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2011 Florida Statutes

SECTION 401
Recovery of assessments and assumed policy obligations.
F.S. 631.401
631.401 Recovery of assessments and assumed policy obligations.
(1) Upon the making of any assessment allowed by s. 631.400, the office shall order a surcharge on each title insurance policy thereafter issued insuring an interest in real property in this state. The office shall set the per transaction surcharge at an amount estimated to generate sufficient funds to recover the amount assessed over a period of not more than 7 years. The amount of the surcharge ordered under this section may not exceed $25 per transaction for each impaired title insurer. If additional surcharges are occasioned by additional title insurers becoming impaired, the office shall order an increase in the amount of the surcharge to reflect the aggregate surcharge.
(2) The party responsible for payment of title insurance premium, unless otherwise agreed between the parties, shall be responsible for the payment of the surcharge. No surcharge will be due or owing as to any policy of title insurance issued at the simultaneous issue rate. For all other purposes, the surcharge will be considered a governmental assessment to be separately stated on any settlement statement. The surcharge is not subject to premium tax or reserve requirements under chapter 625.
(3) Title insurers doing business in this state writing no premiums in the prior calendar year shall collect the same per transaction surcharge as provided by this section. Such surcharge collected shall be paid to the receiver within 60 days after receipt from the title agent or agency.
(4) Each title insurance agent, agency, or direct title operation shall collect the surcharge as to each title insurance policy written and remit those surcharges along with the policies and premiums within 60 days to the title insurer on whom the policy was written.
(5) A title insurer may not retain more in surcharges for an ordered assessment than the amount of assessment that title insurer paid.
(6) Each title insurer collecting surcharges shall promptly notify the office when it has collected surcharges equal to the amount of the assessment paid pursuant to s. 631.400. The office shall notify all companies, including those collecting surcharges as required by subsection (3), to cease collecting surcharges when notified that all assessments have been recovered.
(7) In conjunction with the filing of each quarterly financial statement, each title insurer shall provide the office with an accounting of assessments paid and surcharges collected during the period. Any surcharges collected in excess of the amount assessed shall be paid to the Insurance Regulatory Trust Fund.
History.s. 4, ch. 2011-226.