Florida Senate - 2024                      CS for CS for SB 1066
       
       
        
       By the Committees on Judiciary; and Banking and Insurance; and
       Senator Burton
       
       
       
       
       590-02911-24                                          20241066c2
    1                        A bill to be entitled                      
    2         An act relating to consumer protection; amending s.
    3         45.032, F.S.; defining the term “nonprofit
    4         organization”; requiring certain persons to disclose
    5         to the court certain fees to be paid to himself or
    6         herself; prohibiting such persons from charging the
    7         owner of record more than a specified amount;
    8         requiring the court to hold certain claims invalid;
    9         providing that any nonprofit organization has
   10         unconditional standing in certain matters; providing
   11         that a nonprofit organization is entitled to certain
   12         fees and costs under certain circumstances; making a
   13         technical change; amending s. 45.033, F.S.; revising
   14         the circumstances in which a transferee or assignee is
   15         entitled to surplus funds or a portion or percentage
   16         of surplus funds; providing that certain voluntary
   17         transfers or assignments are invalid and void;
   18         amending s. 197.582, F.S.; requiring the clerk, within
   19         a specified timeframe, to file an interpleader action
   20         under certain circumstances; revising the
   21         circumstances when the clerk may file an interpleader
   22         action; prohibiting a property owner from transferring
   23         or assigning its interest in surplus funds to any
   24         party; providing an exception; providing that certain
   25         transfers or assignments are invalid; requiring
   26         certain persons to disclose to the court certain fees
   27         to be paid to himself or herself; prohibiting such
   28         persons from charging the owner of record more than a
   29         specified amount; providing that a nonprofit
   30         organization has unconditional standing in certain
   31         matters; providing that a nonprofit organization is
   32         entitled to certain fees and costs under certain
   33         circumstances; making a technical change; amending s.
   34         212.134, F.S.; defining terms; revising requirements
   35         for payment settlement entities, or their electronic
   36         payment facilitators or contracted third parties, in
   37         submitting information returns to the Department of
   38         Revenue; specifying requirements for third party
   39         settlement organizations that conduct certain
   40         transactions; providing applicability; creating s.
   41         286.312, F.S.; prohibiting agencies from entering into
   42         certain contracts or agreements; amending s. 489.147,
   43         F.S.; authorizing an insured or claimant to cancel a
   44         contract to replace or repair a rook without penalty
   45         or obligation under certain circumstances; defining
   46         the term “official start date”; requiring certain
   47         contractors to include certain language in contracts
   48         executed at a specified time; requiring an insured or
   49         claimant to send a notice of cancellation under
   50         certain circumstances; amending s. 559.9611, F.S.;
   51         revising the definition of the term “depository
   52         institution”; amending s. 624.424, F.S.; providing
   53         requirements for certain insurers’ accountants;
   54         amending s. 626.854, F.S.; revising applicability of
   55         provisions relating to public adjusters; amending s.
   56         626.8796, F.S.; revising the content of certain public
   57         adjuster contracts; amending s. 627.43141, F.S.;
   58         specifying requirements, after a specified date, for
   59         certain notices regarding a change in policy terms;
   60         amending s. 627.6426, F.S.; revising the disclosure
   61         requirements of contracts for short-term health
   62         insurance; amending s. 627.70132, F.S.; requiring a
   63         condominium association to give a notice of claim for
   64         loss assessment coverage to its insurer by a certain
   65         date; amending s. 791.012, F.S.; updating the source
   66         of the code for outdoor display of fireworks;
   67         providing an effective date.
   68          
   69  Be It Enacted by the Legislature of the State of Florida:
   70  
   71         Section 1. Present paragraphs (a), (b), and (c) of
   72  subsection (1) and present subsection (4) of section 45.032,
   73  Florida Statutes, are redesignated as paragraphs (b), (c), and
   74  (d) of subsection (1) and subsection (5), respectively, a new
   75  paragraph (a) is added to subsection (1) and a new subsection
   76  (4) is added to that section, and paragraphs (a) and (b) of
   77  subsection (3) of that section are amended, to read:
   78         45.032 Disbursement of surplus funds after judicial sale.—
   79         (1) For purposes of ss. 45.031-45.035, the term:
   80         (a)“Nonprofit organization” means a charitable
   81  organization that:
   82         1. Is exempt from federal income tax pursuant to s.
   83  501(c)(3) of the Internal Revenue Code; and
   84         2. Is a Florida entity formed under chapter 605, chapter
   85  607, or chapter 617 and whose principal office is located in
   86  this state.
   87         (3) During the period that the clerk holds the surplus
   88  pending a court order:
   89         (a) If the owner of record claims the surplus before the
   90  date that the clerk reports it as unclaimed and there is no
   91  subordinate lienholder, the court must shall order the clerk to
   92  deduct any applicable service charges from the surplus and pay
   93  the remainder to the owner of record. Any person representing an
   94  owner of record in claiming the surplus shall disclose to the
   95  court the total amount of compensation and other fees to be paid
   96  to himself or herself and may not charge the owner of record
   97  more than 5 percent of the surplus or $1,000, whichever is
   98  greater. The clerk may establish a reasonable requirement that
   99  the owner of record prove his or her identity before receiving
  100  the disbursement. The clerk may assist an owner of record in
  101  making a claim. An owner of record may use the following form in
  102  making a claim:
  103  
  104  (Caption of Action)
  105  
  106                          OWNER’S CLAIM FOR                        
  107                    MORTGAGE FORECLOSURE SURPLUS                   
  108  
  109  State of ....
  110  County of ....
  111         Under penalty of perjury, I (we) hereby certify that:
  112         1. I was (we were) the owner of the following described
  113  real property in .... County, Florida, prior to the foreclosure
  114  sale and as of the date of the filing of the lis pendens:
  115  
  116  ...(Legal description of real property)...
  117  
  118         2. I (we) do not owe any money on any mortgage on the
  119  property that was foreclosed other than the one that was paid
  120  off by the foreclosure.
  121         3. I (we) do not owe any money that is the subject of an
  122  unpaid judgment, tax warrant, condominium lien, cooperative
  123  lien, or homeowners’ association.
  124         4. I am (we are) not currently in bankruptcy.
  125         5. I (we) have not sold or assigned my (our) right to the
  126  mortgage surplus.
  127         6. My (our) new address is: .....
  128         7. If there is more than one owner entitled to the surplus,
  129  we have agreed that the surplus should be paid .... jointly, or
  130  to: ...., at the following address: .....
  131         8. I (WE) UNDERSTAND THAT I (WE) AM (ARE) NOT REQUIRED TO
  132  HAVE A LAWYER OR ANY OTHER REPRESENTATION AND I (WE) DO NOT HAVE
  133  TO ASSIGN MY (OUR) RIGHTS TO ANYONE ELSE IN ORDER TO CLAIM ANY
  134  MONEY TO WHICH I (WE) MAY BE ENTITLED.
  135         9. I (WE) UNDERSTAND THAT THIS STATEMENT IS GIVEN UNDER
  136  OATH, AND IF ANY STATEMENTS ARE UNTRUE THAT I (WE) MAY BE
  137  PROSECUTED CRIMINALLY FOR PERJURY.
  138  
  139  ...(Signatures)...
  140  
  141         Sworn to (or affirmed) and subscribed before me this ....
  142  day of ...., ...(year)..., by ...(name of person making
  143  statement)....
  144         ...(Signature of Notary Public - State of Florida)...
  145         ...(Print, Type, or Stamp Commissioned Name of Notary
  146  Public)...
  147  
  148         Personally Known .... OR Produced Identification ....
  149         Type of Identification Produced..........................
  150         (b) If any person other than the owner of record claims an
  151  interest in the proceeds prior to the date that the clerk
  152  reports the surplus as unclaimed or if the owner of record files
  153  a claim for the surplus but acknowledges that one or more other
  154  persons may be entitled to part or all of the surplus, the court
  155  shall set an evidentiary hearing to determine entitlement to the
  156  surplus. At the evidentiary hearing, an equity assignee has the
  157  burden of proving that he or she is entitled to some or all of
  158  the surplus funds. The court may grant summary judgment to a
  159  subordinate lienholder prior to or at the evidentiary hearing.
  160  The court shall consider the factors in s. 45.033 when hearing a
  161  claim that any person other than a subordinate lienholder or the
  162  owner of record is entitled to the surplus funds and shall hold
  163  any such claim that fails to qualify under s. 45.033 invalid.
  164         (4)Any nonprofit organization has unconditional standing
  165  to appear in any matter to oppose agreements that do not comply
  166  with this section or s. 45.033. If it is the prevailing party,
  167  the nonprofit organization is entitled to fees and costs,
  168  payable from the surplus, equal to the lesser of 5 percent of
  169  the surplus, or the fee stated in the opposed agreement.
  170         Section 2. Paragraphs (a), (b), and (d) of subsection (3)
  171  and subsections (5) and (6) of section 45.033, Florida Statutes,
  172  are amended, to read:
  173         45.033 Sale or assignment of rights to surplus funds in a
  174  property subject to foreclosure.—
  175         (3) A voluntary transfer or assignment shall be a transfer
  176  or assignment qualified under this subsection, thereby entitling
  177  the transferee or assignee to the surplus funds or a portion or
  178  percentage of the surplus funds, if:
  179         (a) The transfer or assignment is in writing and the
  180  instrument:
  181         1. Is executed after the foreclosure sale If executed prior
  182  to the foreclosure sale, includes a financial disclosure that
  183  specifies the assessed value of the property, a statement that
  184  the assessed value may be lower than the actual value of the
  185  property, the approximate amount of any debt encumbering the
  186  property, and the approximate amount of any equity in the
  187  property. If the instrument was executed after the foreclosure
  188  sale, the instrument must also specify the foreclosure sale
  189  price and the amount of the surplus.
  190         2. Includes a statement that the owner does not need an
  191  attorney or other representative to recover surplus funds in a
  192  foreclosure.
  193         3. Specifies all forms of consideration paid for the rights
  194  to the property or the assignment of the rights to any surplus
  195  funds.
  196         (b) The transferee or assignee is a nonprofit organization
  197  transfer or assignment is filed with the court on or before 60
  198  days after the filing of the certificate of disbursements.
  199         (d) The total compensation paid or payable, or earned or
  200  expected to be earned, by the transferee or assignee does not
  201  exceed 5 percent of the surplus or $1,000, whichever is greater
  202  12 percent of the surplus.
  203         (5) If the court finds that A voluntary transfer or
  204  assignment that does not qualify under subsection (3) is invalid
  205  and void but that the transfer or assignment was procured in
  206  good faith and with no intent to defraud the transferor or
  207  assignor, the court may order the clerk to pay the claim of the
  208  transferee or assignee after payment of timely filed claims of
  209  subordinate lienholders.
  210         (6) If a voluntary transfer or assignment of the surplus is
  211  set aside, the owner of record shall be entitled to payment of
  212  the surplus after payment of timely filed claims of subordinate
  213  lienholders, but the transferee or assignee may seek in a
  214  separate proceeding repayment of any consideration paid for the
  215  transfer or assignment.
  216         Section 3. Subsection (6) of section 197.582, Florida
  217  Statutes, is amended, and a new subsection (10) is added to that
  218  section, to read:
  219         197.582 Disbursement of proceeds of sale.—
  220         (6) Within 90 days after the claim period expires, the
  221  clerk must file an interpleader action in the circuit court if a
  222  claim is made by the property owner, an alleged assignee or
  223  transferee of the property owner, or any party purporting to
  224  represent the property owner. If any other person described in
  225  s. 197.502(7) files a claim, and no claim is filed by the
  226  property owner, the clerk may either file an interpleader action
  227  in circuit court, if potentially conflicting claims to the funds
  228  exist, or pay the surplus funds according to the clerk’s
  229  determination of the priority of claims using the information
  230  provided by the claimants under subsection (3). Fees and costs
  231  incurred by the clerk in determining whether an interpleader
  232  action should be filed shall be paid from the surplus funds. If
  233  the clerk files an interpleader action, the court must shall
  234  determine the distribution of funds based upon the priority of
  235  liens filed. The clerk may move the court to award reasonable
  236  fees and costs from the interpleaded funds. An action to require
  237  payment of surplus funds is not ripe until the claim and review
  238  periods expire. The failure of a person described in s.
  239  197.502(4), other than the property owner, to file a claim for
  240  surplus funds within the 120 days constitutes a waiver of all
  241  interest in the surplus funds, and all claims for them are
  242  forever barred.
  243         (10)(a)A property owner may not transfer or assign its
  244  interest in surplus funds to any party, except a nonprofit
  245  organization that is exempt from federal income tax pursuant to
  246  s. 501(c)(3) of the Internal Revenue Code, and is a Florida
  247  entity formed under chapter 605, chapter 607, or chapter 617 and
  248  whose principal office is located in this state. Any assignment
  249  or transfer that does not conform with this paragraph is deemed
  250  invalid.
  251         (b)Any person representing a property owner in claiming
  252  the surplus funds shall disclose to the court the total amount
  253  of compensation and other fees to be paid to himself or herself
  254  and may not charge the property owner more than 5 percent of the
  255  surplus or $1,000, whichever is greater.
  256         (c)Any nonprofit organization shall have unconditional
  257  standing to appear in any matter to oppose agreements that do
  258  not comply with this section. If it is the prevailing party, the
  259  nonprofit organization is entitled to fees and costs, payable
  260  from the surplus, equal to the lesser of 5 percent of the
  261  surplus, or the fee stated in the opposed agreement.
  262         Section 4. Section 212.134, Florida Statutes, is amended to
  263  read:
  264         212.134 Information returns relating to payment-card and
  265  third-party network transactions.—
  266         (1) For purposes of this section, the term:
  267         (a) “Participating payee” has the same meaning as in s.
  268  6050W of the Internal Revenue Code.
  269         (b)“Return” or “information return” means IRS Form 1099-K
  270  required under s. 6050W of the Internal Revenue Code.
  271         (c)“Third party network transaction” has the same meaning
  272  as in s. 6050W of the Internal Revenue Code.
  273         (d)“Third party settlement organization” has the same
  274  meaning as in s. 6050W of the Internal Revenue Code.
  275         (2) For each year in which a payment settlement entity, an
  276  electronic payment facilitator, or other third party contracted
  277  with the payment settlement entity to make payments to settle
  278  reportable payment transactions on behalf of the payment
  279  settlement entity must file a return pursuant to s. 6050W of the
  280  Internal Revenue Code, for participating payees with an address
  281  in this state, the entity, the facilitator, or the third party
  282  must submit the information in the return to the department by
  283  the 30th day after filing the federal return. The format of the
  284  information returns required must be either a copy of such
  285  information returns or a copy of such information returns
  286  related to participating payees with an address in the state.
  287  For purposes of this subsection, the term “payment settlement
  288  entity” has the same meaning as provided in s. 6050W of the
  289  Internal Revenue Code.
  290         (3)(2) All reports of returns submitted to the department
  291  under this section must be in an electronic format.
  292         (4)(3) Any payment settlement entity, facilitator, or third
  293  party failing to file the information return required, filing an
  294  incomplete information return, or not filing an information
  295  return within the time prescribed is subject to a penalty of
  296  $1,000 for each failure, if the failure is for not more than 30
  297  days, with an additional $1,000 for each month or fraction of a
  298  month during which each failure continues. The total amount of
  299  penalty imposed on a reporting entity may not exceed $10,000
  300  annually.
  301         (5)(4) The executive director or his or her designee may
  302  waive the penalty if he or she determines that the failure to
  303  timely file an information return was due to reasonable cause
  304  and not due to willful negligence, willful neglect, or fraud.
  305         (6)All third party settlement organizations that conduct
  306  transactions involving a participating payee with an address in
  307  this state shall create a mechanism for senders of payments to
  308  identify whether a payment to a payee is for goods and services
  309  or is personal. The mechanism must clearly indicate the sender’s
  310  requirement to indicate the appropriate transaction type. The
  311  sender of the payment is responsible for indicating the
  312  appropriate transaction type. All third party settlement
  313  organizations shall maintain records that clearly identify
  314  whether a transaction, as designated by the sender of the
  315  payment, is a transaction for goods and services or is personal.
  316  The information in the return submitted to the department under
  317  subsection (2) for such entities must be limited to transactions
  318  for goods and services.
  319         (7)Notwithstanding this section, subsection (6) does not
  320  apply to a third party settlement organization if a contractual
  321  agreement or arrangement to provide a third party payment
  322  network to a participating payee requires the third party
  323  settlement organization solely to settle third party network
  324  transactions for the provision of goods and services.
  325         Section 5. Section 286.312, Florida Statutes, is created to
  326  read:
  327         286.312Prohibited use of state funds; censorship or
  328  blacklisting of news sources.An agency may not enter into a
  329  contract or other agreement with an entity whose function is to
  330  advise the censorship or blacklisting of news sources based on
  331  subjective criteria or political biases under the stated goal of
  332  fact-checking or removing misinformation.
  333         Section 6. Section 489.147, Florida Statutes, is amended to
  334  read:
  335         489.147 Prohibited property insurance practices; contract
  336  requirements.—
  337         (1) As used in this section, the term:
  338         (a) “Prohibited advertisement” means any written or
  339  electronic communication by a contractor which encourages,
  340  instructs, or induces a consumer to contact a contractor or
  341  public adjuster for the purpose of making an insurance claim for
  342  roof damage, if such communication does not state in a font size
  343  of at least 12 points and at least half as large as the largest
  344  font size used in the communication that:
  345         1. The consumer is responsible for payment of any insurance
  346  deductible;
  347         2. It is insurance fraud punishable as a felony of the
  348  third degree for a contractor to knowingly or willfully, and
  349  with intent to injure, defraud, or deceive, pay, waive, or
  350  rebate all or part of an insurance deductible applicable to
  351  payment to the contractor for repairs to a property covered by a
  352  property insurance policy; and
  353         3. It is insurance fraud punishable as a felony of the
  354  third degree to intentionally file an insurance claim containing
  355  any false, incomplete, or misleading information.
  356  
  357  The term includes, but is not limited to, door hangers, business
  358  cards, magnets, flyers, pamphlets, and e-mails.
  359         (b) “Soliciting” means contacting:
  360         1. In person;
  361         2. By electronic means, including, but not limited to, e
  362  mail, telephone, and any other real-time communication directed
  363  to a specific person; or
  364         3. By delivery to a specific person.
  365         (2) A contractor may not directly or indirectly engage in
  366  any of the following practices:
  367         (a) Soliciting a residential property owner by means of a
  368  prohibited advertisement.
  369         (b) Offering to a residential property owner a rebate,
  370  gift, gift card, cash, coupon, waiver of any insurance
  371  deductible, or any other thing of value in exchange for:
  372         1. Allowing the contractor to conduct an inspection of the
  373  residential property owner’s roof; or
  374         2. Making an insurance claim for damage to the residential
  375  property owner’s roof.
  376         (c) Offering, delivering, receiving, or accepting any
  377  compensation, inducement, or reward, for the referral of any
  378  services for which property insurance proceeds are payable.
  379  Payment by the residential property owner or insurance company
  380  to a contractor for roofing services rendered does not
  381  constitute compensation for a referral.
  382         (d) Interpreting policy provisions or advising an insured
  383  regarding coverages or duties under the insured’s property
  384  insurance policy or adjusting a property insurance claim on
  385  behalf of the insured, unless the contractor holds a license as
  386  a public adjuster pursuant to part VI of chapter 626.
  387         (e) Providing an insured with an agreement authorizing
  388  repairs without providing a good faith estimate of the itemized
  389  and detailed cost of services and materials for repairs
  390  undertaken pursuant to a property insurance claim. A contractor
  391  does not violate this paragraph if, as a result of the process
  392  of the insurer adjusting a claim, the actual cost of repairs
  393  differs from the initial estimate.
  394         (3) A contractor who violates this section is subject to
  395  disciplinary proceedings as set forth in s. 489.129. A
  396  contractor may receive up to a $10,000 fine for each violation
  397  of this section.
  398         (4) For the purposes of this section:
  399         (a) The acts of any person on behalf of a contractor,
  400  including, but not limited to, the acts of a compensated
  401  employee or a nonemployee who is compensated for soliciting,
  402  shall be considered the actions of the contractor.
  403         (b) An unlicensed person who engages in an act prohibited
  404  by this section is guilty of unlicensed contracting and is
  405  subject to the penalties set forth in s. 489.13. Notwithstanding
  406  s. 489.13(3), an unlicensed person who violates this section may
  407  be fined up to $10,000 for each violation.
  408         (5) A contractor may not execute a contract with a
  409  residential property owner to repair or replace a roof without
  410  including a notice that the contractor may not engage in the
  411  practices set forth in paragraph (2)(b). If the contractor fails
  412  to include such notice, the residential property owner may void
  413  the contract within 10 days after executing it.
  414         (6)(a)An insured or a claimant may cancel a contract to
  415  replace or repair a roof without penalty or obligation until 10
  416  days following the execution of the contract or until the
  417  official start date, whichever comes first, if the contract was
  418  entered into based on events that are the subject of a
  419  declaration of a state of emergency by the Governor. For the
  420  purposes of this subsection, the term “official start date” is
  421  the date on which the work on the roof commences.
  422         (b)A contractor who executes a contract to replace or
  423  repair a roof of a residential property during a declaration of
  424  a state of emergency must include in the contract the following
  425  language, in bold type of not less than 18 points, immediately
  426  before the space reserved for the signature of the residential
  427  property owner:
  428  
  429         You, the residential property owner, may cancel this
  430         contract without penalty or obligation until 10 days
  431         following the execution of the contract or until the
  432         official start date, whichever comes first, because
  433         this contract was entered into during a declaration of
  434         a state of emergency by the Governor. It is the
  435         responsibility of your contractor to include an
  436         official start date clause in your contact. This
  437         clause must state the official start date and the work
  438         that will be commenced on that date. If there is no
  439         official start date clause in the contract, the
  440         contract may be voided within 10 days following the
  441         execution of the contract.
  442  
  443         (c)If the insured or claimant desires to cancel the
  444  contract under this subsection, such person must send a notice
  445  of cancellation by certified mail, return receipt requested, or
  446  other form of mailing that provides proof thereof, at the
  447  address specified in the contract.
  448         Section 7. Subsection (9) of section 559.9611, Florida
  449  Statutes, is amended to read:
  450         559.9611 Definitions.—As used in this part, the term:
  451         (9) “Depository institution” means a bank, a credit union,
  452  a savings bank, a savings and loan association, a savings or
  453  thrift association, or an industrial loan company doing business
  454  under the authority of a charter issued by the United States,
  455  this state, or any other state, district, territory, or
  456  commonwealth of the United States which is authorized to
  457  transact business in this state and whose deposits or share
  458  accounts are insured by the Federal Deposit Insurance
  459  Corporation or the National Credit Union Share Insurance Fund
  460  Florida state-chartered bank, savings bank, credit union, or
  461  trust company, or a federal savings or thrift association, bank,
  462  credit union, savings bank, or thrift.
  463         Section 8. Paragraph (d) of subsection (8) of section
  464  624.424, Florida Statutes, is amended to read:
  465         624.424 Annual statement and other information.—
  466         (8)
  467         (d) Upon creation of continuing education required under
  468  this paragraph, the certified public accountant who prepares the
  469  audit must be licensed to practice pursuant to chapter 473 and
  470  must have completed at least 4 hours of insurance-related
  471  continuing education during each 2-year continuing education
  472  cycle. An insurer may not use the same accountant or partner of
  473  an accounting firm responsible for preparing the report required
  474  by this subsection for more than 5 consecutive years. Following
  475  this period, the insurer may not use such accountant or partner
  476  for a period of 5 years, but may use another accountant or
  477  partner of the same firm. An insurer may request the office to
  478  waive this prohibition based upon an unusual hardship to the
  479  insurer and a determination that the accountant is exercising
  480  independent judgment that is not unduly influenced by the
  481  insurer considering such factors as the number of partners,
  482  expertise of the partners or the number of insurance clients of
  483  the accounting firm; the premium volume of the insurer; and the
  484  number of jurisdictions in which the insurer transacts business.
  485         Section 9. Subsection (19) of section 626.854, Florida
  486  Statutes, is amended, and subsections (5) through (18) of that
  487  section are republished, to read:
  488         626.854 “Public adjuster” defined; prohibitions.—The
  489  Legislature finds that it is necessary for the protection of the
  490  public to regulate public insurance adjusters and to prevent the
  491  unauthorized practice of law.
  492         (5) A public adjuster may not directly or indirectly
  493  through any other person or entity solicit an insured or
  494  claimant by any means except on Monday through Saturday of each
  495  week and only between the hours of 8 a.m. and 8 p.m. on those
  496  days.
  497         (6) When entering a contract for adjuster services after
  498  July 1, 2023, a public adjuster:
  499         (a) May not collect a fee for services on payments made to
  500  a named insured unless they have a written contract with the
  501  named insured, or the named insured’s legal representative.
  502         (b) May not contract for services to be provided by a third
  503  party on behalf of the named insured or in pursuit of settlement
  504  of the named insured’s claim, if the cost of those services is
  505  to be borne by the named insured, unless the named insured
  506  agrees in writing to procure these services and such agreement
  507  is entered into subsequent to the date of the contract for
  508  public adjusting services.
  509         (c) If a public adjuster contracts with a third-party
  510  service provider to assist with the settlement of the named
  511  insured’s claim, without first obtaining the insured’s written
  512  consent, payment of the third party’s fees must be made by the
  513  public adjuster and may not be charged back to the named
  514  insured.
  515         (d) If a public adjuster represents anyone other than the
  516  named insured in a claim, the public adjuster fees shall be paid
  517  by the third party and may not be charged back to the named
  518  insured.
  519         (7) An insured or claimant may cancel a public adjuster’s
  520  contract to adjust a claim without penalty or obligation within
  521  10 days after the date on which the contract is executed. If the
  522  contract was entered into based on events that are the subject
  523  of a declaration of a state of emergency by the Governor, an
  524  insured or claimant may cancel the public adjuster’s contract to
  525  adjust a claim without penalty or obligation within 30 days
  526  after the date of loss or 10 days after the date on which the
  527  contract is executed, whichever is longer. The public adjuster’s
  528  contract must contain the following language in minimum 18-point
  529  bold type immediately before the space reserved in the contract
  530  for the signature of the insured or claimant:
  531  
  532         You, the insured, may cancel this contract for any
  533         reason without penalty or obligation to you within 10
  534         days after the date of this contract. If this contract
  535         was entered into based on events that are the subject
  536         of a declaration of a state of emergency by the
  537         Governor, you may cancel this contract for any reason
  538         without penalty or obligation to you within 30 days
  539         after the date of loss or 10 days after the date on
  540         which the contract is executed, whichever is longer.
  541         You may also cancel the contract without penalty or
  542         obligation to you if I, as your public adjuster, fail
  543         to provide you and your insurer a copy of a written
  544         estimate within 60 days of the execution of the
  545         contract, unless the failure to provide the estimate
  546         within 60 days is caused by factors beyond my control,
  547         in accordance with s. 627.70131(5)(a)2., Florida
  548         Statutes. The 60-day cancellation period for failure
  549         to provide a written estimate shall cease on the date
  550         I have provided you with the written estimate.
  551  
  552  The notice of cancellation shall be provided to ...(name of
  553  public adjuster)..., submitted in writing and sent by certified
  554  mail, return receipt requested, or other form of mailing that
  555  provides proof thereof, at the address specified in the
  556  contract.
  557         (8) It is an unfair and deceptive insurance trade practice
  558  pursuant to s. 626.9541 for a public adjuster or any other
  559  person to circulate or disseminate any advertisement,
  560  announcement, or statement containing any assertion,
  561  representation, or statement with respect to the business of
  562  insurance which is untrue, deceptive, or misleading.
  563         (a) The following statements, made in any public adjuster’s
  564  advertisement or solicitation, are considered deceptive or
  565  misleading:
  566         1. A statement or representation that invites an insured
  567  policyholder to submit a claim when the policyholder does not
  568  have covered damage to insured property.
  569         2. A statement or representation that invites an insured
  570  policyholder to submit a claim by offering monetary or other
  571  valuable inducement.
  572         3. A statement or representation that invites an insured
  573  policyholder to submit a claim by stating that there is “no
  574  risk” to the policyholder by submitting such claim.
  575         4. A statement or representation, or use of a logo or
  576  shield, that implies or could mistakenly be construed to imply
  577  that the solicitation was issued or distributed by a
  578  governmental agency or is sanctioned or endorsed by a
  579  governmental agency.
  580         (b) For purposes of this paragraph, the term “written
  581  advertisement” includes only newspapers, magazines, flyers, and
  582  bulk mailers. The following disclaimer, which is not required to
  583  be printed on standard size business cards, must be added in
  584  bold print and capital letters in typeface no smaller than the
  585  typeface of the body of the text to all written advertisements
  586  by a public adjuster:
  587  
  588         THIS IS A SOLICITATION FOR BUSINESS. IF YOU HAVE HAD
  589         A CLAIM FOR AN INSURED PROPERTY LOSS OR DAMAGE AND YOU
  590         ARE SATISFIED WITH THE PAYMENT BY YOUR INSURER, YOU
  591         MAY DISREGARD THIS ADVERTISEMENT.
  592  
  593         (9) A public adjuster, a public adjuster apprentice, or any
  594  person or entity acting on behalf of a public adjuster or public
  595  adjuster apprentice may not give or offer to give a monetary
  596  loan or advance to a client or prospective client.
  597         (10) A public adjuster, public adjuster apprentice, or any
  598  individual or entity acting on behalf of a public adjuster or
  599  public adjuster apprentice may not give or offer to give,
  600  directly or indirectly, any article of merchandise having a
  601  value in excess of $25 to any individual for the purpose of
  602  advertising or as an inducement to entering into a contract with
  603  a public adjuster.
  604         (11)(a) If a public adjuster enters into a contract with an
  605  insured or claimant to reopen a claim or file a supplemental
  606  claim that seeks additional payments for a claim that has been
  607  previously paid in part or in full or settled by the insurer,
  608  the public adjuster may not charge, agree to, or accept from any
  609  source compensation, payment, commission, fee, or any other
  610  thing of value based on a previous settlement or previous claim
  611  payments by the insurer for the same cause of loss. The charge,
  612  compensation, payment, commission, fee, or any other thing of
  613  value must be based only on the claim payments or settlements
  614  paid to the insured, exclusive of attorney fees and costs,
  615  obtained through the work of the public adjuster after entering
  616  into the contract with the insured or claimant. Compensation for
  617  the reopened or supplemental claim may not exceed 20 percent of
  618  the reopened or supplemental claim payment. In no event shall
  619  the contracts described in this paragraph exceed the limitations
  620  in paragraph (b).
  621         (b) A public adjuster may not charge, agree to, or accept
  622  from any source compensation, payment, commission, fee, or any
  623  other thing of value in excess of:
  624         1. Ten percent of the amount of insurance claim payments or
  625  settlements, exclusive of attorney fees and costs, paid to the
  626  insured by the insurer for claims based on events that are the
  627  subject of a declaration of a state of emergency by the
  628  Governor. This provision applies to claims made during the year
  629  after the declaration of emergency. After that year, the
  630  limitations in subparagraph 2. apply.
  631         2. Twenty percent of the amount of insurance claim payments
  632  or settlements, exclusive of attorney fees and costs, paid to
  633  the insured by the insurer for claims that are not based on
  634  events that are the subject of a declaration of a state of
  635  emergency by the Governor.
  636         3. One percent of the amount of insurance claim payments or
  637  settlements, paid to the insured by the insurer for any coverage
  638  part of the policy where the claim payment or written agreement
  639  by the insurer to pay is equal to or greater than the policy
  640  limit for that part of the policy, if the payment or written
  641  commitment to pay is provided within 14 days after the date of
  642  loss or within 10 days after the date on which the public
  643  adjusting contract is executed, whichever is later.
  644         4. Zero percent of the amount of insurance claim payments
  645  or settlements, paid to the insured by the insurer for any
  646  coverage part of the policy where the claim payment or written
  647  agreement by the insurer to pay occurs before the date on which
  648  the public adjusting contract is executed.
  649         (c) Insurance claim payments made by the insurer do not
  650  include policy deductibles, and public adjuster compensation may
  651  not be based on the deductible portion of a claim.
  652         (d) Public adjuster compensation may not be based on
  653  amounts attributable to additional living expenses, unless such
  654  compensation is affirmatively agreed to in a separate agreement
  655  that includes a disclosure in substantially the following form:
  656  
  657         I agree to retain and compensate the public adjuster
  658         for adjusting my additional living expenses and
  659         securing payment from my insurer for amounts
  660         attributable to additional living expenses payable
  661         under the policy issued on my (home/mobile
  662         home/condominium unit).
  663  
  664         (e) Public adjuster rate of compensation may not be
  665  increased based solely on the fact that the claim is litigated.
  666         (f) Any maneuver, shift, or device through which the limits
  667  on compensation set forth in this subsection are exceeded is a
  668  violation of this chapter punishable as provided under s.
  669  626.8698.
  670         (12)(a) Each public adjuster must provide to the claimant
  671  or insured a written estimate of the loss to assist in the
  672  submission of a proof of loss or any other claim for payment of
  673  insurance proceeds within 60 days after the date of the
  674  contract. The written estimate must include an itemized, per
  675  unit estimate of the repairs, including itemized information on
  676  equipment, materials, labor, and supplies, in accordance with
  677  accepted industry standards. The public adjuster shall retain
  678  such written estimate for at least 5 years and shall make the
  679  estimate available to the claimant or insured, the insurer, and
  680  the department upon request.
  681         (b) An insured may cancel the contract with no additional
  682  penalties or fees charged by the public adjuster if such an
  683  estimate is not provided within 60 days after executing the
  684  contract, subject to the cancellation notice requirement in this
  685  section, unless the failure to provide the estimate within 60
  686  days is caused by factors beyond the control of the public
  687  adjuster. The cancellation period shall cease on the date the
  688  public adjuster provides the written estimate to the insured.
  689         (13) A public adjuster, public adjuster apprentice, or any
  690  person acting on behalf of a public adjuster or apprentice may
  691  not accept referrals of business from any person with whom the
  692  public adjuster conducts business if there is any form or manner
  693  of agreement to compensate the person, directly or indirectly,
  694  for referring business to the public adjuster. A public adjuster
  695  may not compensate any person, except for another public
  696  adjuster, directly or indirectly, for the principal purpose of
  697  referring business to the public adjuster.
  698         (14) A company employee adjuster, independent adjuster,
  699  attorney, investigator, or other persons acting on behalf of an
  700  insurer that needs access to an insured or claimant or to the
  701  insured property that is the subject of a claim must provide at
  702  least 48 hours’ notice to the insured or claimant, public
  703  adjuster, or legal representative before scheduling a meeting
  704  with the claimant or an onsite inspection of the insured
  705  property. The insured or claimant may deny access to the
  706  property if the notice has not been provided. The insured or
  707  claimant may waive the 48-hour notice.
  708         (15) The public adjuster must ensure that prompt notice is
  709  given of the claim to the insurer, the public adjuster’s
  710  contract is provided to the insurer, the property is available
  711  for inspection of the loss or damage by the insurer, and the
  712  insurer is given an opportunity to interview the insured
  713  directly about the loss and claim. The insurer must be allowed
  714  to obtain necessary information to investigate and respond to
  715  the claim.
  716         (a) The insurer may not exclude the public adjuster from
  717  its in-person meetings with the insured. The insurer shall meet
  718  or communicate with the public adjuster in an effort to reach
  719  agreement as to the scope of the covered loss under the
  720  insurance policy. The public adjuster shall meet or communicate
  721  with the insurer in an effort to reach agreement as to the scope
  722  of the covered loss under the insurance policy. This section
  723  does not impair the terms and conditions of the insurance policy
  724  in effect at the time the claim is filed.
  725         (b) A public adjuster may not restrict or prevent an
  726  insurer, company employee adjuster, independent adjuster,
  727  attorney, investigator, or other person acting on behalf of the
  728  insurer from having reasonable access at reasonable times to any
  729  insured or claimant or to the insured property that is the
  730  subject of a claim.
  731         (c) A public adjuster may not act or fail to reasonably act
  732  in any manner that obstructs or prevents an insurer or insurer’s
  733  adjuster from timely conducting an inspection of any part of the
  734  insured property for which there is a claim for loss or damage.
  735  The public adjuster representing the insureds may be present for
  736  the insurer’s inspection, but if the unavailability of the
  737  public adjuster otherwise delays the insurer’s timely inspection
  738  of the property, the public adjuster or the insureds must allow
  739  the insurer to have access to the property without the
  740  participation or presence of the public adjuster or insureds in
  741  order to facilitate the insurer’s prompt inspection of the loss
  742  or damage.
  743         (16) A licensed contractor under part I of chapter 489, or
  744  a subcontractor of such licensee, may not advertise, solicit,
  745  offer to handle, handle, or perform public adjuster services as
  746  provided in subsection (1) unless licensed and compliant as a
  747  public adjuster under this chapter. The prohibition against
  748  solicitation does not preclude a contractor from suggesting or
  749  otherwise recommending to a consumer that the consumer consider
  750  contacting his or her insurer to determine if the proposed
  751  repair is covered under the consumer’s insurance policy, except
  752  as it relates to solicitation prohibited in s. 489.147. In
  753  addition, the contractor may discuss or explain a bid for
  754  construction or repair of covered property with the residential
  755  property owner who has suffered loss or damage covered by a
  756  property insurance policy, or the insurer of such property, if
  757  the contractor is doing so for the usual and customary fees
  758  applicable to the work to be performed as stated in the contract
  759  between the contractor and the insured.
  760         (17) A public adjuster shall not acquire any interest in
  761  salvaged property, except with the written consent and
  762  permission of the insured through a signed affidavit.
  763         (18) A public adjuster, a public adjuster apprentice, or a
  764  person acting on behalf of an adjuster or apprentice may not
  765  enter into a contract or accept a power of attorney that vests
  766  in the public adjuster, the public adjuster apprentice, or the
  767  person acting on behalf of the adjuster or apprentice the
  768  effective authority to choose the persons or entities that will
  769  perform repair work in a property insurance claim or provide
  770  goods or services that will require the insured or third-party
  771  claimant to expend funds in excess of those payable to the
  772  public adjuster under the terms of the contract for adjusting
  773  services.
  774         (19) Subsections (5)-(18) apply only to residential
  775  property insurance policies and condominium unit owner policies
  776  as described in s. 718.111(11), except that subsection (11) also
  777  applies to coverages provided by condominium association,
  778  cooperative association, apartment building, and similar
  779  policies, including policies covering the common elements of a
  780  homeowners’ association.
  781         Section 10. Subsection (2) of section 626.8796, Florida
  782  Statutes, is amended to read:
  783         626.8796 Public adjuster contracts; disclosure statement;
  784  fraud statement.—
  785         (2) A public adjuster contract relating to a property and
  786  casualty claim must contain the full name, permanent business
  787  address, phone number, e-mail address, and license number of the
  788  public adjuster; the full name and license number of the public
  789  adjusting firm; and the insured’s full name, street address,
  790  phone number, and e-mail address, together with a brief
  791  description of the loss. The contract must state the percentage
  792  of compensation for the public adjuster’s services in minimum
  793  18-point bold type before the space reserved in the contract for
  794  the signature of the insured; the type of claim, including an
  795  emergency claim, nonemergency claim, or supplemental claim; the
  796  initials of the named insured on each page that does not contain
  797  the insured’s signature; the signatures of the public adjuster
  798  and all named insureds; and the signature date. If all of the
  799  named insureds’ signatures are not available, the public
  800  adjuster must submit an affidavit signed by the available named
  801  insureds attesting that they have authority to enter into the
  802  contract and settle all claim issues on behalf of the named
  803  insureds. An unaltered copy of the executed contract must be
  804  remitted to the insured at the time of execution and to the
  805  insurer, or the insurer’s representative within 7 days after
  806  execution. A public adjusting firm that adjusts claims primarily
  807  for commercial entities with operations in more than one state
  808  and that does not directly or indirectly perform adjusting
  809  services for insurers or individual homeowners is deemed to
  810  comply with the requirements of this subsection if, at the time
  811  a proof of loss is submitted, the public adjusting firm remits
  812  to the insurer an affidavit signed by the public adjuster or
  813  public adjuster apprentice that identifies:
  814         (a) The full name, permanent business address, phone
  815  number, e-mail address, and license number of the public
  816  adjuster or public adjuster apprentice.
  817         (b) The full name of the public adjusting firm.
  818         (c) The insured’s full name, street address, phone number,
  819  and e-mail address, together with a brief description of the
  820  loss.
  821         (d) An attestation that the compensation for public
  822  adjusting services will not exceed the limitations provided by
  823  law.
  824         (e) The type of claim, including an emergency claim,
  825  nonemergency claim, or supplemental claim.
  826         Section 11. Subsection (2) of section 627.43141, Florida
  827  Statues, is amended to read:
  828         627.43141 Notice of change in policy terms.—
  829         (2) A renewal policy may contain a change in policy terms.
  830  If such change occurs, the insurer shall give the named insured
  831  advance written notice summarizing the change, which may be
  832  enclosed along with the written notice of renewal premium
  833  required under ss. 627.4133 and 627.728 or sent separately
  834  within the timeframe required under the Florida Insurance Code
  835  for the provision of a notice of nonrenewal to the named insured
  836  for that line of insurance. The insurer must also provide a
  837  sample copy of the notice to the named insured’s insurance agent
  838  before or at the same time that notice is provided to the named
  839  insured. Such notice shall be entitled “Notice of Change in
  840  Policy Terms.” Beginning January 1, 2025, the “Notice of Change
  841  in Policy Terms” shall be in bold type of not less than 14
  842  points and included as a single page or consecutive pages, as
  843  necessary, within the written notice.
  844         Section 12. Section 627.6426, Florida Statutes, is amended
  845  to read:
  846         627.6426 Short-term health insurance.—
  847         (1) For purposes of this part, the term “short-term health
  848  insurance” means health insurance coverage provided by an issuer
  849  with an expiration date specified in the contract that is less
  850  than 12 months after the original effective date of the contract
  851  and, taking into account renewals or extensions, has a duration
  852  not to exceed 36 months in total.
  853         (2) All contracts for short-term health insurance entered
  854  into by an issuer and an individual seeking coverage must shall
  855  include the following written disclosures signed by the
  856  purchaser at the time of purchase disclosure:
  857         (a) The following statement:
  858  
  859         This coverage is not required to comply with certain
  860         federal market requirements for health insurance,
  861         principally those contained in the Patient Protection
  862         and Affordable Care Act. Be sure to check your policy
  863         carefully to make sure you are aware of any exclusions
  864         or limitations regarding coverage of preexisting
  865         conditions or health benefits (such as
  866         hospitalization, emergency services, maternity care,
  867         preventive care, prescription drugs, and mental health
  868         and substance use disorder services). Your policy
  869         might also have lifetime and/or annual dollar limits
  870         on health benefits. If this coverage expires or you
  871         lose eligibility for this coverage, you might have to
  872         wait until an open enrollment period to get other
  873         health insurance coverage.
  874  
  875         (b) The following information:
  876         1. The duration of the contract, including any waiting
  877  period.
  878         2. Any essential health benefit under 42 U.S.C. s. 18022(b)
  879  that the contract does not provide.
  880         3. The content of coverage.
  881         4. Any exclusion of preexisting conditions.
  882         (3) The disclosures must be printed in no less than 12
  883  point type and in a color that is easily readable. A copy of the
  884  signed disclosures must be maintained by the issuer for a period
  885  of 5 years after the date of purchase.
  886         (4) Disclosures provided by electronic means must meet the
  887  requirements of subsection (2).
  888         Section 13. Present subsection (4) of section 627.70132,
  889  Florida Statutes, is redesignated as subsection (5), and a new
  890  subsection (4) is added to that section, to read:
  891         627.70132 Notice of property insurance claim.—
  892         (4) A notice of claim for loss assessment coverage under s.
  893  627.714 must be given to the insurer within 90 days after the
  894  date on which the condominium association or its governing board
  895  votes to levy an assessment to cover a shortfall in reserves due
  896  to a covered loss. Such vote by the association or its governing
  897  board must have occurred within 33 months after the date of the
  898  loss that created the need for the assessment.
  899         Section 14. Section 791.012, Florida Statutes, is amended
  900  to read:
  901         791.012 Minimum fireworks safety standards.—The outdoor
  902  display of fireworks in this state shall be governed by the
  903  National Fire Protection Association (NFPA) 1123, Code for
  904  Fireworks Display, 2018 1995 Edition, approved by the American
  905  National Standards Institute. Any state, county, or municipal
  906  law, rule, or ordinance may provide for more stringent
  907  regulations for the outdoor display of fireworks, but in no
  908  event may any such law, rule, or ordinance provide for less
  909  stringent regulations for the outdoor display of fireworks. The
  910  division shall promulgate rules to carry out the provisions of
  911  this section. The Code for Fireworks Display shall not govern
  912  the display of any fireworks on private, residential property
  913  and shall not govern the display of those items included under
  914  s. 791.01(4)(b) and (c) and authorized for sale thereunder.
  915         Section 15. This act shall take effect July 1, 2024.