Florida’s Legislature Re-Enacts No-Fault; Initiates Budget Compromise

Oct 5, 2007

On Friday, October 5, 2007, the Florida Legislature passed House Bill 13C, which revises and re-enacts Florida Motor Vehicle No-Fault laws effective October 1, 2008.  Also, the Legislature passed House Bill 15C, which creates a public records exemption for certain information regarding personal injury protection (“PIP”) and property damage liability insurance policies.  

House Bill 13C revises the property damage coverage requirements, revises PIP medical benefits, provides benefits for services and care ordered by a physician or provided by certain other medical providers, requires that benefits for certain providers are to be reserved for a specified period, authorizes reimbursement limits schedule for PIP benefits, prohibits billing or collecting in excess of certain limits, deletes provisions specifying allowable amounts for certain tests & and services, extends the period for paying overdue claims following a demand letter, provides for penalties for failing to pay PIP claims, authorizes investigations and enforcement actions, requires certain related claims to be brought in one action, provides certain attorney fee limitations, authorizes electronic transmission of notices and communications under certain conditions, requires insurers continue to use certain forms and rates until specified date unless new ones are approved, exempts the purchaser of a policy without PIP coverage from PIP requirement for a specified period, and requires an insurer to provide notice of coverage requirement or PIP endorsement.

For your review, we have attached the final engrossed bills that will be presented to the Governor.  We expect that the Governor will sign both bills. 

Budget Reduction

Each Chamber concurrently approved respective spending reduction plans that equate to a $1.1 billion total budget reduction.  The Senate approved its plan in a 26 to 11 vote and the House passed its plan by 67 to 35.
 
Negotiators were appointed to work out the differences in each budget.  The two Chambers are very close to full agreement with the goal of a compromise bill ready for a vote on the final day of the Special Session C.

 

Please feel free contact this office should you have any questions regarding this matter.