House Insurance, Business & Financial Affairs Policy Committee Meeting Report: March 17

Mar 17, 2009

On Tuesday, March 17, 2009, the Florida House Insurance, Business and Financial Affairs Policy Committee (“Committee”) met and considered several insurance-related bills.  To view the Committee packet, click here.

During the meeting, the Committee passed the following insurance-related bills:

  • HB 351 Relating to Property Insurance Rate Reduction by Representative John Legg (R-Port Richey)
  • HB 845 Relating to Self-Insurance Funds by Representative Brad Drake (R-DeFuniak Springs)
  • HB 853 Relating to Surplus Lines Insurers by Representative Pat Patterson (R-DeLand)
  • HB 629 Relating to Health Clinics by Representative Paige Kreegel (R-Punta Gorda)
  • HB 641 Relating to Unemployment Compensation by Representative Steve Crisafulli (R-Merritt Island)

The following is a brief summary of the activities and discussions that occurred during the meeting.

 

House Bill 351 Relating to Property Insurance Rate Reduction

HB 351 passed with a strike-all amendment, which conforms the House bill version to that of the Senate.

As amended, the bill would require insurance companies to consider local government ordinances that provide for sinkhole mitigation requirements and provide premium discounts for compliance with those ordinances.

During discussion, Representative Janet Long (D-St. Petersburg) inquired about prevention of sinkhole losses.  Representative Legg noted that the likelihood of property damage from a sinkhole would decrease if mitigation was effected.

Representative Bryan Nelson (R-Apopka) expressed concern regarding the extent of mitigation discounts provided by the bill.  If the bill becomes law, mitigation discounts would not go into effect for four years.

  • HB 351 now proceeds to the House Military and Local Affairs Committee.

 

House Bill 845 Relating to Self-Insurance Funds

HB 845 passed with two amendments.

As amended, HB 845 would authorize specified electric cooperatives to operate a self-insurance fund for specified purposes.

Representative Drake explained the bill; there was no discussion by Committee members.

  • HB 845 now proceeds to the House General Government Policy Committee.

 

House Bill 853 Relating to Surplus Lines Insurers

HB 853, which passed with no amendments, provides that certain parts of Chapter 627, Florida Statutes do not apply to surplus lines insurers.  The exclusion applies retroactively.

  • HB 853 now proceeds to the House General Government Policy Council.

 

House Bill 629 Relating to Health Clinics

HB 629, which passed unanimously, exempts from Health Care Clinic Act definition those clinics not seeking personal injury protection (“PIP”) reimbursement.

  • HB 629 now proceeds to the House Health Regulation Policy Committee.

 

House Bill 649 Relating to Unemployment Compensation

HB 641, which passed unanimously, would redefine the term “employee leasing company” to reflect reporting requirements.  The bill also would require an employee leasing company to submit a report regarding its establishments to the Labor Market Statistics Center within the Florida Agency for Workforce Innovation.

  • HB 649 now proceeds to the House Economic Development and Community Affairs Committee.

Following these discussions, the Committee adjourned.

 

Should you have any questions or comments, please contact Colodny Fass.

 

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