HB 505 2023
CODING: Words stricken are deletions; words underlined are additions.
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F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
A bill to be entitled 1
An act relating to insurance; amending s. 627.062, 2
F.S.; revising requirements for residential property 3
insurance rate filings; amending s. 627.0628, F.S.; 4
authorizing a designee of the Director of Emergency 5
Management to be a member of the Florida Commission on 6
Hurricane Loss Projection Methodology; providing a 7
requirement for such designee; amending s. 627.0629, 8
F.S.; authorizing insurers to file with the O ffice of 9
Insurance Regulation personal lines residential 10
property insurance rating plans relating to windstorm 11
mitigation construction standards; providing 12
requirements for such filings; amending s. 627.0665, 13
F.S.; revising the timeframe for notices from i nsurers 14
to insureds of automatic bank withdrawal increases; 15
specifying the increase threshold for such notices; 16
amending s. 627.7276, F.S.; revising the requirements 17
for the notice of certain automobile policies; 18
providing an effective date. 19
20
Be It Enacted by the Legislature of the State of Florida: 21
22
Section 1. Paragraph (j) of subsection (2) of section 23
627.062, Florida Statutes, is amended to read: 24
627.062 Rate standards. — 25
HB 505 2023
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F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
(2) As to all such classes of insurance: 26
(j) With respect to residenti al property insurance rate 27
filings, the rate filing : 28
1. Must account for mitigation measures undertaken by 29
policyholders to reduce hurricane losses. 30
2. May use a modeling indication that is the weighted or 31
straight average of two or more hurricane loss projection models 32
found by the Florida Commission on Hurricane Loss Projection 33
Methodology to be accurate or reliable pursuant to s. 627.0628. 34
35
The provisions of this subsection do not apply to workers' 36
compensation, employer's liability insurance, and mo tor vehicle 37
insurance. 38
Section 2. Paragraph (b) of subsection (2) of section 39
627.0628, Florida Statutes, is amended to read: 40
627.0628 Florida Commission on Hurricane Loss Projection 41
Methodology; public records exemption; public meetings 42
exemption.— 43
(2) COMMISSION CREATED. — 44
(b) The commission shall consist of the following 12 45
members: 46
1. The insurance consumer advocate. 47
2. The senior employee of the State Board of 48
Administration responsible for operations of the Florida 49
Hurricane Catastrophe Fund. 50
HB 505 2023
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F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
3. The Executive Director of the Citizens Property 51
Insurance Corporation. 52
4. The Director of the Division of Emergency Management or 53
the director's designee. The director's designee must be a full -54
time employee of the division . 55
5. The actuary member of the Florida Hurricane Catastrophe 56
Fund Advisory Council. 57
6. An employee of the office who is an actuary responsible 58
for property insurance rate filings and who is appointed by the 59
director of the office. 60
7. Five members appointed by the Chief Financial Officer, 61
as follows: 62
a. An actuary who is employed full time by a property and 63
casualty insurer that was responsible for at least 1 percent of 64
the aggregate statewide direct written premium for homeowner 65
insurance in the calendar year preceding the member's 66
appointment to the commission. 67
b. An expert in insurance finance who is a full -time 68
member of the faculty of the State University System and who has 69
a background in actuarial science. 70
c. An expert in statistics who is a full -time member of 71
the faculty of the State University System and who has a 72
background in insurance. 73
d. An expert in computer system design who is a full -time 74
member of the faculty of the State University System. 75
HB 505 2023
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F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
e. An expert in meteorology who is a full -time member of 76
the faculty of the State University System and who specializes 77
in hurricanes. 78
8. A licensed professional structural engineer who is a 79
full-time faculty member in the State University System and who 80
has expertise in wind mitigation techniques. This appoi ntment 81
shall be made by the Governor. 82
Section 3. Subsection (9) is added to section 627.0629, 83
Florida Statutes, to read: 84
627.0629 Residential property insurance; rate filings. — 85
(9) An insurer may file with the office a personal lines 86
residential property insurance rating plan that provides 87
justified premium discounts, credits, or other rate 88
differentials based on windstorm mitigation construction 89
standards developed by an independent, nonprofit scientific 90
research organization, if such standards mee t the requirements 91
of this section. Such plan must describe the manner in which the 92
insurer will document the existence of the mitigation features 93
and premium discounts, credits, or other rate differentials 94
created under such plan. 95
Section 4. Section 6 27.0665, Florida Statutes, is amended 96
to read: 97
627.0665 Automatic bank withdrawal agreements; 98
notification required. —Any insurer licensed to issue insurance 99
in the state who has an automatic bank withdrawal agreement with 100
HB 505 2023
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F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
an insured party for the payment of insurance premiums for any 101
type of insurance shall give the named insured at least 10 15 102
days advance written notice of any increase in policy premiums 103
which results in the next automatic bank withdrawal being 104
increased by more than $10. Such notice mu st be provided before 105
prior to any automatic bank withdrawal containing the of an 106
increased premium. 107
Section 5. Section 627.7276, Florida Statutes, is amended 108
to read: 109
627.7276 Notice of limited coverage. — 110
(1) An automobile policy that does not con tain coverage 111
for bodily injury and property damage must include a notice be 112
clearly stamped or printed to the effec t that such coverage is 113
not included in the policy in the following manner: 114
"THIS POLICY DOES NOT PROVIDE BODILY INJURY AND PROPERTY DAMAGE 115
LIABILITY INSURANCE OR ANY OTHER COVERAGE FOR WHICH A SPECIFIC 116
PREMIUM CHARGE IS NOT MADE, AND DOES NOT COMPLY WITH ANY 117
FINANCIAL RESPONSIBILITY LAW." 118
(2) This notice legend must accompany appear on the policy 119
declarations declaration page and on the filing back of the 120
policy and must be printed in a contrasting color from that used 121
on the policy and in type size at least as large as larger than 122
the largest type size used on the declarations page in the text 123
thereof, as an overprint or by a rubber stamp i mpression. 124
Section 6. This act shall take effect July 1, 2023. 125