HB 1329 2023
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hb1329-00
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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 health insurance coverage by out -2
of-state insurers; amending s. 624.404, F.S.; 3
authorizing foreign insurers that have secured 4
regulatory approval from a United States territory 5
regulatory authority to transact health insurance in 6
this state under certain circumstances; authorizing 7
actions to be filed in courts of this state against 8
such insurance transactions and insurers under c ertain 9
circumstances; providing that such insurance 10
transactions and insurers are subject to other 11
provisions of the Florida Insurance Code under certain 12
circumstances; exempting such insurers from insurance -13
specific taxes; defining the term "territory of the 14
United States"; providing an effective date. 15
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Be It Enacted by the Legislature of the State of Florida: 17
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Section 1. Subsection (2) of section 624.404, Florida 19
Statutes, is amended to read: 20
624.404 General eligibility of insurers for certifica te of 21
authority.—To qualify for and hold authority to transact 22
insurance in this state, an insurer must be otherwise in 23
compliance with this code and with its charter powers and must 24
be an incorporated stock insurer, an incorporated mutual 25
HB 1329 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
insurer, or a reciprocal insurer, of the same general type as 26
may be formed as a domestic insurer under this code; except 27
that: 28
(2)(a) A foreign or alien insurer or exchange may not be 29
authorized to transact insurance in this state unless it is 30
otherwise qualified there for under this code and has operated 31
satisfactorily for at least 3 years in its state or country of 32
domicile; however, the office may waive the 3 -year requirement 33
if the foreign or alien insurer or exchange: 34
1.(a) Has operated successfully and has capita l and 35
surplus of $5 million; 36
2.(b) Is the wholly owned subsidiary of an insurer which 37
is an authorized insurer in this state; 38
3.(c) Is the successor in interest through merger or 39
consolidation of an authorized insurer; 40
4.(d) Provides a product or ser vice not readily available 41
to the consumers of this state; or 42
5.(e) Possesses sufficient capital and surplus to support 43
its plan of operation as filed with the office. 44
(b)1. Notwithstanding paragraph (a) or any other provision 45
of law, a foreign insurer may issue or deliver individual, 46
group, or small employer health insurance policies, plans, or 47
contracts; issue or deliver multiple -employer welfare 48
arrangements; or otherwise transact health insurance if the 49
foreign insurer: 50
HB 1329 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
a. Has secured regulatory a pproval from the relevant 51
regulatory authority of any territory of the United States to 52
issue or deliver such health insurance policies, plans, or 53
contracts or such multiple -employer welfare arrangements or to 54
otherwise transact health insurance. 55
b. Submits to the office all documentation that such 56
territorial regulatory authority may require, including, but not 57
limited to, documentation regarding: 58
(I) Financial statements and solvency. 59
(II) Forms, including applications for coverage, 60
contracts, and riders. 61
(III) Rates, including actuarial certifications. 62
(IV) Provider networks. 63
c. Incorporates all requirements and consumer protections 64
that such territorial regulatory authority may require into the 65
terms of such health insurance policies, plans, or contracts, 66
such multiple-employer welfare arrangements, or such health 67
insurance transactions. 68
d. Incorporates into such health insurance policies, 69
plans, or contracts, such multiple -employer welfare 70
arrangements, or such health insurance transaction s the foreign 71
insurer's consent to have courts in this state enforce all 72
requirements and consumer protections that such territorial 73
regulatory authority may impose. A person in this state who is 74
affected by such insurer's failure to enforce a requirement or 75
HB 1329 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
consumer protection imposed by such territorial regulatory 76
authority may file an action in a court of this state to obtain 77
an order that the requirement or consumer protection be 78
enforced. 79
e. Displays prominently on all marketing materials, 80
applications, and contracts that the laws of the relevant 81
territory of the United States, not the laws of this state, 82
govern such health insurance policies, plans, or contracts, such 83
multiple-employer welfare arrangements, or such health insurance 84
transactions. 85
2. Failure to comply with subparagraph 1. subjects the 86
health insurance policies, plans, or contracts, multiple -87
employer welfare arrangements, or health insurance transactions 88
and the insurer to other provisions in the Florida Insurance 89
Code regarding foreig n insurers and health insurance policies, 90
plans, and contracts, multiple -employer welfare arrangements, 91
and health insurance transactions. 92
3. A foreign insurer authorized under subparagraph 1. to 93
issue or deliver health insurance policies, plans, or cont racts 94
or multiple-employer welfare arrangements or otherwise transact 95
health insurance in this state is exempt from all insurance -96
specific taxes imposed by this state, including, but not limited 97
to, insurance premium tax and nonadmitted insurance tax under s. 98
626.9362. 99
4. As used in this paragraph, the term "territory of the 100
HB 1329 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
United States" includes America Samoa, the Commonwealth of 101
Puerto Rico, Guam, the Northern Mariana Islands, and the United 102
States Virgin Islands. 103
Section 2. This act shall take ef fect July 1, 2023. 104