624.315 Department; annual report.—
(2)(a) The department may also include in the annual report shall also include the information regarding availability, affordability, and profitability of manually rated commercial multiperil and commercial casualty lines of insurance as provided in this subsection. The information Such lines shall encompass major sublines, and such related classes of business as determined by the department, including generic risk classes and other classes determined to be under stress in the voluntary market. The department may utilize all available sources of information, including reports from insurers directly to the department and reports of insurers to other agencies and organizations to which the department has access and which is not confidential or otherwise prohibited for use by the department. To effectuate the purposes of this subsection, the department may require that necessary data be submitted by insurers authorized to do business in this state or by rating organizations licensed in this state.
(b) As used in this subsection, the following terms shall have the following meanings:
1. The term “commercial casualty” includes those lines of insurance as defined in s. 624.605(1)(a), (b), and (k), but limited to coverage for commercial risks.
2. The term “commercial multiperil” shall include multiple coverages written under one policy for a commercial risk, which coverages include property insurance as defined in s. 624.604 and casualty insurance as defined in s. 624.605.
3. The term “manually rated” means insurance policies subject to the rating provisions of s. 627.062 and in addition, to the extent data is available, shall also include nonmanually rated policies and policies that are not directly regulated by the department.
(c) The annual report may Such report shall include the following:
1. Calendar year profitability, including investment income from policyholders' unearned premium and loss reserves (Florida and countrywide).
2. Aggregate Florida loss reserves (Florida and countrywide).
3. Premiums written (Florida and countrywide).
4. Premiums earned (Florida and countrywide).
5. Incurred losses (Florida and countrywide).
6. Paid losses (Florida and countrywide).
7. Allocated Florida loss adjustment expenses (Florida and countrywide).
8. Renewal ratio (Florida and countrywide).
9. Variation of premiums charged by the industry as compared to rates promulgated by the Insurance Services Office (Florida and countrywide).
10. An analysis of policy size limits (Florida and countrywide).
11. Insureds' selection of claims-made versus occurrence coverage (Florida and countrywide).
12. A subreport on the involuntary market in Florida encompassing such joint underwriting plans and assigned risk plans operating in the state.
13. A subreport providing information relevant to emerging markets and alternate marketing mechanisms, such as self-insured trusts, risk retention groups, purchasing groups, and the excess-surplus lines market.
14. A comparative profitability study of the primary versus the reinsurance market, (countrywide), and an overview of the changes in the reinsurance treaties and their effect on the primary market.
14.15. Trends; emerging trends as exemplified by the percentage change in frequency and severity of both paid and incurred claims, and pure premium (Florida and countrywide).
15.16. Fast track loss ratios as defined and assimilated by the Insurance Services Office (Florida and countrywide).
(d) In preparing the report required by this subsection, the department may utilize all available sources of information, including reports from insurers directly to the department and reports of insurers to other agencies and organizations to which the department has access and which is not confidential or otherwise prohibited for use by the department. To the extent that the information required for the report is not readily obtainable from such sources, the department may require that the necessary data be submitted by such insurers authorized to do business in this state or by such rating organizations licensed in this state as determined to be sufficient by the department to provide a representative sampling of the date required. A representative sample shall be those companies holding, as determined by the department, an aggregate share representing at least 50 percent of the market for each line, subline, or class of business reported.
(e) Renewal ratios collected from insurance companies shall be held confidential as to any one company or related group of companies unless such data reveals a violation of the Florida Insurance Code or rules adopted by the department.
624.418 Suspension, revocation of certificate of authority for violations and special grounds.—
(2) The department may, in its discretion, suspend or revoke the certificate of authority of an insurer if it finds that the insurer:
(f) Has a ratio of net premiums written to surplus as to policyholders that exceeds 4 to 1, and the department has reason to believe that the financial condition of the insurer endangers the interests of the policyholders. The ratio of net premiums written to surplus as to policyholders shall be on an annualized actual or projected basis. The ratio shall be based on the insurer's current calendar year activities and experience to date or the insurer's previous calendar year activities and experience, or both, and shall be calculated to represent a 12-month period. However, the provisions of this paragraph do not apply to any insurance or insurer exempted from s. 624.4095 life and health insurers.
624.424 Annual statement and other information.—
(8)
(g) Upon consideration and review of the information provided pursuant to subparagraph (b)5., the insurer's solvency and the best interests of its policyholders, the department may require an insurer to file an audited financial statement for the preceding calendar year based upon statutory principles consistent with the insurance laws of its state of domicile.
(1) A commercial self-insurance fund may become a domestic mutual insurer under such plan and procedure as may be approved by the department.
(2) The department shall not approve any such plan or procedure unless:
(a) It is equitable to the commercial self-insurance fund member; and
(b) The requirements imposed as to the formation of domestic mutual insurers are satisfied.
624.502 Service of process fee.—In all instances as provided in any section of the insurance code and ss. 48.151(3) and s. 638.161 in which service of process is authorized to be made upon the Insurance Commissioner and Treasurer, the plaintiff shall pay to the department a fee of $15 $7.50 for such service of process, which fee shall be deposited into the Insurance Commissioner's Regulatory Trust Fund.
625.151 Valuation of other securities.—
(3) Stock of a subsidiary corporation of an insurer shall not be valued at an amount in excess of the net value thereof as based upon those assets only of the subsidiary which would be eligible under part II for investment of the funds of the insurer directly direct. Investments in subsidiaries and related corporations as defined in s. 625.325, including common stock, preferred stock, debt obligations, other securities, and loans to such corporations, shall be valued in an amount which in the aggregate does not exceed the lesser of:
(a) Ten percent of the insurer's admitted assets; or
(b) Fifty percent of the insurer's surplus as to policyholders in excess of the minimum surplus as to policyholders required under this code.
625.181 Assets received as capital or surplus contributions.—Assets received by an insurer as a capital or surplus contribution shall, for purposes of this code, be deemed to be purchased by the insurer at a cost equal to, in the discretion of the department, their market value, their appraised value, or prices determined by the department as representing their fair market value. Assets so acquired shall be valued in accordance with the appropriate sections of this code as if the insurer had purchased such assets directly.
625.325 Investments in subsidiaries and related corporations.—
(1) AUTHORIZATION.—Any insurer, either by itself or in cooperation with one or more persons, may organize or acquire one or more subsidiaries, subject to the limitation of subsection (2). Such subsidiaries may conduct any kind of business, and their authority to do so shall not be limited by reason of the fact that they are subsidiaries of an insurer.
(2) ADDITIONAL INVESTMENT AUTHORITY.—In addition to investments in common stock, preferred stock, debt obligations, and other securities permitted under all other sections of this chapter, an insurer may also invest and maintain investments in common stock, preferred stock, debt obligations, and other securities of one or more subsidiaries or related corporations. in an amount which in the aggregate in all such corporations is not, At the time any such new or additional investment is made, the sum of the insurer's cost of such investment and the aggregate values as permitted by s. 625.151(3) of all existing investments in such corporations shall not exceed in excess of the lesser of:
(a) Ten percent of the insurer's admitted assets;, or
(b) Fifty percent of the sum of the insurer's:
1. Entire capital, and
2. surplus as to policyholders in excess of the minimum surplus as to policyholders required to be maintained by the insurer under this code.
625.50 Authorized deposits of insurers and agents.—The following deposits of insurers and agents when made through the department shall be accepted and held and shall be subject to the provisions of this chapter:
(1) Deposits required under this code for authority to transact insurance in this state.
(2) Deposits of domestic insurers when made pursuant to the laws of other states, provinces, and countries as requirement for authority to transact insurance in such state, province, or country.
(3) Deposits in such additional amounts as are permitted to be made under s. 625.58.
625.52 Securities eligible for deposit.—
(1) All deposits by insurers and agents required for authority to transact insurance in this state shall be limited to cash or interest bearing or accruing securities of the following types:
(a) Cash or certificates of deposit.—Cash delivered to the State Treasurer or certificates of deposit issued by a qualified public depository as defined in s. 280.02(11).
(b) United States Government obligations.—Bonds, notes, and bills which are direct obligations issued by the Government of the United States and for which the full faith and credit of the Government of the United States is pledged for the payment of principal and interest.
(c) State and Canadian public obligations.—Bonds and notes not in default which are the direct obligations of any state of the United States or of the District of Columbia, or of the Government of Canada or any province thereof, and for which the full faith and credit of such state, district, government, or province has been pledged for the payment of principal and interest.
(d) County, municipal, and district obligations.—Bonds and notes, not in default, of any county, district, incorporated city, or school district in any state of the United States, or the District of Columbia, or in any province of Canada, which are the direct obligations of such county, district, city, or school district and for payment of the principal and interest of which the county, district, city, or school district has lawful authority to levy taxes or make assessments.
(e) Securities of certain agencies.—Bonds, debentures, and notes of any federal agency which are guaranteed by the United States, as well as obligations issued, assumed, or guaranteed by the International Bank for Reconstruction and Development, the Inter-American Development Bank, the Asian Development Bank, or the African Development Bank.
(f) Corporate bonds and debentures.—Bonds and notes of any solvent corporation organized under the laws of the United States or Canada or under the laws of any state, the District of Columbia, any territory or possession of the United States, or any province of Canada.
Any security not specifically eligible for deposit as provided in this subsection shall be replaced in accordance with a schedule to be determined and provided by the department. All such securities not specifically eligible for deposit shall be replaced within a period of 1 year from July 10, 1987.
627.331 Recording and reporting of loss, expense, and claims experience; rating information.—
(1) The department may promulgate rules and statistical plans which shall thereafter be used by each insurer in the recording and reporting of its loss, expense, and claims experience, in order that the experience of all insurers may be made available at least annually in such form and detail as may be necessary to aid the department in determining whether the insurer's activities comply with the applicable standards of this code.
(2) In promulgating such rules and plans, the department shall give due consideration to the rating systems in use in this state and, in order that such rules and plans may be as uniform as is practicable among the several states, to the rules and to the form of the plans used for such rating systems in other states. No insurer shall be required to record or report its loss experience on a classification basis that is inconsistent with the rating system used by it, except for motor vehicle insurance as otherwise provided by law.
(3) The department may designate one or more rating organizations or other agencies to assist it in gathering such experience and making compilations thereof; and such compilations shall be made available, subject to reasonable rules promulgated by the department, to insurers and rating organizations.
(4)(a) Underwriting rules not contained in rating manuals shall be filed for private passenger automobile insurance and homeowners' insurance.
(b) The submission of rates, rating schedules, and rating manuals to the department by a licensed rating organization of which an insurer is a member or subscriber will be sufficient compliance with this subsection for any insurer maintaining membership or subscribership in such organization, to the extent that the insurer uses the rates, rating schedules, and rating manuals of such organization. All such information shall be available for public inspection, upon receipt by the department, during usual business hours.
(c) The filing requirements of this subsection do not apply to commercial inland marine risks.
627.4133 Notice of cancellation, nonrenewal, or renewal premium.—
(1) An insurer issuing a policy providing coverage for property, casualty, except mortgage guaranty, surety, or marine insurance, other than motor vehicle insurance subject to s. 627.728, shall give the named insured at least 45 days' advance written notice of nonrenewal or of the renewal premium. If the policy is not to be renewed, the written notice shall state the reason or reasons as to why the policy is not to be renewed. The provisions of this section requiring 45 days' advance written notice of the renewal premium do not apply to workers' compensation and employer's liability insurance. An insurer must furnish written notice of the renewal premium to an insured covered by a policy of workers' compensation and employer's liability insurance not later than the expiration date of the policy to be renewed. This requirement applies only if the insured has furnished all of the necessary information so as to enable the insurer to develop the renewal premium prior to the expiration date of the policy to be renewed.
(2) An insurer issuing a policy providing coverage for property, casualty, except mortgage guaranty, surety, or marine insurance, other than motor vehicle insurance subject to s. 627.728 or s. 627.7281, shall give the named insured written notice of cancellation or termination other than nonrenewal at least 45 days prior to the effective date of the cancellation or termination, including in the written notice the reason or reasons for the cancellation or termination, except that:
(a) When cancellation is for nonpayment of premium, at least 10 days' written notice of cancellation accompanied by the reason therefor shall be given; and
(b) When such cancellation or termination occurs during the first 90 days during which the insurance is in force and the insurance is canceled or terminated for reasons other than nonpayment of premium, at least 20 days' written notice of cancellation or termination accompanied by the reason therefor shall be given except where there has been a material misstatement or misrepresentation or failure to comply with the underwriting requirements established by the insurer.
After the policy has been in effect for 90 days, no such policy shall be canceled by the insurer except when there has been a material misstatement, a nonpayment of premium, a failure to comply with underwriting requirements established by the insurer within 90 days of the date of effectuation of coverage, or a substantial change in the risk covered by the policy or when the cancellation is for all insureds under such policies for a given class of insureds. The provisions of this subsection shall not apply to individually rated risks having a policy term of less than 90 days.
(3) If an insurer fails to provide the 45-day or 20-day written notice required under this section, the coverage provided to the named insured shall remain in effect until 45 days after the notice is given or until the effective date of replacement coverage obtained by the named insured, whichever occurs first. The premium for the coverage shall remain the same during any such extension period except that, in the event of failure to provide notice of nonrenewal, if the rate filing then in effect would have resulted in a premium reduction, the premium during such extension of coverage shall be calculated based upon the later rate filing.
627.476 Standard Nonforfeiture Law for Life Insurance.—
(2) NONFORFEITURE PROVISIONS.—In the case of policies issued on or after the operative date of this section as defined in subsection (14), no policy of life insurance, except as set forth in subsection (13), shall be delivered or issued for delivery in this state unless it contains in substance the following provisions, or corresponding provisions which in the opinion of the department are at least as favorable to the defaulting or surrendering policyholder as are the minimum requirements hereinafter specified and are essentially in compliance with subsection (12):
(a) That in the event of default in any premium payment, after premiums have been paid for at least 1 full year in the case of ordinary insurance or 3 full years in the case of industrial insurance, the insurer will grant, upon proper request not later than 60 days after the due date of the premium in default, a paid-up nonforfeiture benefit on a plan stipulated in the policy, effective as of such due date, of such amount as may be hereinafter specified. In lieu of such stipulated paid-up nonforfeiture benefit, the company may substitute, upon proper request not later than 60 days after the due date of the premium in default, an actuarially equivalent alternative paid-up nonforfeiture benefit which provides a greater amount or longer period of death benefits or, if applicable, a greater amount or earlier payment of endowment benefits. With respect to all policy forms filed on or after October 1, 1990, the policy forms shall include, but not be limited to, a reduced paid-up nonforfeiture benefit. For the purposes of this subsection, the term “reduced paid-up nonforfeiture benefit” means a benefit whereby the policy may be continued at the option of the insured as reduced paid-up life insurance, the amount of which shall be as much as the policy's surrender value will provide on the date of default, calculated using the policy's surrender value as a net single premium on the due date of the first unpaid premium at the then current age of the insured.
627.6785 Filing of rates with department.—
(3) No credit life rate or credit disability rate shall be deemed to comply with the allowable rate criteria contained in this part if it contains age restrictions which make ineligible for credit life those debtors or lessors 70 years of age or under, or for credit disability those debtors or lessors 65 years of age or under, at the time the indebtedness is incurred. However, for credit life, the coverage shall be provided, at a minimum, until the earlier of the maturity date of the loan or the loan anniversary at age 71, and, for credit disability, the coverage shall be provided, at a minimum, until the earlier of the maturity date of the loan or the loan anniversary at age 66 or which make ineligible those debtors who will have attained age 71 or under on the scheduled maturity date of the indebtedness.
627.7288 Comprehensive coverage; deductible not to apply to motor vehicle glass.—The deductible provisions of any policy of motor vehicle insurance providing comprehensive coverage or combined additional coverage shall not be applicable to damage to the windshield of any motor vehicle covered under such policy.
627.782 Promulgation of rates.—
(1) The department shall have the power, and it shall be its duty, subject to the applicable rating section of this code, to promulgate the risk premium rates to be charged in this state by insurers for the respective types of title insurance contracts and services incident thereto and in connection therewith to promulgate rules incident to the applicability of such rate, including the percentage or amount of the risk premium required to be maintained by the title insurer and related rules to ensure said sums are retained by the insurer for policies sold by agents. Rates shall be made in accordance with the following:
(a) Due consideration shall be given to past loss experience and prospective loss experience, to a reasonable margin for underwriting profit and contingencies, to past expenses and prospective expenses for administration and handling of risks, and to other relevant factors.
(b) Rates may be grouped by classification or schedule and may differ as to class of risk assumed.
(c) Rates shall not be excessive, inadequate, or unfairly discriminatory.
627.803 Statement of value of benefits.—Any contract or group certificate delivered or issued for delivery in this state which provides variable or indeterminate values shall contain a statement of the essential features of the procedure to be followed by the insurance company in determining the dollar amount of the benefits, values, or premiums and shall state in clear terms that the amount may decrease or increase according to such procedure. Any such contract delivered or issued for delivery in this state, and any such group certificate, shall contain on its first page, in a prominent position in contrasting color or boldfaced type, and in a type size as large as the type used in the text of the policy, a clear statement that the benefits, values, or premiums are on a variable basis and, if such is the fact, that the initial interest rate is guaranteed only for a limited period of time.
627.915 Insurer experience reporting.—
(3) Each insurer transacting medical malpractice, private passenger automobile liability, commercial automobile liability, or other liability insurance shall annually submit separately, on forms prescribed by the department, annual statement data and data in ratemaking format for the following items:
(a) Premiums earned.
(b) Loss payments.
(c) Loss expense payments.
(d) Losses unpaid.
1. Losses reported.
2. Losses incurred but not reported.
(e) Loss expense unpaid.
(f) The sum of the amounts provided as information under paragraph (b), paragraph (c), subparagraph (d)2., and paragraph (e).
(g) Such other data as are required to facilitate reconciliation of ratemaking and annual statement data reported under this subsection.
Insurers reporting under this subsection shall, in a form prescribed by the department, reconcile annual statement and ratemaking format data reported pursuant to this subsection. The first year to be initially reported for private passenger automobile liability insurance is 1983. The initial years to be reported for other lines of insurance shall be as follows: 1983 for medical malpractice; 1983 for commercial automobile liability; and 1984 for other liability. Reports shall be submitted annually by the month and day prescribed by the department for the initial report but not later than August 1 of the year subsequent to the period reported in the most recent annual statement.
(3)(4) There shall be no liability on the part of, and no cause of action of any nature shall arise against, any insurer reporting hereunder or its agents or employees or the department or its employees for any action taken by them pursuant to this section unless such action otherwise constitutes a violation of this code.
(4)(5) The department shall provide a summary of information provided pursuant to subsections (1) and (2) in its annual report.
(5)(6) Any insurer or insurer group which does not write at least 0.5 percent of the Florida market based on premiums written shall not have to file any report required by subsection (2) or subsection (3) other than a report indicating its percentage of the market share. That percentage shall be calculated by dividing the current premiums written by the preceding year's total premiums written in the state for that line of insurance.
634.312 Filing, approval of forms.—
(4) Subject to the insurer's or home warranty association's requirement as to payment of premium, every home warranty shall be mailed or delivered to the warranty holder not later than 45 days after the effectuation of coverage, and the application is part of the warranty contract document.
624.11 Compliance required.—
(2) Any risk retention group organized and existing under the provisions of the Product Liability Risk Retention Act of 1981 (Pub. L. No. 97-45), which has been licensed as an insurance company and authorized to engage in the business of insurance may transact insurance in this state and shall be subject to the provisions of ss. 624.15, 624.316, 624.418, 624.421, 624.4211, 624.422, 624.509, 626.041, 626.112, 626.611, 626.621, 626.741, 626.932, 626.938, 626.9541, 627.351, and 627.915; part I of chapter 631; and all other applicable provisions of the laws of this state. Any such group formed in another jurisdiction shall furnish to the department, upon request, a copy of any financial report submitted by the group in the licensing jurisdiction.
624.316 Examination of insurers.—
(1)
(b) As a part of its examination procedure, the department shall examine each insurer regarding all of the information required by s. 627.915.
629.518 Applicability of related laws.—In addition to other provisions of the code cited in ss. 629.50-629.519, ss. 624.308 and 624.418-624.4211; chapter 625, part II; applicable sections of chapter 626, part VI, and s. 626.9541(1)(a), (b), (c), (d), (e), (i), (j), (k), (n), (w), and (x); ss. 627.413(1) and (2), 627.416, 627.418, 627.420, 627.421, 627.425, 627.426, 627.427, 627.428, 627.702, 627.706, 627.912, and 627.913; s. 628.361(2); and ss. 629.101, 629.111, and 629.161 shall apply to limited reciprocal insurers. No section of the code not expressly and specifically cited in ss. 629.50-629.519 shall apply to limited reciprocal insurers.
632.638 Applicability of other code provisions.—In addition to the provisions heretofore contained or referred to in this chapter, other chapters and provisions of this code shall apply to fraternal benefit societies, to the extent applicable and not in conflict with the express provisions of this chapter and the reasonable implications thereof, as follows:
(3) Sections 624.404, 624.415, 624.416, 624.418, 624.420, 624.421, 624.4211, 624.422, and 624.423;
635.091 Provisions of Florida Insurance Code applicable to mortgage guaranty insurance.—The following provisions of the Florida Insurance Code apply to mortgage guaranty insurers: chapter 624; chapter 625; parts I, II, VIII, and X of chapter 626; s. 627.915; chapter 628; and chapter 631.
45.061 Offers of settlement.—
(6) This section does not apply to causes of action that accrue after the effective date of this act.
316.066 Written reports of accidents.—
(6) Any driver failing to file the written report required under subsection (1) or a supplemental written report when required by the department under subsection (2) shall be subject to the penalty provided in s. 318.18(2).
316.614 Safety belt usage.—
(10) A violation of the provisions of this section shall not constitute negligence per se, nor shall such violation be used as prima facie evidence of negligence or be considered in mitigation of damages, but such violation may be considered as evidence of comparative negligence, in any civil action.
319.30 Dismantling, destruction, change of identity of motor vehicle or mobile home; salvage.—
(2)
(b) The owner of any motor vehicle or mobile home which is considered to be salvage shall, within 72 hours after the motor vehicle or mobile home becomes salvage, forward the title to the motor vehicle or mobile home to the department for processing. However, an insurance company which pays money as compensation for total loss of a motor vehicle or mobile home shall obtain the certificate of title for the motor vehicle or mobile home and, within 72 hours after receiving such certificate of title, shall forward such title to the department for processing. The owner or insurance company, as the case may be, may not dispose of a vehicle or mobile home that is a total loss before it has obtained a salvage certificate of title from the department. When applying for a salvage certificate of title, the owner or insurance company must provide the department with an estimate of the costs of repairing the physical and mechanical damage suffered by the vehicle for which a salvage certificate of title is sought. If the estimated costs of repairing the physical and mechanical damage to the vehicle is equal to 80 percent or more of the current retail cost of the vehicle, as established in the Official Used Car Guide of the National Automobile Dealers Association, the department shall declare the vehicle unrebuildable and print notice on the salvage certificate of title that the vehicle is unrebuildable; and, thereafter, the department shall refuse issuance of any certificate of title for that vehicle. Nothing in this subsection shall be applicable when a vehicle is worth less than $1,500 retail in undamaged condition in the Official Used Car Guide of the National Automobile Dealers Association or when a stolen motor vehicle or mobile home is recovered in substantially intact condition and is readily resalable without extensive repairs to or replacement of the frame or engine.
320.02 Registration required; application for registration; forms.—
(5)(a) Proof that personal injury protection benefits have been purchased when required under s. 627.733, that property damage liability coverage has been purchased as required under s. 324.022, and that combined bodily liability insurance and property damage liability insurance have been purchased when required under s. 627.7415 shall be provided in the manner prescribed by law by the applicant at the time of application for registration of any motor vehicle owned as defined in s. 627.732. The issuing agent shall refuse to issue registration if such proof of purchase is not provided. Insurers shall furnish uniform proof-of-purchase cards in a form prescribed by the department and shall include the name of the insured's insurance company, the coverage identification number, the make, year, and vehicle identification number of the vehicle insured. The card shall contain a statement notifying the applicant of the penalty specified in s. 316.646(4). The card or insurance policy, insurance policy binder, or certificate of insurance or a photocopy of any of these; an affidavit containing the name of the insured's insurance company, the insured's policy number, and the make and year of the vehicle insured; or such other proof as may be prescribed by the department shall constitute sufficient proof of purchase. If an affidavit is provided as proof, it shall be in substantially the following form:
Under penalty of perjury, I ...(Name of insured)... do hereby certify that I have ...(Personal Injury Protection, Property Damage Liability, and, when required, Bodily Injury Liability)... Insurance currently in effect with ...(Name of insurance company)... under ...(policy number)... covering ...(make, and year, and vehicle identification number of vehicle).... ...(Signature of Insured)...
Such affidavit shall include the following warning:
WARNING: GIVING FALSE INFORMATION IN ORDER TO OBTAIN A VEHICLE REGISTRATION CERTIFICATE IS A CRIMINAL OFFENSE UNDER FLORIDA LAW. ANYONE GIVING FALSE INFORMATION ON THIS AFFIDAVIT IS SUBJECT TO PROSECUTION.
When an application is made through a licensed motor vehicle dealer as required in s. 319.23, the original or a photostatic copy of such card, insurance policy, insurance policy binder, or certificate of insurance or the original affidavit from the insured shall be forwarded by the dealer to the tax collector of the county or the Department of Highway Safety and Motor Vehicles for processing. By executing the aforesaid affidavit, no licensed motor vehicle dealer will be liable in damages for any inadequacy, insufficiency, or falsification of any statement contained therein. A card shall also indicate the existence of any bodily injury liability insurance voluntarily purchased.
322.0261 Mandatory driver improvement course; certain accidents.—
(1) The department shall screen accident reports received under s. 324.051 or s. 316.066 to identify accidents involving the following:
(a) An accident involving death or a bodily injury requiring transport to a medical facility; or
(b) A second accident by the same operator within the previous 2-year period involving property damage in an apparent amount of at least $500.
(2) With respect to an operator convicted of, or who pleaded nolo contendere to, a traffic offense giving rise to an accident identified pursuant to subsection (1), the department shall require that the operator, in addition to other applicable penalties, attend a departmentally approved driver improvement course in order to maintain driving privileges.
(3) In determining whether to approve a driver improvement course for the purposes of this section, the department shall consider course content designed to promote safety, driver awareness, accident avoidance techniques, and other factors or criteria to improve driver performance from a safety viewpoint.
324.051 Reports of accidents; suspensions of licenses and registrations.—
(2)(a) Thirty days after receipt of notice of any accident described in paragraph (1)(a) involving a motor vehicle within this state, the department shall suspend, after due notice and opportunity to be heard, the license of each operator and all registrations of the owner of the vehicles operated by such operator whether or not involved in such accident and, in the case of a nonresident owner or operator, shall suspend such nonresident's operating privilege in this state, unless such operator or owner shall, prior to the expiration of such 30 days, be found by the department to be exempt from the operation of this chapter, based upon evidence satisfactory to the department that:
1. No injury was caused to the person or property of anyone other than such operator or owner.
1.2. The motor vehicle was legally parked at the time of such accident.
2.3. The motor vehicle was owned by the United States Government, this state, or any political subdivision of this state or any municipality therein.
4. Such operator or owner has been finally adjudicated not to be liable for damages by a civil court of competent jurisdiction.
3.5. Such operator or owner has secured a duly acknowledged written agreement providing for release from liability by all parties injured as the result of said accident and has complied with one of the provisions of s. 324.031.
4.6. Such operator or owner has deposited with the department security to conform with s. 324.061 when applicable and has complied with one of the provisions of s. 324.031.
5.7. One year has elapsed since such owner or operator was suspended pursuant to subsection (3), the owner or operator has complied with one of the provisions of s. 324.031, and no bill of complaint of which the department has notice has been filed in a court of competent jurisdiction.
(b) This subsection shall not apply:
1. To such operator or owner if such operator or owner had in effect at the time of such accident or traffic conviction an automobile liability policy with respect to all of the registered motor vehicles owned by such operator or owner.
2. To such operator, if not the owner of such motor vehicle, if there was in effect at the time of such accident or traffic conviction an automobile liability policy or bond with respect to his operation of motor vehicles not owned by him.
3. To such operator or owner if the liability of such operator or owner for damages resulting from such accident is, in the judgment of the department, covered by any other form of liability insurance or bond.
4. To any person who has obtained from the department a certificate of self-insurance, in accordance with s. 324.171, or to any person operating a motor vehicle for such self-insurer.
5. Such owner or operator was not charged with a moving traffic violation which caused or contributed to the cause of a motor vehicle accident, or such owner or operator was subsequently not found guilty of said moving traffic violation.
No such policy or bond shall be effective under this subsection unless it contains limits of not less than those specified in s. 324.021(7).
324.121 Suspension of license and registration.—
(1) The department, upon the receipt of a certified copy of a judgment, as provided in s. 324.111, shall forthwith suspend the license and registration and any nonresident's operating privilege of any person against whom such judgment was rendered, except as hereinafter otherwise provided in this section, and in s. 324.141.
(2)(a) If the judgment creditor consents in writing, in such form as the department may prescribe, that the judgment debtor be allowed license and registration or nonresident's operating privilege, the same may be allowed by the department, in its discretion, for 6 months from the date of such consent and thereafter until such consent is revoked in writing notwithstanding default in the payment of such judgment, or any installments thereof prescribed in s. 324.141, provided the judgment debtor furnished proof of financial responsibility as provided in s. 324.031, such proof to be maintained for 3 years.
(b) If the department determines that an insurer was obligated to pay the judgment but failed to do so through no fault of the judgment debtor, the judgment debtor's license and registration and any nonresident's operating privilege shall not be suspended.
624.155 Civil remedy.—
(1) Any person may bring a civil action against an insurer when such person is damaged:
(a) By a violation of any of the following provisions by the insurer:
1. Section 626.9541(1)(i), (o), or (x);
2. Section 626.9551;
3. Section 626.9705;
4. Section 626.9706;
5. Section 626.9707; or
6. Section 627.7283 627.7282.
(b) By the commission of any of the following acts by the insurer:
1. Not attempting in good faith to settle claims when, under all the circumstances, it could and should have done so, had it acted fairly and honestly toward its insured and with due regard for his interests;
2. Making claims payments to insureds or beneficiaries not accompanied by a statement setting forth the coverage under which payments are being made; or
3. Except as to liability coverages, failing to promptly settle claims, when the obligation to settle a claim has become reasonably clear, under one portion of the insurance policy coverage in order to influence settlements under other portions of the insurance policy coverage.
Notwithstanding the provisions of the above to the contrary, a person pursuing a remedy under this section need not prove that such act was committed or performed with such frequency as to indicate a general business practice.
(2)(a) As a condition precedent to bringing an action under this section, the department and the insurer must have been given 60 days' written notice of the violation. If the department returns a notice for lack of specificity, the 60-day time period shall not begin until a proper notice is filed.
(b) The notice shall be on a form provided by the department and shall state with specificity the following information, and such other information as the department may require:
1. The statutory provision, including the specific language of the statute, which the insurer allegedly violated.
2. The facts and circumstances giving rise to the violation.
3. The name of any individual involved in the violation.
4. Reference to specific policy language that is relevant to the violation, if any. If the person bringing the civil action is a third party claimant, he shall not be required to reference the specific policy language if the insurer has not provided a copy of the policy to the third party claimant pursuant to written request.
5. A statement that the notice is given in order to perfect the right to pursue the civil remedy authorized by this section.
(c) Within 20 days of receipt of the notice, the department may return any notice that does not provide the specific information required by this section, and the department shall indicate the specific deficiencies contained in the notice. A determination by the department to return a notice for lack of specificity shall be exempt from the requirements of chapter 120.
(d) No action shall lie if, within 60 days after filing notice, the damages are paid or the circumstances giving rise to the violation are corrected.
(e) The insurer that is the recipient of a notice filed pursuant to this section shall report to the department on the disposition of the alleged violation.
(f) The applicable statute of limitations for an action under this section shall be tolled for a period of 65 days by the mailing of the notice required by this subsection or the mailing of a subsequent notice required by this subsection.
(3) Upon adverse adjudication at trial or upon appeal, the insurer shall be liable for damages, together with court costs and reasonable attorney's fees incurred by the plaintiff.
(4) No punitive damages shall be awarded under this section unless the acts giving rise to the violation occur with such frequency as to indicate a general business practice and these acts are:
(a) Willful, wanton, and malicious;
(b) In reckless disregard for the rights of any insured; or
(c) In reckless disregard for the rights of a beneficiary under a life insurance contract.
Any person who pursues a claim under this subsection shall post in advance the costs of discovery. Such costs shall be awarded to the insurer if no punitive damages are awarded to the plaintiff.
(5) This section shall not be construed to authorize a class action suit against an insurer or a civil action against the department, its employees, or the Insurance Commissioner, or to create a cause of action when a health insurer refuses to pay a claim for reimbursement on the ground that the charge for a service was unreasonably high or that the service provided was not medically necessary.
(6) In the absence of expressed language to the contrary, this section shall not be construed to authorize a civil action or create a cause of action against an insurer or its employees who, in good faith, release information about an insured or an insurance policy to a law enforcement agency in furtherance of an investigation of a criminal or fraudulent act relating to a motor vehicle theft or a motor vehicle insurance claim.
(7) The civil remedy specified in this section does not preempt any other remedy or cause of action provided for pursuant to any other statute or pursuant to the common law of this state. Any person may obtain a judgment under either the common law remedy of bad faith or this statutory remedy but shall not be entitled to a judgment under both remedies. This section shall not be construed to create a common law cause of action. The damages recoverable pursuant to this section shall include those damages which are a reasonably foreseeable result of a specified violation of this section by the insurer and may include an award or judgment in an amount that exceeds the policy limits.
624.488 Applicability of related laws.—In addition to other provisions of the code cited in ss. 624.460-624.488:
(1) Sections 624.155, 624.308, 624.414, 624.415, and 624.416(4); ss. 624.418-624.4211, except s. 624.418(2)(f); and s. 624.501;
shall apply to commercial self-insurance funds. No section of the code not expressly and specifically cited in ss. 624.460-624.488 shall apply to commercial self-insurance funds.
624.3151 Insurer complaint ratios.—With respect to each authorized insurer, the department shall publish in its annual report the ratio of written complaints involving an insurer to the total number of motor vehicles insured in this state, which complaints involve violations specified in s. 626.9541, received from Florida motor vehicle insurance policyholders which were found by the department to be valid. The department shall adopt rules to determine the validity of complaints. The department shall publish these complaint ratios beginning with its 1991 annual report.
626.9541 Unfair methods of competition and unfair or deceptive acts or practices defined.—
(1) UNFAIR METHODS OF COMPETITION AND UNFAIR OR DECEPTIVE ACTS.—The following are defined as unfair methods of competition and unfair or deceptive acts or practices:
(o) Illegal dealings in premiums; excess or reduced charges for insurance.—
1. Knowingly collecting any sum as a premium or charge for insurance, which is not then provided, or is not in due course to be provided, subject to acceptance of the risk by the insurer, by an insurance policy issued by an insurer as permitted by this code.
2. Knowingly collecting as a premium or charge for insurance any sum in excess of or less than the premium or charge applicable to such insurance, in accordance with the applicable classifications and rates as filed with and approved by the department, and as specified in the policy; or, in cases when classifications, premiums, or rates are not required by this code to be so filed and approved, premiums and charges in excess of or less than those specified in the policy and as fixed by the insurer. This provision shall not be deemed to prohibit the charging and collection, by surplus lines agents licensed under part VIII of this chapter, of the amount of applicable state and federal taxes, or fees as authorized by s. 626.916(4), in addition to the premium required by the insurer or the charging and collection, by licensed agents, of the exact amount of any discount or other such fee charged by a credit card facility in connection with the use of a credit card, as authorized by subparagraph (q)3., in addition to the premium required by the insurer. This subparagraph shall not be construed to prohibit collection of a premium for a universal life or a variable or indeterminate value insurance policy made in accordance with the terms of the contract.
3.a. Imposing or requesting an additional premium for a policy of motor vehicle liability, personal injury protection, medical payment, or collision insurance or any combination thereof or refusing to renew the policy solely because the insured was involved in a motor vehicle accident unless:
(I) When there have been no other accidents during the preceding 3 years, the applicant's or insured's insurer has incurred a loss under the insured's policy, other than with respect to uninsured motorist coverage, arising out of the accident, and the insurer's file contains information from which the insurer in good faith determines that the insured was substantially at fault in the accident; or
(II) When there has been at least one other accident during the preceding 3 years, the applicant's or insured's insurer has incurred a loss under the insured's policy, other than with respect to uninsured motorist coverage, arising out of the accident, or the insurer's file contains information from which the insurer in good faith determines that the insured was substantially at fault in the accident, to justify the additional charge or refusal to renew.
b. An insurer which imposes and collects such a surcharge or which refuses to renew such policy shall, in conjunction with the notice of premium due or notice of nonrenewal, notify the named insured that he is entitled to reimbursement of such amount or renewal of the policy under the conditions listed below and will subsequently reimburse him or renew the policy, if the named insured demonstrates that the operator involved in the accident was:
(I) Lawfully parked;
(II) Reimbursed by, or on behalf of, a person responsible for the accident or has a judgment against such person;
(III) Struck in the rear by another vehicle headed in the same direction and was not convicted of a moving traffic violation in connection with the accident;
(IV) Hit by a “hit-and-run” driver, if the accident was reported to the proper authorities within 24 hours after discovering the accident;
(V) Not convicted of a moving traffic violation in connection with the accident, but the operator of the other automobile involved in such accident was convicted of a moving traffic violation;
(VI) Finally adjudicated not to be liable by a court of competent jurisdiction;
(VII) In receipt of a traffic citation which was dismissed or nolle prossed; or
(VIII) Not at fault as evidenced by a written statement from the insured establishing facts demonstrating lack of fault which are not rebutted by information in the insurer's file from which the insurer in good faith determines that the insured was substantially at fault.
c. This subparagraph does not prohibit nonrenewal of a policy under which the insurer has paid three or more losses during the most recent 3-year period.
4. Imposing or requesting an additional premium for, or refusing to renew, a policy for motor vehicle insurance solely because the insured committed a noncriminal traffic infraction as described in s. 318.14 unless the infraction is:
a. A second or subsequent infraction committed within an 18-month period, or a third or subsequent infraction committed within a 36-month period.
b. A violation of s. 316.183, when such violation is a result of exceeding the lawful speed limit by more than 15 miles per hour.
5. Upon the request of the insured, the insurer and licensed agent shall supply to the insured the complete proof of fault or other criteria which justifies the additional charge or cancellation.
6. No insurer shall impose or request an additional premium for motor vehicle insurance, cancel or refuse to issue a policy, or refuse to renew a policy because the insured or the applicant is a handicapped or physically disabled person, so long as such handicap or physical disability does not substantially impair such person's mechanically assisted driving ability.
7. No insurer may cancel or otherwise terminate any insurance contract or coverage, or require execution of a consent to rate endorsement, during the stated policy term for the purpose of offering to issue, or issuing, a similar or identical contract or coverage to the same insured with the same exposure at a higher premium rate or continuing an existing contract or coverage with the same exposure at an increased premium.
8. No insurer may issue a nonrenewal notice on any insurance contract or coverage, or require execution of a consent to rate endorsement, for the purpose of offering to issue, or issuing, a similar or identical contract or coverage to the same insured at a higher premium rate or continuing an existing contract or coverage at an increased premium without meeting any applicable notice requirements.
9. No insurer shall, with respect to premiums charged for motor vehicle insurance, unfairly discriminate solely on the basis of age, sex, marital status, or scholastic achievement.
10. Imposing or requesting an additional premium for motor vehicle comprehensive or uninsured motorist coverage solely because the insured was involved in a motor vehicle accident or was convicted of a moving traffic violation.
11. No insurer shall cancel or issue a nonrenewal notice on any insurance policy or contract without complying with any applicable cancellation or nonrenewal provision required under the Florida Insurance Code.
(x) Refusal to insure.—In addition to other provisions of this code, the refusal to insure, or continue to insure, any individual or risk solely because of:
1. Race, color, creed, marital status, sex, or national origin;
2. The residence, age, or lawful occupation of the individual or the location of the risk, unless there is a reasonable relationship between the residence, age, or lawful occupation of the individual or the location of the risk and the coverage issued or to be issued;
3. The insured's or applicant's failure to agree to place collateral business with any insurer, unless the coverage applied for would provide liability coverage which is excess over that provided in policies maintained on property or motor vehicles;
4. The insured's or applicant's failure to purchase noninsurance services or commodities, including automobile services as defined in s. 624.124; or
5. The fact that the insured or applicant had been previously refused insurance coverage by any insurer, when such refusal to insure or continue to insure for this reason occurs with such frequency as to indicate a general business practice.
627.0651 Making and use of rates for motor vehicle insurance.—
(1) Insurers shall establish and use rates, rating schedules, or rating manuals to allow the insurer a reasonable rate of return on motor vehicle insurance written in this state. A copy of rates, rating schedules, and rating manuals, and changes therein, shall be filed with the department under one of the following procedures:
(a) If the filing is made at least 60 days before the proposed effective date and the filing is not implemented during the department's review of the filing and any proceeding and judicial review, such filing shall be considered a “file and use” filing. In such case, the department shall initiate proceedings to disapprove the rate and so notify the insurer or shall finalize its review within 60 days after receipt of the filing. Notification to the insurer by the department of its preliminary findings shall toll the 60-day period during any such proceedings and subsequent judicial review. The rate shall be deemed approved if the department does not issue notice to the insurer of its preliminary findings within 60 days after the filing.
(b) If the filing is not made in accordance with the provisions of paragraph (a), such filing shall be made as soon as practicable, but no later than 30 days after the effective date, and shall be considered a “use and file” filing. An insurer making a “use and file” filing is potentially subject to an order by the department to return to policyholders portions of rates found to be excessive, as provided in subsection (11). as soon as practicable following their effective date, but no later than 30 days after that date.
(8) Rates are not unfairly discriminatory if averaged broadly among members of a group; nor are rates unfairly discriminatory even though they are lower than rates for nonmembers of the group. However, such rates are unfairly discriminatory if they are not actuarially measurable and credible and sufficiently related to actual or expected loss and expense experience of the group so as to assure that nonmembers of the group are not unfairly discriminated against. Use of a single United States Postal Service zip code as a rating territory shall be deemed unfairly discriminatory.
(10) The department may, at any time, review a rate or rate change, the pertinent records of the insurer, and market conditions; and, if the department finds on a preliminary basis that the rate or rate change may be excessive, inadequate, or unfairly discriminatory, the department shall so notify the insurer. However, the department may not disapprove as excessive any rate for which it has given final approval or which has been deemed approved for a period of 1 year after the effective date of the filing unless the department finds that a material misrepresentation or material error was made by the insurer or was contained in the filing. Upon being so notified, the insurer or rating organization shall, within 60 days, file with the department all information which, in the belief of the insurer or organization, proves the reasonableness, adequacy, and fairness of the rate or rate change. In such instances and in any administrative proceeding relating to the legality of the rate, the insurer or rating organization shall carry the burden of proof by a preponderance of the evidence to show that the rate is not excessive, inadequate, or unfairly discriminatory. After the department notifies an insurer that a rate may be excessive, inadequate, or unfairly discriminatory, unless the department withdraws the notification, the insurer shall not increase the rate until the earlier of 120 days after the date the notification was provided or 180 days after the date of the implementation of the rate. The department may, subject to chapter 120, disapprove without the 60-day notification any rate increase filed by an insurer within the prohibited time period or during the time that the legality of the increased rate is being contested.
(11) In the event the department finds that a rate or rate change is excessive, inadequate, or unfairly discriminatory, the department shall issue an order of disapproval specifying that a new rate or rate schedule which responds to the findings of the department be filed by the insurer. The department shall further order for any “use and file” filing made in accordance with paragraph (1)(b), that premiums charged each policyholder constituting the portion of the rate above that which was actuarially justified be returned to such policyholder in the form of a credit or refund. If the department finds that an insurer's rate or rate change is inadequate, the new rate or rate schedule filed with the department in response to such a finding shall be applicable only to new or renewal business of the insurer written on or after the effective date of the responsive filing. order that a new rate or rate schedule be thereafter filed by the insurer and shall further provide information as to the manner in which noncompliance may be corrected. Supporting information responsive to the findings of the department shall be submitted with the filing.
(12) Any portion of a judgment entered as a result of a statutory or common law bad faith action and any portion of a judgment entered which awards punitive damages against an insurer shall not be included in the insurer's rate base, and shall not be used to justify a rate or rate change. Any portion of a settlement entered as a result of a statutory or common law bad faith action identified as such and any portion of a settlement wherein an insurer agrees to pay specific punitive damages shall not be used to justify a rate or rate change. The portion of the taxable costs and attorney's fees which is identified as being related to the bad faith and punitive damages in these judgments and settlements shall not be included in the insurer's rate base and shall not be utilized to justify a rate or rate change.
(13)(a) Underwriting rules not contained in rating manuals shall be filed for private passenger automobile insurance and homeowners' insurance.
(b) The submission of rates, rating schedules, and rating manuals to the department by a licensed rating organization of which an insurer is a member or subscriber will be sufficient compliance with this subsection for any insurer maintaining membership or subscribership in such organization, to the extent that the insurer uses the rates, rating schedules, and rating manuals of such organization. All such information shall be available for public inspection, upon receipt by the department, during usual business hours.
(c) The filing requirements of this subsection do not apply to commercial inland marine risks.
627.0653 Insurance discounts for specified motor vehicle equipment.—
(1) Any rates, rating schedules, or rating manuals for the liability, personal injury protection, and collision coverages of a motor vehicle insurance policy filed with the department shall provide a premium discount if the insured vehicle is equipped with antilock brakes.
(2) Each insurer writing motor vehicle comprehensive coverage in this state shall include in its rating manual discount provisions for comprehensive coverage which specifically relate to an antitheft device or vehicle recovery system utilized in the insured vehicle which are factory installed or approved by the department.
(3) Any rates, rating schedules, or rating manuals for personal injury protection coverage and medical payments coverage, if offered, of a motor vehicle insurance policy filed with the department shall provide a premium discount if the insured vehicle is equipped with one or more air bags.
(4) The removal of a discount or credit does not constitute the imposition of, or request for, additional premium or a surcharge if the basis for the discount or credit no longer exists or is substantially eliminated.
627.7262 Nonjoinder of insurers.—
(1) It shall be a condition precedent to the accrual or maintenance of a cause of action against a liability insurer by a person not an insured under the terms of the liability insurance contract that such person shall first obtain a settlement or verdict judgment against a person who is an insured under the terms of such policy for a cause of action which is covered by such policy.
(2) Notwithstanding subsection (1), any insurer who pays any taxable costs or attorney's fees which would be recoverable by the insured but for the fact that such costs or fees were paid by the insurer shall be considered a party for the purpose of recovering such fees or costs. No person who is not an insured under the terms of a liability insurance policy shall have any interest in such policy, either as a third-party beneficiary or otherwise, prior to first obtaining a settlement or verdict judgment against a person who is an insured under the terms of such policy for a cause of action which is covered by such policy.
(3) Insurers are affirmatively granted the substantive right to insert in liability insurance policies contractual provisions that preclude persons who are not designated as insureds in such policies from joining a liability insurer as a party defendant with its insured prior to the rendition of a verdict bringing suit against such insurers prior to first obtaining a judgment against one who is an insured under such policy for a cause of action which is covered by such policy. The contractual provisions authorized in this subsection shall be fully enforceable.
(4) At the time a judgment is entered or a settlement is reached during the pendency of litigation, a liability insurer may be joined as a party defendant for the purposes of entering final judgment or enforcing the settlement by the motion of any party, unless the insurer denied coverage under the provisions of s. 627.426(2) or defended under a reservation of rights pursuant to s. 627.426(2). A copy of the motion to join the insurer shall be served on the insurer by certified mail. If a judgment is reversed or remanded on appeal, the insurer's presence shall not be disclosed to the jury in a subsequent trial.
627.727 Motor vehicle insurance; uninsured and underinsured vehicle coverage; insolvent insurer protection.—
(1) No motor vehicle liability insurance policy which provides bodily injury liability coverage shall be delivered or issued for delivery in this state with respect to any specifically insured or identified motor vehicle registered or principally garaged in this state unless uninsured motor vehicle coverage is provided therein or supplemental thereto for the protection of persons insured thereunder who are legally entitled to recover damages from owners or operators of uninsured motor vehicles because of bodily injury, sickness, or disease, including death, resulting therefrom. However, the coverage required under this section is not applicable when, or to the extent that, an any insured named in the policy makes a written rejection of rejects the coverage on behalf of all insureds under the policy in writing. When a motor vehicle is leased for a period of 1 year or longer and the lessor of such vehicle, by the terms of the lease contract, provides liability coverage on the leased vehicle, the lessee of such vehicle shall have the sole privilege to reject uninsured motorist coverage or to select lower limits than the bodily injury liability limits, regardless of whether the lessor is qualified as a self-insurer pursuant to s. 324.171. Unless an the named insured, or lessee having the privilege of rejecting uninsured motorist coverage, requests such coverage or requests higher uninsured motorist limits in writing, the coverage or such higher uninsured motorist limits need not be provided in or supplemental to any other policy which renews, extends, changes, supersedes, or replaces an existing policy with the same bodily injury liability limits when an the named insured or lessee had rejected the coverage. When an the
named insured or lessee has initially selected limits of uninsured motorist coverage lower than his bodily injury liability limits, higher limits of uninsured motorist coverage need not be provided in or supplemental to any other policy which renews, extends, changes, supersedes, or replaces an existing policy with the same bodily injury liability limits unless an the named insured requests higher uninsured motorist coverage in writing. The rejection or selection of lower limits shall be made on a form approved by the Insurance Commissioner. The form shall fully advise the applicant of the nature of the coverage and shall state that the coverage is equal to bodily injury liability limits unless lower limits are requested or the coverage is rejected. The heading of the form shall be in 12-point bold type and shall state: “You are electing not to purchase certain valuable coverage which protects you and your family or you are purchasing uninsured motorist limits less than your bodily injury liability limits when you sign this form. Please read carefully.” If this form is signed by a named insured, it will be conclusively presumed that there was an informed, knowing rejection of coverage or election of lower limits on behalf of all insureds. The insurer shall notify the named insured at least annually of his options as to the coverage required by this section. Such notice shall be part of, and attached to, the notice of premium, shall provide for a means to allow the insured to request such coverage, and shall be given in a manner approved by the department. Receipt of this notice does not constitute an affirmative waiver of the insured's right to uninsured motorist coverage where the insured has not signed a selection or rejection form. The coverage described under this section shall be over and above, but shall not duplicate, the benefits available to an insured under any workers' compensation law, personal injury
protection benefits, disability benefits law, or similar law; under any automobile medical expense coverage; under any motor vehicle liability insurance coverage; or from the owner or operator of the uninsured motor vehicle or any other person or organization jointly or severally liable together with such owner or operator for the accident; and such coverage shall cover the difference, if any, between the sum of such benefits and the damages sustained, up to the maximum amount of such coverage provided under this section. The amount of coverage available under this section shall not be reduced by a setoff against any coverage, including liability insurance.
Such coverage shall not inure directly or indirectly to the benefit of any workers' compensation or disability benefits carrier or any person or organization qualifying as a self-insurer under any workers' compensation or disability benefits law or similar law.
627.736 Required personal injury protection benefits; exclusions; priority.—
(5) CHARGES FOR TREATMENT OF INJURED PERSONS.—Any physician, hospital, clinic, or other person or institution lawfully rendering treatment to an injured person for a bodily injury covered by personal injury protection insurance may charge only a reasonable amount for the products, services, and accommodations rendered, and the insurer providing such coverage may pay for such charges directly to such person or institution lawfully rendering such treatment, if the insured receiving such treatment or his guardian has countersigned the invoice, bill, or claim form approved by the Department of Insurance upon which such charges are to be paid for as having actually been rendered, to the best knowledge of the insured or his guardian. In no event, however, may such a charge be in excess of the amount the person or institution customarily charges for like products, services, or accommodations in cases involving no insurance, provided that charges for cephalic thermograms and peripheral thermograms shall not exceed the maximum reimbursement allowance for such procedures as set forth in the applicable fee schedule established pursuant to s. 440.13. Every insurer shall include a provision in its policy for personal injury protection benefits for binding arbitration of any claims dispute involving medical benefits arising between the insurer and any person providing medical services or supplies if that person has agreed to accept assignment of personal injury protection benefits. The provision shall specify that the provisions of chapter 682 relating to arbitration shall apply. The prevailing party shall be entitled to attorney's fees and costs.
627.744 Required preinsurance inspection of private passenger motor vehicles.—
(1) No private passenger motor vehicle insurance policy providing physical damage coverage, including collision or comprehensive coverage, may be issued in this state unless the insurer has inspected the motor vehicle in accordance with this section.
(2) This section does not apply to the following:
(a) A new policy for a policyholder who has been insured for 3 years or longer, without interruption, under a private passenger motor vehicle policy which provides physical damage coverage, issued by the same insurer.
(b) A motor vehicle purchased from a licensed automobile dealership, if the insurer is provided with:
1. A bill of sale or buyer's order which contains a full description of the motor vehicle, including all options and accessories; or
2. A copy of the title which establishes transfer of ownership from the dealer to the customer and a copy of the window sticker or the dealer invoice showing the itemized options and equipment and the total retail price of the vehicle.
For the purposes of this paragraph, the physical damage coverage on such motor vehicle shall not be suspended during the term of the policy due to the applicant's failure to provide the required documents. However, payment of a claim shall be conditioned upon the receipt by the insurer of such documents, and no physical damage loss occurring after the effective date of the coverage shall be payable until the documents are provided to the insurer.
(c) A temporary substitute motor vehicle.
(d) A motor vehicle which is leased for less than 6 months, if the insurer receives the lease or rental agreement containing a description of the leased motor vehicle, including its condition. Payment of a physical damage claim shall be conditioned upon receipt of the lease or rental agreement.
(e) Vehicles 10 years old or older, as determined by reference to the model year.
(f) Any renewal policy.
(g) A motor vehicle policy issued in a county with a 1988 estimated population of less than 500,000.
(h) Such other exemptions as the department may, by rule, allow, based upon a determination that the likelihood of a fraudulent physical damage claim is remote or that the inspection would cause a serious hardship to the insurer or the applicant.
Nothing in this subsection shall be deemed to prohibit an insurer from requiring a preinsurance inspection of any motor vehicle as a condition of issuance of physical damage coverage.
(3) The inspection required by this section shall be provided by the insurer or by a person or organization authorized by the insurer at no cost to the applicant. The inspection shall be recorded on a form prescribed by the department, and the form or a copy shall be retained by the insurer with its policy records for the insured; and a copy of such form shall be made available to the insured upon request. The inspection shall include at least the following:
(a) Taking a physical imprint of the vehicle identification number of the vehicle or otherwise recording the vehicle identification number in a manner prescribed by the department.
(b) Recording the presence of such accessories as are required by the department to be recorded.
(c) Recording the locations of and a description of existing damage to the vehicle.
(4) An insurer may defer an inspection for 7 calendar days following the effective date of coverage for a new policy, but not for a renewal policy, and for additional or replacement vehicles to an existing policy, if an inspection at the time of the request for coverage would create a serious inconvenience for the applicant. Failure to obtain the inspection within such time period shall result in suspension of the insurance coverage immediately following the time period, which consequences shall be disclosed to the applicant on a form prescribed by the department. Such suspension shall continue until the inspection is effected.
(5) The department may, by rule, establish such procedures and notice requirements as may be necessary to implement this section.
627.745 Mediation of claims.—
(1)(a) In any claim filed with an insurer for personal injury in an amount of $10,000 or less or a claim for property damage in any amount arising out of the ownership, operation, use, or maintenance of a motor vehicle, either party may demand mediation of the claim prior to the institution of litigation.
(b) A request for mediation shall be filed with the Department of Insurance on a form approved by the department. The request for mediation shall state the reason for the request for mediation and the issues in dispute which are to be mediated. The filing of a request for mediation shall toll the applicable time requirements for filing suit for a period of sixty days following the conclusion of the mediation process or the time prescribed in s. 95.11, whichever is later.
(c) With regard to first party claims, the terms and conditions for mediation of a claim shall be specified in detail in the policy contract.
(d) The mediation shall be conducted as an informal process and formal rules of evidence and procedure need not be observed. Any party participating in a mediation must have the authority to make a binding decision. All parties must mediate in good faith. The department shall randomly select mediators. Each party shall be permitted to once reject the mediator selected, either originally or after the opposing side has exercised its option to reject a mediator. Costs of mediation shall be borne equally by both parties unless the mediator determines that one party has not mediated in good faith.
(e) Only one mediation may be requested for each claim, unless all parties agree to further mediation.
(2) Upon receipt of a request for mediation, the department shall refer to a mediator, the mediator shall notify the applicant and all interested parties, as identified by the applicant, and any other parties the mediator believes may have an interest in the mediation, of the date, time and place of the mediation conference. The conference may be held by telephone, if feasible. The mediation conference shall be held within 45 days of the request for mediation.
(3)(a) The Department of Insurance shall appoint mediators to conduct mediations pursuant to this section.
(b) To qualify for appointment as a mediator, a person shall meet the following qualifications:
1. Possess a masters or doctorate degree in psychology, counseling, business, or economics, or be a member of the Florida Bar or demonstrate that the applicant for appointment has been actively engaged as a qualified mediator for at least four years prior to July 1, 1990.
2. Have completed a minimum of a 40 hour training program approved by the department. The training program shall include and address:
a. Mediation theory;
b. Mediation process and techniques;
c. Standards of conduct for mediators;
d. Conflict management and intervention skills;
e. Insurance nomenclature; and
f. Successful completion of an examination.
The requirement of successful completion of a training program shall not take effect until 180 days after the effective date of this act.
(4) The Department of Insurance shall promulgate rules of procedure for claims mediation taking into consideration a system which:
(a) Is fair;
(b) Promotes settlement;
(c) Avoids delay;
(d) Is nonadversarial;
(e) Utilizes a framework for modern mediating technique; and
(f) Controls costs and expenses of mediation.
(5) Disclosures and information divulged in the mediation process shall not be admissible in any subsequent action or proceeding relating to the claim or cause of active giving rise thereto. A person demanding mediation under this section shall not be entitled to demand or request mediation after a suit is filed relating to the same facts already mediated.
634.401 Definitions.—As used in this part, the term:
(18) “Manufacturer” means any entity or affiliate thereof which:
(a) Derives a majority of its revenues from products manufactured, built, assembled, constructed, or produced under a product name wholly controlled by the applicant or an affiliate thereof;
(b) Issues service warranties only for consumer products manufactured, built, assembled, constructed, or produced under a product name wholly controlled by the applicant or an affiliate thereof;
(c) Is listed and traded on a recognized stock exchange, is listed in NASDAQ (National Association of Security Dealers Automated Quotation system) and publicly traded in the over-the-counter securities markets, is required to file either of Forms 10K, 10Q, or 20G with the United States Securities and Exchange Commission, or whose American Depository Receipts are listed on a recognized stock exchange and publicly traded;
(d) Maintains outstanding debt obligations, if any, rated in the top four rating categories by a recognized rating categories by a recognized rating service;
(e) Has and maintains at all times, a minimum net worth of not less than $10,000,000 as evidenced by certified financial statements prepared by an independent certified public accountant in accordance with generally accepted accounting principles; and
(f) Is authorized to do business in this state.
(19) “Affiliate” means any entity which controls, is controlled by, or is under common control with, the manufacturer directly or indirectly through majority ownership of voting securities.
634.404 Qualifications for license.—The department may not issue or renew a license to any service warranty association unless the association:
(6) In lieu of the provisions of subsections (1) through (5) of this section and s. 634.407, a manufacturer or affiliate as defined in this part is eligible for licensure as a service warranty association under the provisions of this part and shall complete and application evidencing its qualifications as set forth in this section. The application for license as a service warranty association from a manufacturer or affiliate shall be made to, and filed with, the department on printed forms as promulgated by the department to be specifically and exclusively applicable to qualifying manufacturers.
(a) The department may require that the applicant show:
1. The state of the applicant's incorporation;
2. The location of the applicant's home office; and
3. The names and business addresses of the applicant's board of directors and managing executive officer.
(b) The department shall require that the application, when filed, be accompanied by;
1. A copy of the applicant's articles of incorporation, certified by the public official having custody of the original, and a copy of the applicant's bylaws, certified by the applicant's corporate secretary;
2. Evidence that the applicant has complied with all applicable statutory requirements regarding registering to do business in this state; and
3. A license fee in the amount of $500.
(c) Upon submission of the application for license, the department shall examine the application to determine its compliance with applicable sections of this part. Applicants shall be advised of any inadequate responses or missing information.
(d) Information as required in this section shall be updated as to changes thereto no less than two times annually, once at the time of the submission of the service warranty association's submission of its annual report, and the second time, no later than September 30 of each year.
634.4085 Acquisition.—Except for manufacturers as defined in this part, every service warranty association shall be subject to the provisions of s. 628.4615.
634.415 Tax on premiums; annual statement; reports; quarterly statements.—
(4) In addition to an annual statement, the department may require of licensees, under oath and in the form prescribed by it, quarterly statements or special reports which it deems necessary to the proper supervision of licensees under this part. For manufacturers as defined in s. 634.401, the department shall require only the annual audited financial statements of the warranty operations and corporate reports as filed by the manufacturer with the Securities and Exchange Commission, provided that the department may require additional reporting by manufacturers upon a showing by the department that annual reporting is insufficient to protect the interest of purchasers of service warranty agreements in this state or fails to provide sufficient proof of the financial status required by this part.
634.430 Dissolution or liquidation.—
(1) Except as provided in subsection (2), the Any dissolution or liquidation of an association subject to the provisions of this part shall be under the supervision of the department, which shall have all powers with respect thereto granted to it under the laws of the state with respect to the dissolution and liquidation of property and casualty companies pursuant to chapter 631. An involuntary dissolution or liquidation of a manufacturer licensed under this part shall subject the warranty operations of the manufacturer in this state to the provisions of chapter 631.
(2) The department shall be notified of the commencement of voluntary dissolution proceedings of a manufacturer licensed under this part. As to the warranty operations of a manufacturer in this state, the department shall supervise the voluntary dissolution and shall require protection of the interests of the department and consumers who have been issued service warranties by the manufacturer by the continuation of deposits or bonds as required by this part until that time as all warranties issued by the manufacturer are no longer in effect or all outstanding warranties have been assigned to another association approved by the department. The notification as provided herein shall be made by the manufacturer within 30 days of the commencement of any legal action for dissolution.
(Substantial rewording of section. See
s. 768.79, F.S., for present text.)
768.79 Offer of judgment and demand for judgment.—
(1) In any civil action for damages filed in the courts of this state, if a defendant files an offer of judgment which is not accepted by the plaintiff within 30 days, the defendant shall be entitled to recover reasonable costs and attorney's fees incurred by him or on his behalf pursuant to a policy of liability insurance or other contract from the date of filing of the offer if the judgment is one of no liability or the judgment obtained by the plaintiff is at least 25 percent less than such offer, and the court shall set off such costs and attorney's fees against the award. Where such costs and attorney's fees total more than the judgment, the court shall enter judgment for the defendant against the plaintiff for the amount of the costs and fees, less the amount of the plaintiff's award. If a plaintiff files a demand for judgment which is not accepted by the defendant within 30 days and the plaintiff recovers a judgment in an amount at least 25 percent greater than the offer, he shall be entitled to recover reasonable costs and attorney's fees incurred from the date of the filing of the demand. If rejected, neither an offer nor demand is admissible in subsequent litigation, except for pursuing the penalties of this section.
(2) The making of an offer of settlement which is not accepted does not preclude the making of a subsequent offer. An offer must:
(a) Be in writing and state that it is being made pursuant to this section.
(b) Name the party making it and the party to whom it is being made.
(c) State with particularity the amount offered to settle a claim for punitive damages, if any.
(d) State its total amount.
The offer shall be construed as including all damages which may be awarded in a final judgment.
(3) The offer shall be served upon the party to whom it is made, but it shall not be filed unless it is accepted or unless filing is necessary to enforce the provisions of this section.
(4) An offer shall be accepted by filing a written acceptance with the court within 30 days after service. Upon filing of both the offer and acceptance, the court has full jurisdiction to enforce the settlement agreement.
(5) An offer may be withdrawn in writing which is served before the date a written acceptance is filed. Once withdrawn, an offer is void.
(6) Upon motion made by the offeror within 30 days after the entry of judgment or after voluntary or involuntary dismissal, the court shall determine the following:
(a) If a defendant serves an offer which is not accepted by the plaintiff, and if the judgment obtained by the plaintiff is at least 25 percent less than the amount of the offer, the defendant shall be awarded reasonable costs, including investigative expenses, and attorney's fees, calculated in accordance with the guidelines promulgated by the Supreme Court, incurred from the date the offer was served, and the court shall set off such costs in attorney's fees against the award. When such costs and attorney's fees total more than the amount of the judgment, the court shall enter judgment for the defendant against the plaintiff for the amount of the costs and fees, less the amount of the award to the plaintiff.
(b) If a plaintiff serves an offer which is not accepted by the defendant, and if the judgment obtained by the plaintiff is at least 25 percent more than the amount of the offer, the plaintiff shall be awarded reasonable costs, including investigative expenses, and attorney's fees, calculated in accordance with the guidelines promulgated by the Supreme Court, incurred from the date the offer was served.
For purposes of the determination required by paragraph (a), the term “judgment obtained” means the amount of the net judgment entered, plus any post-offer collateral source payments received or due as of the date of the judgment, plus any post-offer settlement amounts by which the verdict was reduced. For purposes of the determination required by paragraph (b), the term “judgment obtained” means the amount of the net judgment entered, plus any post-offer settlement amounts by which the verdict was reduced.
(7)(a) If a party is entitled to costs and fees pursuant to the provisions of this section, the court may, in its discretion, determine that an offer was not made in good faith. In such case, the court may disallow an award of costs and attorney's fees.
(b) When determining the reasonableness of an award of attorney's fees pursuant to this section, the court shall consider, along with all other relevant criteria, the following additional factors:
1. The then apparent merit or lack of merit in the claim.
2. The number and nature of offers made by the parties.
3. The closeness of questions of fact and law at issue.
4. Whether the person making the offer had unreasonably refused to furnish information necessary to evaluate the reasonableness of such offer.
5. Whether the suit was in the nature of a test case presenting questions of far-reaching importance affecting nonparties.
6. The amount of the additional delay cost and expense that the person making the offer reasonably would be expected to incur if the litigation should be prolonged.
(8) Evidence of an offer is admissible only in proceedings to enforce an accepted offer or to determine the imposition of sanctions under this section.
817.236 False and fraudulent motor vehicle insurance application.—Any person who, with intent to injure, defraud, or deceive any motor vehicle insurer, including any statutorily created underwriting association or pool of motor vehicle insurers, presents or causes to be presented any written application, or written statement in support thereof, for motor vehicle insurance knowing that the application or statement contains any false, incomplete, or misleading information concerning any fact or matter material to the application commits a misdemeanor of the first degree, punishable as provided in s. 775.082 or s. 775.083.
(a) Personal injury protection benefits required under section 627.733, Florida Statutes.
(b) Property damage liability coverage required under section 324.022, Florida Statutes.
(c) Combined bodily injury liability and property damage liability coverage, but only in cases where such coverage is required under section 627.7415, Florida Statutes.
(2) The determination of feasibility shall include consideration of the following factors:
(a) How the insurer or insurers underwriting insurance sold through tax collectors' offices would be selected.
(b) The role of the Florida Automobile Joint Underwriting Association.
(c) How insurance agents would be utilized.
(d) Logistical issues relating to the offering of this service.
(e) Costs of implementation.
Approved by the Governor June 21, 1990.
Filed in Office Secretary of State June 21, 1990.