| 1 | Representative(s) Sorensen offered the following: |
| 2 |
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| 3 | Amendment to Amendment (074037) (with title amendment) |
| 4 | Remove line(s) 2282-2306 and insert: |
| 5 | 4.a. For the purposes of establishing a pilot program to |
| 6 | evaluate issues relating to the availability and affordability |
| 7 | of insurance in an area where historically there has been little |
| 8 | market competition, the provisions of subparagraph 2. do not |
| 9 | apply to coverage provided by the corporation in Monroe County |
| 10 | if the office determines that a reasonable degree of competition |
| 11 | does not exist for personal lines residential policies. The |
| 12 | provisions of subparagraph 3. do not apply to coverage provided |
| 13 | by the corporation in Monroe County if the office determines |
| 14 | that a reasonable degree of competition does not exist for |
| 15 | personal lines residential policies in the area of that county |
| 16 | which is eligible for wind-only coverage. In this county, the |
| 17 | rates for personal lines residential coverage shall be |
| 18 | actuarially adequate sound and not excessive, inadequate, or |
| 19 | unfairly discriminatory and are subject to the other provisions |
| 20 | of the paragraph and s. 627.062. The commission shall adopt |
| 21 | rules establishing the criteria for determining whether a |
| 22 | reasonable degree of competition exists for personal lines |
| 23 | residential policies in Monroe County. Any proposed rate |
| 24 | increase filed by the corporation after May 1, 2006, but before |
| 25 | October 1, 2006, for Monroe County based upon actuarial adequacy |
| 26 | shall be implemented in equal amounts over a period of 3 years. |
| 27 | b. Pursuant to a report by March 1, 2006, the office shall |
| 28 | submit a report to the Legislature providing an evaluation of |
| 29 | the implementation of the pilot program affecting Monroe County |
| 30 | and indicating that there has historically been a lack of a |
| 31 | reasonable degree of competition in Monroe County, the office |
| 32 | shall proceed as follows: |
| 33 | (I) The office shall order the corporation to charge only |
| 34 | approved rates in effect for Monroe County on October 1, 2005, |
| 35 | until any new rates are approved by the office. |
| 36 | (II) The office shall hold one or more public hearings, |
| 37 | with at least 30 days' advance notice to interested persons, in |
| 38 | Monroe County prior to the approval or implementation of a rate |
| 39 | filing which proposes rates that exceed rates that were in |
| 40 | effect for Monroe County on October 1, 2005. |
| 41 | (III) The office shall make available for public |
| 42 | inspection 30 days prior to such hearings the office's written |
| 43 | actuarial analysis if such analysis differs materially from that |
| 44 | submitted by the corporation in support of the new rates filed. |
| 45 | The office and the corporation shall also provide actuaries and |
| 46 | qualified experts in attendance at such hearings to answer |
| 47 | questions from actuaries or other qualified experts representing |
| 48 | Monroe County or the public concerning the new rates filed. |
| 49 | Additionally, the office shall provide for a technical hearing |
| 50 | at which only actuaries and qualified experts representing the |
| 51 | office, the corporation, Monroe County, or the Office of the |
| 52 | Insurance Consumer Advocate may testify and at which the public |
| 53 | may attend. |
| 54 | (IV) Notwithstanding any other provision of law, the |
| 55 | office shall order the portion of any premium collected in 2006 |
| 56 | based on a rate charged on a use and file bases above that which |
| 57 | was actuarially justified to be returned to such policyholder in |
| 58 | the form of a credit or refund. |
| 59 |
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| 60 | ================ T I T L E A M E N D M E N T ============= |
| 61 | Remove line 4679 and insert: |
| 62 | a pilot program in Monroe County; providing program requirements |
| 63 | of the office; deleting provisions relating |