Senate Bill 0982

    Florida Senate - 1999                                   SB 982

    By Senator Lee





    23-737-99

  1                      A bill to be entitled

  2         An act relating to motor vehicle insurance

  3         policies; creating s. 627.7277, F.S.; requiring

  4         insurers to give the policyholder notice of the

  5         renewal premium; providing for continuation of

  6         policy coverage at existing rates if the

  7         insurer fails to comply; providing an effective

  8         date.

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10  Be It Enacted by the Legislature of the State of Florida:

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12         Section 1.  Section 627.7277, Florida Statutes, is

13  created to read:

14         627.7277  Notice of renewal premium.--

15         (1)  As used in this section, the terms "policy" and

16  "renewal" have the meaning ascribed in s. 627.728.

17         (2)  An insurer shall give its policyholder at least 45

18  days' advance written notice of the renewal premium for the

19  policy. Such notice must be mailed to the policyholder's last

20  address as shown by the records of the insurer.

21         (3)  If the insurer fails to provide the 45 days'

22  notice of the renewal premium, the coverage under the policy

23  remains in effect at the existing rates until 45 days after

24  the notice is given or until the effective date of replacement

25  coverage obtained by the insured, whichever occurs first.

26         Section 2.  This act applies to the renewal of a policy

27  having an effective date of renewal on or after November 15,

28  1999.

29         Section 3.  This act shall take effect upon becoming a

30  law.

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CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                                   SB 982
    23-737-99




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  2                          SENATE SUMMARY

  3    Requires an insurer to give its policyholder at least 45
      days' advance written notice of the renewal premium for
  4    the policy. The notice must be mailed to the
      policyholder's last address as shown by the insurer's
  5    records. Failure to provide the notice results in
      coverage remaining in effect at the existing rate until
  6    45 days after the notice is given or until the effective
      date of replacement coverage obtained by the insured,
  7    whichever occurs first.

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