State Representative Nelson Issues Draft PIP Anti-Fraud Bill; FPCA Member Comments Requested

With input from the Florida Property Casualty Association and other feedback from the Florida insurance industry, State Representative Bryan Nelson has generated draft legislation that, among other actions, would combat Personal Injury Protection (“PIP”) fraud through clinic regulation.

Please review Representative Nelson’s attached bill draft and send any comments or questions to Katie Webb at kwebb@cftlaw.com.

In regard to automobile insurance, the bill focuses on creating additional restrictions or penalties for PIP-related clinics, as well as creating mechanisms to fund new PIP fraud investigators and prosecutors.

The bill also establishes that fines or penalties for clinic owners or personnel who self-refer clients or abuse PIP in other ways would be placed in a trust fund, which be used to fund fraud investigators and prosecutors.