Bill Text: FL S1222 | 2015 | Regular Session | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Division of Insurance Agent and Agency Services
Spectrum: Slight Partisan Bill (? 2-1)
Status: (Introduced - Dead) 2015-04-23 - Laid on Table, companion bill(s) passed, see CS/CS/HB 1133 (Ch. 2015-180) [S1222 Detail]
Download: Florida-2015-S1222-Introduced.html
Bill Title: Division of Insurance Agent and Agency Services
Spectrum: Slight Partisan Bill (? 2-1)
Status: (Introduced - Dead) 2015-04-23 - Laid on Table, companion bill(s) passed, see CS/CS/HB 1133 (Ch. 2015-180) [S1222 Detail]
Download: Florida-2015-S1222-Introduced.html
Florida Senate - 2015 SB 1222
By Senator Richter
23-00916A-15 20151222__
1 A bill to be entitled
2 An act relating to the Division of Insurance Agent and
3 Agency Services; amending s. 626.015, F.S.; revising
4 the definition of “general lines agent,” to remove a
5 restriction with respect to agents transacting health
6 insurance; limiting the types of health insurance
7 agents; amending s. 626.0428, F.S.; revising licensure
8 requirements of certain agents in charge of an
9 agency’s place of business; amending s. 626.221, F.S.;
10 revising examination requirements for applicants for a
11 license as a general lines agent, personal lines
12 agent, or all-lines adjuster; amending s. 626.241,
13 F.S.; revising the scope of license examinations for
14 agents and adjusters; amending s. 626.2817, F.S.;
15 revising requirements of certain prelicensure
16 education courses for insurance agents and other
17 licensees; amending s. 626.311, F.S.; conforming
18 provisions to changes made by the act; amending s.
19 626.732, F.S.; revising requirements relating to
20 knowledge, experience, and instruction for applicants
21 for a license as a general lines or personal lines
22 agent; amending s. 626.7351, F.S.; revising
23 qualifications for a customer representative’s
24 license; amending s. 626.748, F.S.; requiring agents
25 to maintain certain records for a specified time
26 period after policy expiration; amending ss. 626.7851
27 and 626.8311, F.S.; revising requirements relating to
28 the knowledge, experience, or instruction for life
29 agents and health agents, respectively; creating s.
30 626.8661, F.S.; providing knowledge, experience, and
31 instruction requirements for an all-lines adjuster;
32 amending s. 626.9541, F.S.; providing that certain
33 provisions relating to illegal dealings in premiums
34 are applicable notwithstanding any other provision of
35 law; amending s. 627.4553, F.S.; requiring an
36 insurance agent to provide and retain certain
37 information upon surrender of an annuity or life
38 insurance policy under certain circumstances; amending
39 s. 631.341, F.S.; authorizing certain notices of
40 insolvency to be delivered to policyholders by certain
41 methods; amending s. 648.355, F.S.; revising
42 instructional requirements relating to the issuance of
43 a temporary limited license as a limited surety agent;
44 amending s. 648.386, F.S.; revising curricula
45 requirements for approval and certification as a
46 limited surety agent and professional bail bond agent
47 prelicensing school; providing an effective date.
48
49 Be It Enacted by the Legislature of the State of Florida:
50
51 Section 1. Paragraph (d) of subsection (5) of section
52 626.015, Florida Statutes, is amended to read:
53 626.015 Definitions.—As used in this part:
54 (5) “General lines agent” means an agent transacting any
55 one or more of the following kinds of insurance:
56 (d) Health insurance, when transacted by an insurer also
57 represented by the same agent as to property or casualty or
58 surety insurance.
59 Section 2. Paragraph (a) of subsection (4) of section
60 626.0428, Florida Statutes, is amended to read:
61 626.0428 Agency personnel powers, duties, and limitations.—
62 (4)(a) Each place of business established by an agent or
63 agency, firm, corporation, or association must be in the active
64 full-time charge of a licensed and appointed agent holding the
65 required agent licenses to transact at least two of the lines of
66 insurance being handled at the location. If only one line of
67 insurance is handled at the location, the agent in charge must
68 hold the required agent license to transact that line of
69 insurance.
70 Section 3. Subsection (1) and paragraphs (g) through (l) of
71 subsection (2) of section 626.221, Florida Statutes, are amended
72 to read:
73 626.221 Examination requirement; exemptions.—
74 (1) The department shall not issue any license as agent,
75 customer representative, or adjuster to any individual who has
76 not qualified for, taken, and passed to the satisfaction of the
77 department a written examination of the scope prescribed in s.
78 626.241.
79 (2) However, an examination is not necessary for any of the
80 following:
81 (g) An applicant for a license as a life or health agent
82 who has received the designation of chartered life underwriter
83 (CLU) from the American College of Financial Services Life
84 Underwriters and has been engaged in the insurance business
85 within the past 4 years, except that the applicant may be
86 examined on pertinent provisions of this code.
87 (h) An applicant for license as a general lines agent,
88 personal lines agent, or all-lines customer representative, or
89 adjuster who has received the designation of chartered property
90 and casualty underwriter (CPCU) from the American Institute for
91 Chartered Property Casualty and Liability Underwriters and has
92 been engaged in the insurance business within the past 4 years,
93 except that the applicant may be examined on pertinent
94 provisions of this code.
95 (i) An applicant for license as a general lines agent or an
96 all-lines adjuster who has received a degree in insurance from
97 an accredited institution of higher learning approved by the
98 department, except that the applicant may be examined on
99 pertinent provisions of this code. Qualifying degrees must
100 indicate a minimum of 18 credit hours of insurance instruction,
101 including specific instruction in the areas of property,
102 casualty, health, and commercial insurance customer
103 representative who has earned the designation of Accredited
104 Advisor in Insurance (AAI) from the Insurance Institute of
105 America, the designation of Certified Insurance Counselor (CIC)
106 from the Society of Certified Insurance Service Counselors, the
107 designation of Accredited Customer Service Representative (ACSR)
108 from the Independent Insurance Agents of America, the
109 designation of Certified Professional Service Representative
110 (CPSR) from the National Foundation for Certified Professional
111 Service Representatives, the designation of Certified Insurance
112 Service Representative (CISR) from the Society of Certified
113 Insurance Service Representatives, or the designation of
114 Certified Insurance Representative (CIR) from the National
115 Association of Christian Catastrophe Insurance Adjusters. Also,
116 an applicant for license as a customer representative who has
117 earned an associate degree or bachelor’s degree from an
118 accredited college or university and has completed at least 9
119 academic hours of property and casualty insurance curriculum, or
120 the equivalent, or has earned the designation of Certified
121 Customer Service Representative (CCSR) from the Florida
122 Association of Insurance Agents, or the designation of
123 Registered Customer Service Representative (RCSR) from a
124 regionally accredited postsecondary institution in this state,
125 or the designation of Professional Customer Service
126 Representative (PCSR) from the Professional Career Institute,
127 whose curriculum has been approved by the department and which
128 includes comprehensive analysis of basic property and casualty
129 lines of insurance and testing at least equal to that of
130 standard department testing for the customer representative
131 license. The department shall adopt rules establishing standards
132 for the approval of curriculum.
133 (j) An applicant for license as a personal lines agent who
134 has received a degree from an accredited institution of higher
135 learning approved by the department, except that the applicant
136 may be examined on pertinent provisions of this code. Qualifying
137 degrees must indicate a minimum of 9 credit hours of insurance
138 instruction, including specific instruction in the areas of
139 property, casualty, and inland marine insurance resident or
140 nonresident all-lines adjuster who has the designation of
141 Accredited Claims Adjuster (ACA) from a regionally accredited
142 postsecondary institution in this state, Professional Claims
143 Adjuster (PCA) from the Professional Career Institute,
144 Professional Property Insurance Adjuster (PPIA) from the
145 HurriClaim Training Academy, Certified Adjuster (CA) from ALL
146 LINES Training, or Certified Claims Adjuster (CCA) from the
147 Association of Property and Casualty Claims Professionals whose
148 curriculum has been approved by the department and which
149 includes comprehensive analysis of basic property and casualty
150 lines of insurance and testing at least equal to that of
151 standard department testing for the all-lines adjuster license.
152 The department shall adopt rules establishing standards for the
153 approval of curriculum.
154 (k) An applicant qualifying for a license transfer under s.
155 626.292 if the applicant:
156 1. Has successfully completed the prelicensing examination
157 requirements in the applicant’s previous home state which are
158 substantially equivalent to the examination requirements in this
159 state, as determined by the department;
160 2. Has received the designation of chartered property and
161 casualty underwriter (CPCU) from the American Institute for
162 Property and Liability Underwriters and been engaged in the
163 insurance business within the past 4 years if applying to
164 transfer a general lines agent license; or
165 3. Has received the designation of chartered life
166 underwriter (CLU) from the American College of Life Underwriters
167 and been engaged in the insurance business within the past 4
168 years if applying to transfer a life or health agent license.
169 (l) An applicant for a license as a nonresident agent if
170 the applicant holds a comparable license in another state with
171 similar examination requirements as this state:
172 1. Has successfully completed prelicensing examination
173 requirements in the applicant’s home state which are
174 substantially equivalent to the examination requirements in this
175 state, as determined by the department, as a requirement for
176 obtaining a resident license in his or her home state;
177 2. Held a general lines agent license, life agent license,
178 or health agent license before a written examination was
179 required;
180 3. Has received the designation of chartered property and
181 casualty underwriter (CPCU) from the American Institute for
182 Property and Liability Underwriters and has been engaged in the
183 insurance business within the past 4 years, if an applicant for
184 a nonresident license as a general lines agent; or
185 4. Has received the designation of chartered life
186 underwriter (CLU) from the American College of Life Underwriters
187 and been in the insurance business within the past 4 years, if
188 an applicant for a nonresident license as a life agent or health
189 agent.
190 Section 4. Subsections (1), (2), (3), and (8) of section
191 626.241, Florida Statutes, are amended to read:
192 626.241 Scope of examination.—
193 (1) Each examination for a license as an agent, customer
194 representative, or adjuster shall be of such scope as is deemed
195 by the department to be reasonably necessary to test the
196 applicant’s ability and competence and knowledge of the kinds of
197 insurance and transactions to be handled under the license
198 applied for, of the duties and responsibilities of such a
199 licensee, and of the pertinent provisions of the laws of this
200 state.
201 (2) Examinations given applicants for license as a general
202 lines agent or customer representative shall cover all property,
203 casualty, and surety insurances, except as provided in
204 subsection (5) relative to limited licenses.
205 (3) Examinations given applicants for a life agent’s
206 license shall cover life insurance, annuities, and variable
207 contracts annuities.
208 (8) An examination for licensure as a personal lines agent
209 shall consist of 100 questions and shall be limited in scope to
210 the kinds of business transacted under such license.
211 Section 5. Section 626.2817, Florida Statutes, is amended
212 to read:
213 626.2817 Regulation of course providers, instructors, and
214 school officials, and monitor groups involved in prelicensure
215 education for insurance agents and other licensees.—
216 (1) Any course provider, instructor, or school official, or
217 monitor group must be approved by and registered with the
218 department before offering prelicensure education courses for
219 insurance agents and other licensees.
220 (2) The department shall adopt rules establishing standards
221 for the approval, registration, discipline, or removal from
222 registration of course providers, instructors, and school
223 officials, and monitor groups. The standards must be designed to
224 ensure that such persons have the knowledge, competence, and
225 integrity to fulfill the educational objectives of the
226 prelicensure requirements of this chapter and chapter 648 and to
227 assure that insurance agents and licensees are competent to
228 engage in the activities authorized under the license.
229 (3) A course provider shall not grant completion credit to
230 any student who has not completed at least 75 percent of the
231 required course hours of a department approved prelicensure
232 course.
233 (4) The department shall adopt rules to establish a process
234 for determining compliance with the prelicensure requirements of
235 this chapter and chapter 648. The department shall adopt rules
236 prescribing the forms necessary to administer the prelicensure
237 requirements.
238 Section 6. Subsection (1) of section 626.311, Florida
239 Statutes, is amended to read:
240 626.311 Scope of license.—
241 (1) Except as to personal lines agents and limited
242 licenses, a general lines agent or customer representative shall
243 qualify for all property, marine, casualty, and surety lines
244 except bail bonds which require a separate license under chapter
245 648. The license of a general lines agent may also covers cover
246 health insurance if health insurance is included in the agent’s
247 appointment by an insurer as to which the licensee is also
248 appointed as agent for property or casualty or surety insurance.
249 The license of a customer representative shall provide, in
250 substance, that it covers all of such classes of insurance that
251 his or her appointing general lines agent or agency is currently
252 so authorized to transact under the general lines agent’s
253 license and appointments. No such license shall be issued
254 limited to particular classes of insurance except for bail bonds
255 which require a separate license under chapter 648 or for
256 personal lines agents. Personal lines agents are limited to
257 transacting business related to property and casualty insurance
258 sold to individuals and families for noncommercial purposes.
259 Section 7. Subsections (1) through (5) of section 626.732,
260 Florida Statutes, are amended to read:
261 626.732 Requirement as to knowledge, experience, or
262 instruction.—
263 (1) Except as provided in subsection (4), an applicant for
264 a license as a general lines agent, except for a chartered
265 property and casualty underwriter (CPCU), may not be qualified
266 or licensed unless, within the 4 years immediately preceding the
267 date the application for license is filed with the department,
268 the applicant has:
269 (a) Taught or successfully completed 200 hours of
270 coursework in property, casualty, surety, health, and marine
271 insurance approved by the department classroom courses in
272 insurance, 3 hours of which must be on the subject matter of
273 ethics, at a school, college, or extension division thereof,
274 approved by the department;
275 (b) Completed a correspondence course in insurance, 3 hours
276 of which must be on the subject matter of ethics, which is
277 regularly offered by accredited institutions of higher learning
278 in this state or extensions thereof and approved by the
279 department, and have at least 6 months of responsible insurance
280 duties as a substantially full-time bona fide employee in all
281 lines of property and casualty insurance set forth in the
282 definition of general lines agent under s. 626.015;
283 (b)(c) Completed at least 1 year in responsible insurance
284 duties as a substantially full-time bona fide employee in all
285 lines of property and casualty insurance as set forth in the
286 definition of a general lines agent under s. 626.015, but
287 without the education requirement described in paragraph (a) or
288 paragraph (b); or
289 (c)(d) Completed at least 1 year of responsible insurance
290 duties as a licensed and appointed customer representative,
291 service representative, or personal lines agent or limited
292 customer representative in commercial or personal lines of
293 property and casualty insurance and 40 hours of coursework
294 classroom courses approved by the department covering the areas
295 of property, casualty, surety, health, and marine insurance; or
296 (e) Completed at least 1 year of responsible insurance
297 duties as a licensed and appointed service representative in
298 commercial or personal lines of property and casualty insurance
299 and 80 hours of classroom courses approved by the department
300 covering the areas of property, casualty, surety, health, and
301 marine insurance.
302 (2) Except as provided under subsection (4), an applicant
303 for a license as a personal lines agent, except for a chartered
304 property and casualty underwriter (CPCU), may not be qualified
305 or licensed unless, within the 4 years immediately preceding the
306 date the application for license is filed with the department,
307 the applicant has:
308 (a) Taught or successfully completed 60 hours of coursework
309 in property, casualty, and inland marine insurance approved by
310 the department classroom courses in insurance, 3 hours of which
311 must be on the subject matter of ethics, at a school, college,
312 or extension division thereof, approved by the department. To
313 qualify for licensure, the applicant must complete a total of 52
314 hours of classroom courses in insurance;
315 (b) Completed a correspondence course in insurance, 3 hours
316 of which must be on the subject matter of ethics, which is
317 regularly offered by accredited institutions of higher learning
318 in this state or extensions thereof and approved by the
319 department, and completed at least 3 months of responsible
320 insurance duties as a substantially full-time employee in the
321 area of property and casualty insurance sold to individuals and
322 families for noncommercial purposes;
323 (b)(c) Completed at least 6 months of responsible insurance
324 duties as a substantially full-time employee in the area of
325 property and casualty insurance sold to individuals and families
326 for noncommercial purposes, but without the education
327 requirement described in paragraph (a) or paragraph (b); or
328 (c)(d) Completed at least 6 months of responsible insurance
329 duties as a licensed and appointed customer representative, or
330 limited customer representative, or service representative in
331 property and casualty insurance sold to individuals and families
332 for noncommercial purposes and 20 hours of classroom courses
333 approved by the department which are related to property and
334 casualty insurance sold to individuals and families for
335 noncommercial purposes;
336 (e) Completed at least 6 months of responsible insurance
337 duties as a licensed and appointed service representative in
338 property and casualty insurance sold to individuals and families
339 for noncommercial purposes and 40 hours of classroom courses
340 approved by the department related to property and casualty
341 insurance sold to individuals and families for noncommercial
342 purposes; or
343 (f) Completed at least 3 years of responsible duties as a
344 licensed and appointed customer representative in property and
345 casualty insurance sold to individuals and families for
346 noncommercial purposes.
347 (3) If an applicant’s qualifications as required under
348 subsection (1) or subsection (2) are based in part upon periods
349 of employment in responsible insurance duties, the applicant
350 shall submit with the license application, on a form prescribed
351 by the department, an attestation affidavit of his or her
352 employment employer setting forth the period of such employment,
353 that the employment was substantially full-time, and giving a
354 brief abstract of the nature of the duties performed by the
355 applicant.
356 (4) An individual who was or became qualified to sit for an
357 agent’s, customer representative’s, or adjuster’s examination at
358 or during the time he or she was employed by the department or
359 office and who, while so employed, was employed in responsible
360 insurance duties as a full-time bona fide employee may take an
361 examination if application for such examination is made within 4
362 years 90 days after the date of termination of employment with
363 the department or office.
364 (5) Classroom and correspondence Courses under subsections
365 (1) and (2) must include instruction on the subject matter of
366 unauthorized entities engaging in the business of insurance. The
367 scope of the topic of unauthorized entities must include the
368 Florida Nonprofit Multiple-Employer Welfare Arrangement Act and
369 the Employee Retirement Income Security Act, 29 U.S.C. ss. 1001
370 et seq., as it relates to the provision of health insurance by
371 employers and the regulation thereof.
372 Section 8. Subsections (3) and (7) of section 626.7351,
373 Florida Statutes, are amended to read:
374 626.7351 Qualifications for customer representative’s
375 license.—The department shall not grant or issue a license as
376 customer representative to any individual found by it to be
377 untrustworthy or incompetent, or who does not meet each of the
378 following qualifications:
379 (3) Within 4 the 2 years next preceding the date that the
380 application for license was filed with the department, the
381 applicant has earned the designation of Accredited Advisor in
382 Insurance (AAI), Associate in General Insurance (AINS), or
383 Accredited Customer Service Representative (ACSR) from the
384 Insurance Institute of America; the designation of Certified
385 Insurance Counselor (CIC) from the Society of Certified
386 Insurance Service Counselors; the designation of Certified
387 Professional Service Representative (CPSR) from the National
388 Foundation for CPSRs; the designation of Certified Insurance
389 Service Representative (CISR) from the Society of Certified
390 Insurance Service Representatives; the designation of Certified
391 Insurance Representative (CIR) from All-Lines Training; the
392 designation of Professional Customer Service Representative
393 (PCSR) from the Professional Career Institute; the designation
394 of Registered Customer Service Representative (RCSR) from a
395 regionally accredited postsecondary institution in the state
396 whose curriculum is approved by the department and includes
397 comprehensive analysis of basic property and casualty lines of
398 insurance and testing which demonstrates mastery of the subject;
399 or a degree from an accredited institution of higher learning
400 approved by the department when the degree includes a minimum of
401 9 credit hours of insurance instruction, including specific
402 instruction in the areas of property, casualty, and inland
403 marine insurance. The department shall adopt rules establishing
404 standards for the approval of curriculum completed a course in
405 insurance, 3 hours of which shall be on the subject matter of
406 ethics, approved by the department or has had at least 6 months’
407 experience in responsible insurance duties as a substantially
408 full-time employee. Courses must include instruction on the
409 subject matter of unauthorized entities engaging in the business
410 of insurance. The scope of the topic of unauthorized entities
411 shall include the Florida Nonprofit Multiple-Employer Welfare
412 Arrangement Act and the Employee Retirement Income Security Act,
413 29 U.S.C. ss. 1001 et seq., as such acts relate to the provision
414 of health insurance by employers and the regulation of such
415 insurance.
416 (7) The applicant has passed any required examination for
417 license required under s. 626.221.
418 Section 9. Section 626.748, Florida Statutes, is amended to
419 read:
420 626.748 Agent’s records.—Every agent transacting any
421 insurance policy must maintain in his or her office, or have
422 readily accessible by electronic or photographic means, for a
423 period of at least 5 years after policy expiration, such records
424 of policies transacted by him or her as to enable the
425 policyholders and department to obtain all necessary
426 information, including daily reports, applications, change
427 endorsements, or documents signed or initialed by the insured
428 concerning such policies.
429 Section 10. Section 626.7851, Florida Statutes, is amended
430 to read:
431 626.7851 Requirement as to knowledge, experience, or
432 instruction.—An No applicant for a license as a life agent,
433 except for a chartered life underwriter (CLU), shall not be
434 qualified or licensed unless within the 4 years immediately
435 preceding the date the application for a license is filed with
436 the department he or she has:
437 (1) Successfully completed 40 hours of coursework classroom
438 courses in life insurance, annuities, and variable contracts
439 approved by the department, 3 hours of which shall be on the
440 subject matter of ethics, satisfactory to the department at a
441 school or college, or extension division thereof, or other
442 authorized course of study, approved by the department. Courses
443 must include instruction on the subject matter of unauthorized
444 entities engaging in the business of insurance, to include the
445 Florida Nonprofit Multiple-Employer Welfare Arrangement Act and
446 the Employee Retirement Income Security Act, 29 U.S.C. ss. 1001
447 et seq., as it relates to the provision of life insurance by
448 employers to their employees and the regulation thereof;
449 (2) Earned or maintained an active designation as a
450 Chartered Financial Consultant (ChFC) from the American College
451 of Financial Services; Fellow, Life Management Institute (FLMI)
452 from the Life Management Institute; or Certified Financial
453 Planner (CFP) from the Certified Financial Planner Board of
454 Standards Successfully completed a correspondence course in
455 insurance, 3 hours of which shall be on the subject matter of
456 ethics, satisfactory to the department and regularly offered by
457 accredited institutions of higher learning in this state or by
458 independent programs of study, approved by the department.
459 Courses must include instruction on the subject matter of
460 unauthorized entities engaging in the business of insurance, to
461 include the Florida Nonprofit Multiple-Employer Welfare
462 Arrangement Act and the Employee Retirement Income Security Act,
463 29 U.S.C. ss. 1001 et seq., as it relates to the provision of
464 life insurance by employers to their employees and the
465 regulation thereof;
466 (3) Held an active license in life, or life and health,
467 insurance in another state. This provision may not be used
468 utilized unless the other state grants reciprocal treatment to
469 licensees formerly licensed in this state Florida; or
470 (4) Been employed by the department or office for at least
471 1 year, full time in life or life and health insurance
472 regulatory matters and who was not terminated for cause, and
473 application for examination is made within 4 years 90 days after
474 the date of termination of his or her employment with the
475 department or office.
476 Section 11. Section 626.8311, Florida Statutes, is amended
477 to read:
478 626.8311 Requirement as to knowledge, experience, or
479 instruction.—An No applicant for a license as a health agent,
480 except for a chartered life underwriter (CLU), shall not be
481 qualified or licensed unless within the 4 years immediately
482 preceding the date the application for license is filed with the
483 department he or she has:
484 (1) Successfully completed 40 hours of coursework classroom
485 courses in health insurance, approved by the department, 3 hours
486 of which shall be on the subject matter of ethics, satisfactory
487 to the department at a school or college, or extension division
488 thereof, or other authorized course of study, approved by the
489 department. Courses must include instruction on the subject
490 matter of unauthorized entities engaging in the business of
491 insurance, to include the Florida Nonprofit Multiple-Employer
492 Welfare Arrangement Act and the Employee Retirement Income
493 Security Act, 29 U.S.C. ss. 1001 et seq., as it relates to the
494 provision of health insurance by employers to their employees
495 and the regulation thereof;
496 (2) Earned or maintained an active designation as a
497 Registered Health Underwriter (RHU), Chartered Healthcare
498 Consultant (ChHC), or Registered Employee Benefits Consultant
499 (REBC) from the American College of Financial Services;
500 Certified Employee Benefit Specialist (CEBS) from the Wharton
501 School of the University of Pennsylvania; Health Insurance
502 Associate (HIA) from America’s Health Insurance Plans; or
503 Certified Financial Planner (CFP) from the Certified Financial
504 Planner Board of Standards Successfully completed a
505 correspondence course in insurance, 3 hours of which shall be on
506 the subject matter of ethics, satisfactory to the department and
507 regularly offered by accredited institutions of higher learning
508 in this state or by independent programs of study, approved by
509 the department. Courses must include instruction on the subject
510 matter of unauthorized entities engaging in the business of
511 insurance, to include the Florida Nonprofit Multiple-Employer
512 Welfare Arrangement Act and the Employee Retirement Income
513 Security Act, 29 U.S.C. ss. 1001 et seq., as it relates to the
514 provision of health insurance by employers to their employees
515 and the regulation thereof;
516 (3) Held an active license in health, or life and health,
517 insurance in another state. This provision may not be utilized
518 unless the other state grants reciprocal treatment to licensees
519 formerly licensed in Florida; or
520 (4) Been employed by the department or office for at least
521 1 year, full time in health insurance regulatory matters and who
522 was not terminated for cause, and application for examination is
523 made within 4 years 90 days after the date of termination of his
524 or her employment with the department or office.
525 Section 12. Section 626.8661, Florida Statutes, is created
526 to read:
527 626.8661 Requirement as to knowledge, experience, or
528 instruction.—An applicant for a license as an all-lines
529 adjuster, except for a chartered property and casualty
530 underwriter (CPCU), shall not be qualified or licensed unless
531 within the 4 years immediately preceding the date that the
532 application for license is filed with the department he or she
533 has:
534 (1) Successfully completed 40 hours of coursework in
535 adjusting all lines of insurance, except life, approved by the
536 department;
537 (2) Earned or maintained an active designation as an
538 Accredited Claims Adjuster (ACA) from a regionally accredited
539 postsecondary institution in the state, Associate in Claims
540 (AIC) from the Insurance Institute of America, Professional
541 Claims Adjuster (PCA) from the Professional Career Institute,
542 Professional Property Insurance Adjuster (PPIA) from the
543 HurriClaim Training Academy, Certified Adjuster (CA) from All
544 Lines Training, or Certified Claims Adjuster (CCA) from AE21
545 Incorporated;
546 (3) Completed at least 1 year in responsible insurance
547 duties as a substantially full-time insurance adjuster with
548 experience in determining the amount of a claim, loss, or damage
549 payable under an insurance contract and has effected settlement
550 of such claim, loss, or damage, but has not met the education
551 requirement described in subsection (1) or subsection (2); or
552 (4) Been employed full time by the department or office for
553 at least 1 year, with experience in insurance claim regulatory
554 matters, and was not terminated for cause.
555 Section 13. Paragraph (o) of subsection (1) of section
556 626.9541, Florida Statutes, is amended to read:
557 626.9541 Unfair methods of competition and unfair or
558 deceptive acts or practices defined.—
559 (1) UNFAIR METHODS OF COMPETITION AND UNFAIR OR DECEPTIVE
560 ACTS.—The following are defined as unfair methods of competition
561 and unfair or deceptive acts or practices:
562 (o) Illegal dealings in premiums; excess or reduced charges
563 for insurance.—
564 1. Knowingly collecting any sum as a premium or charge for
565 insurance, which is not then provided, or is not in due course
566 to be provided, subject to acceptance of the risk by the
567 insurer, by an insurance policy issued by an insurer as
568 permitted by this code.
569 2. Knowingly collecting as a premium or charge for
570 insurance any sum in excess of or less than the premium or
571 charge applicable to such insurance, in accordance with the
572 applicable classifications and rates as filed with and approved
573 by the office, and as specified in the policy; or, in cases when
574 classifications, premiums, or rates are not required by this
575 code to be so filed and approved, premiums and charges collected
576 from a Florida resident in excess of or less than those
577 specified in the policy and as fixed by the insurer.
578 Notwithstanding any other provision of law, this provision shall
579 not be deemed to prohibit the charging and collection, by
580 surplus lines agents licensed under part VIII of this chapter,
581 of the amount of applicable state and federal taxes, or fees as
582 authorized by s. 626.916(4), in addition to the premium required
583 by the insurer or the charging and collection, by licensed
584 agents, of the exact amount of any discount or other such fee
585 charged by a credit card facility in connection with the use of
586 a credit card, as authorized by subparagraph (q)3., in addition
587 to the premium required by the insurer. This subparagraph shall
588 not be construed to prohibit collection of a premium for a
589 universal life or a variable or indeterminate value insurance
590 policy made in accordance with the terms of the contract.
591 3.a. Imposing or requesting an additional premium for a
592 policy of motor vehicle liability, personal injury protection,
593 medical payment, or collision insurance or any combination
594 thereof or refusing to renew the policy solely because the
595 insured was involved in a motor vehicle accident unless the
596 insurer’s file contains information from which the insurer in
597 good faith determines that the insured was substantially at
598 fault in the accident.
599 b. An insurer which imposes and collects such a surcharge
600 or which refuses to renew such policy shall, in conjunction with
601 the notice of premium due or notice of nonrenewal, notify the
602 named insured that he or she is entitled to reimbursement of
603 such amount or renewal of the policy under the conditions listed
604 below and will subsequently reimburse him or her or renew the
605 policy, if the named insured demonstrates that the operator
606 involved in the accident was:
607 (I) Lawfully parked;
608 (II) Reimbursed by, or on behalf of, a person responsible
609 for the accident or has a judgment against such person;
610 (III) Struck in the rear by another vehicle headed in the
611 same direction and was not convicted of a moving traffic
612 violation in connection with the accident;
613 (IV) Hit by a “hit-and-run” driver, if the accident was
614 reported to the proper authorities within 24 hours after
615 discovering the accident;
616 (V) Not convicted of a moving traffic violation in
617 connection with the accident, but the operator of the other
618 automobile involved in such accident was convicted of a moving
619 traffic violation;
620 (VI) Finally adjudicated not to be liable by a court of
621 competent jurisdiction;
622 (VII) In receipt of a traffic citation which was dismissed
623 or nolle prossed; or
624 (VIII) Not at fault as evidenced by a written statement
625 from the insured establishing facts demonstrating lack of fault
626 which are not rebutted by information in the insurer’s file from
627 which the insurer in good faith determines that the insured was
628 substantially at fault.
629 c. In addition to the other provisions of this
630 subparagraph, an insurer may not fail to renew a policy if the
631 insured has had only one accident in which he or she was at
632 fault within the current 3-year period. However, an insurer may
633 nonrenew a policy for reasons other than accidents in accordance
634 with s. 627.728. This subparagraph does not prohibit nonrenewal
635 of a policy under which the insured has had three or more
636 accidents, regardless of fault, during the most recent 3-year
637 period.
638 4. Imposing or requesting an additional premium for, or
639 refusing to renew, a policy for motor vehicle insurance solely
640 because the insured committed a noncriminal traffic infraction
641 as described in s. 318.14 unless the infraction is:
642 a. A second infraction committed within an 18-month period,
643 or a third or subsequent infraction committed within a 36-month
644 period.
645 b. A violation of s. 316.183, when such violation is a
646 result of exceeding the lawful speed limit by more than 15 miles
647 per hour.
648 5. Upon the request of the insured, the insurer and
649 licensed agent shall supply to the insured the complete proof of
650 fault or other criteria which justifies the additional charge or
651 cancellation.
652 6. No insurer shall impose or request an additional premium
653 for motor vehicle insurance, cancel or refuse to issue a policy,
654 or refuse to renew a policy because the insured or the applicant
655 is a handicapped or physically disabled person, so long as such
656 handicap or physical disability does not substantially impair
657 such person’s mechanically assisted driving ability.
658 7. No insurer may cancel or otherwise terminate any
659 insurance contract or coverage, or require execution of a
660 consent to rate endorsement, during the stated policy term for
661 the purpose of offering to issue, or issuing, a similar or
662 identical contract or coverage to the same insured with the same
663 exposure at a higher premium rate or continuing an existing
664 contract or coverage with the same exposure at an increased
665 premium.
666 8. No insurer may issue a nonrenewal notice on any
667 insurance contract or coverage, or require execution of a
668 consent to rate endorsement, for the purpose of offering to
669 issue, or issuing, a similar or identical contract or coverage
670 to the same insured at a higher premium rate or continuing an
671 existing contract or coverage at an increased premium without
672 meeting any applicable notice requirements.
673 9. No insurer shall, with respect to premiums charged for
674 motor vehicle insurance, unfairly discriminate solely on the
675 basis of age, sex, marital status, or scholastic achievement.
676 10. Imposing or requesting an additional premium for motor
677 vehicle comprehensive or uninsured motorist coverage solely
678 because the insured was involved in a motor vehicle accident or
679 was convicted of a moving traffic violation.
680 11. No insurer shall cancel or issue a nonrenewal notice on
681 any insurance policy or contract without complying with any
682 applicable cancellation or nonrenewal provision required under
683 the Florida Insurance Code.
684 12. No insurer shall impose or request an additional
685 premium, cancel a policy, or issue a nonrenewal notice on any
686 insurance policy or contract because of any traffic infraction
687 when adjudication has been withheld and no points have been
688 assessed pursuant to s. 318.14(9) and (10). However, this
689 subparagraph does not apply to traffic infractions involving
690 accidents in which the insurer has incurred a loss due to the
691 fault of the insured.
692 Section 14. Section 627.4553, Florida Statutes, is amended
693 to read:
694 627.4553 Recommendations to surrender.—If an insurance
695 agent recommends the surrender of an annuity or life insurance
696 policy containing a cash value and does not recommend that the
697 proceeds from the surrender be used to fund or purchase another
698 annuity or life insurance policy, before execution of the
699 surrender, the insurance agent, or insurance company if no agent
700 is involved, shall provide written , on a form that satisfies
701 the requirements of the rule adopted by the department,
702 information relating to the annuity or policy to be surrendered.
703 Such information shall include, but is not limited to, the
704 amount of any surrender charge, the loss of any minimum interest
705 rate guarantees, the possibility amount of any tax consequences
706 resulting from the transaction, the amount of any forfeited
707 death benefit, and the value of any other investment performance
708 guarantees being forfeited as a result of the transaction. The
709 agent shall maintain a copy of the information and the date that
710 the information was provided to the owner. This section also
711 applies to a person performing insurance agent activities
712 pursuant to an exemption from licensure under this part.
713 Section 15. Subsection (2) of section 631.341, Florida
714 Statutes, is amended to read:
715 631.341 Notice of insolvency to policyholders by insurer,
716 general agent, or agent.—
717 (2) Unless, within 15 days subsequent to the date of such
718 notice, all agents referred to in subsection (1) have either
719 replaced or reinsured in a solvent authorized insurer the
720 insurance coverages placed by or through such agent in the
721 delinquent insurer, such agents shall then, by registered or
722 certified mail, or by e-mail with delivery receipt required,
723 send to the last known address of any policyholder a written
724 notice of the insolvency of the delinquent insurer.
725 Section 16. Paragraph (d) of subsection (1) of section
726 648.355, Florida Statutes, is amended to read:
727 648.355 Temporary limited license as limited surety agent
728 or professional bail bond agent; pending examination.—
729 (1) The department may, in its discretion, issue a
730 temporary license as a limited surety agent or professional bail
731 bond agent, subject to the following conditions:
732 (d) Within 4 years prior to the date of application for a
733 temporary license, the applicant has successfully completed a
734 basic certification course in the criminal justice system,
735 consisting of at least not less than 120 hours of classroom
736 instruction with a passing grade of 80 percent or higher and has
737 successfully completed a 20 hour correspondence course for bail
738 bond agents approved by the department.
739 Section 17. Paragraph (a) of subsection (1) of section
740 648.386, Florida Statutes, is amended to read:
741 648.386 Qualifications for prelicensing and continuing
742 education schools and instructors.—
743 (1) SCHOOLS AND CURRICULUM FOR PRELICENSING SCHOOLS.—In
744 order to be considered for approval and certification as an
745 approved limited surety agent and professional bail bond agent
746 prelicensing school, such entity must:
747 (a)1. Offer a minimum of two 120-hour classroom-instruction
748 basic certification course courses in the criminal justice
749 system approved by the department per calendar year unless a
750 reduced number of course offerings per calendar year is
751 warranted in accordance with rules promulgated by the
752 department; or
753 2. Offer a bail bond agents department-approved
754 correspondence course approved by the pursuant to department
755 rules.
756 Section 18. This act shall take effect July 1, 2015.
