| 1 | A bill to be entitled |
| 2 | An act relating to property insurance rate reduction; |
| 3 | creating the "Property Insurance Rate Reduction Act"; |
| 4 | providing findings; requiring insurance companies writing |
| 5 | property insurance policies in the state to consider local |
| 6 | ordinances and amendments to the Florida Building Code |
| 7 | when setting property insurance rates; providing an |
| 8 | effective date. |
| 9 |
|
| 10 | Be It Enacted by the Legislature of the State of Florida: |
| 11 |
|
| 12 | Section 1. (1) This act may be cited as the "Property |
| 13 | Insurance Rate Reduction Act." |
| 14 | (2)(a) The Legislature has delegated to local |
| 15 | governments the responsibility to adopt regulations |
| 16 | designed to protect the public health, safety, and |
| 17 | general welfare of residents of this state. |
| 18 | (b) Due to a large number of ground settlement insurance |
| 19 | claims in portions of this state, owners of property located in |
| 20 | such areas have been subjected to increased property insurance |
| 21 | rates by insurers. |
| 22 | (c) Local government officials have taken substantial |
| 23 | steps to reduce increasing property insurance rates through the |
| 24 | enactment of local ordinances focused upon mitigating the risk |
| 25 | of insurers relating to sinkholes. |
| 26 | (3) When assessing risk and setting rates, insurance |
| 27 | companies writing property insurance policies in this state |
| 28 | shall consider local ordinances and local amendments to the |
| 29 | Florida Building Code that are intended to reduce or eliminate |
| 30 | geologic hazards. Such considerations shall be made for the |
| 31 | purpose of reducing the level of risk assumed by an insurer |
| 32 | when setting property insurance rates for persons owning |
| 33 | property located in this state. |
| 34 | Section 2. This act shall take effect upon becoming a law. |