 (a) An owner’s liability insurance policy mustshall51 designate by explicit description or by appropriate reference 52 all motor vehicles with respect to which coverage is thereby 53 granted, mustandshallinsure the owner named therein, and, 54 except for a named driver excluded under s. 627.747, must insure 55 any other person as operator using such motor vehicle or motor 56 vehicles with the express or implied permission of such owner 57 against loss from the liability imposed by law for damage 58 arising out of the ownership, maintenance, or use of such motor 59 vehicle or motor vehicles within the United States or the 60 Dominion of Canada, subject to limits, exclusive of interest and 61 costs with respect to each such motor vehicle as is provided for 62 under s. 324.021(7). Insurers may make available, with respect 63 to property damage liability coverage, a deductible amount not 64 to exceed $500. In the event of a property damage loss covered 65 by a policy containing a property damage deductible provision, 66 the insurer shall pay to the third-party claimant the amount of 67 any property damage liability settlement or judgment, subject to 68 policy limits, as if no deductible existed. 69 Section 3. Subsection (1) of section 627.736, Florida 70 Statutes, is amended to read: 71 627.736 Required personal injury protection benefits; 72 exclusions; priority; claims.— 73 (1) REQUIRED BENEFITS.—An insurance policy complying with 74 the security requirements of s. 627.733 must provide personal 75 injury protection to the named insured, relatives residing in 76 the same household unless excluded under s. 627.747, persons 77 operating the insured motor vehicle, passengers in the motor 78 vehicle, and other persons struck by the motor vehicle and 79 suffering bodily injury while not an occupant of a self 80 propelled vehicle, subject to subsection (2) and paragraph 81 (4)(e), to a limit of $10,000 in medical and disability benefits 82 and $5,000 in death benefits resulting from bodily injury, 83 sickness, disease, or death arising out of the ownership, 84 maintenance, or use of a motor vehicle as follows: 85 (a) Medical benefits.—Eighty percent of all reasonable 86 expenses for medically necessary medical, surgical, X-ray, 87 dental, and rehabilitative services, including prosthetic 88 devices and medically necessary ambulance, hospital, and nursing 89 services if the individual receives initial services and care 90 pursuant to subparagraph 1. within 14 days after the motor 91 vehicle accident. The medical benefits provide reimbursement 92 only for: 93 1. Initial services and care that are lawfully provided, 94 supervised, ordered, or prescribed by a physician licensed under 95 chapter 458 or chapter 459, a dentist licensed under chapter 96 466, or a chiropractic physician licensed under chapter 460 or 97 that are provided in a hospital or in a facility that owns, or 98 is wholly owned by, a hospital. Initial services and care may 99 also be provided by a person or entity licensed under part III 100 of chapter 401 which provides emergency transportation and 101 treatment. 102 2. Upon referral by a provider described in subparagraph 103 1., followup services and care consistent with the underlying 104 medical diagnosis rendered pursuant to subparagraph 1. which may 105 be provided, supervised, ordered, or prescribed only by a 106 physician licensed under chapter 458 or chapter 459, a 107 chiropractic physician licensed under chapter 460, a dentist 108 licensed under chapter 466, or, to the extent permitted by 109 applicable law and under the supervision of such physician, 110 osteopathic physician, chiropractic physician, or dentist, by a 111 physician assistant licensed under chapter 458 or chapter 459 or 112 an advanced registered nurse practitioner licensed under chapter 113 464. Followup services and care may also be provided by the 114 following persons or entities: 115 a. A hospital or ambulatory surgical center licensed under 116 chapter 395. 117 b. An entity wholly owned by one or more physicians 118 licensed under chapter 458 or chapter 459, chiropractic 119 physicians licensed under chapter 460, or dentists licensed 120 under chapter 466 or by such practitioners and the spouse, 121 parent, child, or sibling of such practitioners. 122 c. An entity that owns or is wholly owned, directly or 123 indirectly, by a hospital or hospitals. 124 d. A physical therapist licensed under chapter 486, based 125 upon a referral by a provider described in this subparagraph. 126 e. A health care clinic licensed under part X of chapter 127 400 which is accredited by an accrediting organization whose 128 standards incorporate comparable regulations required by this 129 state, or 130 (I) Has a medical director licensed under chapter 458, 131 chapter 459, or chapter 460; 132 (II) Has been continuously licensed for more than 3 years 133 or is a publicly traded corporation that issues securities 134 traded on an exchange registered with the United States 135 Securities and Exchange Commission as a national securities 136 exchange; and 137 (III) Provides at least four of the following medical 138 specialties: 139 (A) General medicine. 140 (B) Radiography. 141 (C) Orthopedic medicine. 142 (D) Physical medicine. 143 (E) Physical therapy. 144 (F) Physical rehabilitation. 145 (G) Prescribing or dispensing outpatient prescription 146 medication. 147 (H) Laboratory services. 148 3. Reimbursement for services and care provided in 149 subparagraph 1. or subparagraph 2. up to $10,000 if a physician 150 licensed under chapter 458 or chapter 459, a dentist licensed 151 under chapter 466, a physician assistant licensed under chapter 152 458 or chapter 459, or an advanced registered nurse practitioner 153 licensed under chapter 464 has determined that the injured 154 person had an emergency medical condition. 155 4. Reimbursement for services and care provided in 156 subparagraph 1. or subparagraph 2. is limited to $2,500 if a 157 provider listed in subparagraph 1. or subparagraph 2. determines 158 that the injured person did not have an emergency medical 159 condition. 160 5. Medical benefits do not include massage as defined in s. 161 480.033 or acupuncture as defined in s. 457.102, regardless of 162 the person, entity, or licensee providing massage or 163 acupuncture, and a licensed massage therapist or licensed 164 acupuncturist may not be reimbursed for medical benefits under 165 this section. 166 6. The Financial Services Commission shall adopt by rule 167 the form that must be used by an insurer and a health care 168 provider specified in sub-subparagraph 2.b., sub-subparagraph 169 2.c., or sub-subparagraph 2.e. to document that the health care 170 provider meets the criteria of this paragraph. Such rule must 171 include a requirement for a sworn statement or affidavit. 172 (b) Disability benefits.—Sixty percent of any loss of gross 173 income and loss of earning capacity per individual from 174 inability to work proximately caused by the injury sustained by 175 the injured person, plus all expenses reasonably incurred in 176 obtaining from others ordinary and necessary services in lieu of 177 those that, but for the injury, the injured person would have 178 performed without income for the benefit of his or her 179 household. All disability benefits payable under this provision 180 must be paid at least every 2 weeks. 181 (c) Death benefits.—Death benefits of $5,000 per 182 individual. Death benefits are in addition to the medical and 183 disability benefits provided under the insurance policy. The 184 insurer may pay death benefits to the executor or administrator 185 of the deceased, to any of the deceased’s relatives by blood, 186 legal adoption, or marriage, or to any person appearing to the 187 insurer to be equitably entitled to such benefits. 188 189 Only insurers writing motor vehicle liability insurance in this 190 state may provide the required benefits of this section, and 191 such insurer may not require the purchase of any other motor 192 vehicle coverage other than the purchase of property damage 193 liability coverage as required by s. 627.7275 as a condition for 194 providing such benefits. Insurers may not require that property 195 damage liability insurance in an amount greater than $10,000 be 196 purchased in conjunction with personal injury protection. Such 197 insurers shall make benefits and required property damage 198 liability insurance coverage available through normal marketing 199 channels. An insurer writing motor vehicle liability insurance 200 in this state who fails to comply with such availability 201 requirement as a general business practice violates part IX of 202 chapter 626, and such violation constitutes an unfair method of 203 competition or an unfair or deceptive act or practice involving 204 the business of insurance. An insurer committing such violation 205 is subject to the penalties provided under that part, as well as 206 those provided elsewhere in the insurance code. 207 Section 4. Paragraph (a) of subsection (5) of section 208 627.7407, Florida Statutes, is amended to read: 209 627.7407 Application of the Florida Motor Vehicle No-Fault 210 Law.— 211 (5) No later than November 15, 2007, each motor vehicle 212 insurer shall provide notice of the provisions of this section 213 to each motor vehicle insured who is subject to subsection (1). 214 The notice is not subject to approval by the Office of Insurance 215 Regulation. The notice must clearly inform the policyholder: 216 (a) That beginning on January 1, 2008, Florida law requires 217 the policyholder to maintain personal injury protection (“PIP”) 218 insurance coverage and that this insurance pays covered medical 219 expenses for injuries sustained in a motor vehicle crash by the 220 policyholder, passengers, and relatives residing in the 221 policyholder’s household unless excluded under s. 627.747. 222 Section 5. This act shall take effect July 1, 2018.