Bill Text: FL S1386 | 2016 | Regular Session | Enrolled

Florida Senate Bill 1386 (Prior Session Legislation)

Bill Title: Insurance Agents

Spectrum: Slight Partisan Bill (? 2-1)

Status: (Passed) 2016-04-08 - Chapter No. 2016-202 [S1386 Detail]

Download: Florida-2016-S1386-Enrolled.html

       ENROLLED
       2016 Legislature                           CS for CS for SB 1386
       
       
       
       
       
       
                                                             20161386er
    1  
    2         An act relating to insurance agents; amending s.
    3         626.593, F.S.; revising a prohibition against a
    4         licensed insurance agent from receiving a specified
    5         fee or commission for examining any health insurance
    6         or any health benefit plan, rather than any group
    7         health insurance or any group health benefit plan, for
    8         certain purposes; amending s. 626.785, F.S.; revising
    9         amounts of coverage of certain life insurance policies
   10         that may be sold by specified persons; revising the
   11         version of the Annual Consumer Price Index used as a
   12         basis for calculating certain annual percentage
   13         increases in specified policies; providing an
   14         effective date.
   15          
   16  Be It Enacted by the Legislature of the State of Florida:
   17  
   18         Section 1. Subsection (1) of section 626.593, Florida
   19  Statutes, is amended to read:
   20         626.593 Insurance agent; written contract for
   21  compensation.—
   22         (1) No person licensed as an insurance agent may receive
   23  any fee or commission or any other thing of value in addition to
   24  the rates filed pursuant to chapter 627 for examining any group
   25  health insurance or any group health benefit plan for the
   26  purpose of giving or offering advice, counsel, recommendation,
   27  or information in respect to terms, conditions, benefits,
   28  coverage, or premium of any such policy or contract unless such
   29  compensation is based upon a written contract signed by the
   30  party to be charged and specifying or clearly defining the
   31  amount or extent of such compensation and informing the party to
   32  be charged that any commission received from an insurer will be
   33  rebated to the party in accordance with subsection (3). In
   34  addition, all compensation to be paid to the insurance agent
   35  must be disclosed in the contract.
   36         Section 2. Paragraph (d) of subsection (1) and subsection
   37  (3) of section 626.785, Florida Statutes, are amended to read:
   38         626.785 Qualifications for license.—
   39         (1) The department shall not grant or issue a license as
   40  life agent to any individual found by it to be untrustworthy or
   41  incompetent, or who does not meet the following qualifications:
   42         (d) Must not be a funeral director or direct disposer, or
   43  an employee or representative thereof, or have an office in, or
   44  in connection with, a funeral establishment, except that a
   45  funeral establishment may contract with a life insurance agent
   46  to sell a preneed contract as defined in s. 497.005.
   47  Notwithstanding other provisions of this chapter, such insurance
   48  agent may sell limited policies of insurance covering the
   49  expense of final disposition or burial of an insured in the
   50  amount of $21,000 $12,500, plus an annual percentage increase
   51  based on the Annual Consumer Price Index compiled by the United
   52  States Department of Labor, beginning with the Annual Consumer
   53  Price Index announced by the United States Department of Labor
   54  for the year 2016 2003.
   55         (3) Notwithstanding any other provisions of this chapter, a
   56  funeral director, a direct disposer, or an employee of a funeral
   57  establishment that holds a certificate of authority pursuant to
   58  s. 497.452 may obtain an agent’s license to sell only policies
   59  of life insurance covering the expense of a prearrangement for
   60  funeral services or merchandise so as to provide funds at the
   61  time the services and merchandise are needed. The face amount of
   62  insurance covered by any such policy shall not exceed $21,000
   63  $12,500, plus an annual percentage increase based on the Annual
   64  Consumer Price Index compiled by the United States Department of
   65  Labor, beginning with the Annual Consumer Price Index announced
   66  by the United States Department of Labor for 2016 2003.
   67         Section 3. This act shall take effect upon becoming a law.