CS/CS/HB 1087 — Operations of the Citizens Property Insurance Corporation
by Regulatory Affairs Committee; Insurance and Banking Subcommittee; and Rep. Bileca and others (CS/CS/SB 1006 by Appropriations Committee; Banking and Insurance Committee; and Senators Flores and Margolis)
This summary is provided for information only and does not represent the opinion of any Senator, Senate Officer, or Senate Office.
Prepared by: Banking and Insurance Committee (BI)
The bill makes the following changes relating to Citizens Property Insurance Corporation:
- Allows the consumer representative to the Citizens Board of Governors to be afforded the same conflict of interest exemption as other board members.
- Requires agents who write business for Citizens to hold an appointment with an admitted carrier that is currently writing or renewing policies in the state.
- Allows Citizens to share underwriting and claims files data with entities that have obtained a permit to become an authorized insurer, reinsurer, broker, or modeling company. Such data may not be used for direct solicitations and must be kept confidential.
- Requires Citizens to make changes, by January 1, 2016, to their plan of operation as it relates to take-out agreements made with private insurers.
- Requires that private companies must include in their take-out offers to Citizens policyholders, a comparison of coverages and rate between the insurer’s policy and Citizens policy.
- Allows a Citizens policyholder who declines a take-out offer the option to be excluded from future take-out agreements for up to 6 months.
- Allows a Citizens policyholder, who accepts a take-out offer, the ability to reapply to Citizens and be treated as a renewal through the clearinghouse if within 36 months of leaving Citizens their premium is increased above the rate allowed under the Citizens glide path.
If approved by the Governor, these provisions take effect July 1, 2015.
Vote: Senate 40-0; House 114-0