Florida Senate - 2022 SB 468 By Senator Perry 8-00440C-22 2022468__ 1 A bill to be entitled 2 An act relating to insurance; amending s. 215.555, 3 F.S.; redefining the term covered policy under the 4 Florida Hurricane Catastrophe Fund in relation to 5 certain collateral protection insurance policies; 6 amending s. 440.381, F.S.; revising the annual audit 7 requirement for construction classes to apply to new 8 and renewal policies having estimated annual premiums 9 over a specified threshold; amending s. 624.423, F.S.; 10 specifying when service of process is valid and 11 binding upon insurers; creating s. 624.46227, F.S.; 12 authorizing any association, trust, or pool created 13 for the purpose of forming a risk management mechanism 14 or providing self-insurance for a public entity to 15 establish a quorum and conduct public business through 16 communications media technology; amending s. 626.856, 17 F.S.; revising the definition of the term company 18 employee adjuster; amending s. 627.062, F.S.; 19 authorizing the use of a certain modeling indication 20 for residential property insurance rate filings; 21 amending s. 627.0629, F.S.; authorizing insurers to 22 file certain insurance rating plans based on certain 23 windstorm mitigation construction standards, if 24 certain requirements are met; amending s. 627.0665, 25 F.S.; revising notification requirements for insurers 26 who have automatic bank withdrawal agreements with 27 insureds to include notices when withdrawal amounts 28 increase above a specified threshold; amending s. 29 627.351, F.S.; revising conditions for determining the 30 ineligibility of condominiums for wind-only coverage; 31 amending s. 627.421, F.S.; deleting a requirement for 32 electronic transmissions of certain documents to 33 include specified notices; deleting a requirement that 34 paper copies of policies be provided upon request; 35 amending ss. 627.701 and 627.712, F.S.; revising 36 policyholder acknowledgment statement requirements for 37 property insurance policies having certain hurricane 38 deductibles or windstorm or contents coverage 39 exclusions, respectively; amending s. 627.7152, F.S.; 40 revising the definition of the term assignment 41 agreement; specifying the addresses to which a notice 42 of intent must be served; amending s. 627.7276, F.S.; 43 revising notice requirements for motor vehicle 44 policies that do not provide coverage for bodily 45 injury and property damage liability; amending ss. 46 634.171, 634.317, and 634.419, F.S.; authorizing 47 licensed personal lines or general lines agents to 48 solicit, negotiate, advertise, or sell motor vehicle 49 service agreements, home warranty contracts, and 50 service warranty contracts, respectively, without a 51 sales representative license; making technical 52 changes; reenacting ss. 624.424(10) and 627.351(6)(v), 53 F.S., relating to annual statements and other 54 information and Citizens Property Insurance 55 Corporation, respectively, to incorporate the 56 amendment made to s. 215.555, F.S., in references 57 thereto; reenacting s. 626.865(1)(e), F.S., relating 58 to public adjusters qualifications, to incorporate 59 the amendment made to s. 626.856, F.S., in a reference 60 thereto; reenacting s. 627.7153(1) and (2)(d), F.S., 61 relating to policies restricting assignment of post 62 loss benefits under a property insurance policy, to 63 incorporate the amendment made to s. 627.7152, F.S., 64 in references thereto; providing effective dates. 65 66 Be It Enacted by the Legislature of the State of Florida: 67 68 Section 1.Effective June 1, 2023, paragraph (c) of 69 subsection (2) of section 215.555, Florida Statutes, is amended 70 to read: 71 215.555Florida Hurricane Catastrophe Fund. 72 (2)DEFINITIONS.As used in this section: 73 (c)Covered policy means any insurance policy covering 74 residential property in this state, including, but not limited 75 to, any homeowner, mobile home owner, farm owner, condominium 76 association, condominium unit owner, tenant, or apartment 77 building policy, or any other policy covering a residential 78 structure or its contents issued by any authorized insurer, 79 including a commercial self-insurance fund holding a certificate 80 of authority issued by the Office of Insurance Regulation under 81 s. 624.462, the Citizens Property Insurance Corporation, and any 82 joint underwriting association or similar entity created under 83 law. The term covered policy includes any collateral 84 protection insurance policy covering personal residences which 85 protects both the borrowers and the lenders financial 86 interests, in an amount at least equal to the coverage amount 87 for the dwelling in place under the lapsed homeowners policy, 88 the coverage amount that the homeowner has been notified of by 89 the collateral protection insurer, or the coverage amount the 90 homeowner requests from the collateral protection insurer, if 91 such collateral protection insurance policy can be accurately 92 reported as required in subsection (5). Additionally, covered 93 policies include policies covering the peril of wind removed 94 from the Florida Residential Property and Casualty Joint 95 Underwriting Association or from the Citizens Property Insurance 96 Corporation, created under s. 627.351(6), or from the Florida 97 Windstorm Underwriting Association, created under s. 627.351(2), 98 by an authorized insurer under the terms and conditions of an 99 executed assumption agreement between the authorized insurer and 100 such association or Citizens Property Insurance Corporation. 101 Each assumption agreement between the association and such 102 authorized insurer or Citizens Property Insurance Corporation 103 must be approved by the Office of Insurance Regulation before 104 the effective date of the assumption, and the Office of 105 Insurance Regulation must provide written notification to the 106 board within 15 working days after such approval. Covered 107 policy does not include any policy that excludes wind coverage 108 or hurricane coverage or any reinsurance agreement and does not 109 include any policy otherwise meeting this definition which is 110 issued by a surplus lines insurer or a reinsurer. All commercial 111 residential excess policies and all deductible buy-back policies 112 that, based on sound actuarial principles, require individual 113 ratemaking must shall be excluded by rule if the actuarial 114 soundness of the fund is not jeopardized. For this purpose, the 115 term excess policy means a policy that provides insurance 116 protection for large commercial property risks and that provides 117 a layer of coverage above a primary layer insured by another 118 insurer. 119 Section 2.Subsection (3) of section 440.381, Florida 120 Statutes, is amended to read: 121 440.381Application for coverage; reporting payroll; 122 payroll audit procedures; penalties. 123 (3)The Financial Services Commission, in consultation with 124 the department, shall establish by rule minimum requirements for 125 audits of payroll and classifications in order to ensure that 126 the appropriate premium is charged for workers compensation 127 coverage. The rules must shall ensure that audits performed by 128 both carriers and employers are adequate to provide that all 129 sources of payments to employees, subcontractors, and 130 independent contractors are have been reviewed and that the 131 accuracy of classification of employees is has been verified. 132 The rules must require shall provide that employers in all 133 classes other than the construction class be audited at least 134 not less frequently than biennially and may provide for more 135 frequent audits of employers in specified classifications based 136 on factors such as amount of premium, type of business, loss 137 ratios, or other relevant factors. In no event shall Employers 138 in the construction class, generating more than the amount of 139 premium required to be experience rated, must be audited at 140 least less than annually. The annual audits required for 141 construction classes must shall consist of physical onsite 142 audits for new and renewal policies only if the estimated annual 143 premium is $10,000 or more. Payroll verification audit rules 144 must include, but need not be limited to, the use of state and 145 federal reports of employee income, payroll and other accounting 146 records, certificates of insurance maintained by subcontractors, 147 and duties of employees. At the completion of an audit, the 148 employer or officer of the corporation and the auditor must 149 print and sign their names on the audit document and attach 150 proof of identification to the audit document. 151 Section 3.Effective upon this act becoming a law, 152 subsection (3) of section 624.423, Florida Statutes, is amended 153 to read: 154 624.423Serving process. 155 (3)Service of process is valid and binding upon the 156 insurer on the date process served upon the Chief Financial 157 Officer is delivered to the insurer and sent or the date on 158 which the insurer is notified that such information has been 159 made available on a secured network in accordance with this 160 section and s. 624.307(9) shall for all purposes constitute 161 valid and binding service thereof upon the insurer. 162 Section 4.Section 624.46227, Florida Statutes, is created 163 to read: 164 624.46227Meeting requirements.Any association, trust, or 165 pool authorized by state law and created for the purpose of 166 forming a risk management mechanism or providing self-insurance 167 for public entities in this state may establish a quorum and 168 conduct public business through communications media technology. 169 Section 5.Section 626.856, Florida Statutes, is amended to 170 read: 171 626.856Company employee adjuster defined.A company 172 employee adjuster means a person licensed as an all-lines 173 adjuster who is appointed and employed on an insurers staff of 174 adjusters, by an affiliate, or by a wholly owned subsidiary of 175 the insurer, and who undertakes on behalf of such insurer or 176 other insurers under common control or ownership to ascertain 177 and determine the amount of any claim, loss, or damage payable 178 under a contract of insurance, or undertakes to effect 179 settlement of such claim, loss, or damage. 180 Section 6.Paragraph (j) of subsection (2) of section 181 627.062, Florida Statutes, is amended to read: 182 627.062Rate standards. 183 (2)As to all such classes of insurance: 184 (j)With respect to residential property insurance rate 185 filings, the rate filing: 186 1.Must account for mitigation measures undertaken by 187 policyholders to reduce hurricane losses. 188 2.May use a modeling indication that is the weighted or 189 straight average of two or more models found by the commission 190 to be accurate or reliable pursuant to s. 627.0628. 191 192 The provisions of this subsection do not apply to workers 193 compensation, employers liability insurance, and motor vehicle 194 insurance. 195 Section 7.Subsection (9) is added to section 627.0629, 196 Florida Statutes, to read: 197 627.0629Residential property insurance; rate filings. 198 (9)An insurer may file with the office a personal lines 199 residential property insurance rating plan that provides 200 justified premium discounts, credits, or other rate 201 differentials based on windstorm mitigation construction 202 standards developed by an independent, not-for-profit scientific 203 research organization, if such standards meet the requirements 204 of this section. 205 Section 8.Section 627.0665, Florida Statutes, is amended 206 to read: 207 627.0665Automatic bank withdrawal agreements; notification 208 required.Any insurer licensed to issue insurance in this the 209 state who has an automatic bank withdrawal agreement with an 210 insured party for the payment of insurance premiums for any type 211 of insurance shall give the named insured at least 15 days 212 advance written notice of any increase in policy premiums that 213 results in the next automatic bank withdrawal being increased by 214 more than $10. Such notice must be provided before prior to any 215 automatic bank withdrawal containing the of an increased premium 216 amount. 217 Section 9.Paragraph (a) of subsection (6) of section 218 627.351, Florida Statutes, is amended to read: 219 627.351Insurance risk apportionment plans. 220 (6)CITIZENS PROPERTY INSURANCE CORPORATION. 221 (a)The public purpose of this subsection is to ensure that 222 there is an orderly market for property insurance for residents 223 and businesses of this state. 224 1.The Legislature finds that private insurers are 225 unwilling or unable to provide affordable property insurance 226 coverage in this state to the extent sought and needed. The 227 absence of affordable property insurance threatens the public 228 health, safety, and welfare and likewise threatens the economic 229 health of the state. The state therefore has a compelling public 230 interest and a public purpose to assist in assuring that 231 property in this the state is insured and that it is insured at 232 affordable rates so as to facilitate the remediation, 233 reconstruction, and replacement of damaged or destroyed property 234 in order to reduce or avoid the negative effects otherwise 235 resulting to the public health, safety, and welfare, to the 236 economy of the state, and to the revenues of the state and local 237 governments which are needed to provide for the public welfare. 238 It is necessary, therefore, to provide affordable property 239 insurance to applicants who are in good faith entitled to 240 procure insurance through the voluntary market but are unable to 241 do so. The Legislature intends, therefore, that affordable 242 property insurance be provided and that it continue to be 243 provided, as long as necessary, through Citizens Property 244 Insurance Corporation, a government entity that is an integral 245 part of the state, and that is not a private insurance company. 246 To that end, the corporation shall strive to increase the 247 availability of affordable property insurance in this state, 248 while achieving efficiencies and economies, and while providing 249 service to policyholders, applicants, and agents which is no 250 less than the quality generally provided in the voluntary 251 market, for the achievement of the foregoing public purposes. 252 Because it is essential for this government entity to have the 253 maximum financial resources to pay claims following a 254 catastrophic hurricane, it is the intent of the Legislature that 255 the corporation continue to be an integral part of the state and 256 that the income of the corporation be exempt from federal income 257 taxation and that interest on the debt obligations issued by the 258 corporation be exempt from federal income taxation. 259 2.The Residential Property and Casualty Joint Underwriting 260 Association originally created by this statute shall be known as 261 the Citizens Property Insurance Corporation. The corporation 262 shall provide insurance for residential and commercial property, 263 for applicants who are entitled, but, in good faith, are unable 264 to procure insurance through the voluntary market. The 265 corporation shall operate pursuant to a plan of operation 266 approved by order of the Financial Services Commission. The plan 267 is subject to continuous review by the commission. The 268 commission may, by order, withdraw approval of all or part of a 269 plan if the commission determines that conditions have changed 270 since approval was granted and that the purposes of the plan 271 require changes in the plan. For the purposes of this 272 subsection, residential coverage includes both personal lines 273 residential coverage, which consists of the type of coverage 274 provided by homeowner, mobile home owner, dwelling, tenant, 275 condominium unit owner, and similar policies; and commercial 276 lines residential coverage, which consists of the type of 277 coverage provided by condominium association, apartment 278 building, and similar policies. 279 3.With respect to coverage for personal lines residential 280 structures: 281 a.Effective January 1, 2014, a structure that has a 282 dwelling replacement cost of $1 million or more, or a single 283 condominium unit that has a combined dwelling and contents 284 replacement cost of $1 million or more, is not eligible for 285 coverage by the corporation. Such dwellings insured by the 286 corporation on December 31, 2013, may continue to be covered by 287 the corporation until the end of the policy term. The office 288 shall approve the method used by the corporation for valuing the 289 dwelling replacement cost for the purposes of this subparagraph. 290 If a policyholder is insured by the corporation before being 291 determined to be ineligible pursuant to this subparagraph and 292 such policyholder files a lawsuit challenging the determination, 293 the policyholder may remain insured by the corporation until the 294 conclusion of the litigation. 295 b.Effective January 1, 2015, a structure that has a 296 dwelling replacement cost of $900,000 or more, or a single 297 condominium unit that has a combined dwelling and contents 298 replacement cost of $900,000 or more, is not eligible for 299 coverage by the corporation. Such dwellings insured by the 300 corporation on December 31, 2014, may continue to be covered by 301 the corporation only until the end of the policy term. 302 c.Effective January 1, 2016, a structure that has a 303 dwelling replacement cost of $800,000 or more, or a single 304 condominium unit that has a combined dwelling and contents 305 replacement cost of $800,000 or more, is not eligible for 306 coverage by the corporation. Such dwellings insured by the 307 corporation on December 31, 2015, may continue to be covered by 308 the corporation until the end of the policy term. 309 d.Effective January 1, 2017, a structure that has a 310 dwelling replacement cost of $700,000 or more, or a single 311 condominium unit that has a combined dwelling and contents 312 replacement cost of $700,000 or more, is not eligible for 313 coverage by the corporation. Such dwellings insured by the 314 corporation on December 31, 2016, may continue to be covered by 315 the corporation until the end of the policy term. 316 317 The requirements of sub-subparagraphs b.-d. do not apply in 318 counties where the office determines there is not a reasonable 319 degree of competition. In such counties a personal lines 320 residential structure that has a dwelling replacement cost of 321 less than $1 million, or a single condominium unit that has a 322 combined dwelling and contents replacement cost of less than $1 323 million, is eligible for coverage by the corporation. 324 4.It is the intent of the Legislature that policyholders, 325 applicants, and agents of the corporation receive service and 326 treatment of the highest possible level but never less than that 327 generally provided in the voluntary market. It is also intended 328 that the corporation be held to service standards no less than 329 those applied to insurers in the voluntary market by the office 330 with respect to responsiveness, timeliness, customer courtesy, 331 and overall dealings with policyholders, applicants, or agents 332 of the corporation. 333 5.a.Effective January 1, 2009, a personal lines 334 residential structure that is located in the wind-borne debris 335 region, as defined in s. 1609.2, International Building Code 336 (2006), and that has an insured value on the structure of 337 $750,000 or more is not eligible for coverage by the corporation 338 unless the structure has opening protections as required under 339 the Florida Building Code for a newly constructed residential 340 structure in that area. A residential structure is deemed to 341 comply with this sub-subparagraph if it has shutters or opening 342 protections on all openings and if such opening protections 343 complied with the Florida Building Code at the time they were 344 installed. 345 b.Any major structure, as defined in s. 161.54(6)(a), that 346 is newly constructed, or rebuilt, repaired, restored, or 347 remodeled to increase the total square footage of finished area 348 by more than 25 percent, pursuant to a permit applied for after 349 July 1, 2015, is not eligible for coverage by the corporation if 350 the structure is seaward of the coastal construction control 351 line established pursuant to s. 161.053 or is within the Coastal 352 Barrier Resources System as designated by 16 U.S.C. ss. 3501 353 3510. 354 6.With respect to wind-only coverage for commercial lines 355 residential condominiums, effective July 1, 2014, a condominium 356 may shall be deemed ineligible for coverage when if 50 percent 357 or more of the units are rented more than eight times in a 358 calendar year for a rental agreement period of less than 30 359 days. 360 Section 10.Subsection (1) of section 627.421, Florida 361 Statutes, is amended to read: 362 627.421Delivery of policy. 363 (1)Subject to the insurers requirement as to payment of 364 premium, every policy shall be mailed, delivered, or 365 electronically transmitted to the insured or to the person 366 entitled thereto not later than 60 days after the effectuation 367 of coverage. Notwithstanding any other provision of law, an 368 insurer may allow a policyholder of personal lines insurance to 369 affirmatively elect delivery of the policy documents, including, 370 but not limited to, policies, endorsements, notices, or 371 documents, by electronic means in lieu of delivery by mail. 372 Electronic transmission of a policy for commercial risks, 373 including, but not limited to, workers compensation and 374 employers liability, commercial automobile liability, 375 commercial automobile physical damage, commercial lines 376 residential property, commercial nonresidential property, 377 farmowners insurance, and the types of commercial lines risks 378 set forth in s. 627.062(3)(d), constitutes delivery to the 379 insured or to the person entitled to delivery, unless the 380 insured or the person entitled to delivery communicates to the 381 insurer in writing or electronically that he or she does not 382 agree to delivery by electronic means. Electronic transmission 383 shall include a notice to the insured or to the person entitled 384 to delivery of a policy of his or her right to receive the 385 policy via United States mail rather than via electronic 386 transmission. A paper copy of the policy shall be provided to 387 the insured or to the person entitled to delivery at his or her 388 request. 389 Section 11.Paragraph (d) of subsection (4) of section 390 627.701, Florida Statutes, is amended to read: 391 627.701Liability of insureds; coinsurance; deductibles. 392 (4) 393 (d)1.A personal lines residential property insurance 394 policy covering a risk valued at less than $500,000 may not have 395 a hurricane deductible in excess of 10 percent of the policy 396 dwelling limits, unless the following conditions are met: 397 a.The policyholder must personally write or type and 398 provide to the insurer the following statement in his or her own 399 handwriting and sign his or her name, which must also be signed 400 by every other named insured on the policy, and dated: I do not 401 want the insurance on my home to pay for the first (specify 402 dollar value) of damage from hurricanes. I will pay those costs. 403 My insurance will not. 404 b.If the structure insured by the policy is subject to a 405 mortgage or lien, the policyholder must provide the insurer with 406 a written statement from the mortgageholder or lienholder 407 indicating that the mortgageholder or lienholder approves the 408 policyholder electing to have the specified deductible. 409 2.A deductible subject to the requirements of this 410 paragraph applies for the term of the policy and for each 411 renewal thereafter. Changes to the deductible percentage may be 412 implemented only as of the date of renewal. 413 3.An insurer shall keep the original copy of the signed 414 statement required by this paragraph, electronically or 415 otherwise, and provide a copy to the policyholder providing the 416 signed statement. A signed statement meeting the requirements of 417 this paragraph creates a presumption that there was an informed, 418 knowing election of coverage. 419 4.The commission shall adopt rules providing appropriate 420 alternative methods for providing the statements required by 421 this section for policyholders who have a handicapping or 422 disabling condition that prevents them from providing a 423 handwritten statement. 424 Section 12.Paragraph (a) of subsection (2) and subsection 425 (3) of section 627.712, Florida Statutes, are amended to read: 426 627.712Residential windstorm coverage required; 427 availability of exclusions for windstorm or contents. 428 (2)A property insurer must make available, at the option 429 of the policyholder, an exclusion of windstorm coverage. 430 (a)The coverage may be excluded only if: 431 1.When the policyholder is a natural person, the 432 policyholder personally writes or types and provides to the 433 insurer the following statement in his or her own handwriting 434 and signs his or her name, which must also be signed by every 435 other named insured on the policy, and dated: I do not want the 436 insurance on my (home/mobile home/condominium unit) to pay for 437 damage from windstorms. I will pay those costs. My insurance 438 will not. 439 2.When the policyholder is other than a natural person, 440 the policyholder provides to the insurer on the policyholders 441 letterhead the following statement that must be signed by the 442 policyholders authorized representative and dated: ...(Name of 443 entity)... does not want the insurance on its ...(type of 444 structure)... to pay for damage from windstorms. ...(Name of 445 entity)... will be responsible for these costs. ...(Name of 446 entitys)... insurance will not. 447 (3)An insurer issuing a residential property insurance 448 policy, except for a condominium unit owner policy or a tenant 449 policy, must make available, at the option of the policyholder, 450 an exclusion of coverage for the contents. The coverage may be 451 excluded only if the policyholder personally writes or types and 452 provides to the insurer the following statement in his or her 453 own handwriting and signs his or her signature, which must also 454 be signed by every other named insured on the policy, and dated: 455 I do not want the insurance on my (home/mobile home) to pay for 456 the costs to repair or replace any contents that are damaged. I 457 will pay those costs. My insurance will not. 458 Section 13.Effective upon this act becoming a law, 459 paragraph (b) of subsection (1) and paragraph (a) of subsection 460 (9) of section 627.7152, Florida Statutes, are amended to read: 461 627.7152Assignment agreements. 462 (1)As used in this section, the term: 463 (b)Assignment agreement means any instrument by which 464 post-loss benefits under a residential property insurance policy 465 or commercial property insurance policy, as that term is defined 466 in s. 627.0625(1), are assigned or transferred, or acquired in 467 any manner, in whole or in part, to or from a person providing 468 services, including, but not limited to, scopes of service, to 469 inspect, protect, repair, restore, or replace property or to 470 mitigate against further damage to the property. 471 (9)(a)An assignee must provide the named insured, insurer, 472 and the assignor, if not the named insured, with a written 473 notice of intent to initiate litigation before filing suit under 474 the policy. Such notice must be served at least 10 business days 475 before filing suit, but not before the insurer has made a 476 determination of coverage under s. 627.70131, by certified mail, 477 return receipt requested, to the name and mailing address 478 designated by the insurer in the policy forms or by electronic 479 delivery to the e-mail address designated by the insurer in the 480 policy forms at least 10 business days before filing suit, but 481 may not be served before the insurer has made a determination of 482 coverage under s. 627.70131. The notice must specify the damages 483 in dispute, the amount claimed, and a presuit settlement demand. 484 Concurrent with the notice, and as a precondition to filing 485 suit, the assignee must provide the named insured, insurer, and 486 the assignor, if not the named insured, a detailed written 487 invoice or estimate of services, including itemized information 488 on equipment, materials, and supplies; the number of labor 489 hours; and, in the case of work performed, proof that the work 490 has been performed in accordance with accepted industry 491 standards. 492 Section 14.Section 627.7276, Florida Statutes, is amended 493 to read: 494 627.7276Notice of limited coverage. 495 (1)An automobile policy that does not contain coverage for 496 bodily injury and property damage must include a notice be 497 clearly stamped or printed to the effect that such coverage is 498 not included in the policy in the following manner: 499 500 THIS POLICY DOES NOT PROVIDE BODILY INJURY AND 501 PROPERTY DAMAGE LIABILITY INSURANCE OR ANY OTHER 502 COVERAGE FOR WHICH A SPECIFIC PREMIUM CHARGE IS NOT 503 MADE, AND DOES NOT COMPLY WITH ANY FINANCIAL 504 RESPONSIBILITY LAW. 505 506 (2)This notice legend must accompany appear on the policy 507 declarations declaration page and on the filing back of the 508 policy and be printed in a contrasting color from that used on 509 the policy and in type size larger than the largest type used in 510 the text at least as large as the type size used on the 511 declarations page thereof, as an overprint or by a rubber stamp 512 impression. 513 Section 15.Section 634.171, Florida Statutes, is amended 514 to read: 515 634.171Salesperson to be licensed and appointed; 516 exemptions.Salespersons for motor vehicle service agreement 517 companies and insurers must shall be licensed, appointed, 518 renewed, continued, reinstated, or terminated as prescribed in 519 chapter 626 for insurance representatives in general. However, 520 they are shall be exempt from all other provisions of chapter 521 626, including those relating to fingerprinting, photo 522 identification, education, and examination provisions. 523 Applicable license, appointment, and other fees are as shall be 524 those prescribed in s. 624.501. A licensed and appointed 525 salesperson is shall be directly responsible and accountable for 526 all acts of her or his employees and other representatives. Each 527 service agreement company or insurer shall, on forms prescribed 528 by the department, within 30 days after termination of the 529 appointment, notify the department of such termination. An No 530 employee or a salesperson of a motor vehicle service agreement 531 company or an insurer may not directly or indirectly solicit or 532 negotiate insurance contracts, or hold herself or himself out in 533 any manner to be an insurance agent, unless so qualified, 534 licensed, and appointed therefor under the Florida Insurance 535 Code. A licensed personal lines or general lines agent is not 536 required to be licensed as a salesperson under this section to 537 solicit, negotiate, advertise, or sell motor vehicle service 538 agreements. A motor vehicle service agreement company is not 539 required to be licensed as a salesperson to solicit, sell, 540 issue, or otherwise transact the motor vehicle service 541 agreements issued by the motor vehicle service agreement 542 company. 543 Section 16.Section 634.317, Florida Statutes, is amended 544 to read: 545 634.317License and appointment required; exemptions.A No 546 person may not solicit, negotiate, or effectuate home warranty 547 contracts for remuneration in this state unless such person is 548 licensed and appointed as a sales representative. A licensed and 549 appointed sales representative is shall be directly responsible 550 and accountable for all acts of the licensees employees. A 551 licensed personal lines or general lines agent is not required 552 to be licensed as a sales representative under this section to 553 solicit, negotiate, advertise, or sell home warranty contracts. 554 Section 17.Section 634.419, Florida Statutes, is amended 555 to read: 556 634.419License and appointment required; exemptions.A No 557 person or an entity may not shall solicit, negotiate, advertise, 558 or effectuate service warranty contracts in this state unless 559 such person or entity is licensed and appointed as a sales 560 representative. Sales representatives are shall be responsible 561 for the actions of persons under their supervision. However, a 562 service warranty association licensed as such under this part is 563 shall not be required to be licensed and appointed as a sales 564 representative to solicit, negotiate, advertise, or effectuate 565 its products. A licensed personal lines or general lines agent 566 is not required to be licensed as a sales representative under 567 this section to solicit, negotiate, advertise, or sell service 568 warranty contracts. 569 Section 18.Effective June 1, 2023, for the purpose of 570 incorporating the amendment made by this act to section 215.555, 571 Florida Statutes, in a reference thereto, subsection (10) of 572 section 624.424, Florida Statutes, is reenacted to read: 573 624.424Annual statement and other information. 574 (10)Each insurer or insurer group doing business in this 575 state shall file on a quarterly basis in conjunction with 576 financial reports required by paragraph (1)(a) a supplemental 577 report on an individual and group basis on a form prescribed by 578 the commission with information on personal lines and commercial 579 lines residential property insurance policies in this state. The 580 supplemental report shall include separate information for 581 personal lines property policies and for commercial lines 582 property policies and totals for each item specified, including 583 premiums written for each of the property lines of business as 584 described in ss. 215.555(2)(c) and 627.351(6)(a). The report 585 shall include the following information for each county on a 586 monthly basis: 587 (a)Total number of policies in force at the end of each 588 month. 589 (b)Total number of policies canceled. 590 (c)Total number of policies nonrenewed. 591 (d)Number of policies canceled due to hurricane risk. 592 (e)Number of policies nonrenewed due to hurricane risk. 593 (f)Number of new policies written. 594 (g)Total dollar value of structure exposure under policies 595 that include wind coverage. 596 (h)Number of policies that exclude wind coverage. 597 Section 19.Effective June 1, 2023, for the purpose of 598 incorporating the amendment made by this act to section 215.555, 599 Florida Statutes, in a reference thereto, paragraph (v) of 600 subsection (6) of section 627.351, Florida Statutes, is 601 reenacted to read: 602 627.351Insurance risk apportionment plans. 603 (6)CITIZENS PROPERTY INSURANCE CORPORATION. 604 (v)1.Effective July 1, 2002, policies of the Residential 605 Property and Casualty Joint Underwriting Association become 606 policies of the corporation. All obligations, rights, assets and 607 liabilities of the association, including bonds, note and debt 608 obligations, and the financing documents pertaining to them 609 become those of the corporation as of July 1, 2002. The 610 corporation is not required to issue endorsements or 611 certificates of assumption to insureds during the remaining term 612 of in-force transferred policies. 613 2.Effective July 1, 2002, policies of the Florida 614 Windstorm Underwriting Association are transferred to the 615 corporation and become policies of the corporation. All 616 obligations, rights, assets, and liabilities of the association, 617 including bonds, note and debt obligations, and the financing 618 documents pertaining to them are transferred to and assumed by 619 the corporation on July 1, 2002. The corporation is not required 620 to issue endorsements or certificates of assumption to insureds 621 during the remaining term of in-force transferred policies. 622 3.The Florida Windstorm Underwriting Association and the 623 Residential Property and Casualty Joint Underwriting Association 624 shall take all actions necessary to further evidence the 625 transfers and provide the documents and instruments of further 626 assurance as may reasonably be requested by the corporation for 627 that purpose. The corporation shall execute assumptions and 628 instruments as the trustees or other parties to the financing 629 documents of the Florida Windstorm Underwriting Association or 630 the Residential Property and Casualty Joint Underwriting 631 Association may reasonably request to further evidence the 632 transfers and assumptions, which transfers and assumptions, 633 however, are effective on the date provided under this paragraph 634 whether or not, and regardless of the date on which, the 635 assumptions or instruments are executed by the corporation. 636 Subject to the relevant financing documents pertaining to their 637 outstanding bonds, notes, indebtedness, or other financing 638 obligations, the moneys, investments, receivables, choses in 639 action, and other intangibles of the Florida Windstorm 640 Underwriting Association shall be credited to the coastal 641 account of the corporation, and those of the personal lines 642 residential coverage account and the commercial lines 643 residential coverage account of the Residential Property and 644 Casualty Joint Underwriting Association shall be credited to the 645 personal lines account and the commercial lines account, 646 respectively, of the corporation. 647 4.Effective July 1, 2002, a new applicant for property 648 insurance coverage who would otherwise have been eligible for 649 coverage in the Florida Windstorm Underwriting Association is 650 eligible for coverage from the corporation as provided in this 651 subsection. 652 5.The transfer of all policies, obligations, rights, 653 assets, and liabilities from the Florida Windstorm Underwriting 654 Association to the corporation and the renaming of the 655 Residential Property and Casualty Joint Underwriting Association 656 as the corporation does not affect the coverage with respect to 657 covered policies as defined in s. 215.555(2)(c) provided to 658 these entities by the Florida Hurricane Catastrophe Fund. The 659 coverage provided by the fund to the Florida Windstorm 660 Underwriting Association based on its exposures as of June 30, 661 2002, and each June 30 thereafter shall be redesignated as 662 coverage for the coastal account of the corporation. 663 Notwithstanding any other provision of law, the coverage 664 provided by the fund to the Residential Property and Casualty 665 Joint Underwriting Association based on its exposures as of June 666 30, 2002, and each June 30 thereafter shall be transferred to 667 the personal lines account and the commercial lines account of 668 the corporation. Notwithstanding any other provision of law, the 669 coastal account shall be treated, for all Florida Hurricane 670 Catastrophe Fund purposes, as if it were a separate 671 participating insurer with its own exposures, reimbursement 672 premium, and loss reimbursement. Likewise, the personal lines 673 and commercial lines accounts shall be viewed together, for all 674 fund purposes, as if the two accounts were one and represent a 675 single, separate participating insurer with its own exposures, 676 reimbursement premium, and loss reimbursement. The coverage 677 provided by the fund to the corporation shall constitute and 678 operate as a full transfer of coverage from the Florida 679 Windstorm Underwriting Association and Residential Property and 680 Casualty Joint Underwriting Association to the corporation. 681 Section 20.For the purpose of incorporating the amendment 682 made by this act to section 626.856, Florida Statutes, in a 683 reference thereto, paragraph (e) of subsection (1) of section 684 626.865, Florida Statutes, is reenacted to read: 685 626.865Public adjusters qualifications, bond. 686 (1)The department shall issue a license to an applicant 687 for a public adjusters license upon determining that the 688 applicant has paid the applicable fees specified in s. 624.501 689 and possesses the following qualifications: 690 (e)Has been licensed in this state as an all-lines 691 adjuster, and has been appointed on a continual basis for the 692 previous 6 months as a public adjuster apprentice under s. 693 626.8561, as an independent adjuster under s. 626.855, or as a 694 company employee adjuster under s. 626.856. 695 Section 21.Effective upon this act becoming a law, for the 696 purpose of incorporating the amendment made by this act to 697 section 627.7152, Florida Statutes, in references thereto, 698 subsection (1) and paragraph (d) of subsection (2) of section 699 627.7153, Florida Statutes, are reenacted to read: 700 627.7153Policies restricting assignment of post-loss 701 benefits under a property insurance policy. 702 (1)As used in this section, the term assignment 703 agreement has the same meaning as provided in s. 627.7152. 704 (2)An insurer may make available a policy that restricts 705 in whole or in part an insureds right to execute an assignment 706 agreement only if all of the following conditions are met: 707 (d)Each restricted policy include on its face the 708 following notice in 18-point uppercase and boldfaced type: 709 710 THIS POLICY DOES NOT ALLOW THE UNRESTRICTED ASSIGNMENT 711 OF POST-LOSS INSURANCE BENEFITS. BY SELECTING THIS 712 POLICY, YOU WAIVE YOUR RIGHT TO FREELY ASSIGN OR 713 TRANSFER THE POST-LOSS PROPERTY INSURANCE BENEFITS 714 AVAILABLE UNDER THIS POLICY TO A THIRD PARTY OR TO 715 OTHERWISE FREELY ENTER INTO AN ASSIGNMENT AGREEMENT AS 716 THE TERM IS DEFINED IN SECTION 627.7152 OF THE FLORIDA 717 STATUTES. 718 Section 22.Except as otherwise expressly provided in this 719 act and except for this section, which shall take effect upon 720 this act becoming a law, this act shall take effect July 1, 721 2022.