Florida Senate - 2019                        COMMITTEE AMENDMENT
       Bill No. CS for SB 626
       
       
       
       
       
       
                                Ì707912&Î707912                         
       
                              LEGISLATIVE ACTION                        
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       Appropriations Subcommittee on Agriculture, Environment, and
       General Government (Brandes) recommended the following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete everything after the enacting clause
    4  and insert:
    5         Section 1. Subsection (3) of section 631.713, Florida
    6  Statutes, is amended to read:
    7         631.713 Application of part.—
    8         (3) This part does not apply to:
    9         (a) That portion or part of a variable life insurance
   10  contract or variable annuity contract not guaranteed by an
   11  insurer.
   12         (b) That portion or part of any policy or contract under
   13  which the risk is borne by the policyholder.
   14         (c) Any policy or contract or part thereof assumed by the
   15  impaired or insolvent insurer under a contract of reinsurance,
   16  other than reinsurance for which assumption certificates have
   17  been issued.
   18         (d) Fraternal benefit societies as defined in s. 632.601.
   19         (e) Health maintenance organizations, except for
   20  assessments levied pursuant to ss. 631.715(2)(a)1.,
   21  631.718(3)(b), and 631.819(2)(c) for long-term care insurer
   22  impairments or insolvencies insurance.
   23         (f) Dental service plan insurance.
   24         (g) Pharmaceutical service plan insurance.
   25         (h) Optometric service plan insurance.
   26         (i) Ambulance service association insurance.
   27         (j) Preneed funeral merchandise or service contract
   28  insurance.
   29         (k) Prepaid health clinic insurance.
   30         (l) Any annuity contract or group annuity contract that is
   31  not issued to and owned by an individual, except to the extent
   32  of any annuity benefits:
   33         1. Guaranteed directly and not through an intermediary to
   34  an individual by an insurer under such contract or certificate;
   35         2. Under an annuity issued by an insurer under 26 U.S.C. s.
   36  408(b); or
   37         3. Under an annuity issued by an insurer and held by a
   38  custodian or trustee in accordance with 26 U.S.C. s. 408(a).
   39  
   40  This paragraph applies to every insolvency regardless of its
   41  date of inception, and an assessment base may not include
   42  premiums for such excluded products.
   43         (m) Any federal employees’ group policy or contract that,
   44  under 5 U.S.C. s. 8909(f), is prohibited from being subject to
   45  an assessment under s. 631.718.
   46         (n) Except as provided in this paragraph, a portion of a
   47  policy or contract, to the extent that the rate of interest on
   48  which the policy or contract is based, or the interest rate,
   49  crediting rate, or similar factor determined by use of an index
   50  or other external reference stated in the policy or contract
   51  employed in calculating returns or changes in value:
   52         1. Averaged over the period of 4 years immediately
   53  preceding the date on which the member insurer becomes an
   54  impaired or insolvent insurer under this part, whichever is
   55  earlier, exceeds the rate of interest determined by subtracting
   56  2 percentage points from Moody’s Corporate Bond Yield Average
   57  averaged for that same 4-year period or for such lesser period
   58  if the policy or contract was issued less than 4 years before
   59  the member insurer becomes an impaired or insolvent insurer
   60  under this part, whichever is earlier; and
   61         2. On and after the date on which the member insurer
   62  becomes an impaired or insolvent insurer under this part,
   63  whichever is earlier, exceeds the rate of interest determined by
   64  subtracting 3 percentage points from the most current version of
   65  Moody’s Corporate Bond Yield Average.
   66  
   67  This paragraph does not apply to any portion of a policy or
   68  contract, including a rider, which provides long-term care or
   69  any other health insurance benefit.
   70         (o) A portion of a policy or contract to the extent the
   71  policy or contract provides for interest or other changes in
   72  value to be determined by the use of an index or other external
   73  reference stated in the policy or contract, but which has not
   74  been credited to the policy or contract, or as to which the
   75  policy or contract owner’s rights are subject to forfeiture, as
   76  of the date the member insurer becomes an impaired or insolvent
   77  insurer under this part. However, if the interest or change in
   78  value is credited less frequently than annually as determined by
   79  using the procedures defined in the policy or contract, interest
   80  or change in value shall be credited by using the procedure
   81  defined in the policy or contract as if the contractual date of
   82  crediting interest or changing values was the date of impairment
   83  or insolvency, whichever is earlier, and shall not be subject to
   84  forfeiture.
   85         (p) A policy or contract providing any hospital, medical,
   86  prescription drug, or other health care benefits pursuant to
   87  Title XVIII (Medicare), Title XIX (Medicaid), or Title XXI (the
   88  Children’s Health Insurance Program) of the Social Security Act
   89  Medicare part C or part D or any regulations promulgated
   90  thereunder issued pursuant to Medicare Part C or Part D.
   91         (q)Structured settlement annuity benefits to which a
   92  payee, or a beneficiary if the payee is deceased, has
   93  transferred his or her rights in a structured settlement
   94  factoring transaction, as that term is defined in 26 U.S.C. s.
   95  5891(c)(3)(A).
   96         Section 2. Subsection (1) of section 631.716, Florida
   97  Statutes, is amended to read:
   98         631.716 Board of directors.—
   99         (1)(a) The board of directors of the association shall have
  100  at least 9, but no more than 11, members. The members shall be
  101  comprised of not fewer than five nor more than nine member
  102  insurers, serving terms as established in the plan of operation
  103  and 1 Florida Health Maintenance Organization Consumer
  104  Assistance Plan director confirmed pursuant to paragraph (b). At
  105  all times, at least 1 one member of the board must shall be a
  106  domestic insurer as defined in s. 624.06(1). The members of the
  107  board who are member insurers shall be elected by member
  108  insurers, subject to the approval of the department.
  109         (b)The board shall confirm, subject to the approval of the
  110  department, the Florida Health Maintenance Organization Consumer
  111  Assistance Plan director. The confirmed director must not be a
  112  member insurer serving on the board of the association. The
  113  director confirmed to the board must be designated by the
  114  Florida Health Maintenance Organization Consumer Assistance
  115  Plan’s board of directors to serve on the board and represent
  116  the interests of the Florida Health Maintenance Organization
  117  Consumer Assistance Plan and its board of directors. An
  118  individual serving as a Florida Health Maintenance Organization
  119  Consumer Assistance Plan director on the board must be a member
  120  of the Florida Health Maintenance Organization Consumer
  121  Assistance Plan’s board of directors. The Florida Health
  122  Maintenance Organization Consumer Assistance Plan director, or
  123  his or her alternate, has the right to be present at all
  124  meetings of the board and has full voting rights on all issues.
  125         (c) A vacancy on the board shall be filled for the
  126  remaining period of the term by a majority vote of the remaining
  127  board members, subject to the approval of the department. Prior
  128  to the selection of the initial board of directors and the
  129  organization of the association, the department shall give
  130  notice to all member insurers of the time and place of the
  131  organizational meeting. At the organizational meeting, each
  132  member insurer shall be entitled to one vote, in person or by
  133  proxy. If the board of directors is not elected within 60 days
  134  after notice of the organizational meeting, the department may
  135  appoint the initial members.
  136         Section 3. Present subsections (9) through (12) of section
  137  631.717, Florida Statutes, are redesignated as subsections (12)
  138  through (15), respectively, new subsections (9), (10), and (11)
  139  are added to that section, subsections (2) and (3), paragraph
  140  (c) of present subsection (9), and paragraph (g) of present
  141  subsection (12) are amended, and paragraph (h) is added to
  142  present subsection (12) of that section, to read:
  143         631.717 Powers and duties of the association.—
  144         (2) If a domestic insurer is an insolvent insurer, the
  145  association shall, subject to the approval of the department:
  146         (a) Guarantee, assume, reissue, or reinsure, or cause to be
  147  guaranteed, assumed, reissued, or reinsured, the covered
  148  policies of persons referred to in s. 631.713(2); and
  149         (b) Provide moneys, pledges, notes, guarantees, or other
  150  means that are proper and reasonably necessary to implement
  151  paragraph (a) in order to assure payment of the contractual
  152  obligations of the insolvent insurer with regard to persons
  153  referred to in s. 631.713(2).
  154         (3) If a foreign or alien insurer is an insolvent insurer,
  155  the association shall, subject to the approval of the
  156  department:
  157         (a) Guarantee, assume, reissue, or reinsure, or cause to be
  158  guaranteed, assumed, reissued, or reinsured, the covered
  159  policies of residents of this state; and
  160         (b) Provide moneys, pledges, notes, guarantees, or other
  161  means that are proper and reasonably necessary to implement
  162  paragraph (a) in order to assure payment of the contractual
  163  obligations of the insolvent insurer with regard to persons
  164  referred to in s. 631.713(2).
  165  
  166  However, this subsection does not apply when the department has
  167  determined that the foreign or alien insurer’s domiciliary
  168  jurisdiction or state of entry provides, by statute, protection
  169  substantially similar to that provided by this part for
  170  residents of this state.
  171         (9)For purposes of this part, benefits provided by a long
  172  term care rider to a life insurance policy or annuity contract
  173  are considered the same type of benefits as the base life
  174  insurance policy or annuity contract to which the rider relates.
  175         (10)In the event of a potential long-term care insurer
  176  impairment or insolvency, the association shall coordinate its
  177  activities with the Florida Health Maintenance Organization
  178  Consumer Assistance Plan, including the development of any plan
  179  for handling the administration of the impairment or insolvency.
  180         (11)The association shall share information, including
  181  data, with and assist, as applicable, the board of directors of
  182  the Florida Health Maintenance Organization Consumer Assistance
  183  Plan with the administration and collection of member health
  184  maintenance organization assessments for long-term care insurer
  185  impairments or insolvencies pursuant to ss. 631.715(2)(a)1.,
  186  631.718(3)(b), 631.818(2), and 631.819(2)(c).
  187         (12)(9) The association’s liability for the contractual
  188  obligations of the insolvent insurer must be as great as, but no
  189  greater than, the contractual obligations of the insurer in the
  190  absence of such insolvency, unless such obligations are reduced
  191  as permitted by subsection (4), but the aggregate liability of
  192  the association with respect to one life shall not exceed the
  193  following:
  194         (c) For all other benefits, including in long-term care
  195  policies, $300,000, including cash values, except as provided in
  196  paragraph (d).
  197  
  198  In no event is the association liable for any penalties or
  199  interest.
  200         (15)(12)
  201         (g) In carrying out its duties in connection with
  202  guaranteeing, assuming, reissuing, or reinsuring policies or
  203  contracts under subsections (2) and (3), the association may,
  204  subject to approval of the department receivership court, issue
  205  an alternative policy or contract to substitute coverage for a
  206  policy or contract providing that provides an interest rate,
  207  crediting rate, or similar factor that was determined by use of
  208  an index or other external reference stated in the policy or
  209  contract and employed in calculating returns or changes in value
  210  by issuing an alternative policy or contract. In lieu of the
  211  index or other external reference provided for in the original
  212  policy or contract, the alternative policy or contract must
  213  provide for a fixed interest rate, payment of dividends with
  214  minimum guarantees, or a different method for calculating
  215  interest or changes in value. In such case:
  216         1. There is no requirement for evidence of insurability,
  217  waiting period, or other exclusion that would not have applied
  218  under the replaced policy or contract.
  219         2. The alternative policy or contract shall be
  220  substantially similar to the replaced policy or contract in all
  221  other material terms.
  222         (h)In accordance with the terms and conditions of the
  223  policy or contract, the board may directly file for actuarially
  224  justified rate or premium increases for any policy or contract
  225  for which it provides coverage under this part.
  226         Section 4. Paragraph (b) of subsection (3), paragraph (a)
  227  of subsection (5), and subsection (8) of section 631.718,
  228  Florida Statutes, are amended to read:
  229         631.718 Assessments.—
  230         (3)
  231         (b)1. The amount of any Class B assessment, except for
  232  assessments related to long-term care insurance, must shall be
  233  allocated for assessment purposes among the accounts pursuant to
  234  an allocation formula, which may be based on the premiums or
  235  reserves of the impaired or insolvent insurer.
  236         2.The amount of the Class B assessment for long-term care
  237  insurance written by the impaired or insolvent insurer must be
  238  allocated according to a methodology included in the plan of
  239  operation and approved by the department. The methodology must
  240  provide for 50 percent of the assessment to be allocated to
  241  health member insurers and 50 percent to be allocated to life
  242  and annuity member insurers.
  243         3.For the purposes of the methodology outlined in
  244  subparagraph 2. and included in the plan of operation, the
  245  health member insurers’ share of the assessment must be
  246  calculated by including the assessable premiums of member health
  247  maintenance organizations of the Florida Health Maintenance
  248  Organization Consumer Assistance Plan.
  249         (5)(a)1. The total of all assessments upon a member insurer
  250  for each account may not in any one calendar year exceed 1
  251  percent of the sum of the insurer’s premiums written in this
  252  state regarding business covered by the account received during
  253  the 3 calendar years preceding the year in which the assessment
  254  is made, divided by three. If premium information for the 3-year
  255  period is not reasonably available for each member insurer, the
  256  association may use any reasonably available premium
  257  information.
  258         2.For long-term care insurer impairments and insolvencies
  259  only, the total assessments upon a member insurer or member
  260  health maintenance organization of the Florida Health
  261  Maintenance Organization Consumer Assistance Plan may not, in
  262  any one calendar year, exceed 0.5 percent of the sum of the
  263  member insurer’s or member health maintenance organization’s
  264  premiums written in this state regarding business covered by the
  265  account received during the calendar year preceding the year in
  266  which the assessment is made. If premium information is not
  267  reasonably available for each member insurer or member health
  268  maintenance organization of the Florida Health Maintenance
  269  Organization Consumer Assistance Plan, the association or the
  270  Florida Health Maintenance Organization Consumer Assistance Plan
  271  may use any reasonably available premium information.
  272         (8) The association shall issue to each member insurer
  273  paying an assessment under this part, other than a Class A
  274  assessment, a certificate of contribution, in a form prescribed
  275  by the commission department, for the amount of the assessment
  276  so paid. All outstanding certificates are of equal dignity and
  277  priority without reference to amounts or dates of issue. A
  278  certificate of contribution may be shown by the insurer in its
  279  financial statement as an asset in such form and for such
  280  amount, if any, and period of time as the office department
  281  approves. However, any amount offset pursuant to s. 631.72 may
  282  not be shown as an asset of the insurer on any of its financial
  283  statements.
  284         Section 5. Paragraph (b) of subsection (1), paragraph (f)
  285  of subsection (3), and subsection (4) of section 631.721,
  286  Florida Statutes, are amended to read:
  287         631.721 Plan of operation.—
  288         (1)
  289         (b) If the association fails to submit a suitable proposed
  290  plan of operation within 180 days following October 1, 1979, or
  291  If at any time thereafter the association fails to submit
  292  suitable amendments to the plan, the department shall, after
  293  notice and hearing, adopt such reasonable rules as are necessary
  294  to effectuate the provisions of this part. Such rules shall
  295  continue in force until modified by the department or superseded
  296  by a proposed plan submitted by the association and approved by
  297  the department.
  298         (3) The plan of operation shall, in addition to
  299  requirements enumerated elsewhere in this part:
  300         (f) Establish any additional procedures for assessments
  301  under s. 631.718, including procedures to share assessment
  302  information, including data, with and assist, as applicable, the
  303  board of directors of the Florida Health Maintenance
  304  Organization Consumer Assistance Plan with the administration,
  305  collection, and deposit of member health maintenance
  306  organization assessments for long-term care insurer impairments
  307  and insolvencies into the health account established under s.
  308  631.715.
  309         (4) The plan of operation may provide that any or all
  310  powers and duties of the association, except those under ss.
  311  631.717(13)(c) and 631.718 ss. 631.717(10)(c) and 631.718, are
  312  delegated to a corporation, association, or other organization
  313  which performs or will perform functions similar to those of
  314  this association, or its equivalent, in two or more states. Such
  315  a corporation, association, or organization shall be reimbursed
  316  for any payments made on behalf of the association and shall be
  317  paid for its performance of any function of the association. A
  318  delegation under this subsection shall take effect only with the
  319  approval of both the board of directors and the department and
  320  may be made only to a corporation, association, or organization
  321  which extends protection not substantially less favorable and
  322  effective than that provided by this part.
  323         Section 6. Section 631.738, Florida Statutes, is created to
  324  read:
  325         631.738 Applicability as to certain member insurers and
  326  health maintenance organizations.—The provisions of this part
  327  which relate to long-term care assessment obligations do not
  328  apply to:
  329         (1)Any member insurer or health maintenance organization
  330  that, on or before the effective date of this act, has been
  331  adjudged insolvent by a court of competent jurisdiction or has
  332  been determined by the department or by the office to be
  333  impaired.
  334         (2)Any nonprofit health maintenance organization that
  335  operates only in this state and whose statutory capital and
  336  surplus is less than $200 million as of December 31 of the year
  337  preceding the year in which the assessment is made.
  338         Section 7. Subsection (7) is added to section 631.816,
  339  Florida Statutes, to read:
  340         631.816 Board of directors.—
  341         (7)Subject to the approval of the department, the board
  342  shall designate one representative to serve as a member of the
  343  board of directors of the Florida Life and Health Insurance
  344  Guaranty Association pursuant to s. 631.716(1). The
  345  representative, or his or her alternate, has the right to be
  346  present during all meetings of the association board of
  347  directors and shall have full voting rights.
  348         Section 8. Present subsections (2) through (6) of section
  349  631.818, Florida Statutes, are renumbered as subsections (3)
  350  through (7), respectively, a new subsection (2) is added to that
  351  section, present subsection (4) is amended, present paragraph
  352  (f) of present subsection (6) is redesignated as paragraph (g),
  353  and a new paragraph (f) is added to that subsection, to read:
  354         631.818 Powers and duties of the plan.—
  355         (2)In the event of a long-term care insurer impairment or
  356  insolvency, pursuant to s. 631.819(2)(c), the plan shall:
  357         (a)Collect and transmit all information requested by the
  358  Florida Life and Health Insurance Guaranty Association for the
  359  association to determine the appropriate assessment base of the
  360  health insurance account pursuant to ss. 631.715(2)(a)1. and
  361  631.718(3)(b).
  362         (b)Levy and collect assessments from HMOs.
  363         (c)Coordinate the administration and collection of member
  364  HMO assessments for long-term care insurer impairments and
  365  insolvencies with the Florida Life and Health Insurance Guaranty
  366  Association.
  367         (5)(4) The plan may render assistance and advice to the
  368  department, at the department’s request, concerning
  369  rehabilitation, payment of claims, continuance of coverage, or
  370  the performance of other contractual obligations of any HMO
  371  subject to a delinquency proceeding or a proceeding under s.
  372  624.90.
  373         (7)(6) The plan may:
  374         (f)In the event of a long-term care insurer impairment or
  375  insolvency, coordinate with the Florida Life and Health
  376  Insurance Guaranty Association to carry out the responsibilities
  377  of the association for the limited purpose of the long-term care
  378  insurer impairment or insolvency, including the development of
  379  any plan for handling the administration of the impairment or
  380  insolvency.
  381         Section 9. Subsections (1) and (3) of section 631.819,
  382  Florida Statutes, are amended, paragraph (c) is added to
  383  subsection (2), and subsection (6) is added to that section, to
  384  read:
  385         631.819 Assessments.—
  386         (1) For the purposes of providing the funds necessary to
  387  carry out the powers and duties of the plan, the board of
  388  directors shall assess the member HMOs at such time and for such
  389  amounts as the board finds necessary. Assessments shall be due
  390  not less than 30 days after written notice to the member HMOs
  391  insurers.
  392         (2) Assessments for funds to meet the requirements of the
  393  plan with respect to an insolvent HMO shall not be made until
  394  necessary to implement the purposes of this part. In order to
  395  carry out its duties and powers under this part, upon the
  396  insolvency of an HMO, the plan shall levy and collect
  397  assessments as follows:
  398         (c)For the purposes of long-term care insurer impairment
  399  and insolvency assessments under s. 631.718(3)(b), member HMOs
  400  must be assessed in the same manner as member insurers of the
  401  Florida Life and Health Insurance Guaranty Association under
  402  part III of this chapter. Long-term care insurer impairment and
  403  insolvency assessments must be levied and collected by the plan
  404  pursuant to this part, deposited into the health insurance
  405  account established under s. 631.715, and used solely for long
  406  term care insurer impairment or insolvency obligations.
  407  Assessments collected from member HMOs are considered part of
  408  and satisfy the obligations of the health insurance account
  409  under ss. 631.715(2)(a)1. and 631.718(3)(b).
  410         (3) All assessments against HMOs, including long-term care
  411  insurer impairment and insolvency assessments, must shall be
  412  levied as a percentage of annual earned premium revenue for non
  413  Medicare and non-Medicaid contracts. In no event may the plan
  414  assess in any calendar year more than 0.5 percent of each HMO’s
  415  annual earned premium revenue for non-Medicare and non-Medicaid
  416  contracts.
  417         (6)The plan shall issue, in a form prescribed by the
  418  commission, a certificate of contribution to each member HMO
  419  paying a long-term care insurer impairment or insolvency
  420  assessment under this part for the amount of the assessment so
  421  paid. All outstanding certificates are of equal dignity and
  422  priority without reference to amounts or dates of issue. A
  423  certificate of contribution may be shown by the member HMO in
  424  its financial statement as an asset in such form and for such
  425  amount and period of time as the office approves. However, any
  426  amount offset pursuant to s. 631.828 may not be shown as an
  427  asset of the member HMO on any of its financial statements.
  428         Section 10. Paragraph (f) of subsection (3) and paragraph
  429  (a) of subsection (4) of section 631.820, Florida Statutes, are
  430  amended to read:
  431         631.820 Plan of operation.—
  432         (3) The plan of operation shall, in addition to
  433  requirements enumerated elsewhere in this part:
  434         (f) Establish any additional procedures for assessments
  435  under this part, including procedures to coordinate the
  436  administration and collection of member HMO assessments for
  437  long-term care insurer impairments and insolvencies with the
  438  board of directors of the Florida Life and Health Insurance
  439  Guaranty Association.
  440         (4)(a) The plan of operation may provide that any or all
  441  powers and duties of the plan, except those under ss.
  442  631.818(7)(b) and (c) and 631.819 ss. 631.818(6)(b) and (c) and
  443  631.819, are delegated to an administrator that which may be a
  444  corporation, association, or other organization that which
  445  performs or will perform functions similar to those of this
  446  plan, or its equivalent.
  447         Section 11. Subsection (2) of section 631.821, Florida
  448  Statutes, is amended to read:
  449         631.821 Powers and duties of the department.—
  450         (2) Any action of the board of directors of the plan may be
  451  appealed to the office by any member HMO if such appeal is taken
  452  within 21 days of the action being appealed; however, the HMO
  453  must comply with such action pending exhaustion of appeal under
  454  s. 631.818(2). Any appeal shall be promptly determined by the
  455  office, and final action or order of the office shall be subject
  456  to judicial review in a court of competent jurisdiction.
  457         Section 12. The amendments made by this act to ss. 631.713,
  458  631.717, 631.718, 631.721, 631.818, 631.819, and 631.820,
  459  Florida Statutes, apply only to assessments that result from a
  460  long-term care insurer being adjudged insolvent by a court of
  461  competent jurisdiction or being determined by the Office of
  462  Insurance Regulation to be impaired on or after the effective
  463  date of this act.
  464         Section 13. The Division of Law Revision is directed to
  465  replace the phrase “the effective date of this act” wherever it
  466  occurs in this act with the date this act becomes a law.
  467         Section 14. This act shall take effect upon becoming a law.
  468  
  469  ================= T I T L E  A M E N D M E N T ================
  470  And the title is amended as follows:
  471         Delete everything before the enacting clause
  472  and insert:
  473                        A bill to be entitled                      
  474         An act relating to insurer guaranty associations;
  475         amending s. 631.713, F.S.; revising applicability of
  476         part III of ch. 631, F.S., as to health maintenance
  477         organizations, long-term care insurance benefits,
  478         certain health care benefits, and certain structured
  479         settlement annuity benefits; amending s. 631.716,
  480         F.S.; revising the number of members and composition
  481         of the Florida Life and Health Insurance Guaranty
  482         Association’s board of directors; specifying
  483         requirements relating to the director of the Florida
  484         Health Maintenance Organization Consumer Assistance
  485         Plan to be confirmed to the association’s board;
  486         specifying rights of the director or his or her
  487         alternate; deleting an obsolete provision; amending s.
  488         631.717, F.S.; adding the reissuance of covered
  489         policies to a list of duties of the association
  490         relating to insolvent insurers; providing
  491         construction; specifying duties of the association as
  492         to potential long-term care insurer impairments or
  493         insolvencies, sharing information, and providing
  494         assistance to the Florida Health Maintenance
  495         Organization Consumer Assistance Plan’s board of
  496         directors; revising applicability of a specified limit
  497         on the association’s liability for the contractual
  498         obligations of an insolvent insurer; conforming a
  499         provision to changes made by the act; requiring that
  500         the Department of Financial Services, rather than a
  501         receivership court, approve certain alternative
  502         policies or contracts; authorizing the board to file
  503         directly for actuarially justified rate or premium
  504         increases; amending s. 631.718, F.S.; specifying the
  505         calculation and allocation of Class B assessments for
  506         long-term care insurance; specifying a limit on
  507         certain assessments on a member insurer or member
  508         health maintenance organization; providing that the
  509         Financial Services Commission, rather than the
  510         department, prescribes the form of a certain
  511         certificate of contribution; providing that the Office
  512         of Insurance Regulation, rather than the department,
  513         approves certain assets shown on insurer financial
  514         statements; conforming provisions to changes made by
  515         the act; amending s. 631.721, F.S.; deleting an
  516         obsolete provision; revising the requirements of the
  517         association’s plan of operation relating to long-term
  518         care insurer impairments and insolvencies; conforming
  519         a cross-reference; creating s. 631.738, F.S.;
  520         providing that certain provisions do not apply to
  521         certain member insurers and health maintenance
  522         organizations; amending s. 631.816, F.S.; adding
  523         duties of the board of directors of the Florida Health
  524         Maintenance Organization Consumer Assistance Plan to
  525         conform to changes made by the act; amending s.
  526         631.818, F.S.; adding to the duties of the plan to
  527         conform to changes made by the act; amending s.
  528         631.819, F.S.; specifying requirements for long-term
  529         care insurer impairment and insolvency assessments for
  530         member health maintenance organizations; requiring the
  531         plan to issue certificates of contribution to member
  532         health maintenance organizations paying certain
  533         assessments; specifying requirements of, and the use
  534         of, such certificates; amending s. 631.820, F.S.;
  535         conforming provisions to changes made by the act;
  536         amending s. 631.821, F.S.; making a technical change;
  537         providing applicability; providing a directive to the
  538         Division of Law Revision; providing an effective date.