CS/HB 853

1	A bill to be entitled
2	An act relating to surplus lines insurers; amending s.
3	626.913, F.S.; specifying nonapplication of certain
4	provisions of law to surplus lines insurance; providing an
5	exception; amending s. 626.924, F.S.; requiring surplus
6	lines policies issued on or after a specified date to have
7	a specified statement printed on the face of the policy;
8	creating s. 626.9374, F.S.; requiring certain surplus
9	lines policies containing a separate hurricane or wind
10	deductible or a coinsurance provision applicable to
11	hurricane or wind losses to have a specified statement
12	printed on the face of the policy; providing for
13	retroactive application; providing severability; providing
14	an effective date.
15
16	Be It Enacted by the Legislature of the State of Florida:
17
18	Section 1.  Subsection (4) is added to section 626.913,
19	Florida Statutes, to read:
20	626.913  Surplus Lines Law; short title; purposes.--
21	(4)  Except as may be specifically stated to apply to
22	surplus lines insurers, the provisions of chapter 627 do not
23	apply to surplus lines insurance authorized under ss. 626.913-
24	626.937, the Surplus Lines Law.
25	Section 2.  Section 626.924, Florida Statutes, is amended
26	to read:
27	626.924  Information required on contract.--
28	(1)  Each surplus lines agent through whom a surplus lines
29	coverage is procured shall write or print on the outside of the
30	policy and on any certificate, cover note, or other confirmation
31	of the insurance his or her name, address, and identification
32	number and the name and address of the producing agent through
33	whom the business originated and shall have stamped or written
34	upon the first page of the policy or the certificate, cover
35	note, or confirmation of insurance the words: THIS INSURANCE IS
36	ISSUED PURSUANT TO THE FLORIDA SURPLUS LINES LAW. PERSONS
37	INSURED BY SURPLUS LINES CARRIERS DO NOT HAVE THE PROTECTION OF
38	THE FLORIDA INSURANCE GUARANTY ACT TO THE EXTENT OF ANY RIGHT OF
39	RECOVERY FOR THE OBLIGATION OF AN INSOLVENT UNLICENSED INSURER.
40	(2)  Surplus lines policies issued on or after October 1,
41	2009, shall have stamped or printed on the face of the policy in
42	at least 14-point, boldface type, the following statement:
43	SURPLUS LINES INSURERS' POLICY RATES AND FORMS ARE NOT APPROVED
44	BY ANY FLORIDA REGULATORY AGENCY.
45	Section 3.  Section 626.9374, Florida Statutes, is created
46	to read:
47	626.9374  Liability of insureds; deductible and
48	coinsurance.--
49	(1)  Any surplus lines, personal lines residential property
50	insurance policy issued on or after October 1, 2009, containing
51	a separate hurricane or wind deductible must on its face include
52	in at least 14-point, boldface type the following statement:
53	THIS POLICY CONTAINS A SEPARATE DEDUCTIBLE FOR HURRICANE OR WIND
54	LOSSES, WHICH MAY RESULT IN HIGH OUT-OF-POCKET EXPENSES TO YOU.
55	(2)  A surplus lines, personal lines residential property
56	insurance policy issued on or after October 1, 2009, containing
57	a coinsurance provision applicable to hurricane or wind losses
58	must on its face include in at least 14-point, boldface type the
59	following statement: THIS POLICY CONTAINS A CO-PAY PROVISION,
60	WHICH MAY RESULT IN HIGH OUT-OF-POCKET EXPENSES TO YOU.
61	Section 4.  If any provision of this act or the application
62	thereof to any person or circumstance is held invalid, the
63	invalidity shall not affect other provisions or applications of
64	the act which can be given effect without the invalid provision
65	or application, and to this end the provisions of this act are
66	declared severable.
67	Section 5.  This act shall take effect upon becoming a law,
68	and section 1 of this act shall operate retroactively to October
69	1, 1988.

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