Florida Senate - 2011                        COMMITTEE AMENDMENT
       Bill No. CS for SB 1252
       
       
       
       
       
       
                                Barcode 822592                          
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  04/27/2011           .                                
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       The Committee on Rules (Smith) recommended the following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Between lines 669 and 670
    4  insert:
    5         Section 12. Subsections (4) and (7) of section 627.7295,
    6  Florida Statutes, are amended to read:
    7         627.7295 Motor vehicle insurance contracts.—
    8         (4) If subsection (7) does not apply, the insurer may
    9  cancel the policy in accordance with this code except that,
   10  notwithstanding s. 627.728, an insurer may not cancel a new
   11  policy or binder during the first 60 days immediately following
   12  the effective date of the policy or binder for nonpayment of
   13  premium unless the reason for the cancellation is the issuance
   14  of a check for the premium that is dishonored for any reason.
   15         (7) Before the effective date of a binder or policy, a
   16  policy of private passenger motor vehicle insurance or a binder
   17  for such a policy may be initially issued in this state only if
   18  the insurer or agent has collected from the insured an amount
   19  equal to 2 months’ premium. An insurer, agent, or premium
   20  finance company may not, directly or indirectly, take any action
   21  resulting in the insured having paid from the insured’s own
   22  funds an amount less than the 2 months’ premium required by this
   23  subsection. This subsection applies without regard to whether
   24  the premium is financed by a premium finance company or is paid
   25  pursuant to a periodic payment plan of an insurer or an
   26  insurance agent.
   27         (a) This subsection does not apply if an insured or member
   28  of the insured’s family is renewing or replacing a policy or a
   29  binder for such policy written by the same insurer or a member
   30  of the same insurer group.
   31         (b) This subsection does not apply to an insurer that
   32  issues private passenger motor vehicle coverage primarily to
   33  active duty or former military personnel or their dependents.
   34         (c) This subsection does not apply if all policy payments
   35  are paid pursuant to a payroll deduction plan or an automatic
   36  electronic funds transfer payment plan from the policyholder,
   37  provided that the first policy payment is made by cash,
   38  cashier’s check, check, or a money order.
   39         (d) This subsection and subsection (4) do not apply if all
   40  policy payments to an insurer are paid pursuant to an automatic
   41  electronic funds transfer payment plan from an agent, a managing
   42  general agent, or a premium finance company and if the policy
   43  includes, at a minimum, personal injury protection pursuant to
   44  ss. 627.730-627.7407 627.730-627.7405; motor vehicle property
   45  damage liability pursuant to s. 627.7275; and bodily injury
   46  liability in at least the amount of $10,000 because of bodily
   47  injury to, or death of, one person in any one accident and in
   48  the amount of $20,000 because of bodily injury to, or death of,
   49  two or more persons in any one accident.
   50         (e) This subsection and subsection (4) do not apply if an
   51  insured has had a policy in effect for at least 6 months, the
   52  insured’s agent is terminated by the insurer that issued the
   53  policy, and the insured obtains coverage on the policy’s renewal
   54  date with a new company through the terminated agent.
   55  
   56         Delete lines 720 - 721
   57  and insert:
   58  
   59  of this state.
   60  
   61  
   62  ================= T I T L E  A M E N D M E N T ================
   63         And the title is amended as follows:
   64         Delete line 49
   65  and insert:
   66         insurance coverage; amending s. 627.7295, F.S.;
   67         providing that a binder or policy for motor vehicle
   68         insurance is not effective until a certain amount of
   69         the premium is paid; creating s. 634.1711, F.S.;