Florida Senate - 2021                        COMMITTEE AMENDMENT
       Bill No. SB 76
       
       
       
       
       
       
                                Ì9773344Î977334                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  02/02/2021           .                                
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       The Committee on Banking and Insurance (Boyd) recommended the
       following:
       
    1         Senate Substitute for Amendment (232144) (with title
    2  amendment)
    3  
    4         Delete lines 70 - 112
    5  and insert:
    6         Section 2. Paragraph (f) is added to subsection (5) of
    7  section 627.7011, Florida Statutes, to read:
    8         627.7011 Homeowners’ policies; offer of replacement cost
    9  coverage and law and ordinance coverage.—
   10         (5) This section does not:
   11         (f) Prohibit an insurer, notwithstanding paragraph (1)(a),
   12  from providing limited coverage on a personal lines residential
   13  property insurance policy by including a roof surface
   14  reimbursement schedule. If included in the policy, a roof
   15  surface reimbursement schedule must do all of the following:
   16         1. Provide reimbursement for repair, replacement, and
   17  installation based on the annual age of a roof surface type.
   18         2. Provide full replacement coverage for any roof surface
   19  type less than 10 years old.
   20         3. Unless otherwise demonstrated to the office to be
   21  actuarially justified, provide for reimbursement amounts of no
   22  less than:
   23         a. Seventy percent for a metal roof type.
   24         b. Forty percent for a concrete tile and clay tile roof
   25  type.
   26         c. Forty percent for a wood shake and wood shingle roof
   27  type.
   28         d. Twenty-five percent for all other roof types.
   29         4. Include at the top of the schedule, in bold type no
   30  smaller than 12 points, the following statement:
   31  
   32  “PLEASE DISCUSS WITH YOUR INSURANCE AGENT. YOU ARE ELECTING TO
   33  PURCHASE COVERAGE ON YOUR ROOF ACCORDING TO A ROOF SURFACE
   34  REIMBURSEMENT SCHEDULE. IF YOUR ROOF IS DAMAGED BY A COVERED
   35  PERIL, YOU WILL RECEIVE A PAYMENT AMOUNT FOR YOUR ROOF ACCORDING
   36  TO THE SCHEDULE BELOW. BE ADVISED THAT THIS MAY RESULT IN YOU
   37  HAVING TO PAY SIGNIFICANT COSTS TO REPAIR OR REPLACE YOUR ROOF.
   38  PLEASE DISCUSS WITH YOUR INSURANCE AGENT.”
   39  
   40         5. Allow for all actuarially sound methods of s. 627.062 to
   41  apply.
   42         6. Be approved by the office.
   43         7. Be provided to the insured with the policy documents at
   44  issuance and renewal.
   45  
   46  A roof surface reimbursement schedule may not be applied to a
   47  roof if there is a total loss to a primary structure in
   48  accordance with the valued policy law under s. 627.702 which is
   49  caused by a covered peril.
   50  
   51  ================= T I T L E  A M E N D M E N T ================
   52  And the title is amended as follows:
   53         Delete line 16
   54  and insert:
   55         schedules; prohibiting application of a roof surface
   56         reimbursement schedule