Florida Senate - 2019                              CS for SB 380
       
       
        
       By the Committee on Banking and Insurance; and Senator Brandes
       
       
       
       
       
       597-02480-19                                           2019380c1
    1                        A bill to be entitled                      
    2         An act relating to homeowners’ insurance policy
    3         disclosures; amending s. 627.7011, F.S.; revising
    4         circumstances under which insurers issuing homeowners’
    5         insurance policies must include a specified statement
    6         relating to flood insurance with the policy documents
    7         at initial issuance and renewals; providing an
    8         effective date.
    9          
   10  Be It Enacted by the Legislature of the State of Florida:
   11  
   12         Section 1. Subsection (4) of section 627.7011, Florida
   13  Statutes, is amended to read:
   14         627.7011 Homeowners’ policies; offer of replacement cost
   15  coverage and law and ordinance coverage.—
   16         (4)(a) An insurer that issues a homeowner’s insurance
   17  policy must include with the policy documents at initial
   18  issuance and every renewal, in bold type no smaller than 18
   19  points, the following statement:
   20  
   21         “LAW AND ORDINANCE: LAW AND ORDINANCE COVERAGE IS AN
   22         IMPORTANT COVERAGE THAT YOU MAY WISH TO PURCHASE.
   23         PLEASE DISCUSS WITH YOUR INSURANCE AGENT.”
   24  
   25         (b) An insurer that issues a homeowner’s insurance policy
   26  that does not provide flood insurance coverage must include with
   27  the policy documents at initial issuance and every renewal, in
   28  bold type no smaller than 18 points, the following statement:
   29  
   30         “FLOOD INSURANCE: YOU MAY ALSO NEED TO CONSIDER THE
   31         PURCHASE OF FLOOD INSURANCE. YOUR HOMEOWNER’S
   32         INSURANCE POLICY DOES NOT INCLUDE COVERAGE FOR DAMAGE
   33         RESULTING FROM FLOOD EVEN IF HURRICANE WINDS AND RAIN
   34         CAUSED THE FLOOD TO OCCUR. WITHOUT SEPARATE FLOOD
   35         INSURANCE COVERAGE, YOU MAY HAVE UNCOVERED LOSSES
   36         CAUSED BY FLOOD. PLEASE DISCUSS THE NEED TO PURCHASE
   37         SEPARATE FLOOD INSURANCE COVERAGE WITH YOUR INSURANCE
   38         AGENT.”
   39  
   40         (c) The intent of this subsection is to encourage
   41  policyholders to purchase sufficient coverage to protect them in
   42  case events excluded from the standard homeowners policy, such
   43  as law and ordinance enforcement and flood, combine with covered
   44  events to produce damage or loss to the insured property. The
   45  intent is also to encourage policyholders to discuss these
   46  issues with their insurance agent.
   47         Section 2. This act shall take effect July 1, 2019.