Bill Text: FL S0054 | 2021 | Regular Session | Comm Sub
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Motor Vehicle Insurance
Spectrum: Bipartisan Bill
Status: (Vetoed) 2021-06-29 - Vetoed by Governor, companion bill(s) passed, see CS/SB 420 (Ch. 2021-96) [S0054 Detail]
Download: Florida-2021-S0054-Comm_Sub.html
Bill Title: Motor Vehicle Insurance
Spectrum: Bipartisan Bill
Status: (Vetoed) 2021-06-29 - Vetoed by Governor, companion bill(s) passed, see CS/SB 420 (Ch. 2021-96) [S0054 Detail]
Download: Florida-2021-S0054-Comm_Sub.html
Florida Senate - 2021 CS for CS for SB 54
By the Committees on Judiciary; and Banking and Insurance; and
Senators Burgess and Rouson
590-02131A-21 202154c2
1 A bill to be entitled
2 An act relating to motor vehicle insurance; repealing
3 ss. 627.730, 627.731, 627.7311, 627.732, 627.733,
4 627.734, 627.736, 627.737, 627.739, 627.7401,
5 627.7403, and 627.7405, F.S., which comprise the
6 Florida Motor Vehicle No-Fault Law; repealing s.
7 627.7407, F.S., relating to application of the Florida
8 Motor Vehicle No-Fault Law; amending s. 316.646, F.S.;
9 revising a requirement for proof of security on a
10 motor vehicle and the applicability of the
11 requirement; amending s. 318.18, F.S.; conforming a
12 provision to changes made by the act; making technical
13 changes; amending s. 320.02, F.S.; revising the motor
14 vehicle insurance coverages that an applicant must
15 show to register certain vehicles with the Department
16 of Highway Safety and Motor Vehicles; conforming a
17 provision to changes made by the act; revising
18 construction; amending s. 320.0609, F.S.; conforming a
19 provision to changes made by the act; making technical
20 changes; amending s. 320.27, F.S.; defining the term
21 “garage liability insurance”; revising garage
22 liability insurance requirements for motor vehicle
23 dealer applicants; conforming a provision to changes
24 made by the act; amending s. 320.771, F.S.; revising
25 garage liability insurance requirements for
26 recreational vehicle dealer license applicants;
27 amending ss. 322.251 and 322.34, F.S.; conforming
28 provisions to changes made by the act; making
29 technical changes; amending s. 324.011, F.S.; revising
30 legislative intent; amending s. 324.021, F.S.;
31 revising definitions of the terms “motor vehicle” and
32 “proof of financial responsibility”; revising minimum
33 coverage requirements for proof of financial
34 responsibility for specified motor vehicles; defining
35 the term “for-hire passenger transportation vehicle”;
36 conforming provisions to changes made by the act;
37 amending s. 324.022, F.S.; revising minimum liability
38 coverage requirements for motor vehicle owners or
39 operators; revising authorized methods for meeting
40 such requirements; deleting a provision relating to an
41 insurer’s duty to defend certain claims; providing
42 alternative minimum liability insurance coverage
43 requirements for certain motor vehicle owners or
44 operators; revising the vehicles that are excluded
45 from the definition of the term “motor vehicle”;
46 providing security requirements for certain excluded
47 vehicles; specifying circumstances when motorcycles
48 are subject to financial responsibility requirements;
49 conforming provisions to changes made by the act;
50 conforming cross-references; amending s. 324.0221,
51 F.S.; revising coverages that subject a policy to
52 certain insurer reporting and notice requirements;
53 conforming provisions to changes made by the act;
54 creating s. 324.0222, F.S.; providing that driver
55 license or registration suspensions for failure to
56 maintain required security which were in effect before
57 a specified date remain in full force and effect;
58 providing that such suspended licenses or
59 registrations may be reinstated as provided in a
60 specified section; amending s. 324.023, F.S.;
61 conforming cross-references; making technical changes;
62 amending s. 324.031, F.S.; specifying a method of
63 proving financial responsibility; revising the amount
64 of a certificate of deposit required to elect a
65 certain method of proof of financial responsibility;
66 revising excess liability coverage requirements for a
67 person electing to use such method; amending s.
68 324.032, F.S.; revising financial responsibility
69 requirements for owners or lessees of for-hire
70 passenger transportation vehicles; amending s.
71 324.051, F.S.; specifying that motor vehicles include
72 motorcycles for purposes of the section; making
73 technical changes; amending ss. 324.071 and 324.091,
74 F.S.; making technical changes; amending s. 324.151,
75 F.S.; revising requirements for motor vehicle
76 liability insurance policies relating to coverage, and
77 exclusion from coverage, for certain drivers and
78 vehicles; defining terms; conforming provisions to
79 changes made by the act; making technical changes;
80 amending s. 324.161, F.S.; revising requirements for a
81 certificate of deposit that is required if a person
82 elects a certain method of proving financial
83 responsibility; amending s. 324.171, F.S.; revising
84 the minimum net worth requirements to qualify certain
85 persons as self-insurers; conforming provisions to
86 changes made by the act; amending s. 324.251, F.S.;
87 revising the short title and an effective date;
88 amending s. 400.9905, F.S.; revising the definition of
89 the term “clinic”; amending ss. 400.991 and 400.9935,
90 F.S.; conforming provisions to changes made by the
91 act; amending s. 409.901, F.S.; revising the
92 definition of the term “third-party benefit”; amending
93 s. 409.910, F.S.; revising the definition of the term
94 “medical coverage”; amending s. 456.057, F.S.;
95 conforming a provision to changes made by the act;
96 amending s. 456.072, F.S.; revising specified grounds
97 for discipline for certain health professions;
98 defining the term “upcoded”; amending s. 559.920,
99 F.S.; prohibiting certain practices by motor vehicle
100 repair shops or motor vehicle glass repair facilities
101 with respect to the replacement or repair of motor
102 vehicle windshields; amending s. 624.155, F.S.;
103 providing an exception to the circumstances under
104 which a person who is damaged may bring a civil action
105 against an insurer; adding a cause of action against
106 insurers in certain circumstances; providing that a
107 person is not entitled to judgments under multiple bad
108 faith remedies; creating s. 624.156, F.S.; providing
109 that the section applies to bad faith failure to
110 settle actions against any insurer brought by a third
111 party for a loss arising out of the ownership,
112 maintenance, or use of a motor vehicle under specified
113 circumstances; providing that insurers have a duty of
114 good faith; defining the term “bad faith failure to
115 settle”; specifying best practice standards for
116 insurers upon receiving notice of a claim or a demand
117 for settlement; specifying certain requirements for
118 insurer communications to an insured in handling
119 third-party claims; specifying requirements for the
120 insurer when a loss involves multiple claimants under
121 certain conditions; specifying conditions precedent
122 for claimants filing third-party bad faith failure to
123 settle actions; specifying requirements for
124 information that must be included in a demand for
125 settlement; requiring a demand for settlement to
126 release the insured from liability under certain
127 conditions; requiring the demand for settlement be
128 served upon the insurer at the address designated with
129 the Department of Financial Services; prohibiting
130 claimants from placing conditions on acceptance of a
131 demand for settlement other than electing the right to
132 examine the insured under oath regarding certain
133 information; authorizing claimants to examine insureds
134 under oath under certain conditions; authorizing the
135 claimant to request the insured bring relevant
136 documents to the examination under oath; prohibiting
137 the claimant from examining the insured under oath
138 regarding liability; providing an exception; requiring
139 the claimant, insurer, and insured to cooperate in
140 scheduling the examination under oath; specifying the
141 timeframe within which the examination must take
142 place; authorizing the claimant to withdraw the demand
143 for settlement if the insured refuses to submit to an
144 examination under oath; authorizing an insurer to
145 accept a demand for settlement if the insured refuses
146 to submit to an examination under oath; absolving an
147 insurer of a duty to defend and of liability under
148 certain circumstances; specifying the timeframe within
149 which a claimant may withdraw a demand for settlement;
150 providing that insurers may not be held liable in
151 certain third-party bad faith failure to settle
152 actions if they tender policy limits within a certain
153 timeframe; providing that insurers may not be held
154 liable in third-party bad faith failure to settle
155 actions involving multiple claimants if such insurers
156 file an interpleader action within a certain
157 timeframe; specifying that certain provisions
158 providing that insurers may not be held liable for a
159 bad faith failure to settle action do not affect
160 certain other duties of such insurers; specifying that
161 insurers that accept demands for settlement are
162 entitled to releases of their insureds; providing an
163 exception; requiring claimants to prove in any third
164 party bad faith failure to settle action by a
165 preponderance of the evidence that the insurer
166 violated its duty of good faith and in bad faith
167 failed to settle; specifying factors for the trier of
168 fact to consider in determining whether an insurer
169 violated its duty of good faith and in bad faith
170 failed to settle; requiring the trier of fact to be
171 informed of an excess judgment; prohibiting disclosure
172 of certain judgment information to the trier of fact;
173 limiting damages in third-party bad faith failure to
174 settle actions; providing that judgment creditors must
175 be subrogated to the rights of the insured under
176 certain circumstances; prohibiting multiple bad faith
177 remedies; amending s. 626.9541, F.S.; conforming a
178 provision to changes made by the act; revising the
179 type of insurance coverage applicable to a certain
180 prohibited act; amending s. 626.989, F.S.; revising
181 the definition of the term “fraudulent insurance act”;
182 amending s. 627.06501, F.S.; revising coverages that
183 may provide for a reduction in motor vehicle insurance
184 policy premium charges under certain circumstances;
185 amending s. 627.0651, F.S.; specifying requirements
186 for initial rate filings for motor vehicle liability
187 policies submitted to the Office of Insurance
188 Regulation beginning on a specified date; amending s.
189 627.0652, F.S.; revising coverages that must provide a
190 premium charge reduction under certain circumstances;
191 amending s. 627.0653, F.S.; revising coverages subject
192 to premium discounts for specified motor vehicle
193 equipment; amending s. 627.4132, F.S.; revising
194 coverages that are subject to a stacking prohibition;
195 amending s. 627.4137, F.S.; requiring that insurers
196 disclose certain information at the request of a
197 claimant’s attorney; authorizing a claimant to file an
198 action under certain circumstances; providing for the
199 award of reasonable attorney fees and costs under
200 certain circumstances; amending s. 627.7263, F.S.;
201 revising coverages that are deemed primary, except
202 under certain circumstances, for the lessor of a motor
203 vehicle for lease or rent; revising a notice that is
204 required if the lessee’s coverage is to be primary;
205 creating s. 627.7265, F.S.; specifying persons whom
206 medical payments coverage must protect; requiring
207 medical payments coverage to cover reasonable expenses
208 for certain medical services provided by specified
209 providers and facilities and to provide a death
210 benefit; specifying the minimum medical expense and
211 death benefit limits; specifying coverage options an
212 insurer is required or authorized to offer; providing
213 construction relating to limits on certain other
214 coverages; requiring insurers, upon receiving certain
215 notice of an accident, to hold a specified reserve for
216 certain purposes for a certain timeframe; providing
217 that the reserve requirement does not require insurers
218 to establish a claim reserve for accounting purposes;
219 specifying that an insurer providing medical payments
220 coverage benefits may not seek a lien on a certain
221 recovery and may not bring a certain cause of action;
222 authorizing insurers to include policy provisions
223 allowing for subrogation, under certain circumstances,
224 for medical payments benefits paid; providing
225 construction; specifying a requirement for an insured
226 for repayment of medical payments benefits under
227 certain circumstances; prohibiting insurers from
228 including policy provisions allowing for subrogation
229 for death benefits paid; amending s. 627.727, F.S.;
230 revising the legal liability of an uninsured motorist
231 coverage insurer; conforming provisions to changes
232 made by the act; amending s. 627.7275, F.S.; revising
233 required coverages for a motor vehicle insurance
234 policy; specifying that insurers must make certain
235 coverages available under certain circumstances;
236 requiring insurers to make certain notices to certain
237 persons; specifying that insurers need not verify the
238 veracity of certain representations made by an
239 applicant or insured; prohibiting insurers from
240 denying or excluding certain coverages in certain
241 circumstances; conforming provisions to changes made
242 by the act; creating s. 627.7278, F.S.; defining the
243 term “minimum security requirements”; providing
244 requirements, applicability, and construction relating
245 to motor vehicle insurance policies as of a certain
246 date; requiring insurers to allow certain insureds to
247 make certain coverage changes, subject to certain
248 conditions; requiring an insurer to provide, by a
249 specified date, a specified notice to policyholders
250 relating to requirements under the act; amending s.
251 627.728, F.S.; conforming a provision to changes made
252 by the act; making technical changes; amending s.
253 627.7288, F.S.; providing that insurers must offer
254 policies providing certain coverages for windshield
255 loss without a deductible; providing that insurers may
256 offer certain deductibles for windshield loss for an
257 appropriate premium discount or credit; amending s.
258 627.7295, F.S.; revising the definitions of the terms
259 “policy” and “binder”; revising the coverages of a
260 motor vehicle insurance policy for which a licensed
261 general lines agent may charge a specified fee;
262 conforming provisions to changes made by the act;
263 amending s. 627.7415, F.S.; revising additional
264 liability insurance requirements for commercial motor
265 vehicles; creating s. 627.747, F.S.; providing that
266 private passenger motor vehicle policies may exclude
267 certain identified individuals from specified
268 coverages under certain circumstances; providing that
269 such policies may not exclude coverage under certain
270 circumstances; amending s. 627.748, F.S.; revising
271 insurance requirements for transportation network
272 company drivers; conforming provisions to changes made
273 by the act; amending s. 627.749, F.S.; conforming a
274 provision to changes made by the act; amending s.
275 627.8405, F.S.; revising coverages in a policy sold in
276 combination with an accidental death and dismemberment
277 policy which a premium finance company may not
278 finance; revising rulemaking authority of the
279 Financial Services Commission; amending ss. 627.915,
280 628.909, 705.184, and 713.78, F.S.; conforming
281 provisions to changes made by the act; making
282 technical changes; amending s. 817.234, F.S.; revising
283 coverages that are the basis of specified prohibited
284 false and fraudulent insurance claims; conforming
285 provisions to changes made by the act; providing an
286 appropriation; providing effective dates.
287
288 Be It Enacted by the Legislature of the State of Florida:
289
290 Section 1. Sections 627.730, 627.731, 627.7311, 627.732,
291 627.733, 627.734, 627.736, 627.737, 627.739, 627.7401, 627.7403,
292 and 627.7405, Florida Statutes, are repealed.
293 Section 2. Section 627.7407, Florida Statutes, is repealed.
294 Section 3. Subsection (1) of section 316.646, Florida
295 Statutes, is amended to read:
296 316.646 Security required; proof of security and display
297 thereof.—
298 (1) Any person required by s. 324.022 to maintain liability
299 security for property damage, liability security, required by s.
300 324.023 to maintain liability security for bodily injury, or
301 death, or required by s. 627.733 to maintain personal injury
302 protection security on a motor vehicle shall have in his or her
303 immediate possession at all times while operating such motor
304 vehicle proper proof of maintenance of the required security
305 required under s. 324.021(7).
306 (a) Such proof must shall be in a uniform paper or
307 electronic format, as prescribed by the department, a valid
308 insurance policy, an insurance policy binder, a certificate of
309 insurance, or such other proof as may be prescribed by the
310 department.
311 (b)1. The act of presenting to a law enforcement officer an
312 electronic device displaying proof of insurance in an electronic
313 format does not constitute consent for the officer to access any
314 information on the device other than the displayed proof of
315 insurance.
316 2. The person who presents the device to the officer
317 assumes the liability for any resulting damage to the device.
318 Section 4. Paragraph (b) of subsection (2) of section
319 318.18, Florida Statutes, is amended to read:
320 318.18 Amount of penalties.—The penalties required for a
321 noncriminal disposition pursuant to s. 318.14 or a criminal
322 offense listed in s. 318.17 are as follows:
323 (2) Thirty dollars for all nonmoving traffic violations
324 and:
325 (b) For all violations of ss. 320.0605, 320.07(1), 322.065,
326 and 322.15(1). A Any person who is cited for a violation of s.
327 320.07(1) shall be charged a delinquent fee pursuant to s.
328 320.07(4).
329 1. If a person who is cited for a violation of s. 320.0605
330 or s. 320.07 can show proof of having a valid registration at
331 the time of arrest, the clerk of the court may dismiss the case
332 and may assess a dismissal fee of up to $10, from which the
333 clerk shall remit $2.50 to the Department of Revenue for deposit
334 into the General Revenue Fund. A person who finds it impossible
335 or impractical to obtain a valid registration certificate must
336 submit an affidavit detailing the reasons for the impossibility
337 or impracticality. The reasons may include, but are not limited
338 to, the fact that the vehicle was sold, stolen, or destroyed;
339 that the state in which the vehicle is registered does not issue
340 a certificate of registration; or that the vehicle is owned by
341 another person.
342 2. If a person who is cited for a violation of s. 322.03,
343 s. 322.065, or s. 322.15 can show a driver license issued to him
344 or her and valid at the time of arrest, the clerk of the court
345 may dismiss the case and may assess a dismissal fee of up to
346 $10, from which the clerk shall remit $2.50 to the Department of
347 Revenue for deposit into the General Revenue Fund.
348 3. If a person who is cited for a violation of s. 316.646
349 can show proof of security as required by s. 324.021(7) s.
350 627.733, issued to the person and valid at the time of arrest,
351 the clerk of the court may dismiss the case and may assess a
352 dismissal fee of up to $10, from which the clerk shall remit
353 $2.50 to the Department of Revenue for deposit into the General
354 Revenue Fund. A person who finds it impossible or impractical to
355 obtain proof of security must submit an affidavit detailing the
356 reasons for the impracticality. The reasons may include, but are
357 not limited to, the fact that the vehicle has since been sold,
358 stolen, or destroyed; that the owner or registrant of the
359 vehicle is not required by s. 627.733 to maintain personal
360 injury protection insurance; or that the vehicle is owned by
361 another person.
362 Section 5. Paragraphs (a) and (d) of subsection (5) of
363 section 320.02, Florida Statutes, are amended to read:
364 320.02 Registration required; application for registration;
365 forms.—
366 (5)(a) Proof that bodily injury liability coverage and
367 property damage liability coverage personal injury protection
368 benefits have been purchased if required under s. 324.022, s.
369 324.032, or s. 627.742 s. 627.733, that property damage
370 liability coverage has been purchased as required under s.
371 324.022, that bodily injury liability or death coverage has been
372 purchased if required under s. 324.023, and that combined bodily
373 liability insurance and property damage liability insurance have
374 been purchased if required under s. 627.7415 must shall be
375 provided in the manner prescribed by law by the applicant at the
376 time of application for registration of any motor vehicle that
377 is subject to such requirements. The issuing agent may not shall
378 refuse to issue registration if such proof of purchase is not
379 provided. Insurers shall furnish uniform proof-of-purchase cards
380 in a paper or electronic format in a form prescribed by the
381 department and include the name of the insured’s insurance
382 company, the coverage identification number, and the make, year,
383 and vehicle identification number of the vehicle insured. The
384 card must contain a statement notifying the applicant of the
385 penalty specified under s. 316.646(4). The card or insurance
386 policy, insurance policy binder, or certificate of insurance or
387 a photocopy of any of these; an affidavit containing the name of
388 the insured’s insurance company, the insured’s policy number,
389 and the make and year of the vehicle insured; or such other
390 proof as may be prescribed by the department constitutes shall
391 constitute sufficient proof of purchase. If an affidavit is
392 provided as proof, it must be in substantially the following
393 form:
394
395 Under penalty of perjury, I ...(Name of insured)... do hereby
396 certify that I have ...(bodily injury liability and Personal
397 Injury Protection, property damage liability, and, if required,
398 Bodily Injury Liability)... insurance currently in effect with
399 ...(Name of insurance company)... under ...(policy number)...
400 covering ...(make, year, and vehicle identification number of
401 vehicle).... ...(Signature of Insured)...
402
403 Such affidavit must include the following warning:
404
405 WARNING: GIVING FALSE INFORMATION IN ORDER TO OBTAIN A VEHICLE
406 REGISTRATION CERTIFICATE IS A CRIMINAL OFFENSE UNDER FLORIDA
407 LAW. ANYONE GIVING FALSE INFORMATION ON THIS AFFIDAVIT IS
408 SUBJECT TO PROSECUTION.
409
410 If an application is made through a licensed motor vehicle
411 dealer as required under s. 319.23, the original or a photocopy
412 photostatic copy of such card, insurance policy, insurance
413 policy binder, or certificate of insurance or the original
414 affidavit from the insured must shall be forwarded by the dealer
415 to the tax collector of the county or the Department of Highway
416 Safety and Motor Vehicles for processing. By executing the
417 aforesaid affidavit, a no licensed motor vehicle dealer is not
418 will be liable in damages for any inadequacy, insufficiency, or
419 falsification of any statement contained therein. A card must
420 also indicate the existence of any bodily injury liability
421 insurance voluntarily purchased.
422 (d) The verifying of proof of personal injury protection
423 insurance, proof of property damage liability insurance, proof
424 of combined bodily liability insurance and property damage
425 liability insurance, or proof of financial responsibility
426 insurance and the issuance or failure to issue the motor vehicle
427 registration under the provisions of this chapter may not be
428 construed in any court as a warranty of the reliability or
429 accuracy of the evidence of such proof or as meaning that the
430 provisions of any insurance policy furnished as proof of
431 financial responsibility comply with state law. Neither the
432 department nor any tax collector is liable in damages for any
433 inadequacy, insufficiency, falsification, or unauthorized
434 modification of any item of the proof of personal injury
435 protection insurance, proof of property damage liability
436 insurance, proof of combined bodily liability insurance and
437 property damage liability insurance, or proof of financial
438 responsibility before insurance prior to, during, or subsequent
439 to the verification of the proof. The issuance of a motor
440 vehicle registration does not constitute prima facie evidence or
441 a presumption of insurance coverage.
442 Section 6. Paragraph (b) of subsection (1) of section
443 320.0609, Florida Statutes, is amended to read:
444 320.0609 Transfer and exchange of registration license
445 plates; transfer fee.—
446 (1)
447 (b) The transfer of a license plate from a vehicle disposed
448 of to a newly acquired vehicle does not constitute a new
449 registration. The application for transfer must shall be
450 accepted without requiring proof of personal injury protection
451 or liability insurance.
452 Section 7. Subsection (3) of section 320.27, Florida
453 Statutes, is amended, and paragraph (g) is added to subsection
454 (1) of that section, to read:
455 320.27 Motor vehicle dealers.—
456 (1) DEFINITIONS.—The following words, terms, and phrases
457 when used in this section have the meanings respectively
458 ascribed to them in this subsection, except where the context
459 clearly indicates a different meaning:
460 (g) “Garage liability insurance” means, beginning January
461 1, 2022, combined single-limit liability coverage, including
462 property damage and bodily injury liability coverage, in the
463 amount of at least $60,000.
464 (3) APPLICATION AND FEE.—The application for the license
465 application must shall be in such form as may be prescribed by
466 the department and is shall be subject to such rules with
467 respect thereto as may be so prescribed by the department it.
468 Such application must shall be verified by oath or affirmation
469 and must shall contain a full statement of the name and birth
470 date of the person or persons applying for the license therefor;
471 the name of the firm or copartnership, with the names and places
472 of residence of all members thereof, if such applicant is a firm
473 or copartnership; the names and places of residence of the
474 principal officers, if the applicant is a body corporate or
475 other artificial body; the name of the state under whose laws
476 the corporation is organized; the present and former place or
477 places of residence of the applicant; and the prior business in
478 which the applicant has been engaged and its the location
479 thereof. The Such application must shall describe the exact
480 location of the place of business and must shall state whether
481 the place of business is owned by the applicant and when
482 acquired, or, if leased, a true copy of the lease must shall be
483 attached to the application. The applicant shall certify that
484 the location provides an adequately equipped office and is not a
485 residence; that the location affords sufficient unoccupied space
486 upon and within which adequately to store all motor vehicles
487 offered and displayed for sale; and that the location is a
488 suitable place where the applicant can in good faith carry on
489 such business and keep and maintain books, records, and files
490 necessary to conduct such business, which must shall be
491 available at all reasonable hours to inspection by the
492 department or any of its inspectors or other employees. The
493 applicant shall certify that the business of a motor vehicle
494 dealer is the principal business that will which shall be
495 conducted at that location. The application must shall contain a
496 statement that the applicant is either franchised by a
497 manufacturer of motor vehicles, in which case the name of each
498 motor vehicle that the applicant is franchised to sell must
499 shall be included, or an independent (nonfranchised) motor
500 vehicle dealer. The application must shall contain other
501 relevant information as may be required by the department. The
502 applicant shall furnish, including evidence, in a form approved
503 by the department, that the applicant is insured under a garage
504 liability insurance policy or a general liability insurance
505 policy coupled with a business automobile policy having the
506 coverages and limits of the garage liability insurance coverage
507 in accordance with paragraph (1)(g), which shall include, at a
508 minimum, $25,000 combined single-limit liability coverage
509 including bodily injury and property damage protection and
510 $10,000 personal injury protection. However, a salvage motor
511 vehicle dealer as defined in subparagraph (1)(c)5. is exempt
512 from the requirements for garage liability insurance and
513 personal injury protection insurance on those vehicles that
514 cannot be legally operated on roads, highways, or streets in
515 this state. Franchise dealers must submit a garage liability
516 insurance policy, and all other dealers must submit a garage
517 liability insurance policy or a general liability insurance
518 policy coupled with a business automobile policy. Such policy
519 must shall be for the license period, and evidence of a new or
520 continued policy must shall be delivered to the department at
521 the beginning of each license period. Upon making an initial
522 application, the applicant shall pay to the department a fee of
523 $300 in addition to any other fees required by law. Applicants
524 may choose to extend the licensure period for 1 additional year
525 for a total of 2 years. An initial applicant shall pay to the
526 department a fee of $300 for the first year and $75 for the
527 second year, in addition to any other fees required by law. An
528 applicant for renewal shall pay to the department $75 for a 1
529 year renewal or $150 for a 2-year renewal, in addition to any
530 other fees required by law. Upon making an application for a
531 change of location, the applicant person shall pay a fee of $50
532 in addition to any other fees now required by law. The
533 department shall, in the case of every application for initial
534 licensure, verify whether certain facts set forth in the
535 application are true. Each applicant, general partner in the
536 case of a partnership, or corporate officer and director in the
537 case of a corporate applicant shall, must file a set of
538 fingerprints with the department for the purpose of determining
539 any prior criminal record or any outstanding warrants. The
540 department shall submit the fingerprints to the Department of
541 Law Enforcement for state processing and forwarding to the
542 Federal Bureau of Investigation for federal processing. The
543 actual cost of state and federal processing must shall be borne
544 by the applicant and is in addition to the fee for licensure.
545 The department may issue a license to an applicant pending the
546 results of the fingerprint investigation, which license is fully
547 revocable if the department subsequently determines that any
548 facts set forth in the application are not true or correctly
549 represented.
550 Section 8. Paragraph (j) of subsection (3) of section
551 320.771, Florida Statutes, is amended to read:
552 320.771 License required of recreational vehicle dealers.—
553 (3) APPLICATION.—The application for such license shall be
554 in the form prescribed by the department and subject to such
555 rules as may be prescribed by it. The application shall be
556 verified by oath or affirmation and shall contain:
557 (j) A statement that the applicant is insured under a
558 garage liability insurance policy in accordance with s.
559 320.27(1)(g), which shall include, at a minimum, $25,000
560 combined single-limit liability coverage, including bodily
561 injury and property damage protection, and $10,000 personal
562 injury protection, if the applicant is to be licensed as a
563 dealer in, or intends to sell, recreational vehicles. However, a
564 garage liability policy is not required for the licensure of a
565 mobile home dealer who sells only park trailers.
566
567 The department shall, if it deems necessary, cause an
568 investigation to be made to ascertain if the facts set forth in
569 the application are true and may shall not issue a license to
570 the applicant until it is satisfied that the facts set forth in
571 the application are true.
572 Section 9. Subsections (1) and (2) of section 322.251,
573 Florida Statutes, are amended to read:
574 322.251 Notice of cancellation, suspension, revocation, or
575 disqualification of license.—
576 (1) All orders of cancellation, suspension, revocation, or
577 disqualification issued under the provisions of this chapter,
578 chapter 318, or chapter 324 must, or ss. 627.732-627.734 shall
579 be given either by personal delivery thereof to the licensee
580 whose license is being canceled, suspended, revoked, or
581 disqualified or by deposit in the United States mail in an
582 envelope, first class, postage prepaid, addressed to the
583 licensee at his or her last known mailing address furnished to
584 the department. Such mailing by the department constitutes
585 notification, and any failure by the person to receive the
586 mailed order will not affect or stay the effective date or term
587 of the cancellation, suspension, revocation, or disqualification
588 of the licensee’s driving privilege.
589 (2) The giving of notice and an order of cancellation,
590 suspension, revocation, or disqualification by mail is complete
591 upon expiration of 20 days after deposit in the United States
592 mail for all notices except those issued under chapter 324 or
593 ss. 627.732–627.734, which are complete 15 days after deposit in
594 the United States mail. Proof of the giving of notice and an
595 order of cancellation, suspension, revocation, or
596 disqualification in either manner must shall be made by entry in
597 the records of the department that such notice was given. The
598 entry is admissible in the courts of this state and constitutes
599 sufficient proof that such notice was given.
600 Section 10. Paragraph (a) of subsection (8) of section
601 322.34, Florida Statutes, is amended to read:
602 322.34 Driving while license suspended, revoked, canceled,
603 or disqualified.—
604 (8)(a) Upon the arrest of a person for the offense of
605 driving while the person’s driver license or driving privilege
606 is suspended or revoked, the arresting officer shall determine:
607 1. Whether the person’s driver license is suspended or
608 revoked, or the person is under suspension or revocation
609 equivalent status.
610 2. Whether the person’s driver license has remained
611 suspended or revoked, or the person has been under suspension or
612 revocation equivalent status, since a conviction for the offense
613 of driving with a suspended or revoked license.
614 3. Whether the suspension, revocation, or suspension or
615 revocation equivalent status was made under s. 316.646 or s.
616 627.733, relating to failure to maintain required security, or
617 under s. 322.264, relating to habitual traffic offenders.
618 4. Whether the driver is the registered owner or co-owner
619 of the vehicle.
620 Section 11. Section 324.011, Florida Statutes, is amended
621 to read:
622 324.011 Legislative intent; purpose of chapter.—It is the
623 intent of the Legislature that this chapter ensure that the
624 privilege of owning or operating a motor vehicle in this state
625 be exercised to recognize the existing privilege to own or
626 operate a motor vehicle on the public streets and highways of
627 this state when such vehicles are used with due consideration
628 for others’ safety others and their property, promoting and to
629 promote safety, and providing provide financial security
630 requirements for such owners and or operators whose
631 responsibility it is to recompense others for injury to person
632 or property caused by the operation of a motor vehicle.
633 Therefore, the purpose of this chapter is to require that every
634 owner or operator of a motor vehicle required to be registered
635 in this state establish, maintain, and it is required herein
636 that the operator of a motor vehicle involved in a crash or
637 convicted of certain traffic offenses meeting the operative
638 provisions of s. 324.051(2) shall respond for such damages and
639 show proof of financial ability to respond for damages arising
640 out of the ownership, maintenance, or use of a motor vehicle in
641 future accidents as a requisite to owning or operating a motor
642 vehicle in this state his or her future exercise of such
643 privileges.
644 Section 12. Subsections (1) and (7) and paragraph (c) of
645 subsection (9) of section 324.021, Florida Statutes, are
646 amended, and subsection (12) is added to that section, to read:
647 324.021 Definitions; minimum insurance required.—The
648 following words and phrases when used in this chapter shall, for
649 the purpose of this chapter, have the meanings respectively
650 ascribed to them in this section, except in those instances
651 where the context clearly indicates a different meaning:
652 (1) MOTOR VEHICLE.—Every self-propelled vehicle that is
653 designed and required to be licensed for use upon a highway,
654 including trailers and semitrailers designed for use with such
655 vehicles, except traction engines, road rollers, farm tractors,
656 power shovels, and well drillers, and every vehicle that is
657 propelled by electric power obtained from overhead wires but not
658 operated upon rails, but not including any personal delivery
659 device or mobile carrier as defined in s. 316.003, bicycle,
660 electric bicycle, or moped. However, the term “motor vehicle”
661 does not include a motor vehicle as defined in s. 627.732(3)
662 when the owner of such vehicle has complied with the
663 requirements of ss. 627.730-627.7405, inclusive, unless the
664 provisions of s. 324.051 apply; and, in such case, the
665 applicable proof of insurance provisions of s. 320.02 apply.
666 (7) PROOF OF FINANCIAL RESPONSIBILITY.—Beginning January 1,
667 2022, That proof of ability to respond in damages for liability
668 on account of crashes arising out of the ownership, maintenance,
669 or use of a motor vehicle:
670 (a) With respect to a motor vehicle other than a commercial
671 motor vehicle, nonpublic sector bus, or for-hire passenger
672 transportation vehicle, in the amounts specified in s.
673 324.022(1). amount of $10,000 because of bodily injury to, or
674 death of, one person in any one crash;
675 (b) Subject to such limits for one person, in the amount of
676 $20,000 because of bodily injury to, or death of, two or more
677 persons in any one crash;
678 (c) In the amount of $10,000 because of injury to, or
679 destruction of, property of others in any one crash; and
680 (b)(d) With respect to commercial motor vehicles and
681 nonpublic sector buses, in the amounts specified in s. 627.7415
682 ss. 627.7415 and 627.742, respectively.
683 (c) With respect to nonpublic sector buses, in the amounts
684 specified in s. 627.742.
685 (d) With respect to for-hire passenger transportation
686 vehicles, in the amounts specified in s. 324.032.
687 (9) OWNER; OWNER/LESSOR.—
688 (c) Application.—
689 1. The limits on liability in subparagraphs (b)2. and 3. do
690 not apply to an owner of motor vehicles that are used for
691 commercial activity in the owner’s ordinary course of business,
692 other than a rental company that rents or leases motor vehicles.
693 For purposes of this paragraph, the term “rental company”
694 includes only an entity that is engaged in the business of
695 renting or leasing motor vehicles to the general public and that
696 rents or leases a majority of its motor vehicles to persons with
697 no direct or indirect affiliation with the rental company. The
698 term “rental company” also includes:
699 a. A related rental or leasing company that is a subsidiary
700 of the same parent company as that of the renting or leasing
701 company that rented or leased the vehicle.
702 b. The holder of a motor vehicle title or an equity
703 interest in a motor vehicle title if the title or equity
704 interest is held pursuant to or to facilitate an asset-backed
705 securitization of a fleet of motor vehicles used solely in the
706 business of renting or leasing motor vehicles to the general
707 public and under the dominion and control of a rental company,
708 as described in this subparagraph, in the operation of such
709 rental company’s business.
710 2. Furthermore, with respect to commercial motor vehicles
711 as defined in s. 207.002 or s. 320.01 s. 627.732, the limits on
712 liability in subparagraphs (b)2. and 3. do not apply if, at the
713 time of the incident, the commercial motor vehicle is being used
714 in the transportation of materials found to be hazardous for the
715 purposes of the Hazardous Materials Transportation Authorization
716 Act of 1994, as amended, 49 U.S.C. ss. 5101 et seq., and that is
717 required pursuant to such act to carry placards warning others
718 of the hazardous cargo, unless at the time of lease or rental
719 either:
720 a. The lessee indicates in writing that the vehicle will
721 not be used to transport materials found to be hazardous for the
722 purposes of the Hazardous Materials Transportation Authorization
723 Act of 1994, as amended, 49 U.S.C. ss. 5101 et seq.; or
724 b. The lessee or other operator of the commercial motor
725 vehicle has in effect insurance with limits of at least $5
726 million $5,000,000 combined property damage and bodily injury
727 liability.
728 3.a. A motor vehicle dealer, or a motor vehicle dealer’s
729 leasing or rental affiliate, that provides a temporary
730 replacement vehicle at no charge or at a reasonable daily charge
731 to a service customer whose vehicle is being held for repair,
732 service, or adjustment by the motor vehicle dealer is immune
733 from any cause of action and is not liable, vicariously or
734 directly, under general law solely by reason of being the owner
735 of the temporary replacement vehicle for harm to persons or
736 property that arises out of the use, or operation, of the
737 temporary replacement vehicle by any person during the period
738 the temporary replacement vehicle has been entrusted to the
739 motor vehicle dealer’s service customer if there is no
740 negligence or criminal wrongdoing on the part of the motor
741 vehicle owner, or its leasing or rental affiliate.
742 b. For purposes of this section, and notwithstanding any
743 other provision of general law, a motor vehicle dealer, or a
744 motor vehicle dealer’s leasing or rental affiliate, that gives
745 possession, control, or use of a temporary replacement vehicle
746 to a motor vehicle dealer’s service customer may not be adjudged
747 liable in a civil proceeding absent negligence or criminal
748 wrongdoing on the part of the motor vehicle dealer, or the motor
749 vehicle dealer’s leasing or rental affiliate, if the motor
750 vehicle dealer or the motor vehicle dealer’s leasing or rental
751 affiliate executes a written rental or use agreement and obtains
752 from the person receiving the temporary replacement vehicle a
753 copy of the person’s driver license and insurance information
754 reflecting at least the minimum motor vehicle insurance coverage
755 required in the state. Any subsequent determination that the
756 driver license or insurance information provided to the motor
757 vehicle dealer, or the motor vehicle dealer’s leasing or rental
758 affiliate, was in any way false, fraudulent, misleading,
759 nonexistent, canceled, not in effect, or invalid does not alter
760 or diminish the protections provided by this section, unless the
761 motor vehicle dealer, or the motor vehicle dealer’s leasing or
762 rental affiliate, had actual knowledge thereof at the time
763 possession of the temporary replacement vehicle was provided.
764 c. For purposes of this subparagraph, the term “service
765 customer” does not include an agent or a principal of a motor
766 vehicle dealer or a motor vehicle dealer’s leasing or rental
767 affiliate, and does not include an employee of a motor vehicle
768 dealer or a motor vehicle dealer’s leasing or rental affiliate
769 unless the employee was provided a temporary replacement
770 vehicle:
771 (I) While the employee’s personal vehicle was being held
772 for repair, service, or adjustment by the motor vehicle dealer;
773 (II) In the same manner as other customers who are provided
774 a temporary replacement vehicle while the customer’s vehicle is
775 being held for repair, service, or adjustment; and
776 (III) The employee was not acting within the course and
777 scope of their employment.
778 (12) FOR-HIRE PASSENGER TRANSPORTATION VEHICLE.—Every for
779 hire vehicle as defined in s. 320.01(15) which is offered or
780 used to provide transportation for persons, including taxicabs,
781 limousines, and jitneys.
782 Section 13. Section 324.022, Florida Statutes, is amended
783 to read:
784 324.022 Financial responsibility requirements for property
785 damage.—
786 (1)(a) Beginning January 1, 2022, every owner or operator
787 of a motor vehicle required to be registered in this state shall
788 establish and continuously maintain the ability to respond in
789 damages for liability on account of accidents arising out of the
790 use of the motor vehicle in the amount of:
791 1. Twenty-five thousand dollars for bodily injury to, or
792 the death of, one person in any one crash and, subject to such
793 limits for one person, in the amount of $50,000 for bodily
794 injury to, or the death of, two or more persons in any one
795 crash; and
796 2. Ten thousand dollars for $10,000 because of damage to,
797 or destruction of, property of others in any one crash.
798 (b) The requirements of paragraph (a) this section may be
799 met by one of the methods established in s. 324.031; by self
800 insuring as authorized by s. 768.28(16); or by maintaining a
801 motor vehicle liability insurance policy that an insurance
802 policy providing coverage for property damage liability in the
803 amount of at least $10,000 because of damage to, or destruction
804 of, property of others in any one accident arising out of the
805 use of the motor vehicle. The requirements of this section may
806 also be met by having a policy which provides combined property
807 damage liability and bodily injury liability coverage for any
808 one crash arising out of the ownership, maintenance, or use of a
809 motor vehicle and that conforms to the requirements of s.
810 324.151 in the amount of at least $60,000 for every owner or
811 operator subject to the financial responsibility required in
812 paragraph (a) $30,000 for combined property damage liability and
813 bodily injury liability for any one crash arising out of the use
814 of the motor vehicle. The policy, with respect to coverage for
815 property damage liability, must meet the applicable requirements
816 of s. 324.151, subject to the usual policy exclusions that have
817 been approved in policy forms by the Office of Insurance
818 Regulation. No insurer shall have any duty to defend uncovered
819 claims irrespective of their joinder with covered claims.
820 (c) Notwithstanding paragraph (a), the following owners or
821 operators may instead establish and continuously maintain the
822 ability to respond in damages for liability on account of
823 accidents arising out of the use of the motor vehicle in the
824 amount of $15,000 for bodily injury to, or the death of, one
825 person in any one crash and, subject to such limits for one
826 person, in the amount of $30,000 for bodily injury to, or the
827 death of, two or more persons in any one crash; and $10,000 for
828 damage to, or destruction of, property of others in any one
829 crash:
830 1. An owner or operator who has a household income that is
831 200 percent or less of the most current federal poverty
832 guidelines established by the United States Department of Health
833 and Human Services; or
834 2. An owner or operator who meets the definition of a full
835 time student in a secondary education program under s.
836 1011.61(1)(a) or meets the definition of a full-time student in
837 a postsecondary education program under s. 1009.40.
838 (2) As used in this section, the term:
839 (a) “Motor vehicle” means any self-propelled vehicle that
840 has four or more wheels and that is of a type designed and
841 required to be licensed for use on the highways of this state,
842 and any trailer or semitrailer designed for use with such
843 vehicle. The term does not include the following:
844 1. A mobile home as defined in s. 320.01.
845 2. A motor vehicle that is used in mass transit and
846 designed to transport more than five passengers, exclusive of
847 the operator of the motor vehicle, and that is owned by a
848 municipality, transit authority, or political subdivision of the
849 state.
850 3. A school bus as defined in s. 1006.25, which must
851 maintain security as required under s. 316.615.
852 4. A commercial motor vehicle as defined in s. 207.002 or
853 s. 320.01, which must maintain security as required under ss.
854 324.031 and 627.7415.
855 5. A nonpublic sector bus, which must maintain security as
856 required under ss. 324.031 and 627.742.
857 6.4. A vehicle providing for-hire passenger transportation
858 vehicle, which must that is subject to the provisions of s.
859 324.031. A taxicab shall maintain security as required under s.
860 324.032 s. 324.032(1).
861 7.5. A personal delivery device as defined in s. 316.003.
862 8. A motorcycle as defined in s. 320.01(26), unless s.
863 324.051 applies; in such case, paragraph (1)(a) and the
864 applicable proof of insurance provisions of s. 320.02 apply.
865 (b) “Owner” means the person who holds legal title to a
866 motor vehicle or the debtor or lessee who has the right to
867 possession of a motor vehicle that is the subject of a security
868 agreement or lease with an option to purchase.
869 (3) Each nonresident owner or registrant of a motor vehicle
870 that, whether operated or not, has been physically present
871 within this state for more than 90 days during the preceding 365
872 days shall maintain security as required by subsection (1). The
873 security must be that is in effect continuously throughout the
874 period the motor vehicle remains within this state.
875 (4) An The owner or registrant of a motor vehicle who is
876 exempt from the requirements of this section if she or he is a
877 member of the United States Armed Forces and is called to or on
878 active duty outside the United States in an emergency situation
879 is exempt from this section while he or she. The exemption
880 provided by this subsection applies only as long as the member
881 of the Armed Forces is on such active duty. This exemption
882 outside the United States and applies only while the vehicle
883 covered by the security is not operated by any person. Upon
884 receipt of a written request by the insured to whom the
885 exemption provided in this subsection applies, the insurer shall
886 cancel the coverages and return any unearned premium or suspend
887 the security required by this section. Notwithstanding s.
888 324.0221(2) s. 324.0221(3), the department may not suspend the
889 registration or operator’s license of an any owner or registrant
890 of a motor vehicle during the time she or he qualifies for the
891 an exemption under this subsection. An Any owner or registrant
892 of a motor vehicle who qualifies for the an exemption under this
893 subsection shall immediately notify the department before prior
894 to and at the end of the expiration of the exemption.
895 Section 14. Subsections (1) and (2) of section 324.0221,
896 Florida Statutes, are amended to read:
897 324.0221 Reports by insurers to the department; suspension
898 of driver license and vehicle registrations; reinstatement.—
899 (1)(a) Each insurer that has issued a policy providing
900 personal injury protection coverage or property damage liability
901 coverage shall report the cancellation or nonrenewal thereof to
902 the department within 10 days after the processing date or
903 effective date of each cancellation or nonrenewal. Upon the
904 issuance of a policy providing personal injury protection
905 coverage or property damage liability coverage to a named
906 insured not previously insured by the insurer during that
907 calendar year, the insurer shall report the issuance of the new
908 policy to the department within 10 days. The report must shall
909 be in the form and format and contain any information required
910 by the department and must be provided in a format that is
911 compatible with the data processing capabilities of the
912 department. Failure by an insurer to file proper reports with
913 the department as required by this subsection constitutes a
914 violation of the Florida Insurance Code. These records may shall
915 be used by the department only for enforcement and regulatory
916 purposes, including the generation by the department of data
917 regarding compliance by owners of motor vehicles with the
918 requirements for financial responsibility coverage.
919 (b) With respect to an insurance policy providing personal
920 injury protection coverage or property damage liability
921 coverage, each insurer shall notify the named insured, or the
922 first-named insured in the case of a commercial fleet policy, in
923 writing that any cancellation or nonrenewal of the policy will
924 be reported by the insurer to the department. The notice must
925 also inform the named insured that failure to maintain bodily
926 injury liability personal injury protection coverage and
927 property damage liability coverage on a motor vehicle when
928 required by law may result in the loss of registration and
929 driving privileges in this state and inform the named insured of
930 the amount of the reinstatement fees required by this section.
931 This notice is for informational purposes only, and an insurer
932 is not civilly liable for failing to provide this notice.
933 (2) The department shall suspend, after due notice and an
934 opportunity to be heard, the registration and driver license of
935 any owner or registrant of a motor vehicle for with respect to
936 which security is required under s. 324.022, s. 324.032, s.
937 627.7415, or s. 627.742 ss. 324.022 and 627.733 upon:
938 (a) The department’s records showing that the owner or
939 registrant of such motor vehicle did not have the in full force
940 and effect when required security in full force and effect that
941 complies with the requirements of ss. 324.022 and 627.733; or
942 (b) Notification by the insurer to the department, in a
943 form approved by the department, of cancellation or termination
944 of the required security.
945 Section 15. Section 324.0222, Florida Statutes, is created
946 to read:
947 324.0222 Application of suspensions for failure to maintain
948 security; reinstatement.—All suspensions for failure to maintain
949 required security as required by law in effect before January 1,
950 2022, remain in full force and effect after January 1, 2022. A
951 driver may reinstate a suspended driver license or registration
952 as provided under s. 324.0221.
953 Section 16. Section 324.023, Florida Statutes, is amended
954 to read:
955 324.023 Financial responsibility for bodily injury or
956 death.—In addition to any other financial responsibility
957 required by law, every owner or operator of a motor vehicle that
958 is required to be registered in this state, or that is located
959 within this state, and who, regardless of adjudication of guilt,
960 has been found guilty of or entered a plea of guilty or nolo
961 contendere to a charge of driving under the influence under s.
962 316.193 after October 1, 2007, shall, by one of the methods
963 established in s. 324.031(1)(a) or (b) s. 324.031(1) or (2),
964 establish and maintain the ability to respond in damages for
965 liability on account of accidents arising out of the use of a
966 motor vehicle in the amount of $100,000 because of bodily injury
967 to, or death of, one person in any one crash and, subject to
968 such limits for one person, in the amount of $300,000 because of
969 bodily injury to, or death of, two or more persons in any one
970 crash and in the amount of $50,000 because of property damage in
971 any one crash. If the owner or operator chooses to establish and
972 maintain such ability by furnishing a certificate of deposit
973 pursuant to s. 324.031(1)(b) s. 324.031(2), such certificate of
974 deposit must be at least $350,000. Such higher limits must be
975 carried for a minimum period of 3 years. If the owner or
976 operator has not been convicted of driving under the influence
977 or a felony traffic offense for a period of 3 years from the
978 date of reinstatement of driving privileges for a violation of
979 s. 316.193, the owner or operator is shall be exempt from this
980 section.
981 Section 17. Section 324.031, Florida Statutes, is amended
982 to read:
983 324.031 Manner of proving financial responsibility.—
984 (1) The owner or operator of a taxicab, limousine, jitney,
985 or any other for-hire passenger transportation vehicle may prove
986 financial responsibility by providing satisfactory evidence of
987 holding a motor vehicle liability policy as defined in s.
988 324.021(8) or s. 324.151, which policy is issued by an insurance
989 carrier which is a member of the Florida Insurance Guaranty
990 Association. The operator or owner of a motor vehicle other than
991 a for-hire passenger transportation vehicle any other vehicle
992 may prove his or her financial responsibility by:
993 (a)(1) Furnishing satisfactory evidence of holding a motor
994 vehicle liability policy as defined in ss. 324.021(8) and
995 324.151 which provides liability coverage for the motor vehicle
996 being operated;
997 (b)(2) Furnishing a certificate of self-insurance showing a
998 deposit of cash in accordance with s. 324.161; or
999 (c)(3) Furnishing a certificate of self-insurance issued by
1000 the department in accordance with s. 324.171.
1001 (2) Beginning January 1, 2022, any person, including any
1002 firm, partnership, association, corporation, or other person,
1003 other than a natural person, electing to use the method of proof
1004 specified in paragraph (1)(b) subsection (2) shall do both of
1005 the following:
1006 (a) Furnish a certificate of deposit equal to the number of
1007 vehicles owned times $60,000 $30,000, up to a maximum of
1008 $240,000. $120,000;
1009 (b) In addition, any such person, other than a natural
1010 person, shall Maintain insurance providing coverage that meets
1011 the requirements of s. 324.151 and has limits of:
1012 1. At least $125,000 for bodily injury to, or the death of,
1013 one person in any one crash and, subject to such limits for one
1014 person, in the amount of $250,000 for bodily injury to, or the
1015 death of, two or more persons in any one crash; and $50,000 for
1016 damage to, or destruction of, property of others in any one
1017 crash; or
1018 2. At least $300,000 for combined bodily injury liability
1019 and property damage liability for any one crash in excess of
1020 limits of $10,000/20,000/10,000 or $30,000 combined single
1021 limits, and such excess insurance shall provide minimum limits
1022 of $125,000/250,000/50,000 or $300,000 combined single limits.
1023 These increased limits shall not affect the requirements for
1024 proving financial responsibility under s. 324.032(1).
1025 Section 18. Section 324.032, Florida Statutes, is amended
1026 to read:
1027 324.032 Manner of proving Financial responsibility for;
1028 for-hire passenger transportation vehicles.—Notwithstanding the
1029 provisions of s. 324.031:
1030 (1) An owner or a lessee of a for-hire passenger
1031 transportation vehicle that is required to be registered in this
1032 state shall establish and continuously maintain the ability to
1033 respond in damages for liability on account of accidents arising
1034 out of the ownership, maintenance, or use of the for-hire
1035 passenger transportation vehicle, in the amount of:
1036 (a) One hundred twenty-five thousand dollars for bodily
1037 injury to, or the death of, one person in any one crash and,
1038 subject to such limits for one person, in the amount of $250,000
1039 for bodily injury to, or the death of, two or more persons in
1040 any one crash; and A person who is either the owner or a lessee
1041 required to maintain insurance under s. 627.733(1)(b) and who
1042 operates one or more taxicabs, limousines, jitneys, or any other
1043 for-hire passenger transportation vehicles may prove financial
1044 responsibility by furnishing satisfactory evidence of holding a
1045 motor vehicle liability policy, but with minimum limits of
1046 $125,000/250,000/50,000.
1047 (b) Fifty thousand dollars for damage to, or destruction
1048 of, property of others in any one crash A person who is either
1049 the owner or a lessee required to maintain insurance under s.
1050 324.021(9)(b) and who operates limousines, jitneys, or any other
1051 for-hire passenger vehicles, other than taxicabs, may prove
1052 financial responsibility by furnishing satisfactory evidence of
1053 holding a motor vehicle liability policy as defined in s.
1054 324.031.
1055 (2) Except as provided in subsection (3), the requirements
1056 of this section must be met by the owner or lessee providing
1057 satisfactory evidence of holding a motor vehicle liability
1058 policy conforming to the requirements of s. 324.151 which is
1059 issued by an insurance carrier that is a member of the Florida
1060 Insurance Guaranty Association.
1061 (3)(2) An owner or a lessee who is required to maintain
1062 insurance under s. 324.021(9)(b) and who operates at least 300
1063 taxicabs, limousines, jitneys, or any other for-hire passenger
1064 transportation vehicles may provide financial responsibility by
1065 complying with the provisions of s. 324.171, which must such
1066 compliance to be demonstrated by maintaining at its principal
1067 place of business an audited financial statement, prepared in
1068 accordance with generally accepted accounting principles, and
1069 providing to the department a certification issued by a
1070 certified public accountant that the applicant’s net worth is at
1071 least equal to the requirements of s. 324.171 as determined by
1072 the Office of Insurance Regulation of the Financial Services
1073 Commission, including claims liabilities in an amount certified
1074 as adequate by a Fellow of the Casualty Actuarial Society.
1075
1076 Upon request by the department, the applicant shall must provide
1077 the department at the applicant’s principal place of business in
1078 this state access to the applicant’s underlying financial
1079 information and financial statements that provide the basis of
1080 the certified public accountant’s certification. The applicant
1081 shall reimburse the requesting department for all reasonable
1082 costs incurred by it in reviewing the supporting information.
1083 The maximum amount of self-insurance permissible under this
1084 subsection is $300,000 and must be stated on a per-occurrence
1085 basis, and the applicant shall maintain adequate excess
1086 insurance issued by an authorized or eligible insurer licensed
1087 or approved by the Office of Insurance Regulation. All risks
1088 self-insured shall remain with the owner or lessee providing it,
1089 and the risks are not transferable to any other person, unless a
1090 policy complying with subsections (1) and (2) subsection (1) is
1091 obtained.
1092 Section 19. Subsection (2) of section 324.051, Florida
1093 Statutes, is amended, and subsection (4) is added to that
1094 section, to read:
1095 324.051 Reports of crashes; suspensions of licenses and
1096 registrations.—
1097 (2)(a) Thirty days after receipt of notice of any accident
1098 described in paragraph (1)(a) involving a motor vehicle within
1099 this state, the department shall suspend, after due notice and
1100 opportunity to be heard, the license of each operator and all
1101 registrations of the owner of the vehicles operated by such
1102 operator whether or not involved in such crash and, in the case
1103 of a nonresident owner or operator, shall suspend such
1104 nonresident’s operating privilege in this state, unless such
1105 operator or owner shall, prior to the expiration of such 30
1106 days, be found by the department to be exempt from the operation
1107 of this chapter, based upon evidence satisfactory to the
1108 department that:
1109 1. The motor vehicle was legally parked at the time of such
1110 crash.
1111 2. The motor vehicle was owned by the United States
1112 Government, this state, or any political subdivision of this
1113 state or any municipality therein.
1114 3. Such operator or owner has secured a duly acknowledged
1115 written agreement providing for release from liability by all
1116 parties injured as the result of said crash and has complied
1117 with one of the provisions of s. 324.031.
1118 4. Such operator or owner has deposited with the department
1119 security to conform with s. 324.061 when applicable and has
1120 complied with one of the provisions of s. 324.031.
1121 5. One year has elapsed since such owner or operator was
1122 suspended pursuant to subsection (3), the owner or operator has
1123 complied with one of the provisions of s. 324.031, and no bill
1124 of complaint of which the department has notice has been filed
1125 in a court of competent jurisdiction.
1126 (b) This subsection does shall not apply:
1127 1. To such operator or owner if such operator or owner had
1128 in effect at the time of such crash or traffic conviction a
1129 motor vehicle an automobile liability policy with respect to all
1130 of the registered motor vehicles owned by such operator or
1131 owner.
1132 2. To such operator, if not the owner of such motor
1133 vehicle, if there was in effect at the time of such crash or
1134 traffic conviction a motor vehicle an automobile liability
1135 policy or bond with respect to his or her operation of motor
1136 vehicles not owned by him or her.
1137 3. To such operator or owner if the liability of such
1138 operator or owner for damages resulting from such crash is, in
1139 the judgment of the department, covered by any other form of
1140 liability insurance or bond.
1141 4. To any person who has obtained from the department a
1142 certificate of self-insurance, in accordance with s. 324.171, or
1143 to any person operating a motor vehicle for such self-insurer.
1144
1145 No such policy or bond shall be effective under this subsection
1146 unless it contains limits of not less than those specified in s.
1147 324.021(7).
1148 (4) As used in this section, the term “motor vehicle”
1149 includes a motorcycle as defined in s. 320.01(26).
1150 Section 20. Section 324.071, Florida Statutes, is amended
1151 to read:
1152 324.071 Reinstatement; renewal of license; reinstatement
1153 fee.—An Any operator or owner whose license or registration has
1154 been suspended pursuant to s. 324.051(2), s. 324.072, s.
1155 324.081, or s. 324.121 may effect its reinstatement upon
1156 compliance with the provisions of s. 324.051(2)(a)3. or 4., or
1157 s. 324.081(2) and (3), as the case may be, and with one of the
1158 provisions of s. 324.031 and upon payment to the department of a
1159 nonrefundable reinstatement fee of $15. Only one such fee may
1160 shall be paid by any one person regardless irrespective of the
1161 number of licenses and registrations to be then reinstated or
1162 issued to such person. All Such fees must shall be deposited to
1163 a department trust fund. If When the reinstatement of any
1164 license or registration is effected by compliance with s.
1165 324.051(2)(a)3. or 4., the department may shall not renew the
1166 license or registration within a period of 3 years after from
1167 such reinstatement, nor may shall any other license or
1168 registration be issued in the name of such person, unless the
1169 operator continues is continuing to comply with one of the
1170 provisions of s. 324.031.
1171 Section 21. Subsection (1) of section 324.091, Florida
1172 Statutes, is amended to read:
1173 324.091 Notice to department; notice to insurer.—
1174 (1) Each owner and operator involved in a crash or
1175 conviction case within the purview of this chapter shall furnish
1176 evidence of automobile liability insurance or motor vehicle
1177 liability insurance within 14 days after the date of the mailing
1178 of notice of crash by the department in the form and manner as
1179 it may designate. Upon receipt of evidence that a an automobile
1180 liability policy or motor vehicle liability policy was in effect
1181 at the time of the crash or conviction case, the department
1182 shall forward to the insurer such information for verification
1183 in a method as determined by the department. The insurer shall
1184 respond to the department within 20 days after the notice as to
1185 whether or not such information is valid. If the department
1186 determines that a an automobile liability policy or motor
1187 vehicle liability policy was not in effect and did not provide
1188 coverage for both the owner and the operator, it must shall take
1189 action as it is authorized to do under this chapter.
1190 Section 22. Section 324.151, Florida Statutes, is amended
1191 to read:
1192 324.151 Motor vehicle liability policies; required
1193 provisions.—
1194 (1) A motor vehicle liability policy that serves as to be
1195 proof of financial responsibility under s. 324.031(1)(a) must s.
1196 324.031(1), shall be issued to owners or operators of motor
1197 vehicles under the following provisions:
1198 (a) A motor vehicle An owner’s liability insurance policy
1199 issued to an owner of a motor vehicle required to be registered
1200 in this state must shall designate by explicit description or by
1201 appropriate reference all motor vehicles for with respect to
1202 which coverage is thereby granted. The policy must and shall
1203 insure the person or persons owner named therein and, except for
1204 a named driver excluded pursuant to s. 627.747, must insure any
1205 resident relative of a named insured other person as operator
1206 using such motor vehicle or motor vehicles with the express or
1207 implied permission of such owner against loss from the liability
1208 imposed by law for damage arising out of the ownership,
1209 maintenance, or use of any such motor vehicle or motor vehicles
1210 within the United States or the Dominion of Canada, subject to
1211 limits, exclusive of interest and costs with respect to each
1212 such motor vehicle as is provided for under s. 324.021(7).
1213 Except for a named driver excluded pursuant to s. 627.747, the
1214 policy must also insure any person operating an insured motor
1215 vehicle with the express or implied permission of a named
1216 insured against loss from the liability imposed by law for
1217 damage arising out of the use of any vehicle. However, the
1218 insurer may include provisions in its policy excluding liability
1219 coverage for a motor vehicle not designated as an insured
1220 vehicle on the policy if such motor vehicle does not qualify as
1221 a newly acquired vehicle or as a temporary substitute vehicle
1222 and was owned by the insured or was furnished for an insured’s
1223 regular use for more than 30 consecutive days before the event
1224 giving rise to the claim. Insurers may make available, with
1225 respect to property damage liability coverage, a deductible
1226 amount not to exceed $500. In the event of a property damage
1227 loss covered by a policy containing a property damage deductible
1228 provision, the insurer shall pay to the third-party claimant the
1229 amount of any property damage liability settlement or judgment,
1230 subject to policy limits, as if no deductible existed.
1231 (b) A motor vehicle liability insurance policy issued to a
1232 person who does not own a motor vehicle must An operator’s motor
1233 vehicle liability policy of insurance shall insure the person or
1234 persons named therein against loss from the liability imposed
1235 upon him or her by law for damages arising out of the use by the
1236 person of any motor vehicle not owned by him or her, with the
1237 same territorial limits and subject to the same limits of
1238 liability as referred to above with respect to an owner’s policy
1239 of liability insurance.
1240 (c) All such motor vehicle liability policies must provide
1241 liability coverage with limits, exclusive of interest and costs,
1242 as specified under s. 324.021(7) for accidents occurring within
1243 the United States or Canada. The policies must shall state the
1244 name and address of the named insured, the coverage afforded by
1245 the policy, the premium charged therefor, the policy period, and
1246 the limits of liability, and must shall contain an agreement or
1247 be endorsed that insurance is provided in accordance with the
1248 coverage defined in this chapter as respects bodily injury and
1249 death or property damage or both and is subject to all
1250 provisions of this chapter. The Said policies must shall also
1251 contain a provision that the satisfaction by an insured of a
1252 judgment for such injury or damage may shall not be a condition
1253 precedent to the right or duty of the insurance carrier to make
1254 payment on account of such injury or damage, and must shall also
1255 contain a provision that bankruptcy or insolvency of the insured
1256 or of the insured’s estate does shall not relieve the insurance
1257 carrier of any of its obligations under the said policy.
1258 (2) The provisions of This section is shall not be
1259 applicable to any motor vehicle automobile liability policy
1260 unless and until it is furnished as proof of financial
1261 responsibility for the future pursuant to s. 324.031, and then
1262 applies only from and after the date the said policy is so
1263 furnished.
1264 (3) As used in this section, the term:
1265 (a) “Newly acquired vehicle” means a vehicle owned by a
1266 named insured or resident relative of the named insured which
1267 was acquired no more than 30 days before an accident.
1268 (b) “Resident relative” means a person related to a named
1269 insured by any degree by blood, marriage, or adoption, including
1270 a ward or foster child, who usually makes his or her home in the
1271 same family unit or residence as the named insured, regardless
1272 of whether he or she temporarily lives elsewhere.
1273 (c) “Temporary substitute vehicle” means any motor vehicle
1274 as defined in s. 320.01(1) which is not owned by the named
1275 insured and which is temporarily used with the permission of the
1276 owner as a substitute for the owned motor vehicle designated on
1277 the policy when the owned vehicle is withdrawn from normal use
1278 because of breakdown, repair, servicing, loss, or destruction.
1279 Section 23. Section 324.161, Florida Statutes, is amended
1280 to read:
1281 324.161 Proof of financial responsibility; deposit.—If a
1282 person elects to prove his or her financial responsibility under
1283 the method of proof specified in s. 324.031(1)(b), he or she
1284 annually must obtain and submit to the department proof of a
1285 certificate of deposit in the amount required under s.
1286 324.031(2) from a financial institution insured by the Federal
1287 Deposit Insurance Corporation or the National Credit Union
1288 Administration Annually, before any certificate of insurance may
1289 be issued to a person, including any firm, partnership,
1290 association, corporation, or other person, other than a natural
1291 person, proof of a certificate of deposit of $30,000 issued and
1292 held by a financial institution must be submitted to the
1293 department. A power of attorney will be issued to and held by
1294 the department and may be executed upon a judgment issued
1295 against such person making the deposit, for damages for because
1296 of bodily injury to or death of any person or for damages for
1297 because of injury to or destruction of property resulting from
1298 the use or operation of any motor vehicle occurring after such
1299 deposit was made. Money so deposited is shall not be subject to
1300 attachment or execution unless such attachment or execution
1301 arises shall arise out of a lawsuit suit for such damages as
1302 aforesaid.
1303 Section 24. Subsections (1) and (2) of section 324.171,
1304 Florida Statutes, are amended to read:
1305 324.171 Self-insurer.—
1306 (1) A Any person may qualify as a self-insurer by obtaining
1307 a certificate of self-insurance from the department. which may,
1308 in its discretion and Upon application of such a person, the
1309 department may issue a said certificate of self-insurance to an
1310 applicant who satisfies when such person has satisfied the
1311 requirements of this section. Effective January 1, 2022 to
1312 qualify as a self-insurer under this section:
1313 (a) A private individual with private passenger vehicles
1314 shall possess a net unencumbered worth of at least $100,000
1315 $40,000.
1316 (b) A person, including any firm, partnership, association,
1317 corporation, or other person, other than a natural person,
1318 shall:
1319 1. Possess a net unencumbered worth of at least $100,000
1320 $40,000 for the first motor vehicle and $50,000 $20,000 for each
1321 additional motor vehicle; or
1322 2. Maintain sufficient net worth, in an amount determined
1323 by the department, to be financially responsible for potential
1324 losses. The department annually shall determine the minimum net
1325 worth sufficient to satisfy this subparagraph as determined
1326 annually by the department, pursuant to rules adopted
1327 promulgated by the department, with the assistance of the Office
1328 of Insurance Regulation of the Financial Services Commission, to
1329 be financially responsible for potential losses. The rules must
1330 consider any shall take into consideration excess insurance
1331 carried by the applicant. The department’s determination must
1332 shall be based upon reasonable actuarial principles considering
1333 the frequency, severity, and loss development of claims incurred
1334 by casualty insurers writing coverage on the type of motor
1335 vehicles for which a certificate of self-insurance is desired.
1336 (c) The owner of a commercial motor vehicle, as defined in
1337 s. 207.002 or s. 320.01, may qualify as a self-insurer subject
1338 to the standards provided for in subparagraph (b)2.
1339 (2) The self-insurance certificate must shall provide
1340 limits of liability insurance in the amounts specified under s.
1341 324.021(7) or s. 627.7415 and shall provide personal injury
1342 protection coverage under s. 627.733(3)(b).
1343 Section 25. Section 324.251, Florida Statutes, is amended
1344 to read:
1345 324.251 Short title.—This chapter may be cited as the
1346 “Financial Responsibility Law of 2021 1955” and is shall become
1347 effective at 12:01 a.m., January 1, 2022 October 1, 1955.
1348 Section 26. Subsection (4) of section 400.9905, Florida
1349 Statutes, is amended to read:
1350 400.9905 Definitions.—
1351 (4)(a) “Clinic” means an entity where health care services
1352 are provided to individuals and which tenders charges for
1353 reimbursement for such services, including a mobile clinic and a
1354 portable equipment provider. As used in this part, the term does
1355 not include and the licensure requirements of this part do not
1356 apply to:
1357 1.(a) Entities licensed or registered by the state under
1358 chapter 395; entities licensed or registered by the state and
1359 providing only health care services within the scope of services
1360 authorized under their respective licenses under ss. 383.30
1361 383.332, chapter 390, chapter 394, chapter 397, this chapter
1362 except part X, chapter 429, chapter 463, chapter 465, chapter
1363 466, chapter 478, chapter 484, or chapter 651; end-stage renal
1364 disease providers authorized under 42 C.F.R. part 494; providers
1365 certified and providing only health care services within the
1366 scope of services authorized under their respective
1367 certifications under 42 C.F.R. part 485, subpart B, subpart H,
1368 or subpart J; providers certified and providing only health care
1369 services within the scope of services authorized under their
1370 respective certifications under 42 C.F.R. part 486, subpart C;
1371 providers certified and providing only health care services
1372 within the scope of services authorized under their respective
1373 certifications under 42 C.F.R. part 491, subpart A; providers
1374 certified by the Centers for Medicare and Medicaid Services
1375 under the federal Clinical Laboratory Improvement Amendments and
1376 the federal rules adopted thereunder; or any entity that
1377 provides neonatal or pediatric hospital-based health care
1378 services or other health care services by licensed practitioners
1379 solely within a hospital licensed under chapter 395.
1380 2.(b) Entities that own, directly or indirectly, entities
1381 licensed or registered by the state pursuant to chapter 395;
1382 entities that own, directly or indirectly, entities licensed or
1383 registered by the state and providing only health care services
1384 within the scope of services authorized pursuant to their
1385 respective licenses under ss. 383.30-383.332, chapter 390,
1386 chapter 394, chapter 397, this chapter except part X, chapter
1387 429, chapter 463, chapter 465, chapter 466, chapter 478, chapter
1388 484, or chapter 651; end-stage renal disease providers
1389 authorized under 42 C.F.R. part 494; providers certified and
1390 providing only health care services within the scope of services
1391 authorized under their respective certifications under 42 C.F.R.
1392 part 485, subpart B, subpart H, or subpart J; providers
1393 certified and providing only health care services within the
1394 scope of services authorized under their respective
1395 certifications under 42 C.F.R. part 486, subpart C; providers
1396 certified and providing only health care services within the
1397 scope of services authorized under their respective
1398 certifications under 42 C.F.R. part 491, subpart A; providers
1399 certified by the Centers for Medicare and Medicaid Services
1400 under the federal Clinical Laboratory Improvement Amendments and
1401 the federal rules adopted thereunder; or any entity that
1402 provides neonatal or pediatric hospital-based health care
1403 services by licensed practitioners solely within a hospital
1404 licensed under chapter 395.
1405 3.(c) Entities that are owned, directly or indirectly, by
1406 an entity licensed or registered by the state pursuant to
1407 chapter 395; entities that are owned, directly or indirectly, by
1408 an entity licensed or registered by the state and providing only
1409 health care services within the scope of services authorized
1410 pursuant to their respective licenses under ss. 383.30-383.332,
1411 chapter 390, chapter 394, chapter 397, this chapter except part
1412 X, chapter 429, chapter 463, chapter 465, chapter 466, chapter
1413 478, chapter 484, or chapter 651; end-stage renal disease
1414 providers authorized under 42 C.F.R. part 494; providers
1415 certified and providing only health care services within the
1416 scope of services authorized under their respective
1417 certifications under 42 C.F.R. part 485, subpart B, subpart H,
1418 or subpart J; providers certified and providing only health care
1419 services within the scope of services authorized under their
1420 respective certifications under 42 C.F.R. part 486, subpart C;
1421 providers certified and providing only health care services
1422 within the scope of services authorized under their respective
1423 certifications under 42 C.F.R. part 491, subpart A; providers
1424 certified by the Centers for Medicare and Medicaid Services
1425 under the federal Clinical Laboratory Improvement Amendments and
1426 the federal rules adopted thereunder; or any entity that
1427 provides neonatal or pediatric hospital-based health care
1428 services by licensed practitioners solely within a hospital
1429 under chapter 395.
1430 4.(d) Entities that are under common ownership, directly
1431 or indirectly, with an entity licensed or registered by the
1432 state pursuant to chapter 395; entities that are under common
1433 ownership, directly or indirectly, with an entity licensed or
1434 registered by the state and providing only health care services
1435 within the scope of services authorized pursuant to their
1436 respective licenses under ss. 383.30-383.332, chapter 390,
1437 chapter 394, chapter 397, this chapter except part X, chapter
1438 429, chapter 463, chapter 465, chapter 466, chapter 478, chapter
1439 484, or chapter 651; end-stage renal disease providers
1440 authorized under 42 C.F.R. part 494; providers certified and
1441 providing only health care services within the scope of services
1442 authorized under their respective certifications under 42 C.F.R.
1443 part 485, subpart B, subpart H, or subpart J; providers
1444 certified and providing only health care services within the
1445 scope of services authorized under their respective
1446 certifications under 42 C.F.R. part 486, subpart C; providers
1447 certified and providing only health care services within the
1448 scope of services authorized under their respective
1449 certifications under 42 C.F.R. part 491, subpart A; providers
1450 certified by the Centers for Medicare and Medicaid Services
1451 under the federal Clinical Laboratory Improvement Amendments and
1452 the federal rules adopted thereunder; or any entity that
1453 provides neonatal or pediatric hospital-based health care
1454 services by licensed practitioners solely within a hospital
1455 licensed under chapter 395.
1456 5.(e) An entity that is exempt from federal taxation under
1457 26 U.S.C. s. 501(c)(3) or (4), an employee stock ownership plan
1458 under 26 U.S.C. s. 409 that has a board of trustees at least
1459 two-thirds of which are Florida-licensed health care
1460 practitioners and provides only physical therapy services under
1461 physician orders, any community college or university clinic,
1462 and any entity owned or operated by the federal or state
1463 government, including agencies, subdivisions, or municipalities
1464 thereof.
1465 6.(f) A sole proprietorship, group practice, partnership,
1466 or corporation that provides health care services by physicians
1467 covered by s. 627.419, that is directly supervised by one or
1468 more of such physicians, and that is wholly owned by one or more
1469 of those physicians or by a physician and the spouse, parent,
1470 child, or sibling of that physician.
1471 7.(g) A sole proprietorship, group practice, partnership,
1472 or corporation that provides health care services by licensed
1473 health care practitioners under chapter 457, chapter 458,
1474 chapter 459, chapter 460, chapter 461, chapter 462, chapter 463,
1475 chapter 466, chapter 467, chapter 480, chapter 484, chapter 486,
1476 chapter 490, chapter 491, or part I, part III, part X, part
1477 XIII, or part XIV of chapter 468, or s. 464.012, and that is
1478 wholly owned by one or more licensed health care practitioners,
1479 or the licensed health care practitioners set forth in this
1480 subparagraph paragraph and the spouse, parent, child, or sibling
1481 of a licensed health care practitioner if one of the owners who
1482 is a licensed health care practitioner is supervising the
1483 business activities and is legally responsible for the entity’s
1484 compliance with all federal and state laws. However, a health
1485 care practitioner may not supervise services beyond the scope of
1486 the practitioner’s license, except that, for the purposes of
1487 this part, a clinic owned by a licensee in s. 456.053(3)(b)
1488 which provides only services authorized pursuant to s.
1489 456.053(3)(b) may be supervised by a licensee specified in s.
1490 456.053(3)(b).
1491 8.(h) Clinical facilities affiliated with an accredited
1492 medical school at which training is provided for medical
1493 students, residents, or fellows.
1494 9.(i) Entities that provide only oncology or radiation
1495 therapy services by physicians licensed under chapter 458 or
1496 chapter 459 or entities that provide oncology or radiation
1497 therapy services by physicians licensed under chapter 458 or
1498 chapter 459 which are owned by a corporation whose shares are
1499 publicly traded on a recognized stock exchange.
1500 10.(j) Clinical facilities affiliated with a college of
1501 chiropractic accredited by the Council on Chiropractic Education
1502 at which training is provided for chiropractic students.
1503 11.(k) Entities that provide licensed practitioners to
1504 staff emergency departments or to deliver anesthesia services in
1505 facilities licensed under chapter 395 and that derive at least
1506 90 percent of their gross annual revenues from the provision of
1507 such services. Entities claiming an exemption from licensure
1508 under this subparagraph paragraph must provide documentation
1509 demonstrating compliance.
1510 12.(l) Orthotic, prosthetic, pediatric cardiology, or
1511 perinatology clinical facilities or anesthesia clinical
1512 facilities that are not otherwise exempt under subparagraph 1.
1513 or subparagraph 11. paragraph (a) or paragraph (k) and that are
1514 a publicly traded corporation or are wholly owned, directly or
1515 indirectly, by a publicly traded corporation. As used in this
1516 subparagraph paragraph, a publicly traded corporation is a
1517 corporation that issues securities traded on an exchange
1518 registered with the United States Securities and Exchange
1519 Commission as a national securities exchange.
1520 13.(m) Entities that are owned by a corporation that has
1521 $250 million or more in total annual sales of health care
1522 services provided by licensed health care practitioners where
1523 one or more of the persons responsible for the operations of the
1524 entity is a health care practitioner who is licensed in this
1525 state and who is responsible for supervising the business
1526 activities of the entity and is responsible for the entity’s
1527 compliance with state law for purposes of this part.
1528 14.(n) Entities that employ 50 or more licensed health care
1529 practitioners licensed under chapter 458 or chapter 459 where
1530 the billing for medical services is under a single tax
1531 identification number. The application for exemption under this
1532 subsection must include shall contain information that includes:
1533 the name, residence, and business address and telephone phone
1534 number of the entity that owns the practice; a complete list of
1535 the names and contact information of all the officers and
1536 directors of the corporation; the name, residence address,
1537 business address, and medical license number of each licensed
1538 Florida health care practitioner employed by the entity; the
1539 corporate tax identification number of the entity seeking an
1540 exemption; a listing of health care services to be provided by
1541 the entity at the health care clinics owned or operated by the
1542 entity; and a certified statement prepared by an independent
1543 certified public accountant which states that the entity and the
1544 health care clinics owned or operated by the entity have not
1545 received payment for health care services under medical payments
1546 personal injury protection insurance coverage for the preceding
1547 year. If the agency determines that an entity that which is
1548 exempt under this subsection has received payments for medical
1549 services under medical payments personal injury protection
1550 insurance coverage, the agency may deny or revoke the exemption
1551 from licensure under this subsection.
1552 15.(o) Entities that are, directly or indirectly, under the
1553 common ownership of or that are subject to common control by a
1554 mutual insurance holding company, as defined in s. 628.703, with
1555 an entity issued a certificate of authority under chapter 624 or
1556 chapter 641 which has $1 billion or more in total annual sales
1557 in this state.
1558 16.(p) Entities that are owned by an entity that is a
1559 behavioral health care service provider in at least five other
1560 states; that, together with its affiliates, have $90 million or
1561 more in total annual revenues associated with the provision of
1562 behavioral health care services; and wherein one or more of the
1563 persons responsible for the operations of the entity is a health
1564 care practitioner who is licensed in this state, who is
1565 responsible for supervising the business activities of the
1566 entity, and who is responsible for the entity’s compliance with
1567 state law for purposes of this part.
1568 17.(q) Medicaid providers.
1569 (b) Notwithstanding paragraph (a) this subsection, an
1570 entity is shall be deemed a clinic and must be licensed under
1571 this part in order to receive medical payments coverage
1572 reimbursement under s. 627.7265 unless the entity is:
1573 1. Wholly owned by a physician licensed under chapter 458
1574 or chapter 459 or by the physician and the spouse, parent,
1575 child, or sibling of the physician;
1576 2. Wholly owned by a dentist licensed under chapter 466 or
1577 by the dentist and the spouse, parent, child, or sibling of the
1578 dentist;
1579 3. Wholly owned by a chiropractic physician licensed under
1580 chapter 460 or by the chiropractic physician and the spouse,
1581 parent, child, or sibling of the chiropractic physician;
1582 4. A hospital or ambulatory surgical center licensed under
1583 chapter 395;
1584 5. An entity that wholly owns or is wholly owned, directly
1585 or indirectly, by a hospital or hospitals licensed under chapter
1586 395;
1587 6. A clinical facility affiliated with an accredited
1588 medical school at which training is provided for medical
1589 students, residents, or fellows;
1590 7. Certified under 42 C.F.R. part 485, subpart H; or
1591 8. Owned by a publicly traded corporation, either directly
1592 or indirectly through its subsidiaries, which has $250 million
1593 or more in total annual sales of health care services provided
1594 by licensed health care practitioners, if one or more of the
1595 persons responsible for the operations of the entity are health
1596 care practitioners who are licensed in this state and are
1597 responsible for supervising the business activities of the
1598 entity and the entity’s compliance with state law for purposes
1599 of this subsection the Florida Motor Vehicle No-Fault Law, ss.
1600 627.730-627.7405, unless exempted under s. 627.736(5)(h).
1601 Section 27. Subsection (5) of section 400.991, Florida
1602 Statutes, is amended to read:
1603 400.991 License requirements; background screenings;
1604 prohibitions.—
1605 (5) All agency forms for licensure application or exemption
1606 from licensure under this part must contain the following
1607 statement:
1608
1609 INSURANCE FRAUD NOTICE.—A person commits a fraudulent insurance
1610 act, as defined in s. 626.989, Florida Statutes, if the person
1611 who knowingly submits a false, misleading, or fraudulent
1612 application or other document when applying for licensure as a
1613 health care clinic, seeking an exemption from licensure as a
1614 health care clinic, or demonstrating compliance with part X of
1615 chapter 400, Florida Statutes, with the intent to use the
1616 license, exemption from licensure, or demonstration of
1617 compliance to provide services or seek reimbursement under a
1618 motor vehicle liability insurance policy’s medical payments
1619 coverage the Florida Motor Vehicle No-Fault Law, commits a
1620 fraudulent insurance act, as defined in s. 626.989, Florida
1621 Statutes. A person who presents a claim for benefits under
1622 medical payments coverage personal injury protection benefits
1623 knowing that the payee knowingly submitted such health care
1624 clinic application or document, commits insurance fraud, as
1625 defined in s. 817.234, Florida Statutes.
1626 Section 28. Paragraph (g) of subsection (1) of section
1627 400.9935, Florida Statutes, is amended to read:
1628 400.9935 Clinic responsibilities.—
1629 (1) Each clinic shall appoint a medical director or clinic
1630 director who shall agree in writing to accept legal
1631 responsibility for the following activities on behalf of the
1632 clinic. The medical director or the clinic director shall:
1633 (g) Conduct systematic reviews of clinic billings to ensure
1634 that the billings are not fraudulent or unlawful. Upon discovery
1635 of an unlawful charge, the medical director or clinic director
1636 shall take immediate corrective action. If the clinic performs
1637 only the technical component of magnetic resonance imaging,
1638 static radiographs, computed tomography, or positron emission
1639 tomography, and provides the professional interpretation of such
1640 services, in a fixed facility that is accredited by a national
1641 accrediting organization that is approved by the Centers for
1642 Medicare and Medicaid Services for magnetic resonance imaging
1643 and advanced diagnostic imaging services and if, in the
1644 preceding quarter, the percentage of scans performed by that
1645 clinic which was billed to motor vehicle all personal injury
1646 protection insurance carriers under medical payments coverage
1647 was less than 15 percent, the chief financial officer of the
1648 clinic may, in a written acknowledgment provided to the agency,
1649 assume the responsibility for the conduct of the systematic
1650 reviews of clinic billings to ensure that the billings are not
1651 fraudulent or unlawful.
1652 Section 29. Subsection (28) of section 409.901, Florida
1653 Statutes, is amended to read:
1654 409.901 Definitions; ss. 409.901-409.920.—As used in ss.
1655 409.901-409.920, except as otherwise specifically provided, the
1656 term:
1657 (28) “Third-party benefit” means any benefit that is or may
1658 be available at any time through contract, court award,
1659 judgment, settlement, agreement, or any arrangement between a
1660 third party and any person or entity, including, without
1661 limitation, a Medicaid recipient, a provider, another third
1662 party, an insurer, or the agency, for any Medicaid-covered
1663 injury, illness, goods, or services, including costs of medical
1664 services related thereto, for bodily personal injury or for
1665 death of the recipient, but specifically excluding policies of
1666 life insurance policies on the recipient, unless available under
1667 terms of the policy to pay medical expenses before prior to
1668 death. The term includes, without limitation, collateral, as
1669 defined in this section;, health insurance;, any benefit under a
1670 health maintenance organization, a preferred provider
1671 arrangement, a prepaid health clinic, liability insurance,
1672 uninsured motorist insurance, or medical payments coverage; or
1673 personal injury protection coverage, medical benefits under
1674 workers’ compensation, and any obligation under law or equity to
1675 provide medical support.
1676 Section 30. Paragraph (f) of subsection (11) of section
1677 409.910, Florida Statutes, is amended to read:
1678 409.910 Responsibility for payments on behalf of Medicaid
1679 eligible persons when other parties are liable.—
1680 (11) The agency may, as a matter of right, in order to
1681 enforce its rights under this section, institute, intervene in,
1682 or join any legal or administrative proceeding in its own name
1683 in one or more of the following capacities: individually, as
1684 subrogee of the recipient, as assignee of the recipient, or as
1685 lienholder of the collateral.
1686 (f) Notwithstanding any provision in this section to the
1687 contrary, in the event of an action in tort against a third
1688 party in which the recipient or his or her legal representative
1689 is a party which results in a judgment, award, or settlement
1690 from a third party, the amount recovered shall be distributed as
1691 follows:
1692 1. After attorney attorney’s fees and taxable costs as
1693 defined by the Florida Rules of Civil Procedure, one-half of the
1694 remaining recovery shall be paid to the agency up to the total
1695 amount of medical assistance provided by Medicaid.
1696 2. The remaining amount of the recovery shall be paid to
1697 the recipient.
1698 3. For purposes of calculating the agency’s recovery of
1699 medical assistance benefits paid, the fee for services of an
1700 attorney retained by the recipient or his or her legal
1701 representative shall be calculated at 25 percent of the
1702 judgment, award, or settlement.
1703 4. Notwithstanding any other provision of this section to
1704 the contrary, the agency shall be entitled to all medical
1705 coverage benefits up to the total amount of medical assistance
1706 provided by Medicaid. For purposes of this paragraph, the term
1707 “medical coverage” means any benefits under health insurance, a
1708 health maintenance organization, a preferred provider
1709 arrangement, or a prepaid health clinic, and the portion of
1710 benefits designated for medical payments under coverage for
1711 workers’ compensation coverage, motor vehicle insurance
1712 coverage, personal injury protection, and casualty coverage.
1713 Section 31. Paragraph (k) of subsection (2) of section
1714 456.057, Florida Statutes, is amended to read:
1715 456.057 Ownership and control of patient records; report or
1716 copies of records to be furnished; disclosure of information.—
1717 (2) As used in this section, the terms “records owner,”
1718 “health care practitioner,” and “health care practitioner’s
1719 employer” do not include any of the following persons or
1720 entities; furthermore, the following persons or entities are not
1721 authorized to acquire or own medical records, but are authorized
1722 under the confidentiality and disclosure requirements of this
1723 section to maintain those documents required by the part or
1724 chapter under which they are licensed or regulated:
1725 (k) Persons or entities practicing under s. 627.7265 s.
1726 627.736(7).
1727 Section 32. Paragraphs (ee) and (ff) of subsection (1) of
1728 section 456.072, Florida Statutes, are amended to read:
1729 456.072 Grounds for discipline; penalties; enforcement.—
1730 (1) The following acts shall constitute grounds for which
1731 the disciplinary actions specified in subsection (2) may be
1732 taken:
1733 (ee) With respect to making a medical payments coverage
1734 personal injury protection claim under s. 627.7265 as required
1735 by s. 627.736, intentionally submitting a claim, statement, or
1736 bill that has been upcoded. As used in this paragraph, the term
1737 “upcoded” means an action that submits a billing code that would
1738 result in a greater payment amount than would be paid using a
1739 billing code that accurately describes the services performed.
1740 The term does not include an otherwise lawful bill by a magnetic
1741 resonance imaging facility which globally combines both
1742 technical and professional components, if the amount of the
1743 global bill is not more than the components if billed
1744 separately; however, payment of such a bill constitutes payment
1745 in full for all components of such service “upcoded” as defined
1746 in s. 627.732.
1747 (ff) With respect to making a medical payments coverage
1748 personal injury protection claim pursuant to s. 627.7265 as
1749 required by s. 627.736, intentionally submitting a claim,
1750 statement, or bill for payment of services that were not
1751 rendered.
1752 Section 33. Section 559.920, Florida Statutes, is reordered
1753 and amended to read:
1754 559.920 Unlawful acts and practices.—It shall be a
1755 violation of this act for any motor vehicle repair shop or
1756 employee thereof to do any of the following:
1757 (1) Engage or attempt to engage in repair work for
1758 compensation of any type without first being registered with or
1759 having submitted an affidavit of exemption to the department.;
1760 (2) Make or charge for repairs which have not been
1761 expressly or impliedly authorized by the customer.;
1762 (3) Misrepresent that repairs have been made to a motor
1763 vehicle.;
1764 (4) Misrepresent that certain parts and repairs are
1765 necessary to repair a vehicle.;
1766 (5) Misrepresent that the vehicle being inspected or
1767 diagnosed is in a dangerous condition or that the customer’s
1768 continued use of the vehicle may be harmful or cause great
1769 damage to the vehicle.;
1770 (6) Fraudulently alter any customer contract, estimate,
1771 invoice, or other document.;
1772 (7) Fraudulently misuse any customer’s credit card.;
1773 (8) Make or authorize in any manner or by any means
1774 whatever any written or oral statement which is untrue,
1775 deceptive or misleading, and which is known, or which by the
1776 exercise of reasonable care should be known, to be untrue,
1777 deceptive or misleading.;
1778 (9) Make false promises of a character likely to influence,
1779 persuade, or induce a customer to authorize the repair, service,
1780 or maintenance of a motor vehicle.;
1781 (10) Substitute used, rebuilt, salvaged, or straightened
1782 parts for new replacement parts without notice to the motor
1783 vehicle owner and to her or his insurer if the cost of repair is
1784 to be paid pursuant to an insurance policy and the identity of
1785 the insurer or its claims adjuster is disclosed to the motor
1786 vehicle repair shop.;
1787 (11) Cause or allow a customer to sign any work order that
1788 does not state the repairs requested by the customer or the
1789 automobile’s odometer reading at the time of repair.;
1790 (12) Fail or refuse to give to a customer a copy of any
1791 document requiring the customer’s signature upon completion or
1792 cancellation of the repair work.;
1793 (13) Willfully depart from or disregard accepted practices
1794 and professional standards.;
1795 (14) Have repair work subcontracted without the knowledge
1796 or consent of the customer unless the motor vehicle repair shop
1797 or employee thereof demonstrates that the customer could not
1798 reasonably have been notified.;
1799 (15) Conduct the business of motor vehicle repair in a
1800 location other than that stated on the registration
1801 certificate.;
1802 (16) Rebuild or restore a rebuilt vehicle without the
1803 knowledge of the owner in such a manner that it does not conform
1804 to the original vehicle manufacturer’s established repair
1805 procedures or specifications and allowable tolerances for the
1806 particular model and year.; or
1807 (17) With respect to the replacement or repair of a motor
1808 vehicle windshield:
1809 (a) Threaten, coerce, or intimidate an insured into
1810 selecting a particular motor vehicle glass repair facility or
1811 motor vehicle repair shop;
1812 (b) Waive or offer to waive the insured’s deductible or
1813 offer a rebate, gift, gift card, cash, coupon, or anything of
1814 value to a third party in exchange for a referral of an insured
1815 to the motor vehicle glass repair facility or motor vehicle
1816 repair shop in connection with any claim under an insurance
1817 policy; or
1818 (c) Waive or offer to waive the insured’s deductible or
1819 offer a rebate, gift, gift card, cash, coupon, or anything of
1820 value to an insured in exchange for the insured filing a motor
1821 vehicle windshield claim under an insurance policy.
1822 (19)(17) Perform any other act that is a violation of this
1823 part or that constitutes fraud or misrepresentation.
1824 (18) Violate any provision of s. 713.585.
1825 Section 34. Paragraph (b) of subsection (1) and subsection
1826 (8) of section 624.155, Florida Statutes, are amended to read:
1827 624.155 Civil remedy.—
1828 (1) Any person may bring a civil action against an insurer
1829 when such person is damaged:
1830 (b) By the commission of any of the following acts by the
1831 insurer:
1832 1. Except for a third-party bad faith failure to settle
1833 claim subject to s. 624.156, not attempting in good faith to
1834 settle claims when, under all the circumstances, it could and
1835 should have done so, had it acted fairly and honestly toward its
1836 insured and with due regard for her or his interests;
1837 2. Making claims payments to insureds or beneficiaries not
1838 accompanied by a statement setting forth the coverage under
1839 which payments are being made; or
1840 3. Except as to liability coverages, failing to promptly
1841 settle claims, when the obligation to settle a claim has become
1842 reasonably clear, under one portion of the insurance policy
1843 coverage in order to influence settlements under other portions
1844 of the insurance policy coverage; or
1845 4. When handling a first-party claim under a motor vehicle
1846 insurance policy, not attempting in good faith to settle such
1847 claim pursuant to subparagraph 1. when such failure is caused by
1848 a failure to communicate to an insured:
1849 a. Information on who is adjusting the claim;
1850 b. Any issues that may impair the insured’s coverage;
1851 c. Information that might resolve the issue in a prompt
1852 manner;
1853 d. Any basis for the insurer’s rejection or nonacceptance
1854 of any settlement offer; or
1855 e. Any needed extensions to respond to a time-limited
1856 settlement offer.
1857
1858 Notwithstanding the provisions of the above to the contrary, a
1859 person pursuing a remedy under this section need not prove that
1860 such act was committed or performed with such frequency as to
1861 indicate a general business practice.
1862 (8) The civil remedy specified in this section does not
1863 preempt any other remedy or cause of action provided for
1864 pursuant to any other statute or pursuant to the common law of
1865 this state. A Any person is may obtain a judgment under either
1866 the common-law remedy of bad faith or this statutory remedy, but
1867 shall not be entitled to a judgment under multiple bad faith
1868 both remedies, whether under statute or common law. This section
1869 shall not be construed to create a common-law cause of action.
1870 The damages recoverable pursuant to this section shall include
1871 those damages which are a reasonably foreseeable result of a
1872 specified violation of this section by the authorized insurer
1873 and may include an award or judgment in an amount that exceeds
1874 the policy limits.
1875 Section 35. Section 624.156, Florida Statutes, is created
1876 to read:
1877 624.156 Bad faith failure to settle actions against motor
1878 vehicle insurers by third-party claimants.—
1879 (1) SCOPE.—This section applies in all actions against any
1880 insurer by a third party for bad faith failure to settle,
1881 whether under statute or common law, for a loss arising out of
1882 the ownership, maintenance, or use of a motor vehicle operated
1883 or principally garaged in this state at the time of an accident,
1884 regardless of whether the insurer is authorized to do business
1885 in this state or issued a policy in this state.
1886 (2) DUTY OF GOOD FAITH.—In handling claims, an insurer has
1887 a fiduciary duty to its insured and must handle claims in good
1888 faith. The insurer shall comply with the best practice standards
1889 of subsection (4) using the same degree of care and diligence as
1890 a person of ordinary care and prudence would exercise in the
1891 management of his or her own business.
1892 (3) BAD FAITH FAILURE TO SETTLE.—“Bad faith failure to
1893 settle” means an insurer’s failure to settle a claim when, under
1894 all the circumstances, it could and should have done so, had it
1895 acted fairly and honestly toward its insured and with due regard
1896 for the insured’s interests.
1897 (4) BEST PRACTICE STANDARDS.—Upon the earlier of receiving
1898 notice of a claim or, under subsection (6), a demand for
1899 settlement, an insurer must do all of the following:
1900 (a) Assign a duly licensed and appointed insurance adjuster
1901 to investigate the claim and resolve any questions concerning
1902 the existence or extent of the insured’s coverage.
1903 (b) Evaluate every claim fairly, honestly, and with due
1904 regard for the interests of its insured, consider the full
1905 extent of the claimant’s recoverable damages, and consider the
1906 information in a reasonable and prudent manner.
1907 (c) Request from the insured or claimant additional
1908 relevant information deemed necessary.
1909 (d) Conduct all verbal and written communications with the
1910 utmost honesty and complete candor.
1911 (e) Make reasonable efforts to explain to nonattorneys
1912 matters requiring expertise beyond the level normally expected
1913 of a layperson with no training in insurance or claims-handling
1914 issues.
1915 (f) Save all written communications and note and save all
1916 verbal communications in a reasonable manner.
1917 (g) Provide the insured, upon request, with all
1918 nonprivileged communications related to the insurer’s handling
1919 of the claim.
1920 (h) Provide, at the insurer’s expense, reasonable
1921 accommodations necessary to communicate effectively with an
1922 insured covered under the Americans with Disabilities Act.
1923 (i) In handling third-party claims, communicate to an
1924 insured:
1925 1. The identity of any other person or entity the insurer
1926 knows may be liable;
1927 2. The insurer’s activity on and evaluation of the claim;
1928 3. The likelihood and possible extent of an excess
1929 judgment;
1930 4. Steps the insured can take to avoid exposure to an
1931 excess judgment;
1932 5. Requests for examinations under oath and an explanation
1933 of the consequences of an insured’s failure to submit to an
1934 examination under oath; and
1935 6. Any demands for settlement under subsection (6) or
1936 settlement offers.
1937 (j) When a loss involves multiple claimants and the
1938 claimants are unwilling to settle cumulatively within the policy
1939 limits and release the insured from further liability, in
1940 addition to fulfilling the requirements of paragraphs (a)-(i),
1941 attempt to minimize the risk of excess judgments against the
1942 insured and settle as many claims as possible within the policy
1943 limits in exchange for a release of the insured from further
1944 liability.
1945 (5) CONDITIONS PRECEDENT.—It is a condition precedent to
1946 filing a third-party action for bad faith failure to settle
1947 against an insurer that the claimant must:
1948 (a) Serve a demand for settlement, as provided in
1949 subsection (6), within the insurer’s limits of liability in
1950 exchange for a release of further liability against the insured;
1951 and
1952 (b) Obtain a final judgment in excess of the policy limits
1953 against the insured.
1954 (6) DEMAND FOR SETTLEMENT.—A demand for settlement must do
1955 all of the following:
1956 (a) Identify the:
1957 1. Date and location of loss;
1958 2. Name, address, and date of birth of the claimant;
1959 3. Name of each insured to whom the demand for settlement
1960 is directed; and
1961 4. Legal and factual basis of the claim.
1962 (b) Provide a reasonably detailed description of the
1963 claimant’s:
1964 1. Known injuries caused or aggravated by the incident on
1965 which the claim is based;
1966 2. Medical treatment causally related to the incident on
1967 which the claim is based; and
1968 3. Type and amount of known damages incurred and, if any,
1969 the damages the claimant reasonably anticipates incurring in the
1970 future.
1971 (c) State the amount of the demand for settlement.
1972 (d) State whether the demand for settlement is conditioned
1973 on the completion of an examination under oath, as authorized by
1974 subsection (8).
1975 (e) Provide a physical address, an e-mail address, and a
1976 facsimile number for further communications, including, but not
1977 limited to, responses to the demand for settlement.
1978 (f) Release the insured from any further liability upon the
1979 insurer’s acceptance of a demand for settlement which is not
1980 withdrawn pursuant to paragraph (8)(e) or paragraph (8)(g) or
1981 accepted pursuant to paragraph (8)(f).
1982 (g) Be served upon the insurer by certified mail at the
1983 address designated by the insurer with the Department of
1984 Financial Services under s. 624.422(2).
1985 (7) LIMITATIONS ON CONDITIONS OF ACCEPTANCE OF A DEMAND.—A
1986 claimant may not place any conditions on acceptance of a demand
1987 for settlement other than electing the right to examine the
1988 insured under oath regarding any of the following:
1989 (a) Whether the insured has the ability to satisfy a claim
1990 for damages in excess of the insurer’s limits of liability.
1991 (b) Whether any other person or entity may have actual or
1992 potential direct or vicarious liability for the insured’s
1993 negligence.
1994 (c) Whether any other insurance exists that may cover some
1995 or all of the damages sustained by the claimant.
1996 (8) EXAMINATION UNDER OATH.—After serving a demand for
1997 settlement, a claimant may examine the insured under oath, on
1998 one occasion for a period of time not to exceed 2 hours,
1999 regarding only the issues in subsection (7).
2000 (a) The claimant may request that the insured bring to the
2001 examination relevant documents in the insured’s possession,
2002 custody, or control, including, but not limited to, credit
2003 reports, insurance policies, bank statements, tax returns,
2004 deeds, titles, and other proof of assets or liabilities.
2005 (b) Except as provided in paragraph (7)(b), the claimant
2006 may not examine the insured regarding liability.
2007 (c) The claimant, the insurer, and the insured shall
2008 cooperate in scheduling the examination under oath. The insurer
2009 shall notify the insured of the date, time, and location of the
2010 examination under oath.
2011 (d) The examination under oath must occur within 30 days
2012 after the insurer’s acceptance of the settlement demand.
2013 (e) The claimant may withdraw the demand for settlement if
2014 the insured refuses to submit to an examination under oath.
2015 (f) If the insured refuses to submit to an examination
2016 under oath, the insurer may accept the demand for settlement
2017 without requiring a release of the insured. An insurer that
2018 accepts the demand for settlement pursuant to this paragraph
2019 does not have any further duty to defend the insured and may not
2020 be held liable for damages to the insured if the claimant
2021 thereafter obtains an excess judgment against the insured.
2022 (g) Within 7 days after the examination under oath, the
2023 claimant may withdraw the demand for settlement.
2024 (9) SAFE HARBOR.—When one claim arises out of a single
2025 occurrence, an insurer is not liable in a bad faith failure to
2026 settle action if the insurer tenders its policy limits within 60
2027 days after receiving a demand for settlement under subsection
2028 (6).
2029 (a) When competing claims arise out of a single occurrence
2030 and the sum of the competing claims exceeds the policy limits,
2031 an insurer is not liable in a bad faith failure to settle action
2032 if the insurer initiates an interpleader action at policy limits
2033 within 60 days after receiving notice of the competing claims.
2034 If the court finds for one or more of the claimants, the court
2035 must award the claimants their respective pro rata share of the
2036 interpleaded funds.
2037 (b) This subsection does not affect an insurer’s duties to
2038 its insured other than duties related to bad faith failure to
2039 settle.
2040 (10) RELEASE.—An insurer that accepts a demand for
2041 settlement under subsection (6) shall be entitled to a release
2042 of its insured, except as provided in paragraph (8)(f).
2043 (11) BURDEN OF PROOF.—In any third-party action for bad
2044 faith failure to settle, the claimant must prove by the
2045 preponderance of the evidence that the insurer violated its duty
2046 of good faith under subsection (2) and that the insurer in bad
2047 faith failed to settle, as defined in subsection (3).
2048 (a) In determining whether an insurer violated its duty of
2049 good faith under subsection (2) and in bad faith failed to
2050 settle, as defined in subsection (3), the trier of fact shall
2051 consider all of the following:
2052 1. Whether the insurer complied with the best practice
2053 standards of subsection (4) using the same degree of care and
2054 diligence as a person of ordinary care and prudence would
2055 exercise in the management of his or her own business.
2056 2. Whether the insurer failed to settle a claim when, under
2057 all the circumstances, it could and should have done so, had it
2058 acted fairly and honestly toward its insured and with due regard
2059 for the insured’s interests.
2060 3. Whether the claimant or insured failed to provide
2061 relevant information to the insurer on a timely basis.
2062 4. Whether the claimant or insured misrepresented material
2063 facts to the insurer or made material omissions of fact to the
2064 insurer.
2065 5. Whether the insured denied liability or requested that
2066 the case be defended after the insurer fully advised the insured
2067 as to the facts and risks.
2068 6. Whether the insurer timely informed the insured of a
2069 demand to settle within the limits of coverage, the right to
2070 retain personal counsel, and the risk of litigation.
2071 7. The insurer’s willingness to negotiate with the claimant
2072 in anticipation of settlement.
2073 8. The amount of damages the claimant incurred or was
2074 likely to incur in the future under the facts known or
2075 reasonably available at the time of the insurer’s response.
2076 9. If applicable, whether there were multiple third-party
2077 claimants seeking, in the aggregate, compensation in excess of
2078 the policy limits from the insured; and, if so, whether the
2079 insurer breached its duty to attempt to minimize the magnitude
2080 of possible excess judgments against the insured and to attempt
2081 to settle as many claims as possible within the policy limits in
2082 exchange for a release of the insured from further liability.
2083 10. Additional factors that the court determines to be
2084 relevant.
2085 (b) The trier of fact, in determining whether an insurer in
2086 bad faith failed to settle, must be informed that an excess
2087 judgment occurred but may not be informed of the amount of the
2088 excess judgment.
2089 (12) DAMAGES.—An insurer that is found to have violated its
2090 duty of good faith under subsection (2) and in bad faith failed
2091 to settle, as defined in subsection (3), is liable for the
2092 amount of any excess judgment. No other damages, including, but
2093 not limited to, punitive damages, may be awarded in a third
2094 party bad faith failure to settle action.
2095 (13) ENFORCEMENT.—If a judgment creditor has served a
2096 demand for settlement under subsection (6) and the judgment
2097 exceeds the insured’s limits of liability, the judgment creditor
2098 must be subrogated to the rights of the insured against the
2099 insurer for common law bad faith.
2100 (14) LIMITATION ON MULTIPLE REMEDIES.—A person is not
2101 entitled to a judgment under multiple bad faith remedies,
2102 whether under statute or common law.
2103 Section 36. Paragraphs (i) and (o) of subsection (1) of
2104 section 626.9541, Florida Statutes, are amended to read:
2105 626.9541 Unfair methods of competition and unfair or
2106 deceptive acts or practices defined.—
2107 (1) UNFAIR METHODS OF COMPETITION AND UNFAIR OR DECEPTIVE
2108 ACTS.—The following are defined as unfair methods of competition
2109 and unfair or deceptive acts or practices:
2110 (i) Unfair claim settlement practices.—
2111 1. Attempting to settle claims on the basis of an
2112 application, when serving as a binder or intended to become a
2113 part of the policy, or any other material document which was
2114 altered without notice to, or knowledge or consent of, the
2115 insured;
2116 2. Making a material misrepresentation made to an insured
2117 or any other person having an interest in the proceeds payable
2118 under such contract or policy, for the purpose and with the
2119 intent of effecting settlement of such claims, loss, or damage
2120 under such contract or policy on less favorable terms than those
2121 provided in, and contemplated by, such contract or policy; or
2122 3. Committing or performing with such frequency as to
2123 indicate a general business practice any of the following:
2124 a. Failing to adopt and implement standards for the proper
2125 investigation of claims;
2126 b. Misrepresenting pertinent facts or insurance policy
2127 provisions relating to coverages at issue;
2128 c. Failing to acknowledge and act promptly upon
2129 communications with respect to claims;
2130 d. Denying claims without conducting reasonable
2131 investigations based upon available information;
2132 e. Failing to affirm or deny full or partial coverage of
2133 claims, and, as to partial coverage, the dollar amount or extent
2134 of coverage, or failing to provide a written statement that the
2135 claim is being investigated, upon the written request of the
2136 insured within 30 days after proof-of-loss statements have been
2137 completed;
2138 f. Failing to promptly provide a reasonable explanation in
2139 writing to the insured of the basis in the insurance policy, in
2140 relation to the facts or applicable law, for denial of a claim
2141 or for the offer of a compromise settlement;
2142 g. Failing to promptly notify the insured of any additional
2143 information necessary for the processing of a claim; or
2144 h. Failing to clearly explain the nature of the requested
2145 information and the reasons why such information is necessary.
2146 i. Failing to pay personal injury protection insurance
2147 claims within the time periods required by s. 627.736(4)(b). The
2148 office may order the insurer to pay restitution to a
2149 policyholder, medical provider, or other claimant, including
2150 interest at a rate consistent with the amount set forth in s.
2151 55.03(1), for the time period within which an insurer fails to
2152 pay claims as required by law. Restitution is in addition to any
2153 other penalties allowed by law, including, but not limited to,
2154 the suspension of the insurer’s certificate of authority.
2155 4. Failing to pay undisputed amounts of partial or full
2156 benefits owed under first-party property insurance policies
2157 within 90 days after an insurer receives notice of a residential
2158 property insurance claim, determines the amounts of partial or
2159 full benefits, and agrees to coverage, unless payment of the
2160 undisputed benefits is prevented by an act of God, prevented by
2161 the impossibility of performance, or due to actions by the
2162 insured or claimant that constitute fraud, lack of cooperation,
2163 or intentional misrepresentation regarding the claim for which
2164 benefits are owed.
2165 (o) Illegal dealings in premiums; excess or reduced charges
2166 for insurance.—
2167 1. Knowingly collecting any sum as a premium or charge for
2168 insurance, which is not then provided, or is not in due course
2169 to be provided, subject to acceptance of the risk by the
2170 insurer, by an insurance policy issued by an insurer as
2171 permitted by this code.
2172 2. Knowingly collecting as a premium or charge for
2173 insurance any sum in excess of or less than the premium or
2174 charge applicable to such insurance, in accordance with the
2175 applicable classifications and rates as filed with and approved
2176 by the office, and as specified in the policy; or, in cases when
2177 classifications, premiums, or rates are not required by this
2178 code to be so filed and approved, premiums and charges collected
2179 from a Florida resident in excess of or less than those
2180 specified in the policy and as fixed by the insurer.
2181 Notwithstanding any other provision of law, this provision shall
2182 not be deemed to prohibit the charging and collection, by
2183 surplus lines agents licensed under part VIII of this chapter,
2184 of the amount of applicable state and federal taxes, or fees as
2185 authorized by s. 626.916(4), in addition to the premium required
2186 by the insurer or the charging and collection, by licensed
2187 agents, of the exact amount of any discount or other such fee
2188 charged by a credit card facility in connection with the use of
2189 a credit card, as authorized by subparagraph (q)3., in addition
2190 to the premium required by the insurer. This subparagraph shall
2191 not be construed to prohibit collection of a premium for a
2192 universal life or a variable or indeterminate value insurance
2193 policy made in accordance with the terms of the contract.
2194 3.a. Imposing or requesting an additional premium for
2195 bodily injury liability coverage, property damage liability
2196 coverage a policy of motor vehicle liability, personal injury
2197 protection, medical payments coverage payment, or collision
2198 coverage in a motor vehicle liability insurance policy insurance
2199 or any combination thereof or refusing to renew the policy
2200 solely because the insured was involved in a motor vehicle
2201 accident unless the insurer’s file contains information from
2202 which the insurer in good faith determines that the insured was
2203 substantially at fault in the accident.
2204 b. An insurer which imposes and collects such a surcharge
2205 or which refuses to renew such policy shall, in conjunction with
2206 the notice of premium due or notice of nonrenewal, notify the
2207 named insured that he or she is entitled to reimbursement of
2208 such amount or renewal of the policy under the conditions listed
2209 below and will subsequently reimburse him or her or renew the
2210 policy, if the named insured demonstrates that the operator
2211 involved in the accident was:
2212 (I) Lawfully parked;
2213 (II) Reimbursed by, or on behalf of, a person responsible
2214 for the accident or has a judgment against such person;
2215 (III) Struck in the rear by another vehicle headed in the
2216 same direction and was not convicted of a moving traffic
2217 violation in connection with the accident;
2218 (IV) Hit by a “hit-and-run” driver, if the accident was
2219 reported to the proper authorities within 24 hours after
2220 discovering the accident;
2221 (V) Not convicted of a moving traffic violation in
2222 connection with the accident, but the operator of the other
2223 automobile involved in such accident was convicted of a moving
2224 traffic violation;
2225 (VI) Finally adjudicated not to be liable by a court of
2226 competent jurisdiction;
2227 (VII) In receipt of a traffic citation which was dismissed
2228 or nolle prossed; or
2229 (VIII) Not at fault as evidenced by a written statement
2230 from the insured establishing facts demonstrating lack of fault
2231 which are not rebutted by information in the insurer’s file from
2232 which the insurer in good faith determines that the insured was
2233 substantially at fault.
2234 c. In addition to the other provisions of this
2235 subparagraph, an insurer may not fail to renew a policy if the
2236 insured has had only one accident in which he or she was at
2237 fault within the current 3-year period. However, an insurer may
2238 nonrenew a policy for reasons other than accidents in accordance
2239 with s. 627.728. This subparagraph does not prohibit nonrenewal
2240 of a policy under which the insured has had three or more
2241 accidents, regardless of fault, during the most recent 3-year
2242 period.
2243 4. Imposing or requesting an additional premium for, or
2244 refusing to renew, a policy for motor vehicle insurance solely
2245 because the insured committed a noncriminal traffic infraction
2246 as described in s. 318.14 unless the infraction is:
2247 a. A second infraction committed within an 18-month period,
2248 or a third or subsequent infraction committed within a 36-month
2249 period.
2250 b. A violation of s. 316.183, when such violation is a
2251 result of exceeding the lawful speed limit by more than 15 miles
2252 per hour.
2253 5. Upon the request of the insured, the insurer and
2254 licensed agent shall supply to the insured the complete proof of
2255 fault or other criteria which justifies the additional charge or
2256 cancellation.
2257 6. No insurer shall impose or request an additional premium
2258 for motor vehicle insurance, cancel or refuse to issue a policy,
2259 or refuse to renew a policy because the insured or the applicant
2260 is a handicapped or physically disabled person, so long as such
2261 handicap or physical disability does not substantially impair
2262 such person’s mechanically assisted driving ability.
2263 7. No insurer may cancel or otherwise terminate any
2264 insurance contract or coverage, or require execution of a
2265 consent to rate endorsement, during the stated policy term for
2266 the purpose of offering to issue, or issuing, a similar or
2267 identical contract or coverage to the same insured with the same
2268 exposure at a higher premium rate or continuing an existing
2269 contract or coverage with the same exposure at an increased
2270 premium.
2271 8. No insurer may issue a nonrenewal notice on any
2272 insurance contract or coverage, or require execution of a
2273 consent to rate endorsement, for the purpose of offering to
2274 issue, or issuing, a similar or identical contract or coverage
2275 to the same insured at a higher premium rate or continuing an
2276 existing contract or coverage at an increased premium without
2277 meeting any applicable notice requirements.
2278 9. No insurer shall, with respect to premiums charged for
2279 motor vehicle insurance, unfairly discriminate solely on the
2280 basis of age, sex, marital status, or scholastic achievement.
2281 10. Imposing or requesting an additional premium for motor
2282 vehicle comprehensive or uninsured motorist coverage solely
2283 because the insured was involved in a motor vehicle accident or
2284 was convicted of a moving traffic violation.
2285 11. No insurer shall cancel or issue a nonrenewal notice on
2286 any insurance policy or contract without complying with any
2287 applicable cancellation or nonrenewal provision required under
2288 the Florida Insurance Code.
2289 12. No insurer shall impose or request an additional
2290 premium, cancel a policy, or issue a nonrenewal notice on any
2291 insurance policy or contract because of any traffic infraction
2292 when adjudication has been withheld and no points have been
2293 assessed pursuant to s. 318.14(9) and (10). However, this
2294 subparagraph does not apply to traffic infractions involving
2295 accidents in which the insurer has incurred a loss due to the
2296 fault of the insured.
2297 Section 37. Paragraph (a) of subsection (1) of section
2298 626.989, Florida Statutes, is amended to read:
2299 626.989 Investigation by department or Division of
2300 Investigative and Forensic Services; compliance; immunity;
2301 confidential information; reports to division; division
2302 investigator’s power of arrest.—
2303 (1) For the purposes of this section:
2304 (a) A person commits a “fraudulent insurance act” if the
2305 person:
2306 1. Knowingly and with intent to defraud presents, causes to
2307 be presented, or prepares with knowledge or belief that it will
2308 be presented, to or by an insurer, self-insurer, self-insurance
2309 fund, servicing corporation, purported insurer, broker, or any
2310 agent thereof, any written statement as part of, or in support
2311 of, an application for the issuance of, or the rating of, any
2312 insurance policy, or a claim for payment or other benefit
2313 pursuant to any insurance policy, which the person knows to
2314 contain materially false information concerning any fact
2315 material thereto or if the person conceals, for the purpose of
2316 misleading another, information concerning any fact material
2317 thereto.
2318 2. Knowingly submits:
2319 a. A false, misleading, or fraudulent application or other
2320 document when applying for licensure as a health care clinic,
2321 seeking an exemption from licensure as a health care clinic, or
2322 demonstrating compliance with part X of chapter 400 with an
2323 intent to use the license, exemption from licensure, or
2324 demonstration of compliance to provide services or seek
2325 reimbursement under a motor vehicle liability insurance policy’s
2326 medical payments coverage the Florida Motor Vehicle No-Fault
2327 Law.
2328 b. A claim for payment or other benefit under medical
2329 payments coverage, pursuant to a personal injury protection
2330 insurance policy under the Florida Motor Vehicle No-Fault Law if
2331 the person knows that the payee knowingly submitted a false,
2332 misleading, or fraudulent application or other document when
2333 applying for licensure as a health care clinic, seeking an
2334 exemption from licensure as a health care clinic, or
2335 demonstrating compliance with part X of chapter 400.
2336 Section 38. Subsection (1) of section 627.06501, Florida
2337 Statutes, is amended to read:
2338 627.06501 Insurance discounts for certain persons
2339 completing driver improvement course.—
2340 (1) Any rate, rating schedule, or rating manual for the
2341 liability, medical payments personal injury protection, and
2342 collision coverages of a motor vehicle insurance policy filed
2343 with the office may provide for an appropriate reduction in
2344 premium charges as to such coverages if when the principal
2345 operator on the covered vehicle has successfully completed a
2346 driver improvement course approved and certified by the
2347 Department of Highway Safety and Motor Vehicles which is
2348 effective in reducing crash or violation rates, or both, as
2349 determined pursuant to s. 318.1451(5). Any discount, not to
2350 exceed 10 percent, used by an insurer is presumed to be
2351 appropriate unless credible data demonstrates otherwise.
2352 Section 39. Subsection (15) is added to section 627.0651,
2353 Florida Statutes, to read:
2354 627.0651 Making and use of rates for motor vehicle
2355 insurance.—
2356 (15) Initial rate filings for motor vehicle liability
2357 policies which are submitted to the office on or after January
2358 1, 2022, must reflect the financial responsibility requirements
2359 in s. 324.022 then in effect and may be approved only through
2360 the file and use process under s. 627.0651(1)(a).
2361 Section 40. Subsection (1) of section 627.0652, Florida
2362 Statutes, is amended to read:
2363 627.0652 Insurance discounts for certain persons completing
2364 safety course.—
2365 (1) Any rates, rating schedules, or rating manuals for the
2366 liability, medical payments personal injury protection, and
2367 collision coverages of a motor vehicle insurance policy filed
2368 with the office must shall provide for an appropriate reduction
2369 in premium charges as to such coverages if when the principal
2370 operator on the covered vehicle is an insured 55 years of age or
2371 older who has successfully completed a motor vehicle accident
2372 prevention course approved by the Department of Highway Safety
2373 and Motor Vehicles. Any discount used by an insurer is presumed
2374 to be appropriate unless credible data demonstrates otherwise.
2375 Section 41. Subsections (1), (3), and (6) of section
2376 627.0653, Florida Statutes, are amended to read:
2377 627.0653 Insurance discounts for specified motor vehicle
2378 equipment.—
2379 (1) Any rates, rating schedules, or rating manuals for the
2380 liability, medical payments personal injury protection, and
2381 collision coverages of a motor vehicle insurance policy filed
2382 with the office must shall provide a premium discount if the
2383 insured vehicle is equipped with factory-installed, four-wheel
2384 antilock brakes.
2385 (3) Any rates, rating schedules, or rating manuals for
2386 personal injury protection coverage and medical payments
2387 coverage, if offered, of a motor vehicle insurance policy filed
2388 with the office must shall provide a premium discount if the
2389 insured vehicle is equipped with one or more air bags that which
2390 are factory installed.
2391 (6) The Office of Insurance Regulation may approve a
2392 premium discount to any rates, rating schedules, or rating
2393 manuals for the liability, medical payments personal injury
2394 protection, and collision coverages of a motor vehicle insurance
2395 policy filed with the office if the insured vehicle is equipped
2396 with an automated driving system or electronic vehicle collision
2397 avoidance technology that is factory installed or a retrofitted
2398 system and that complies with National Highway Traffic Safety
2399 Administration standards.
2400 Section 42. Section 627.4132, Florida Statutes, is amended
2401 to read:
2402 627.4132 Stacking of coverages prohibited.—If an insured or
2403 named insured is protected by any type of motor vehicle
2404 insurance policy for bodily injury and property damage
2405 liability, personal injury protection, or other coverage, the
2406 policy must shall provide that the insured or named insured is
2407 protected only to the extent of the coverage she or he has on
2408 the vehicle involved in the accident. However, if none of the
2409 insured’s or named insured’s vehicles are is involved in the
2410 accident, coverage is available only to the extent of coverage
2411 on any one of the vehicles with applicable coverage. Coverage on
2412 any other vehicles may shall not be added to or stacked upon
2413 that coverage. This section does not apply:
2414 (1) Apply to uninsured motorist coverage that which is
2415 separately governed by s. 627.727.
2416 (2) To Reduce the coverage available by reason of insurance
2417 policies insuring different named insureds.
2418 Section 43. Subsection (1) of section 627.4137, Florida
2419 Statutes, is amended to read:
2420 627.4137 Disclosure of certain information required.—
2421 (1) Each insurer which does or may provide liability
2422 insurance coverage to pay all or a portion of any claim which
2423 might be made shall provide, within 30 days of the written
2424 request of the claimant or the claimant’s attorney, a statement,
2425 under oath, of a corporate officer or the insurer’s claims
2426 manager or superintendent setting forth the following
2427 information with regard to each known policy of insurance,
2428 including excess or umbrella insurance:
2429 (a) The name of the insurer.
2430 (b) The name of each insured.
2431 (c) The limits of the liability coverage.
2432 (d) A statement of any policy or coverage defense which
2433 such insurer reasonably believes is available to such insurer at
2434 the time of filing such statement.
2435 (e) A copy of the policy.
2436
2437 In addition, the insured, or her or his insurance agent, upon
2438 written request of the claimant or the claimant’s attorney,
2439 shall disclose the name and coverage of each known insurer to
2440 the claimant and shall forward such request for information as
2441 required by this subsection to all affected insurers. The
2442 insurer shall then supply the information required in this
2443 subsection to the claimant within 30 days of receipt of such
2444 request. If an insurer fails to timely comply with this section,
2445 the claimant may file an action in a court of competent
2446 jurisdiction to enforce this section. If the court determines
2447 that the insurer violated this section, the claimant is entitled
2448 to an award of reasonable attorney fees and costs to be paid by
2449 the insurer.
2450 Section 44. Section 627.7263, Florida Statutes, is amended
2451 to read:
2452 627.7263 Rental and leasing driver’s insurance to be
2453 primary; exception.—
2454 (1) The valid and collectible liability insurance and
2455 medical payments coverage or personal injury protection
2456 insurance providing coverage for the lessor of a motor vehicle
2457 for rent or lease is primary unless otherwise stated in at least
2458 10-point type on the face of the rental or lease agreement. Such
2459 insurance is primary for the limits of liability and personal
2460 injury protection coverage as required by s. 324.021(7) and the
2461 medical payments coverage limit specified under s. 627.7265 ss.
2462 324.021(7) and 627.736.
2463 (2) If the lessee’s coverage is to be primary, the rental
2464 or lease agreement must contain the following language, in at
2465 least 10-point type:
2466
2467 “The valid and collectible liability insurance and medical
2468 payments coverage personal injury protection insurance of an any
2469 authorized rental or leasing driver is primary for the limits of
2470 liability and personal injury protection coverage required under
2471 section 324.021(7), Florida Statutes, and the medical payments
2472 coverage limit specified under section 627.7265 by ss.
2473 324.021(7) and 627.736, Florida Statutes.”
2474 Section 45. Section 627.7265, Florida Statutes, is created
2475 to read:
2476 627.7265 Motor vehicle insurance; medical payments
2477 coverage.—
2478 (1) Medical payments coverage must protect the named
2479 insured, resident relatives, persons operating the insured motor
2480 vehicle, passengers in the insured motor vehicle, and persons
2481 who are struck by the insured motor vehicle and suffer bodily
2482 injury while not an occupant of a self-propelled motor vehicle
2483 at a limit of at least $5,000 for medical expense incurred due
2484 to bodily injury, sickness, or disease arising out of the
2485 ownership, maintenance, or use of a motor vehicle. Medical
2486 payments coverage must pay for reasonable expenses for necessary
2487 medical, diagnostic, and rehabilitative services that are
2488 lawfully provided, supervised, ordered, or prescribed by a
2489 physician licensed under chapter 458 or chapter 459, by a
2490 dentist licensed under chapter 466, or by a chiropractic
2491 physician licensed under chapter 460 or that are provided in a
2492 hospital or in a facility that owns, or is wholly owned by, a
2493 hospital. The coverage must provide an additional death benefit
2494 of at least $5,000.
2495 (a) Before issuing a motor vehicle liability insurance
2496 policy that is furnished as proof of financial responsibility
2497 under s. 324.031, the insurer must offer medical payments
2498 coverage at limits of $5,000 and $10,000. The insurer may also
2499 offer medical payments coverage at any limit greater than
2500 $5,000.
2501 (b) The medical payments coverage must be offered with an
2502 option with no deductible. The insurer may also offer medical
2503 payments coverage with a deductible not to exceed $500.
2504 (c) This section may not be construed to limit any other
2505 coverage made available by an insurer.
2506 (2) Upon receiving notice of an accident that is
2507 potentially covered by medical payments coverage benefits, the
2508 insurer must reserve $5,000 of medical payments coverage
2509 benefits for payment to physicians licensed under chapter 458 or
2510 chapter 459 or dentists licensed under chapter 466 who provide
2511 emergency services and care, as defined in s. 395.002, or who
2512 provide hospital inpatient care. The amount required to be held
2513 in reserve may be used only to pay claims from such physicians
2514 or dentists until 30 days after the date the insurer receives
2515 notice of the accident. After the 30-day period, any amount of
2516 the reserve for which the insurer has not received notice of
2517 such claims may be used by the insurer to pay other claims. This
2518 subsection does not require an insurer to establish a claim
2519 reserve for insurance accounting purposes.
2520 (3) An insurer providing medical payments coverage benefits
2521 may not:
2522 (a) Seek a lien on any recovery in tort by judgment,
2523 settlement, or otherwise for medical payments coverage benefits,
2524 regardless of whether suit has been filed or settlement has been
2525 reached without suit; or
2526 (b) Bring a cause of action against a person to whom or for
2527 whom medical payments coverage benefits were paid, except when
2528 medical payments coverage benefits were paid by reason of fraud
2529 committed by that person.
2530 (4) An insurer providing medical payments coverage may
2531 include provisions in its policy allowing for subrogation for
2532 medical payments coverage benefits paid if the expenses giving
2533 rise to the payments were caused by the wrongful act or omission
2534 of another who is not also an insured under the policy paying
2535 the medical payments coverage benefits. However, this
2536 subrogation right is inferior to the rights of the injured
2537 insured and is available only after all the insured’s damages
2538 are recovered and the insured is made whole. An insured who
2539 obtains a recovery from a third party of the full amount of the
2540 damages sustained and delivers a release or satisfaction that
2541 impairs a medical payments insurer’s subrogation right is liable
2542 to the insurer for repayment of medical payments coverage
2543 benefits less any expenses of acquiring the recovery, including
2544 a prorated share of attorney fees and costs, and shall hold that
2545 net recovery in trust to be delivered to the medical payments
2546 insurer. The insurer may not include any provision in its policy
2547 allowing for subrogation for any death benefit paid.
2548 Section 46. Subsections (1) and (7) of section 627.727,
2549 Florida Statutes, are amended to read:
2550 627.727 Motor vehicle insurance; uninsured and underinsured
2551 vehicle coverage; insolvent insurer protection.—
2552 (1) A No motor vehicle liability insurance policy that
2553 which provides bodily injury liability coverage may not shall be
2554 delivered or issued for delivery in this state with respect to
2555 any specifically insured or identified motor vehicle registered
2556 or principally garaged in this state, unless uninsured motor
2557 vehicle coverage is provided therein or supplemental thereto for
2558 the protection of persons insured thereunder who are legally
2559 entitled to recover damages from owners or operators of
2560 uninsured motor vehicles because of bodily injury, sickness, or
2561 disease, including death, resulting therefrom. However, the
2562 coverage required under this section is not applicable if when,
2563 or to the extent that, an insured named in the policy makes a
2564 written rejection of the coverage on behalf of all insureds
2565 under the policy. If When a motor vehicle is leased for a period
2566 of 1 year or longer and the lessor of such vehicle, by the terms
2567 of the lease contract, provides liability coverage on the leased
2568 vehicle, the lessee of such vehicle has shall have the sole
2569 privilege to reject uninsured motorist coverage or to select
2570 lower limits than the bodily injury liability limits, regardless
2571 of whether the lessor is qualified as a self-insurer pursuant to
2572 s. 324.171. Unless an insured, or a lessee having the privilege
2573 of rejecting uninsured motorist coverage, requests such coverage
2574 or requests higher uninsured motorist limits in writing, the
2575 coverage or such higher uninsured motorist limits need not be
2576 provided in or supplemental to any other policy that which
2577 renews, extends, changes, supersedes, or replaces an existing
2578 policy with the same bodily injury liability limits when an
2579 insured or lessee had rejected the coverage. When an insured or
2580 lessee has initially selected limits of uninsured motorist
2581 coverage lower than her or his bodily injury liability limits,
2582 higher limits of uninsured motorist coverage need not be
2583 provided in or supplemental to any other policy that which
2584 renews, extends, changes, supersedes, or replaces an existing
2585 policy with the same bodily injury liability limits unless an
2586 insured requests higher uninsured motorist coverage in writing.
2587 The rejection or selection of lower limits must shall be made on
2588 a form approved by the office. The form must shall fully advise
2589 the applicant of the nature of the coverage and must shall state
2590 that the coverage is equal to bodily injury liability limits
2591 unless lower limits are requested or the coverage is rejected.
2592 The heading of the form must shall be in 12-point bold type and
2593 must shall state: “You are electing not to purchase certain
2594 valuable coverage that which protects you and your family or you
2595 are purchasing uninsured motorist limits less than your bodily
2596 injury liability limits when you sign this form. Please read
2597 carefully.” If this form is signed by a named insured, it will
2598 be conclusively presumed that there was an informed, knowing
2599 rejection of coverage or election of lower limits on behalf of
2600 all insureds. The insurer shall notify the named insured at
2601 least annually of her or his options as to the coverage required
2602 by this section. Such notice must shall be part of, and attached
2603 to, the notice of premium, must shall provide for a means to
2604 allow the insured to request such coverage, and must shall be
2605 given in a manner approved by the office. Receipt of this notice
2606 does not constitute an affirmative waiver of the insured’s right
2607 to uninsured motorist coverage if where the insured has not
2608 signed a selection or rejection form. The coverage described
2609 under this section must shall be over and above, but may shall
2610 not duplicate, the benefits available to an insured under any
2611 workers’ compensation law, personal injury protection benefits,
2612 disability benefits law, or similar law; under any automobile
2613 medical payments expense coverage; under any motor vehicle
2614 liability insurance coverage; or from the owner or operator of
2615 the uninsured motor vehicle or any other person or organization
2616 jointly or severally liable together with such owner or operator
2617 for the accident,; and such coverage must shall cover the
2618 difference, if any, between the sum of such benefits and the
2619 damages sustained, up to the maximum amount of such coverage
2620 provided under this section. The amount of coverage available
2621 under this section may shall not be reduced by a setoff against
2622 any coverage, including liability insurance. Such coverage does
2623 shall not inure directly or indirectly to the benefit of any
2624 workers’ compensation or disability benefits carrier or any
2625 person or organization qualifying as a self-insurer under any
2626 workers’ compensation or disability benefits law or similar law.
2627 (7) The legal liability of an uninsured motorist coverage
2628 insurer includes does not include damages in tort for pain,
2629 suffering, disability or physical impairment, disfigurement,
2630 mental anguish, and inconvenience, and the loss of capacity for
2631 the enjoyment of life experienced in the past and to be
2632 experienced in the future unless the injury or disease is
2633 described in one or more of paragraphs (a)-(d) of s. 627.737(2).
2634 Section 47. Section 627.7275, Florida Statutes, is amended
2635 to read:
2636 627.7275 Motor vehicle liability.—
2637 (1) A motor vehicle insurance policy providing personal
2638 injury protection as set forth in s. 627.736 may not be
2639 delivered or issued for delivery in this state for a with
2640 respect to any specifically insured or identified motor vehicle
2641 registered or principally garaged in this state must provide
2642 bodily injury liability coverage and unless the policy also
2643 provides coverage for property damage liability coverage as
2644 required under by s. 324.022.
2645 (2)(a) Insurers writing motor vehicle insurance in this
2646 state shall make available, subject to the insurers’ usual
2647 underwriting restrictions:
2648 1. Coverage under policies as described in subsection (1)
2649 to an applicant for private passenger motor vehicle insurance
2650 coverage who is seeking the coverage in order to reinstate the
2651 applicant’s driving privileges in this state if the driving
2652 privileges were revoked or suspended pursuant to s. 316.646 or
2653 s. 324.0221 due to the failure of the applicant to maintain
2654 required security.
2655 2. Coverage under policies as described in subsection (1),
2656 which includes bodily injury also provides liability coverage
2657 and property damage liability coverage, for bodily injury,
2658 death, and property damage arising out of the ownership,
2659 maintenance, or use of the motor vehicle in an amount not less
2660 than the minimum limits required under described in s.
2661 324.021(7) or s. 324.023 and which conforms to the requirements
2662 of s. 324.151, to an applicant for private passenger motor
2663 vehicle insurance coverage who is seeking the coverage in order
2664 to reinstate the applicant’s driving privileges in this state
2665 after such privileges were revoked or suspended under s. 316.193
2666 or s. 322.26(2) for driving under the influence.
2667 3. Coverage that provides bodily injury liability coverage
2668 and property damage liability coverage in the amounts specified
2669 in s. 324.022(1)(c). An insurer may deliver or issue for
2670 delivery only a policy providing such coverage to an applicant
2671 or insured who, before the issuance or renewal of the policy,
2672 represents to the insurer in writing or electronically that such
2673 person:
2674 a. Has a household income that is 200 percent or less of
2675 the most current federal poverty guidelines established by the
2676 United States Department of Health and Human Services. An
2677 insurer must, before accepting such representation, provide
2678 written or electronic notice to the applicant or insured
2679 regarding the dollar amounts that constitute a household income
2680 that is 200 percent of the most current federal poverty
2681 guidelines. An insurer is not required to verify the veracity of
2682 the applicant’s or insured’s representation. However, an insurer
2683 may not deny or exclude liability coverage under the policy
2684 solely because such representation of the applicant or insured
2685 was false.
2686 b. Meets the definition of a full-time student in a
2687 secondary education program under s. 1011.61(1)(a), or meets the
2688 definition of a full-time student in a postsecondary education
2689 program under s. 1009.40. An insurer must, before accepting such
2690 representation, provide written or electronic notice to the
2691 applicant or insured regarding the number of educational hours
2692 that meet the definition of a full-time student. An insurer is
2693 not required to verify the veracity of the applicant’s or
2694 insured’s representation. However, an insurer may not deny or
2695 exclude liability coverage under the policy solely because such
2696 representation of the applicant or insured was false.
2697 (b) The policies described in subparagraphs (a)1. and (a)2.
2698 must paragraph (a) shall be issued for at least 6 months and, as
2699 to the minimum coverages required under this section, may not be
2700 canceled by the insured for any reason or by the insurer after
2701 60 days, during which period the insurer is completing the
2702 underwriting of the policy. After the insurer has completed
2703 underwriting the policy, the insurer shall notify the Department
2704 of Highway Safety and Motor Vehicles that the policy is in full
2705 force and effect and is not cancelable for the remainder of the
2706 policy period. A premium must shall be collected and the
2707 coverage is in effect for the 60-day period during which the
2708 insurer is completing the underwriting of the policy, whether or
2709 not the person’s driver license, motor vehicle tag, and motor
2710 vehicle registration are in effect. Once the noncancelable
2711 provisions of the policy become effective, the bodily injury
2712 liability and property damage liability coverages for bodily
2713 injury, property damage, and personal injury protection may not
2714 be reduced below the minimum limits required under s. 324.021 or
2715 s. 324.023 during the policy period.
2716 (c) This subsection controls to the extent of any conflict
2717 with any other section.
2718 (d) An insurer issuing a policy subject to this section may
2719 cancel the policy if, during the policy term, the named insured,
2720 or any other operator who resides in the same household or
2721 customarily operates an automobile insured under the policy, has
2722 his or her driver license suspended or revoked.
2723 (e) This subsection does not require an insurer to offer a
2724 policy of insurance to an applicant if such offer would be
2725 inconsistent with the insurer’s underwriting guidelines and
2726 procedures.
2727 Section 48. Effective upon this act becoming a law, section
2728 627.7278, Florida Statutes, is created to read:
2729 627.7278 Applicability and construction; notice to
2730 policyholders.—
2731 (1) As used in this section, the term “minimum security
2732 requirements” means security that enables a person to respond in
2733 damages for liability on account of crashes arising out of the
2734 ownership, maintenance, or use of a motor vehicle, in the
2735 amounts required by s. 324.022(1), as amended by this act.
2736 (2) Effective January 1, 2022:
2737 (a) Motor vehicle insurance policies issued or renewed on
2738 or after that date may not include personal injury protection.
2739 (b) All persons subject to s. 324.022, s. 324.032, s.
2740 627.7415, or s. 627.742 must maintain at least minimum security
2741 requirements.
2742 (c) Any new or renewal motor vehicle insurance policy
2743 delivered or issued for delivery in this state must provide
2744 coverage that complies with minimum security requirements.
2745 (d) An existing motor vehicle insurance policy issued
2746 before that date which provides personal injury protection and
2747 property damage liability coverage that meets the requirements
2748 of s. 324.022 on December 31, 2021, but which does not meet
2749 minimum security requirements on or after January 1, 2022, is
2750 deemed to meet minimum security requirements until such policy
2751 is renewed, nonrenewed, or canceled on or after January 1, 2022.
2752 Sections 627.730-627.7405, 400.9905, 400.991, 456.057, 456.072,
2753 627.7263, 627.727, 627.748, 627.9541(1)(i), and 817.234, Florida
2754 Statutes 2020, remain in full force and effect for motor vehicle
2755 accidents covered under a policy issued under the Florida Motor
2756 Vehicle No-Fault Law before January 1, 2022, until the policy is
2757 renewed, nonrenewed, or canceled.
2758 (3) Each insurer shall allow each insured who has a new or
2759 renewal policy providing personal injury protection which
2760 becomes effective before January 1, 2022, and whose policy does
2761 not meet minimum security requirements on or after January 1,
2762 2022, to change coverages so as to eliminate personal injury
2763 protection and obtain coverage providing minimum security
2764 requirements, which shall be effective on or after January 1,
2765 2022. The insurer is not required to provide coverage complying
2766 with minimum security requirements in such policies if the
2767 insured does not pay the required premium, if any, by January 1,
2768 2022, or such later date as the insurer may allow. The insurer
2769 also shall offer each insured medical payments coverage pursuant
2770 to s. 627.7265. Any reduction in the premium must be refunded by
2771 the insurer. The insurer may not impose on the insured an
2772 additional fee or charge that applies solely to a change in
2773 coverage; however, the insurer may charge an additional required
2774 premium that is actuarially indicated.
2775 (4) By September 1, 2021, each motor vehicle insurer shall
2776 provide notice of this section to each motor vehicle
2777 policyholder who is subject to this section. The notice is
2778 subject to approval by the office and must clearly inform the
2779 policyholder that:
2780 (a) The Florida Motor Vehicle No-Fault Law is repealed
2781 effective January 1, 2022, and that on or after that date, the
2782 insured is no longer required to maintain personal injury
2783 protection insurance coverage, that personal injury protection
2784 coverage is no longer available for purchase in this state, and
2785 that all new or renewal policies issued on or after that date
2786 will not contain that coverage.
2787 (b) Effective January 1, 2022, a person subject to the
2788 financial responsibility requirements of s. 324.022 must
2789 maintain minimum security requirements that enable the person to
2790 respond to damages for liability on account of accidents arising
2791 out of the use of a motor vehicle in the following amounts:
2792 1. Twenty-five thousand dollars for bodily injury to, or
2793 the death of, one person in any one crash and, subject to such
2794 limits for one person, in the amount of $50,000 for bodily
2795 injury to, or the death of, two or more persons in any one
2796 crash; and
2797 2. Ten thousand dollars for damage to, or destruction of,
2798 the property of others in any one crash.
2799 (c) Persons subject to the financial responsibility
2800 requirements of s. 324.022 who have a household income of 200
2801 percent or less of the federal poverty guidelines or who are
2802 full-time secondary or postsecondary students may instead
2803 maintain minimum security requirements that enable the person to
2804 respond to damages for liability on account of accidents arising
2805 out of the use of a motor vehicle in the following amounts:
2806 1. Fifteen thousand dollars for bodily injury to, or the
2807 death of, one person in any one crash and, subject to such
2808 limits for one person, in the amount of $30,000 for bodily
2809 injury to, or the death of, two or more persons in any one
2810 crash; and
2811 2. Ten thousand dollars for damage to, or destruction of,
2812 the property of others in any one crash.
2813 (d) Bodily injury liability coverage protects the insured,
2814 up to the coverage limits, against loss if the insured is
2815 legally responsible for the death of or bodily injury to others
2816 in a motor vehicle accident.
2817 (e) Effective January 1, 2022, each policyholder of motor
2818 vehicle liability insurance purchased as proof of financial
2819 responsibility must be offered medical payments coverage
2820 benefits that comply with s. 627.7265. The insurer must offer
2821 medical payments coverage at limits of $5,000 and $10,000
2822 without a deductible. The insurer may also offer medical
2823 payments coverage at other limits greater than $5,000 and may
2824 offer coverage with a deductible of up to $500. Medical payments
2825 coverage pays covered medical expenses, up to the limits of such
2826 coverage, for injuries sustained in a motor vehicle crash by the
2827 named insured, resident relatives, persons operating the insured
2828 motor vehicle, passengers in the insured motor vehicle, and
2829 persons who are struck by the insured motor vehicle and suffer
2830 bodily injury while not an occupant of a self-propelled motor
2831 vehicle as provided in s. 627.7265. Medical payments coverage
2832 pays for reasonable expenses for necessary medical, diagnostic,
2833 and rehabilitative services that are lawfully provided,
2834 supervised, ordered, or prescribed by a physician licensed under
2835 chapter 458 or chapter 459, by a dentist licensed under chapter
2836 466, or by a chiropractic physician licensed under chapter 460
2837 or that are provided in a hospital or in a facility that owns,
2838 or is wholly owned by, a hospital. Medical payments coverage
2839 also provides a death benefit of at least $5,000.
2840 (f) The policyholder may obtain uninsured and underinsured
2841 motorist coverage that provides benefits, up to the limits of
2842 such coverage, to a policyholder or other insured entitled to
2843 recover damages for bodily injury, sickness, disease, or death
2844 resulting from a motor vehicle accident with an uninsured or
2845 underinsured owner or operator of a motor vehicle.
2846 (g) If the policyholder’s new or renewal motor vehicle
2847 insurance policy is effective before January 1, 2022, and
2848 contains personal injury protection and property damage
2849 liability coverage as required by state law before January 1,
2850 2022, but does not meet minimum security requirements on or
2851 after January 1, 2022, the policy is deemed to meet minimum
2852 security requirements until it is renewed, nonrenewed, or
2853 canceled on or after January 1, 2022.
2854 (h) A policyholder whose new or renewal policy becomes
2855 effective before January 1, 2022, but does not meet minimum
2856 security requirements on or after January 1, 2022, may change
2857 coverages under the policy so as to eliminate personal injury
2858 protection and to obtain coverage providing minimum security
2859 requirements, including bodily injury liability coverage, which
2860 are effective on or after January 1, 2022.
2861 (i) If the policyholder has any questions, he or she should
2862 contact the person named at the telephone number provided in the
2863 notice.
2864 Section 49. Paragraph (a) of subsection (1) of section
2865 627.728, Florida Statutes, is amended to read:
2866 627.728 Cancellations; nonrenewals.—
2867 (1) As used in this section, the term:
2868 (a) “Policy” means the bodily injury and property damage
2869 liability, personal injury protection, medical payments,
2870 comprehensive, collision, and uninsured motorist coverage
2871 portions of a policy of motor vehicle insurance delivered or
2872 issued for delivery in this state:
2873 1. Insuring a natural person as named insured or one or
2874 more related individuals who are residents resident of the same
2875 household; and
2876 2. Insuring only a motor vehicle of the private passenger
2877 type or station wagon type which is not used as a public or
2878 livery conveyance for passengers or rented to others; or
2879 insuring any other four-wheel motor vehicle having a load
2880 capacity of 1,500 pounds or less which is not used in the
2881 occupation, profession, or business of the insured other than
2882 farming; other than any policy issued under an automobile
2883 insurance assigned risk plan or covering garage, automobile
2884 sales agency, repair shop, service station, or public parking
2885 place operation hazards.
2886
2887 The term “policy” does not include a binder as defined in s.
2888 627.420 unless the duration of the binder period exceeds 60
2889 days.
2890 Section 50. Section 627.7288, Florida Statutes, is amended
2891 to read:
2892 627.7288 Comprehensive coverage; deductibles for deductible
2893 not to apply to motor vehicle glass.—
2894 (1) Authorized insurers must offer motor vehicle insurance
2895 that does not apply any The deductible provisions of the any
2896 policy of motor vehicle insurance to, delivered or issued in
2897 this state by an authorized insurer, providing comprehensive
2898 coverage or combined additional coverage that is shall not be
2899 applicable to damage to the windshield of any motor vehicle
2900 covered under such policy.
2901 (2) An insurer may also offer, for an actuarially
2902 reasonable premium credit or discount, a separate deductible no
2903 greater than $200 for damage to the windshield of any motor
2904 vehicle covered under a motor vehicle insurance policy delivered
2905 or issued by the insurer in this state.
2906 Section 51. Subsection (1), paragraph (a) of subsection
2907 (5), and subsections (6) and (7) of section 627.7295, Florida
2908 Statutes, are amended to read:
2909 627.7295 Motor vehicle insurance contracts.—
2910 (1) As used in this section, the term:
2911 (a) “Policy” means a motor vehicle insurance policy that
2912 provides bodily injury liability personal injury protection
2913 coverage and, property damage liability coverage, or both.
2914 (b) “Binder” means a binder that provides motor vehicle
2915 bodily injury liability coverage personal injury protection and
2916 property damage liability coverage.
2917 (5)(a) A licensed general lines agent may charge a per
2918 policy fee of up to not to exceed $10 to cover the
2919 administrative costs of the agent associated with selling the
2920 motor vehicle insurance policy if the policy covers only bodily
2921 injury liability coverage personal injury protection coverage as
2922 provided by s. 627.736 and property damage liability coverage as
2923 provided by s. 627.7275 and if no other insurance is sold or
2924 issued in conjunction with or collateral to the policy. The fee
2925 is not considered part of the premium.
2926 (6) If a motor vehicle owner’s driver license, license
2927 plate, and registration have previously been suspended pursuant
2928 to s. 316.646 or s. 627.733, an insurer may cancel a new policy
2929 only as provided in s. 627.7275.
2930 (7) A policy of private passenger motor vehicle insurance
2931 or a binder for such a policy may be initially issued in this
2932 state only if, before the effective date of such binder or
2933 policy, the insurer or agent has collected from the insured an
2934 amount equal to at least 1 month’s premium. An insurer, agent,
2935 or premium finance company may not, directly or indirectly, take
2936 any action that results resulting in the insured paying having
2937 paid from the insured’s own funds an amount less than the 1
2938 month’s premium required by this subsection. This subsection
2939 applies without regard to whether the premium is financed by a
2940 premium finance company or is paid pursuant to a periodic
2941 payment plan of an insurer or an insurance agent.
2942 (a) This subsection does not apply:
2943 1. If an insured or member of the insured’s family is
2944 renewing or replacing a policy or a binder for such policy
2945 written by the same insurer or a member of the same insurer
2946 group. This subsection does not apply
2947 2. To an insurer that issues private passenger motor
2948 vehicle coverage primarily to active duty or former military
2949 personnel or their dependents. This subsection does not apply
2950 3. If all policy payments are paid pursuant to a payroll
2951 deduction plan, an automatic electronic funds transfer payment
2952 plan from the policyholder, or a recurring credit card or debit
2953 card agreement with the insurer.
2954 (b) This subsection and subsection (4) do not apply if:
2955 1. All policy payments to an insurer are paid pursuant to
2956 an automatic electronic funds transfer payment plan from an
2957 agent, a managing general agent, or a premium finance company
2958 and if the policy includes, at a minimum, bodily injury
2959 liability coverage and personal injury protection pursuant to
2960 ss. 627.730-627.7405; motor vehicle property damage liability
2961 coverage pursuant to s. 627.7275; or and bodily injury liability
2962 in at least the amount of $10,000 because of bodily injury to,
2963 or death of, one person in any one accident and in the amount of
2964 $20,000 because of bodily injury to, or death of, two or more
2965 persons in any one accident. This subsection and subsection (4)
2966 do not apply if
2967 2. An insured has had a policy in effect for at least 6
2968 months, the insured’s agent is terminated by the insurer that
2969 issued the policy, and the insured obtains coverage on the
2970 policy’s renewal date with a new company through the terminated
2971 agent.
2972 Section 52. Section 627.7415, Florida Statutes, is amended
2973 to read:
2974 627.7415 Commercial motor vehicles; additional liability
2975 insurance coverage.—Beginning January 1, 2022, commercial motor
2976 vehicles, as defined in s. 207.002 or s. 320.01, operated upon
2977 the roads and highways of this state must shall be insured with
2978 the following minimum levels of combined bodily liability
2979 insurance and property damage liability insurance in addition to
2980 any other insurance requirements:
2981 (1) Sixty Fifty thousand dollars per occurrence for a
2982 commercial motor vehicle with a gross vehicle weight of 26,000
2983 pounds or more, but less than 35,000 pounds.
2984 (2) One hundred twenty thousand dollars per occurrence for
2985 a commercial motor vehicle with a gross vehicle weight of 35,000
2986 pounds or more, but less than 44,000 pounds.
2987 (3) Three hundred thousand dollars per occurrence for a
2988 commercial motor vehicle with a gross vehicle weight of 44,000
2989 pounds or more.
2990 (4) All commercial motor vehicles subject to regulations of
2991 the United States Department of Transportation, 49 C.F.R. part
2992 387, subpart A, and as may be hereinafter amended, shall be
2993 insured in an amount equivalent to the minimum levels of
2994 financial responsibility as set forth in such regulations.
2995
2996 A violation of this section is a noncriminal traffic infraction,
2997 punishable as a nonmoving violation as provided in chapter 318.
2998 Section 53. Section 627.747, Florida Statutes, is created
2999 to read:
3000 627.747 Named driver exclusion.—
3001 (1) A private passenger motor vehicle policy may exclude an
3002 identified individual from the following coverages while the
3003 identified individual is operating a motor vehicle, provided
3004 that the identified individual is specifically excluded by name
3005 on the declarations page or by endorsement and the policyholder
3006 consents in writing to the exclusion:
3007 (a) Property damage liability coverage.
3008 (b) Bodily injury liability coverage.
3009 (c) Uninsured motorist coverage for any damages sustained
3010 by the identified excluded individual, if the policyholder has
3011 purchased such coverage.
3012 (d) Any coverage the policyholder is not required by law to
3013 purchase.
3014 (2) A private passenger motor vehicle policy may not
3015 exclude coverage when:
3016 (a) The identified excluded individual is injured while not
3017 operating a motor vehicle;
3018 (b) The exclusion is unfairly discriminatory under the
3019 Florida Insurance Code, as determined by the office; or
3020 (c) The exclusion is inconsistent with the underwriting
3021 rules filed by the insurer pursuant to s. 627.0651(13)(a).
3022 Section 54. Paragraphs (b), (c), and (g) of subsection (7),
3023 paragraphs (a) and (b) of subsection (8), and paragraph (b) of
3024 subsection (16) of section 627.748, Florida Statutes, are
3025 amended to read:
3026 627.748 Transportation network companies.—
3027 (7) TRANSPORTATION NETWORK COMPANY AND TNC DRIVER INSURANCE
3028 REQUIREMENTS.—
3029 (b) The following automobile insurance requirements apply
3030 while a participating TNC driver is logged on to the digital
3031 network but is not engaged in a prearranged ride:
3032 1. Automobile insurance that provides:
3033 a. A primary automobile liability coverage of at least
3034 $50,000 for death and bodily injury per person, $100,000 for
3035 death and bodily injury per incident, and $25,000 for property
3036 damage; and
3037 b. Personal injury protection benefits that meet the
3038 minimum coverage amounts required under ss. 627.730-627.7405;
3039 and
3040 c. Uninsured and underinsured vehicle coverage as required
3041 by s. 627.727.
3042 2. The coverage requirements of this paragraph may be
3043 satisfied by any of the following:
3044 a. Automobile insurance maintained by the TNC driver or the
3045 TNC vehicle owner;
3046 b. Automobile insurance maintained by the TNC; or
3047 c. A combination of sub-subparagraphs a. and b.
3048 (c) The following automobile insurance requirements apply
3049 while a TNC driver is engaged in a prearranged ride:
3050 1. Automobile insurance that provides:
3051 a. A primary automobile liability coverage of at least $1
3052 million for death, bodily injury, and property damage; and
3053 b. Personal injury protection benefits that meet the
3054 minimum coverage amounts required of a limousine under ss.
3055 627.730-627.7405; and
3056 c. Uninsured and underinsured vehicle coverage as required
3057 by s. 627.727.
3058 2. The coverage requirements of this paragraph may be
3059 satisfied by any of the following:
3060 a. Automobile insurance maintained by the TNC driver or the
3061 TNC vehicle owner;
3062 b. Automobile insurance maintained by the TNC; or
3063 c. A combination of sub-subparagraphs a. and b.
3064 (g) Insurance satisfying the requirements under this
3065 subsection is deemed to satisfy the financial responsibility
3066 requirement for a motor vehicle under chapter 324 and the
3067 security required under s. 627.733 for any period when the TNC
3068 driver is logged onto the digital network or engaged in a
3069 prearranged ride.
3070 (8) TRANSPORTATION NETWORK COMPANY AND INSURER; DISCLOSURE;
3071 EXCLUSIONS.—
3072 (a) Before a TNC driver is allowed to accept a request for
3073 a prearranged ride on the digital network, the TNC must disclose
3074 in writing to the TNC driver:
3075 1. The insurance coverage, including the types of coverage
3076 and the limits for each coverage, which the TNC provides while
3077 the TNC driver uses a TNC vehicle in connection with the TNC’s
3078 digital network.
3079 2. That the TNC driver’s own automobile insurance policy
3080 might not provide any coverage while the TNC driver is logged on
3081 to the digital network or is engaged in a prearranged ride,
3082 depending on the terms of the TNC driver’s own automobile
3083 insurance policy.
3084 3. That the provision of rides for compensation which are
3085 not prearranged rides subjects the driver to the coverage
3086 requirements imposed under s. 324.032(1) and (2) and that
3087 failure to meet such coverage requirements subjects the TNC
3088 driver to penalties provided in s. 324.221, up to and including
3089 a misdemeanor of the second degree.
3090 (b)1. An insurer that provides an automobile liability
3091 insurance policy under this part may exclude any and all
3092 coverage afforded under the policy issued to an owner or
3093 operator of a TNC vehicle while driving that vehicle for any
3094 loss or injury that occurs while a TNC driver is logged on to a
3095 digital network or while a TNC driver provides a prearranged
3096 ride. Exclusions imposed under this subsection are limited to
3097 coverage while a TNC driver is logged on to a digital network or
3098 while a TNC driver provides a prearranged ride. This right to
3099 exclude all coverage may apply to any coverage included in an
3100 automobile insurance policy, including, but not limited to:
3101 a. Liability coverage for bodily injury and property
3102 damage;
3103 b. Uninsured and underinsured motorist coverage;
3104 c. Medical payments coverage;
3105 d. Comprehensive physical damage coverage; and
3106 e. Collision physical damage coverage; and
3107 f. Personal injury protection.
3108 2. The exclusions described in subparagraph 1. apply
3109 notwithstanding any requirement under chapter 324. These
3110 exclusions do not affect or diminish coverage otherwise
3111 available for permissive drivers or resident relatives under the
3112 personal automobile insurance policy of the TNC driver or owner
3113 of the TNC vehicle who are not occupying the TNC vehicle at the
3114 time of loss. This section does not require that a personal
3115 automobile insurance policy provide coverage while the TNC
3116 driver is logged on to a digital network, while the TNC driver
3117 is engaged in a prearranged ride, or while the TNC driver
3118 otherwise uses a vehicle to transport riders for compensation.
3119 3. This section must not be construed to require an insurer
3120 to use any particular policy language or reference to this
3121 section in order to exclude any and all coverage for any loss or
3122 injury that occurs while a TNC driver is logged on to a digital
3123 network or while a TNC driver provides a prearranged ride.
3124 4. This section does not preclude an insurer from providing
3125 primary or excess coverage for the TNC driver’s vehicle by
3126 contract or endorsement.
3127 (16) LUXURY GROUND TRANSPORTATION NETWORK COMPANIES.—
3128 (b) An entity may elect, upon written notification to the
3129 department, to be regulated as a luxury ground TNC. A luxury
3130 ground TNC must:
3131 1. Comply with all of the requirements of this section
3132 applicable to a TNC, including subsection (17), which do not
3133 conflict with subparagraph 2. or which do not prohibit the
3134 company from connecting riders to drivers who operate for-hire
3135 vehicles as defined in s. 320.01(15), including limousines and
3136 luxury sedans and excluding taxicabs.
3137 2. Maintain insurance coverage as required by subsection
3138 (7). However, if a prospective luxury ground TNC satisfies
3139 minimum financial responsibility through compliance with s.
3140 324.032(3) s. 324.032(2) by using self-insurance when it gives
3141 the department written notification of its election to be
3142 regulated as a luxury ground TNC, the luxury ground TNC may use
3143 self-insurance to meet the insurance requirements of subsection
3144 (7), so long as such self-insurance complies with s. 324.032(3)
3145 s. 324.032(2) and provides the limits of liability required by
3146 subsection (7).
3147 Section 55. Paragraph (a) of subsection (2) of section
3148 627.749, Florida Statutes, is amended to read:
3149 627.749 Autonomous vehicles; insurance requirements.—
3150 (2) INSURANCE REQUIREMENTS.—
3151 (a) A fully autonomous vehicle with the automated driving
3152 system engaged while logged on to an on-demand autonomous
3153 vehicle network or engaged in a prearranged ride must be covered
3154 by a policy of automobile insurance which provides:
3155 1. Primary liability coverage of at least $1 million for
3156 death, bodily injury, and property damage.
3157 2. Personal injury protection benefits that meet the
3158 minimum coverage amounts required under ss. 627.730-627.7405.
3159 3. Uninsured and underinsured vehicle coverage as required
3160 by s. 627.727.
3161 Section 56. Section 627.8405, Florida Statutes, is amended
3162 to read:
3163 627.8405 Prohibited acts; financing companies.—A No premium
3164 finance company shall, in a premium finance agreement or other
3165 agreement, may not finance the cost of or otherwise provide for
3166 the collection or remittance of dues, assessments, fees, or
3167 other periodic payments of money for the cost of:
3168 (1) A membership in an automobile club. The term
3169 “automobile club” means a legal entity that which, in
3170 consideration of dues, assessments, or periodic payments of
3171 money, promises its members or subscribers to assist them in
3172 matters relating to the ownership, operation, use, or
3173 maintenance of a motor vehicle; however, the term this
3174 definition of “automobile club” does not include persons,
3175 associations, or corporations which are organized and operated
3176 solely for the purpose of conducting, sponsoring, or sanctioning
3177 motor vehicle races, exhibitions, or contests upon racetracks,
3178 or upon racecourses established and marked as such for the
3179 duration of such particular events. As used in this subsection,
3180 the term words “motor vehicle” has used herein have the same
3181 meaning as defined in chapter 320.
3182 (2) An accidental death and dismemberment policy sold in
3183 combination with a policy providing only bodily injury liability
3184 coverage personal injury protection and property damage
3185 liability coverage only policy.
3186 (3) Any product not regulated under the provisions of this
3187 insurance code.
3188
3189 This section also applies to premium financing by any insurance
3190 agent or insurance company under part XVI. The commission shall
3191 adopt rules to assure disclosure, at the time of sale, of
3192 coverages financed with personal injury protection and shall
3193 prescribe the form of such disclosure.
3194 Section 57. Subsection (1) of section 627.915, Florida
3195 Statutes, is amended to read:
3196 627.915 Insurer experience reporting.—
3197 (1) Each insurer transacting private passenger automobile
3198 insurance in this state shall report certain information
3199 annually to the office. The information will be due on or before
3200 July 1 of each year. The information must shall be divided into
3201 the following categories: bodily injury liability; property
3202 damage liability; uninsured motorist; personal injury protection
3203 benefits; medical payments; and comprehensive and collision. The
3204 information given must shall be on direct insurance writings in
3205 the state alone and shall represent total limits data. The
3206 information set forth in paragraphs (a)-(f) is applicable to
3207 voluntary private passenger and Joint Underwriting Association
3208 private passenger writings and must shall be reported for each
3209 of the latest 3 calendar-accident years, with an evaluation date
3210 of March 31 of the current year. The information set forth in
3211 paragraphs (g)-(j) is applicable to voluntary private passenger
3212 writings and must shall be reported on a calendar-accident year
3213 basis ultimately seven times at seven different stages of
3214 development.
3215 (a) Premiums earned for the latest 3 calendar-accident
3216 years.
3217 (b) Loss development factors and the historic development
3218 of those factors.
3219 (c) Policyholder dividends incurred.
3220 (d) Expenses for other acquisition and general expense.
3221 (e) Expenses for agents’ commissions and taxes, licenses,
3222 and fees.
3223 (f) Profit and contingency factors as utilized in the
3224 insurer’s automobile rate filings for the applicable years.
3225 (g) Losses paid.
3226 (h) Losses unpaid.
3227 (i) Loss adjustment expenses paid.
3228 (j) Loss adjustment expenses unpaid.
3229 Section 58. Subsections (2) and (3) of section 628.909,
3230 Florida Statutes, are amended to read:
3231 628.909 Applicability of other laws.—
3232 (2) The following provisions of the Florida Insurance Code
3233 apply to captive insurance companies that who are not industrial
3234 insured captive insurance companies to the extent that such
3235 provisions are not inconsistent with this part:
3236 (a) Chapter 624, except for ss. 624.407, 624.408, 624.4085,
3237 624.40851, 624.4095, 624.411, 624.425, and 624.426.
3238 (b) Chapter 625, part II.
3239 (c) Chapter 626, part IX.
3240 (d) Sections 627.730-627.7405, when no-fault coverage is
3241 provided.
3242 (e) Chapter 628.
3243 (3) The following provisions of the Florida Insurance Code
3244 shall apply to industrial insured captive insurance companies to
3245 the extent that such provisions are not inconsistent with this
3246 part:
3247 (a) Chapter 624, except for ss. 624.407, 624.408, 624.4085,
3248 624.40851, 624.4095, 624.411, 624.425, 624.426, and 624.609(1).
3249 (b) Chapter 625, part II, if the industrial insured captive
3250 insurance company is incorporated in this state.
3251 (c) Chapter 626, part IX.
3252 (d) Sections 627.730-627.7405 when no-fault coverage is
3253 provided.
3254 (e) Chapter 628, except for ss. 628.341, 628.351, and
3255 628.6018.
3256 Section 59. Subsections (2), (6), and (7) of section
3257 705.184, Florida Statutes, are amended to read:
3258 705.184 Derelict or abandoned motor vehicles on the
3259 premises of public-use airports.—
3260 (2) The airport director or the director’s designee shall
3261 contact the Department of Highway Safety and Motor Vehicles to
3262 notify that department that the airport has possession of the
3263 abandoned or derelict motor vehicle and to determine the name
3264 and address of the owner of the motor vehicle, the insurance
3265 company insuring the motor vehicle, notwithstanding the
3266 provisions of s. 627.736, and any person who has filed a lien on
3267 the motor vehicle. Within 7 business days after receipt of the
3268 information, the director or the director’s designee shall send
3269 notice by certified mail, return receipt requested, to the owner
3270 of the motor vehicle, the insurance company insuring the motor
3271 vehicle, notwithstanding the provisions of s. 627.736, and all
3272 persons of record claiming a lien against the motor vehicle. The
3273 notice must shall state the fact of possession of the motor
3274 vehicle, that charges for reasonable towing, storage, and
3275 parking fees, if any, have accrued and the amount thereof, that
3276 a lien as provided in subsection (6) will be claimed, that the
3277 lien is subject to enforcement pursuant to law, that the owner
3278 or lienholder, if any, has the right to a hearing as set forth
3279 in subsection (4), and that any motor vehicle which, at the end
3280 of 30 calendar days after receipt of the notice, has not been
3281 removed from the airport upon payment in full of all accrued
3282 charges for reasonable towing, storage, and parking fees, if
3283 any, may be disposed of as provided in s. 705.182(2)(a), (b),
3284 (d), or (e), including, but not limited to, the motor vehicle
3285 being sold free of all prior liens after 35 calendar days after
3286 the time the motor vehicle is stored if any prior liens on the
3287 motor vehicle are more than 5 years of age or after 50 calendar
3288 days after the time the motor vehicle is stored if any prior
3289 liens on the motor vehicle are 5 years of age or less.
3290 (6) The airport pursuant to this section or, if used, a
3291 licensed independent wrecker company pursuant to s. 713.78 shall
3292 have a lien on an abandoned or derelict motor vehicle for all
3293 reasonable towing, storage, and accrued parking fees, if any,
3294 except that no storage fee may shall be charged if the motor
3295 vehicle is stored less than 6 hours. As a prerequisite to
3296 perfecting a lien under this section, the airport director or
3297 the director’s designee must serve a notice in accordance with
3298 subsection (2) on the owner of the motor vehicle, the insurance
3299 company insuring the motor vehicle, notwithstanding the
3300 provisions of s. 627.736, and all persons of record claiming a
3301 lien against the motor vehicle. If attempts to notify the owner,
3302 the insurance company insuring the motor vehicle,
3303 notwithstanding the provisions of s. 627.736, or lienholders are
3304 not successful, the requirement of notice by mail shall be
3305 considered met. Serving of the notice does not dispense with
3306 recording the claim of lien.
3307 (7)(a) For the purpose of perfecting its lien under this
3308 section, the airport shall record a claim of lien which states
3309 shall state:
3310 1. The name and address of the airport.
3311 2. The name of the owner of the motor vehicle, the
3312 insurance company insuring the motor vehicle, notwithstanding
3313 the provisions of s. 627.736, and all persons of record claiming
3314 a lien against the motor vehicle.
3315 3. The costs incurred from reasonable towing, storage, and
3316 parking fees, if any.
3317 4. A description of the motor vehicle sufficient for
3318 identification.
3319 (b) The claim of lien must shall be signed and sworn to or
3320 affirmed by the airport director or the director’s designee.
3321 (c) The claim of lien is shall be sufficient if it is in
3322 substantially the following form:
3323
3324 CLAIM OF LIEN
3325 State of ........
3326 County of ........
3327 Before me, the undersigned notary public, personally appeared
3328 ........, who was duly sworn and says that he/she is the
3329 ........ of ............, whose address is........; and that the
3330 following described motor vehicle:
3331 ...(Description of motor vehicle)...
3332 owned by ........, whose address is ........, has accrued
3333 $........ in fees for a reasonable tow, for storage, and for
3334 parking, if applicable; that the lienor served its notice to the
3335 owner, the insurance company insuring the motor vehicle
3336 notwithstanding the provisions of s. 627.736, Florida Statutes,
3337 and all persons of record claiming a lien against the motor
3338 vehicle on ...., ...(year)..., by.........
3339 ...(Signature)...
3340 Sworn to (or affirmed) and subscribed before me this .... day of
3341 ...., ...(year)..., by ...(name of person making statement)....
3342 ...(Signature of Notary Public)......(Print, Type, or Stamp
3343 Commissioned name of Notary Public)...
3344 Personally Known....OR Produced....as identification.
3345
3346 However, the negligent inclusion or omission of any information
3347 in this claim of lien which does not prejudice the owner does
3348 not constitute a default that operates to defeat an otherwise
3349 valid lien.
3350 (d) The claim of lien must shall be served on the owner of
3351 the motor vehicle, the insurance company insuring the motor
3352 vehicle, notwithstanding the provisions of s. 627.736, and all
3353 persons of record claiming a lien against the motor vehicle. If
3354 attempts to notify the owner, the insurance company insuring the
3355 motor vehicle notwithstanding the provisions of s. 627.736, or
3356 lienholders are not successful, the requirement of notice by
3357 mail shall be considered met. The claim of lien must shall be so
3358 served before recordation.
3359 (e) The claim of lien must shall be recorded with the clerk
3360 of court in the county where the airport is located. The
3361 recording of the claim of lien shall be constructive notice to
3362 all persons of the contents and effect of such claim. The lien
3363 attaches shall attach at the time of recordation and takes shall
3364 take priority as of that time.
3365 Section 60. Subsection (4) of section 713.78, Florida
3366 Statutes, is amended to read:
3367 713.78 Liens for recovering, towing, or storing vehicles
3368 and vessels.—
3369 (4)(a) A person regularly engaged in the business of
3370 recovering, towing, or storing vehicles or vessels who comes
3371 into possession of a vehicle or vessel pursuant to subsection
3372 (2), and who claims a lien for recovery, towing, or storage
3373 services, shall give notice, by certified mail, to the
3374 registered owner, the insurance company insuring the vehicle
3375 notwithstanding s. 627.736, and all persons claiming a lien
3376 thereon, as disclosed by the records in the Department of
3377 Highway Safety and Motor Vehicles or as disclosed by the records
3378 of any corresponding agency in any other state in which the
3379 vehicle is identified through a records check of the National
3380 Motor Vehicle Title Information System or an equivalent
3381 commercially available system as being titled or registered.
3382 (b) Whenever a law enforcement agency authorizes the
3383 removal of a vehicle or vessel or whenever a towing service,
3384 garage, repair shop, or automotive service, storage, or parking
3385 place notifies the law enforcement agency of possession of a
3386 vehicle or vessel pursuant to s. 715.07(2)(a)2., the law
3387 enforcement agency of the jurisdiction where the vehicle or
3388 vessel is stored shall contact the Department of Highway Safety
3389 and Motor Vehicles, or the appropriate agency of the state of
3390 registration, if known, within 24 hours through the medium of
3391 electronic communications, giving the full description of the
3392 vehicle or vessel. Upon receipt of the full description of the
3393 vehicle or vessel, the department shall search its files to
3394 determine the owner’s name, the insurance company insuring the
3395 vehicle or vessel, and whether any person has filed a lien upon
3396 the vehicle or vessel as provided in s. 319.27(2) and (3) and
3397 notify the applicable law enforcement agency within 72 hours.
3398 The person in charge of the towing service, garage, repair shop,
3399 or automotive service, storage, or parking place shall obtain
3400 such information from the applicable law enforcement agency
3401 within 5 days after the date of storage and shall give notice
3402 pursuant to paragraph (a). The department may release the
3403 insurance company information to the requestor notwithstanding
3404 s. 627.736.
3405 (c) The notice of lien must be sent by certified mail to
3406 the registered owner, the insurance company insuring the vehicle
3407 notwithstanding s. 627.736, and all other persons claiming a
3408 lien thereon within 7 business days, excluding Saturday and
3409 Sunday, after the date of storage of the vehicle or vessel.
3410 However, in no event shall the notice of lien be sent less than
3411 30 days before the sale of the vehicle or vessel. The notice
3412 must state:
3413 1. If the claim of lien is for a vehicle, the last 8 digits
3414 of the vehicle identification number of the vehicle subject to
3415 the lien, or, if the claim of lien is for a vessel, the hull
3416 identification number of the vessel subject to the lien, clearly
3417 printed in the delivery address box and on the outside of the
3418 envelope sent to the registered owner and all other persons
3419 claiming an interest therein or lien thereon.
3420 2. The name, physical address, and telephone number of the
3421 lienor, and the entity name, as registered with the Division of
3422 Corporations, of the business where the towing and storage
3423 occurred, which must also appear on the outside of the envelope
3424 sent to the registered owner and all other persons claiming an
3425 interest in or lien on the vehicle or vessel.
3426 3. The fact of possession of the vehicle or vessel.
3427 4. The name of the person or entity that authorized the
3428 lienor to take possession of the vehicle or vessel.
3429 5. That a lien as provided in subsection (2) is claimed.
3430 6. That charges have accrued and include an itemized
3431 statement of the amount thereof.
3432 7. That the lien is subject to enforcement under law and
3433 that the owner or lienholder, if any, has the right to a hearing
3434 as set forth in subsection (5).
3435 8. That any vehicle or vessel that remains unclaimed, or
3436 for which the charges for recovery, towing, or storage services
3437 remain unpaid, may be sold free of all prior liens 35 days after
3438 the vehicle or vessel is stored by the lienor if the vehicle or
3439 vessel is more than 3 years of age or 50 days after the vehicle
3440 or vessel is stored by the lienor if the vehicle or vessel is 3
3441 years of age or less.
3442 9. The address at which the vehicle or vessel is physically
3443 located.
3444 (d) The notice of lien may not be sent to the registered
3445 owner, the insurance company insuring the vehicle or vessel, and
3446 all other persons claiming a lien thereon less than 30 days
3447 before the sale of the vehicle or vessel.
3448 (e) If attempts to locate the name and address of the owner
3449 or lienholder prove unsuccessful, the towing-storage operator
3450 shall, after 7 business days, excluding Saturday and Sunday,
3451 after the initial tow or storage, notify the public agency of
3452 jurisdiction where the vehicle or vessel is stored in writing by
3453 certified mail or acknowledged hand delivery that the towing
3454 storage company has been unable to locate the name and address
3455 of the owner or lienholder and a physical search of the vehicle
3456 or vessel has disclosed no ownership information and a good
3457 faith effort has been made, including records checks of the
3458 Department of Highway Safety and Motor Vehicles database and the
3459 National Motor Vehicle Title Information System or an equivalent
3460 commercially available system. For purposes of this paragraph
3461 and subsection (9), the term “good faith effort” means that the
3462 following checks have been performed by the company to establish
3463 the prior state of registration and for title:
3464 1. A check of the department’s database for the owner and
3465 any lienholder.
3466 2. A check of the electronic National Motor Vehicle Title
3467 Information System or an equivalent commercially available
3468 system to determine the state of registration when there is not
3469 a current registration record for the vehicle or vessel on file
3470 with the department.
3471 3. A check of the vehicle or vessel for any type of tag,
3472 tag record, temporary tag, or regular tag.
3473 4. A check of the law enforcement report for a tag number
3474 or other information identifying the vehicle or vessel, if the
3475 vehicle or vessel was towed at the request of a law enforcement
3476 officer.
3477 5. A check of the trip sheet or tow ticket of the tow truck
3478 operator to determine whether a tag was on the vehicle or vessel
3479 at the beginning of the tow, if a private tow.
3480 6. If there is no address of the owner on the impound
3481 report, a check of the law enforcement report to determine
3482 whether an out-of-state address is indicated from driver license
3483 information.
3484 7. A check of the vehicle or vessel for an inspection
3485 sticker or other stickers and decals that may indicate a state
3486 of possible registration.
3487 8. A check of the interior of the vehicle or vessel for any
3488 papers that may be in the glove box, trunk, or other areas for a
3489 state of registration.
3490 9. A check of the vehicle for a vehicle identification
3491 number.
3492 10. A check of the vessel for a vessel registration number.
3493 11. A check of the vessel hull for a hull identification
3494 number which should be carved, burned, stamped, embossed, or
3495 otherwise permanently affixed to the outboard side of the
3496 transom or, if there is no transom, to the outmost seaboard side
3497 at the end of the hull that bears the rudder or other steering
3498 mechanism.
3499 Section 61. Paragraph (a) of subsection (1), paragraph (c)
3500 of subsection (7), paragraphs (a), (b), and (c) of subsection
3501 (8), and subsections (9) and (10) of section 817.234, Florida
3502 Statutes, are amended to read:
3503 817.234 False and fraudulent insurance claims.—
3504 (1)(a) A person commits insurance fraud punishable as
3505 provided in subsection (11) if that person, with the intent to
3506 injure, defraud, or deceive any insurer:
3507 1. Presents or causes to be presented any written or oral
3508 statement as part of, or in support of, a claim for payment or
3509 other benefit pursuant to an insurance policy or a health
3510 maintenance organization subscriber or provider contract,
3511 knowing that such statement contains any false, incomplete, or
3512 misleading information concerning any fact or thing material to
3513 such claim;
3514 2. Prepares or makes any written or oral statement that is
3515 intended to be presented to an any insurer in connection with,
3516 or in support of, any claim for payment or other benefit
3517 pursuant to an insurance policy or a health maintenance
3518 organization subscriber or provider contract, knowing that such
3519 statement contains any false, incomplete, or misleading
3520 information concerning any fact or thing material to such claim;
3521 3.a. Knowingly presents, causes to be presented, or
3522 prepares or makes with knowledge or belief that it will be
3523 presented to an any insurer, purported insurer, servicing
3524 corporation, insurance broker, or insurance agent, or any
3525 employee or agent thereof, any false, incomplete, or misleading
3526 information or a written or oral statement as part of, or in
3527 support of, an application for the issuance of, or the rating
3528 of, any insurance policy, or a health maintenance organization
3529 subscriber or provider contract; or
3530 b. Knowingly conceals information concerning any fact
3531 material to such application; or
3532 4. Knowingly presents, causes to be presented, or prepares
3533 or makes with knowledge or belief that it will be presented to
3534 any insurer a claim for payment or other benefit under medical
3535 payments coverage in a motor vehicle a personal injury
3536 protection insurance policy if the person knows that the payee
3537 knowingly submitted a false, misleading, or fraudulent
3538 application or other document when applying for licensure as a
3539 health care clinic, seeking an exemption from licensure as a
3540 health care clinic, or demonstrating compliance with part X of
3541 chapter 400.
3542 (7)
3543 (c) An insurer, or any person acting at the direction of or
3544 on behalf of an insurer, may not change an opinion in a mental
3545 or physical report prepared under s. 627.736(7) or direct the
3546 physician preparing the report to change such opinion; however,
3547 this provision does not preclude the insurer from calling to the
3548 attention of the physician errors of fact in the report based
3549 upon information in the claim file. Any person who violates this
3550 paragraph commits a felony of the third degree, punishable as
3551 provided in s. 775.082, s. 775.083, or s. 775.084.
3552 (8)(a) It is unlawful for any person intending to defraud
3553 any other person to solicit or cause to be solicited any
3554 business from a person involved in a motor vehicle accident for
3555 the purpose of making, adjusting, or settling motor vehicle tort
3556 claims or claims for benefits under medical payments coverage in
3557 a motor vehicle insurance policy personal injury protection
3558 benefits required by s. 627.736. Any person who violates the
3559 provisions of this paragraph commits a felony of the second
3560 degree, punishable as provided in s. 775.082, s. 775.083, or s.
3561 775.084. A person who is convicted of a violation of this
3562 subsection shall be sentenced to a minimum term of imprisonment
3563 of 2 years.
3564 (b) A person may not solicit or cause to be solicited any
3565 business from a person involved in a motor vehicle accident by
3566 any means of communication other than advertising directed to
3567 the public for the purpose of making motor vehicle tort claims
3568 or claims for benefits under medical payments coverage in a
3569 motor vehicle insurance policy personal injury protection
3570 benefits required by s. 627.736, within 60 days after the
3571 occurrence of the motor vehicle accident. Any person who
3572 violates this paragraph commits a felony of the third degree,
3573 punishable as provided in s. 775.082, s. 775.083, or s. 775.084.
3574 (c) A lawyer, health care practitioner as defined in s.
3575 456.001, or owner or medical director of a clinic required to be
3576 licensed pursuant to s. 400.9905 may not, at any time after 60
3577 days have elapsed from the occurrence of a motor vehicle
3578 accident, solicit or cause to be solicited any business from a
3579 person involved in a motor vehicle accident by means of in
3580 person or telephone contact at the person’s residence, for the
3581 purpose of making motor vehicle tort claims or claims for
3582 benefits under medical payments coverage in a motor vehicle
3583 insurance policy personal injury protection benefits required by
3584 s. 627.736. Any person who violates this paragraph commits a
3585 felony of the third degree, punishable as provided in s.
3586 775.082, s. 775.083, or s. 775.084.
3587 (9) A person may not organize, plan, or knowingly
3588 participate in an intentional motor vehicle crash or a scheme to
3589 create documentation of a motor vehicle crash that did not occur
3590 for the purpose of making motor vehicle tort claims or claims
3591 for benefits under medical payments coverage in a motor vehicle
3592 insurance policy personal injury protection benefits as required
3593 by s. 627.736. Any person who violates this subsection commits a
3594 felony of the second degree, punishable as provided in s.
3595 775.082, s. 775.083, or s. 775.084. A person who is convicted of
3596 a violation of this subsection shall be sentenced to a minimum
3597 term of imprisonment of 2 years.
3598 (10) A licensed health care practitioner who is found
3599 guilty of insurance fraud under this section for an act relating
3600 to a motor vehicle personal injury protection insurance policy
3601 loses his or her license to practice for 5 years and may not
3602 receive reimbursement under medical payments coverage in a motor
3603 vehicle insurance policy for personal injury protection benefits
3604 for 10 years.
3605 Section 62. For the 2021-2022 fiscal year, the sum of
3606 $83,651 in nonrecurring funds is appropriated from the Insurance
3607 Regulatory Trust Fund to the Office of Insurance Regulation for
3608 the purpose of implementing this act.
3609 Section 63. Except as otherwise expressly provided in this
3610 act and except for this section, which shall take effect upon
3611 this act becoming a law, this act shall take effect January 1,
3612 2022.
