Florida Senate Banking and Insurance Committee Meeting re Florida No-Fault Bill 3/08/2006

Today the Senate Banking and Insurance Committee held a workshop on the Committee bill released last month regarding re-enactment of the Florida No-Fault law.  The bill, numbered Senate Bill (SB) 2114, will re-enact the Florida No-Fault law while implementing certain anti-fraud measures, a medical fee schedule and attorneys’ fee reform.  SB 2114 will also require health providers to furnish specific information to insurers regarding the treatment provided to the insured, and the bill clarifies certain existing provisions of Florida law. 

Representatives from the insurance industry were generally supportive of SB 2114, but stated that the bill “didn’t go far enough” and should be amended to include additional provisions to address and/or eliminate the current abuse and fraud in the PIP system.  Several medical providers testified against the fee schedule portion of the bill, and testified that a fee schedule would perpetuate fraud rather than eliminate it. Also, the Academy of Florida Trial Attorneys presented testimony against the attorneys’ fee limitations contained in the bill.

The Committee also work-shopped Senate bill 2112 relating to the definition of clinics and clinic licensure.  This bill requires clinics that are seeking reimbursement for PIP benefits to either obtain a license or apply for an exemption from licensure. The bill also includes certain types of health care providers in the definition of a “clinic” and revises requirements for applying for licensure as a health care clinic.  

Clinic representatives testified against the bill, stating that the increased paperwork and fees associated with the licenses will deter clinics from accepting PIP patients.  Proponents of the bill stated that the changes contained in the bill were necessary to fight insurance fraud. 

The Committee also reported all bills placed on the agenda favorably out of the Committee. 

You may find a copy of the Committee packet that contains a bill analysis on each of the bills presented in the Committee at the following website under the Banking and Insurance Committee link : http://www.flsenate.gov/Committees/index.cfm?Mode=Meeting%20Packets&Submenu=3&Tab=committees&CFID=124856260&CFTOKEN=34562036. 

The only item on the agenda that was not addressed was the workshop on the public records relating to Motor Vehicle Crash Victim reports.  This was not addressed because the Committee ran out of time.

We will continue to monitor developments as they occur and provide updates accordingly.  Please feel free to contact this office with any questions or concerns.