CODING: Words stricken are deletions; words underlined are additions.
SENATE AMENDMENT
Bill No. CS for SB 1108
Amendment No.
CHAMBER ACTION
Senate House
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11 Senator Silver moved the following amendment to House
12 Amendment 2:
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14 Senate Amendment (with title amendment)
15 On page 1, between lines 16 and 17,
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18 Section 5. Legislative findings; required rate
19 reductions.--
20 (1) The Legislature finds that the capability of the
21 Florida Hurricane Catastrophe Fund established under section
22 215.555, Florida Statutes, to provide reinsurance coverage to
23 insurers is substantially enhanced by its receipt of
24 confirmation from the Internal Revenue Service that it may
25 issue tax-exempt bonds. This event results in cost savings to
26 insurers in the writing of residential property insurance. It
27 is fair and just and the interest of the public welfare
28 requires that these savings be passed on to residential
29 property insurance policyholders in the form of premium
30 reductions.
31 (2)(a) The provisions of section 627.062, Florida
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5:51 PM 04/20/98 s1108c1c-38k6v
SENATE AMENDMENT
Bill No. CS for SB 1108
Amendment No.
1 Statutes, to the contrary notwithstanding, within 60 days
2 after July 1, 1998, each insurer writing residential coverage
3 in this state as described in section 627.4025, Florida
4 Statutes, with respect to such coverage, shall reduce its rate
5 by a justified percentage which shall be within the range of a
6 6 to 15 percent reduction. When an insurer files to reduce its
7 rates as required by this subsection, the insurer shall file a
8 certification with the department that the rate adjustment has
9 been made, together with copies of the amended rating manual
10 pages disclosing the adjustment. In lieu of filing to reduce
11 rates by the percentage required under this subsection, an
12 insurer may elect to refile its rates, provided the insurer
13 demonstrates that the level of percentage savings to be passed
14 on to policyholders in view of the savings resulting from such
15 favorable tax ruling is justified and produces a rate
16 differential other than such range of percentage reduction.
17 (b) A rate filing made pursuant to this section, shall
18 not be subject to subsection (6) of section 627.062, Florida
19 Statutes.
20 (3) This section shall take effect July 1, 1998.
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22 (Redesignate subsequent sections.)
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26 And the title is amended as follows:
27 On page 20, line 5, after the colon,
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29 insert:
30 requiring insurers to reduce rates for
31 residential coverage due to a favorable ruling
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SENATE AMENDMENT
Bill No. CS for SB 1108
Amendment No.
1 received by the Florida Hurricane Catastrophe
2 Fund established under s. 215.555, F.S., from
3 the Internal Revenue Service that it may issue
4 tax-exempt bonds; providing procedures;
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