Florida Senate Bill S1158 Comm Sub / Bill

 Florida Senate - 2023 CS for CS for SB 1158  By the Appropriations Committee on Agriculture, Environment, and General Government; the Committee on Banking and Insurance; and Senator DiCeglie 601-03769-23 20231158c2 1 A bill to be entitled 2 An act relating to the Department of Financial 3 Services; amending s. 20.121, F.S.; revising powers 4 and duties of the departments Division of 5 Investigative and Forensic Services; deleting the 6 departments Strategic Markets Research and Assessment 7 Unit; amending s. 112.215, F.S.; redefining the term 8 employee as government employee and revising the 9 definition of the term; revising eligibility for plans 10 of deferred compensation established by the Chief 11 Financial Officer; revising the membership of the 12 Deferred Compensation Advisory Council; making 13 technical changes; amending s. 215.55952, F.S.; 14 revising the initial date and subsequent intervals in 15 which the Chief Financial Officer must provide the 16 Governor and the Legislature with a report on the 17 economic impact of certain hurricanes; amending s. 18 274.01, F.S.; revising the definition of the term 19 governmental unit for purposes of ch. 274, F.S.; 20 amending s. 440.13, F.S.; authorizing, rather than 21 requiring, a judge of compensation claims to order an 22 injured employees evaluation by an expert medical 23 advisor under certain circumstances; revising the 24 schedules of maximum reimbursement allowances 25 determined by the three-member panel under the 26 Workers Compensation Law; revising reimbursement 27 requirements for certain providers; requiring the 28 department to annually notify carriers and self 29 insurers of certain schedules; requiring the 30 publication of a schedule in a certain manner; 31 providing construction; revising factors the panel 32 must consider in establishing the uniform schedule of 33 maximum reimbursement allowances; deleting certain 34 standards for practice parameters; amending s. 35 440.385, F.S.; revising eligibility requirements for 36 the board of directors of the Florida Self-Insurers 37 Guaranty Association, Incorporated; providing 38 construction; authorizing the Chief Financial Officer 39 to remove a director under certain circumstances; 40 specifying requirements for, and restrictions on, 41 directors; prohibiting directors and employees of the 42 association from knowingly accepting certain gifts or 43 expenditures; providing penalties; amending s. 44 497.005, F.S.; adding and revising definitions for 45 purposes of the Florida Funeral, Cemetery, and 46 Consumer Services Act; amending s. 624.1265, F.S.; 47 revising conditions for a nonprofit religious 48 organization to be exempt from requirements of the 49 Florida Insurance Code; amending s. 624.501, F.S.; 50 deleting an application filing and license fee for 51 reinsurance intermediaries; amending s. 626.015, F.S.; 52 revising the definition of the term association for 53 purposes of part I of ch. 626, F.S.; amending s. 54 626.171, F.S.; deleting the authority of designated 55 examination centers to take fingerprints of applicants 56 for a license as an agent, customer representative, 57 adjuster, service representative, or reinsurance 58 intermediary; amending s. 626.173, F.S.; providing 59 that a certain notice requirement for certain licensed 60 insurance agencies ceasing the transacting of 61 insurance does not apply to certain kinds of 62 insurance; amending s. 626.207, F.S.; revising 63 violations for which the department must adopt rules 64 establishing specific penalties; amending s. 626.221, 65 F.S.; adding a certification that exempts an applicant 66 for license as an all-lines adjuster from an 67 examination requirement; amending s. 626.2815, F.S.; 68 revising continuing education requirements for certain 69 insurance representatives; amending s. 626.321, F.S.; 70 deleting certain requirements for, and restrictions 71 on, licensees of specified limited licenses; adding a 72 limited license for transacting preneed funeral 73 agreement insurance; specifying conditions for issuing 74 such license without an examination; amending s. 75 626.611, F.S.; revising specified grounds for 76 compulsory disciplinary actions taken by the 77 department against insurance representatives; amending 78 s. 626.621, F.S.; adding grounds for discretionary 79 disciplinary actions taken by the department against 80 insurance representatives; amending s. 626.7492, F.S.; 81 revising definitions of the terms producer and 82 reinsurance intermediary manager; revising licensure 83 requirements for reinsurance intermediary brokers and 84 reinsurance intermediary managers; deleting the 85 authority of the department to refuse to issue a 86 reinsurance intermediary license under certain 87 circumstances; amending s. 626.752, F.S.; requiring 88 the department to suspend the authority of an insurer 89 or employer to appoint licensees under certain 90 circumstances relating to the exchange of insurance 91 business; amending s. 626.785, F.S.; authorizing 92 certain persons to obtain a limited license to sell 93 only policies of life insurance covering the expense 94 of a prearrangement for funeral services or 95 merchandise; amending ss. 626.793 and 626.837, F.S.; 96 requiring the department to suspend the authority of 97 an insurer or employer to appoint licensees under 98 certain circumstances relating to the acceptance of 99 excess or rejected insurance business; amending s. 100 626.8411, F.S.; providing that certain notice 101 requirements do not apply to title insurance agents or 102 title insurance agencies; amending s. 626.8437, F.S.; 103 adding grounds for compulsory disciplinary actions 104 taken by the department against a title insurance 105 agent or agency; amending s. 626.844, F.S.; adding 106 grounds for discretionary disciplinary actions taken 107 by the department against a title insurance agent or 108 agency; amending s. 626.8473, F.S.; revising 109 requirements for engaging in the business as an escrow 110 agent in connection with real estate closing 111 transactions; amending s. 626.854, F.S.; revising 112 applicability of a prohibited act relating to public 113 insurance adjusters; amending s. 626.874, F.S.; 114 revising eligibility requirements for the departments 115 issuance of licenses to catastrophe or emergency 116 adjusters; revising grounds on which the department 117 may deny such license; amending s. 626.9892, F.S.; 118 revising a condition and adding violations for which 119 the department may pay rewards under the Anti-Fraud 120 Reward Program; amending s. 626.9957, F.S.; providing 121 for the expiration of a health coverage navigators 122 registration under certain circumstances; specifying a 123 restriction on expired registrations; amending s. 124 627.351, F.S.; revising requirements for membership of 125 the Florida Medical Malpractice Joint Underwriting 126 Association; providing construction; specifying a 127 requirement for filling vacancies; authorizing the 128 Chief Financial Officer to remove board members under 129 certain circumstances; providing requirements for, and 130 restrictions on, board members; providing penalties; 131 amending s. 627.4215, F.S.; revising the applicability 132 of disclosure requirements for health insurers 133 relating to behavioral health insurance coverage; 134 amending s. 627.7015, F.S.; providing that a disputed 135 property insurance claim is not eligible for mediation 136 until certain conditions are met; providing that fees 137 for a rescheduled mediation conference be assessed by 138 the department rather than the administrator; 139 authorizing the department to suspend an insurers 140 authority to appoint licensees under certain 141 circumstances; amending s. 627.7074, F.S.; authorizing 142 the department to designate, by written contract or 143 agreement, an entity or a person to administer the 144 alternative dispute resolution process for sinkhole 145 insurance claims; amending s. 627.745, F.S.; revising 146 requirements and procedures for the mediation of 147 personal injury claims under a motor vehicle insurance 148 policy; requiring the department to adopt specified 149 rules relating to a motor vehicle claims insurance 150 mediation program; authorizing the department to 151 designate a person or entity to serve as 152 administrator; amending s. 631.141, F.S.; authorizing 153 the department in receivership proceedings to take 154 certain actions as a domiciliary receiver; amending s. 155 631.252, F.S.; revising conditions under which 156 policies and contracts of insolvent insurers are 157 canceled; amending ss. 631.56, 631.716, 631.816, and 158 631.912, F.S.; revising membership eligibility 159 requirements for the Florida Insurance Guaranty 160 Association, the Florida Life and Health Insurance 161 Guaranty Association, the Florida Health Maintenance 162 Organization Consumer Assistance Plan, and the Florida 163 Workers Compensation Insurance Guaranty Association, 164 Incorporated, respectively; providing construction; 165 authorizing the Chief Financial Officer to remove a 166 board member under certain circumstances; specifying 167 requirements for, and restrictions on, board members; 168 providing penalties; creating s. 633.1423, F.S.; 169 defining the term organization; authorizing the 170 Division of State Fire Marshal to establish a direct 171 support organization; specifying the purpose of and 172 requirements for the organization; specifying 173 requirements for the organizations written contract 174 and board of directors; providing requirements for the 175 use of property, annual budgets and reports, an annual 176 audit, and the divisions receipt of proceeds; 177 authorizing moneys received to be held in a depository 178 account; providing for future repeal; amending s. 179 634.181, F.S.; adding grounds for compulsory 180 disciplinary actions by the department against motor 181 vehicle service agreement salespersons; requiring the 182 department to immediately temporarily suspend a 183 license or appointment under certain circumstances; 184 prohibiting a person from transacting insurance 185 business after such suspension; authorizing the 186 department to adopt rules; amending s. 634.191, F.S.; 187 revising grounds for discretionary disciplinary 188 actions by the department against motor vehicle 189 service agreement salespersons; requiring salespersons 190 to submit certain documents to the department; 191 authorizing the department to adopt rules; amending s. 192 634.320, F.S.; revising grounds for compulsory 193 disciplinary actions by the department against home 194 warranty association sales representatives; requiring 195 the department to immediately temporarily suspend a 196 license or appointment under certain circumstances; 197 prohibiting a person from transacting insurance 198 business after such suspension; authorizing the 199 department to adopt rules; amending s. 634.321, F.S.; 200 revising grounds for discretionary disciplinary 201 actions by the department against home warranty 202 association sales representatives; authorizing the 203 department to adopt rules; amending s. 634.419, F.S.; 204 providing that specified home solicitation sale 205 requirements do not apply to certain persons relating 206 to the solicitation of service warranty or related 207 service or product sales; amending s. 634.422, F.S.; 208 revising grounds for compulsory disciplinary actions 209 by the department against service warranty association 210 sales representatives; requiring the department to 211 immediately temporarily suspend a license or 212 appointment under certain circumstances; prohibiting a 213 person from transacting insurance business after such 214 suspension; authorizing the department to adopt rules; 215 amending s. 634.423, F.S.; revising grounds for 216 discretionary disciplinary actions by the department 217 against service warranty association sales 218 representatives; authorizing the department to adopt 219 rules; reordering and amending s. 648.25, F.S.; 220 defining and redefining terms; amending s. 648.26, 221 F.S.; authorizing certain actions by the department or 222 the Office of Insurance Regulation relating to certain 223 confidential records relating to bail bond agents; 224 amending s. 648.27, F.S.; deleting a provision 225 relating to the continuance of a temporary bail bond 226 agent license; amending s. 648.285, F.S.; revising 227 requirements, conditions, and procedures for a bail 228 bond agency license; providing applicability; 229 conforming a provision to changes made by the act; 230 amending s. 648.30, F.S.; revising requirements and 231 conditions for the licensure and appointment as a bail 232 bond agent or bail bond agency; conforming a provision 233 to changes made by the act; amending s. 648.31, F.S.; 234 specifying that there is no fee for the issuance of 235 any appointment to a bail bond agency; conforming a 236 provision to changes made by the act; amending s. 237 648.34, F.S.; revising qualifications for a bail bond 238 agent license; conforming a provision to changes made 239 by the act; amending s. 648.355, F.S.; deleting 240 provisions relating to temporary licenses as a limited 241 surety agent or professional bail bond agent; 242 specifying requirements for an individual licensed as 243 a temporary bail bond agent to qualify for bail bond 244 agent license; prohibiting the department from issuing 245 a temporary bail bond agent license beginning on a 246 specified date; providing construction relating to 247 existing temporary licenses; amending s. 648.382, 248 F.S.; revising requirements for the appointment of 249 bail bond agents or bail bond agencies; conforming a 250 provision to changes made by the act; amending s. 251 648.386, F.S.; defining the term classroom 252 instruction; revising requirements for approval and 253 certification as an approved limited surety agent and 254 professional bail bond agent continuing education 255 school; amending s. 648.387, F.S.; renaming primary 256 bail bond agents as bail bond agents in charge; 257 revising the departments disciplinary authority; 258 revising prohibited actions and the applicability of 259 such prohibitions; providing for the automatic 260 expiration of a bail bond agencys license under 261 certain circumstances; creating s. 648.3875, F.S.; 262 providing requirements for applying for designation as 263 a bail bond agent in charge; amending s. 648.39, F.S.; 264 revising applicability of provisions relating to 265 termination of appointments of certain agents and 266 agencies; repealing s. 648.41, F.S., relating to 267 termination of appointment of temporary bail bond 268 agents; amending s. 648.42, F.S.; conforming a 269 provision to changes made by the act; making a 270 technical change; amending s. 648.44, F.S.; revising 271 applicability of prohibited acts; revising and 272 specifying prohibited acts of bail bond agents and 273 bail bond agencies; conforming provisions to changes 274 made by the act; amending s. 648.441, F.S.; revising 275 applicability of a prohibition against furnishing 276 supplies to an unlicensed bail bond agent; amending s. 277 648.46, F.S.; authorizing certain actions by the 278 department or the office relating to certain 279 confidential records relating to bail bond agents; 280 amending s. 648.50, F.S.; revising applicability of 281 provisions relating to disciplinary actions taken by 282 the department; conforming provisions to changes made 283 by the act; amending s. 717.135, F.S.; revising a 284 requirement for, and a prohibition on, claimants 285 representatives relating to unclaimed property 286 recovery agreements and purchase agreements; providing 287 construction; amending s. 843.021, F.S.; revising a 288 defense to an unlawful possession of a concealed 289 handcuff key; amending ss. 631.152, 631.398, and 290 903.09, F.S.; conforming cross-references; ratifying 291 specified rules of the department; providing 292 construction; providing effective dates. 293 294 Be It Enacted by the Legislature of the State of Florida: 295 296 Section 1.Paragraph (e) of subsection (2) and subsection 297 (6) of section 20.121, Florida Statutes, are amended to read: 298 20.121Department of Financial Services.There is created a 299 Department of Financial Services. 300 (2)DIVISIONS.The Department of Financial Services shall 301 consist of the following divisions and office: 302 (e)The Division of Investigative and Forensic Services, 303 which shall function as a criminal justice agency for purposes 304 of ss. 943.045-943.08. The division may initiate and conduct 305 investigations into any matter under the jurisdiction of the 306 Chief Financial Officer and Fire Marshal within or outside of 307 this state as it deems necessary. If, during an investigation, 308 the division has reason to believe that any criminal law of this 309 state or the United States has or may have been violated, it 310 shall refer any records tending to show such violation to state 311 or federal law enforcement and, if applicable, federal or 312 prosecutorial agencies and shall provide investigative 313 assistance to those agencies as appropriate required. The 314 division shall include the following bureaus and office: 315 1.The Bureau of Forensic Services; 316 2.The Bureau of Fire, Arson, and Explosives 317 Investigations; 318 3.The Office of Fiscal Integrity, which shall have a 319 separate budget; 320 4.The Bureau of Insurance Fraud; and 321 5.The Bureau of Workers Compensation Fraud. 322 (6)STRATEGIC MARKETS RESEARCH AND ASSESSMENT UNIT.The 323 Strategic Markets Research and Assessment Unit is established 324 within the Department of Financial Services. The Chief Financial 325 Officer or his or her designee shall report on September 1, 326 2008, and quarterly thereafter, to the Cabinet, the President of 327 the Senate, and the Speaker of the House of Representatives on 328 the status of the states financial services markets. At a 329 minimum, the report must include a summary of issues, trends, 330 and threats that broadly impact the condition of the financial 331 services industries, along with the effect of such conditions on 332 financial institutions, the securities industries, other 333 financial entities, and the credit market. The Chief Financial 334 Officer shall also provide findings and recommendations 335 regarding regulatory and policy changes to the Cabinet, the 336 President of the Senate, and the Speaker of the House of 337 Representatives. 338 Section 2.Subsections (2) and (4), paragraph (a) of 339 subsection (8), and subsection (12) of section 112.215, Florida 340 Statutes, are amended to read: 341 112.215Government employees; deferred compensation 342 program. 343 (2)For the purposes of this section, the term government 344 employee means any person employed, whether appointed, elected, 345 or under contract, by providing services for the state or any 346 governmental unit of the state, including, but not limited to,; 347 any state agency; any or county, municipality, or other 348 political subdivision of the state; any special district or 349 water management district, as the terms are defined in s. 350 189.012 municipality; any state university or Florida College 351 System institution, as the terms are defined in s. 1000.21(6) 352 and (3), respectively board of trustees; or any constitutional 353 county officer under s. 1(d), Art. VIII of the State 354 Constitution for which compensation or statutory fees are paid. 355 (4)(a)The Chief Financial Officer, with the approval of 356 the State Board of Administration, shall establish a state such 357 plan or plans of deferred compensation for government state 358 employees and may include persons employed by a state university 359 as defined in s. 1000.21, a special district as defined in s. 360 189.012, or a water management district as defined in s. 361 189.012, including all such investment vehicles or products 362 incident thereto, as may be available through, or offered by, 363 qualified companies or persons, and may approve one or more such 364 plans for implementation by and on behalf of the state and its 365 agencies and employees. 366 (b)If the Chief Financial Officer deems it advisable, he 367 or she shall have the power, with the approval of the State 368 Board of Administration, to create a trust or other special 369 funds for the segregation of funds or assets resulting from 370 compensation deferred at the request of government employees 371 participating in of the state plan or its agencies and for the 372 administration of such program. 373 (c)The Chief Financial Officer, with the approval of the 374 State Board of Administration, may delegate responsibility for 375 administration of the state plan to a person the Chief Financial 376 Officer determines to be qualified, compensate such person, and, 377 directly or through such person or pursuant to a collective 378 bargaining agreement, contract with a private corporation or 379 institution to provide such services as may be part of any such 380 plan or as may be deemed necessary or proper by the Chief 381 Financial Officer or such person, including, but not limited to, 382 providing consolidated billing, individual and collective 383 recordkeeping and accountings, asset purchase, control, and 384 safekeeping, and direct disbursement of funds to employees or 385 other beneficiaries. The Chief Financial Officer may authorize a 386 person, private corporation, or institution to make direct 387 disbursement of funds under the state plan to an employee or 388 other beneficiary. 389 (d)In accordance with such approved plan, and upon 390 contract or agreement with an eligible government employee, 391 deferrals of compensation may be accomplished by payroll 392 deductions made by the appropriate officer or officers of the 393 state, with such funds being thereafter held and administered in 394 accordance with the plan. 395 (e)The administrative costs of the deferred compensation 396 plan must be wholly or partially self-funded. Fees for such 397 self-funding of the plan shall be paid by investment providers 398 and may be recouped from their respective plan participants. 399 Such fees shall be deposited in the Deferred Compensation Trust 400 Fund. 401 (8)(a)There is created a Deferred Compensation Advisory 402 Council composed of eight seven members. 403 1.One member shall be appointed by the Speaker of the 404 House of Representatives and the President of the Senate jointly 405 and shall be an employee of the legislative branch. 406 2.One member shall be appointed by the Chief Justice of 407 the Supreme Court and shall be an employee of the judicial 408 branch. 409 3.One member shall be appointed by the chair of the Public 410 Employees Relations Commission and shall be a nonexempt public 411 employee. 412 4.The remaining five four members shall be employed by the 413 executive branch and shall be appointed as follows: 414 a.One member shall be appointed by the Chancellor of the 415 State University System and shall be an employee of the 416 university system. 417 b.One member shall be appointed by the Chief Financial 418 Officer and shall be an employee of the Chief Financial Officer. 419 c.One member shall be appointed by the Governor and shall 420 be an employee of the executive branch. 421 d.One member shall be appointed by the Executive Director 422 of the State Board of Administration and shall be an employee of 423 the State Board of Administration. 424 e.One member shall be appointed by the Chancellor of the 425 Florida College System and shall be an employee of the Florida 426 College System. 427 (12)The Chief Financial Officer may adopt any rule 428 necessary to administer and implement this act with respect to 429 the state deferred compensation plan or plans for state 430 employees and persons employed by a state university as defined 431 in s. 1000.21, a special district as defined in s. 189.012, or a 432 water management district as defined in s. 189.012. 433 Section 3.Section 215.55952, Florida Statutes, is amended 434 to read: 435 215.55952Triennial Annual report on economic impact of a 436 1-in-100-year hurricane.The Chief Financial Officer shall 437 provide a report on the economic impact on the state of a 1-in 438 100-year hurricane to the Governor, the President of the Senate, 439 and the Speaker of the House of Representatives by March 1, 440 2025, and of each triennial year thereafter. The report shall 441 include an estimate of the short-term and long-term fiscal 442 impacts of such a storm on Citizens Property Insurance 443 Corporation, the Florida Hurricane Catastrophe Fund, the private 444 insurance and reinsurance markets, the state economy, and the 445 state debt. The report shall also include an analysis of the 446 average premium increase to fund a 1-in-100-year hurricane event 447 and list the average cost, in both a percentage and dollar 448 amount, impact to consumers on a county-level basis. The report 449 may also include recommendations by the Chief Financial Officer 450 for preparing for such a hurricane and reducing the economic 451 impact of such a hurricane on the state. In preparing the 452 analysis, the Chief Financial Officer shall coordinate with and 453 obtain data from the Office of Insurance Regulation, Citizens 454 Property Insurance Corporation, the Florida Hurricane 455 Catastrophe Fund, the Florida Commission on Hurricane Loss 456 Projection Methodology, the State Board of Administration, the 457 Office of Economic and Demographic Research, and other state 458 agencies. 459 Section 4.Subsection (1) of section 274.01, Florida 460 Statutes, is amended to read: 461 274.01Definitions.The following words as used in this act 462 have the meanings set forth in the below subsections, unless a 463 different meaning is required by the context: 464 (1)Governmental unit means the governing board, 465 commission, or authority of a county, a county agency, a 466 municipality, a special district as defined in s. 189.012 or 467 taxing district of the state, or the sheriff of the county. 468 Section 5.Paragraph (c) of subsection (9) and subsections 469 (12) and (14) of section 440.13, Florida Statutes, are amended 470 to read: 471 440.13Medical services and supplies; penalty for 472 violations; limitations. 473 (9)EXPERT MEDICAL ADVISORS. 474 (c)If there is disagreement in the opinions of the health 475 care providers, if two health care providers disagree on medical 476 evidence supporting the employees complaints or the need for 477 additional medical treatment, or if two health care providers 478 disagree that the employee is able to return to work, the 479 department may, and the judge of compensation claims may shall, 480 upon his or her own motion or within 15 days after receipt of a 481 written request by either the injured employee, the employer, or 482 the carrier, order the injured employee to be evaluated by an 483 expert medical advisor. The injured employee and the employer or 484 carrier may agree on the health care provider to serve as an 485 expert medical advisor. If the parties do not agree, the judge 486 of compensation claims shall select an expert medical advisor 487 from the departments list of certified expert medical advisors. 488 If a certified medical advisor within the relevant medical 489 specialty is unavailable, the judge of compensation claims shall 490 appoint any otherwise qualified health care provider to serve as 491 an expert medical advisor without obtaining the departments 492 certification. The opinion of the expert medical advisor is 493 presumed to be correct unless there is clear and convincing 494 evidence to the contrary as determined by the judge of 495 compensation claims. The expert medical advisor appointed to 496 conduct the evaluation shall have free and complete access to 497 the medical records of the employee. An employee who fails to 498 report to and cooperate with such evaluation forfeits 499 entitlement to compensation during the period of failure to 500 report or cooperate. 501 (12)CREATION OF THREE-MEMBER PANEL; GUIDES OF MAXIMUM 502 REIMBURSEMENT ALLOWANCES. 503 (a)A three-member panel is created, consisting of the 504 Chief Financial Officer, or the Chief Financial Officers 505 designee, and two members to be appointed by the Governor, 506 subject to confirmation by the Senate, one member who, on 507 account of present or previous vocation, employment, or 508 affiliation, shall be classified as a representative of 509 employers, the other member who, on account of previous 510 vocation, employment, or affiliation, shall be classified as a 511 representative of employees. The panel shall determine statewide 512 schedules of maximum reimbursement allowances for medically 513 necessary treatment, care, and attendance provided by 514 physicians, hospitals and, ambulatory surgical centers, work 515 hardening programs, pain programs, and durable medical 516 equipment. The maximum reimbursement allowances for inpatient 517 hospital care shall be based on a schedule of per diem rates, to 518 be approved by the three-member panel no later than March 1, 519 1994, to be used in conjunction with a precertification manual 520 as determined by the department, including maximum hours in 521 which an outpatient may remain in observation status, which 522 shall not exceed 23 hours. All compensable charges for hospital 523 outpatient care shall be reimbursed at 75 percent of usual and 524 customary charges, except as otherwise provided by this 525 subsection. Annually, the three-member panel shall adopt 526 schedules of maximum reimbursement allowances for physicians, 527 hospital inpatient care, hospital outpatient care, and 528 ambulatory surgical centers, work-hardening programs, and pain 529 programs. A An individual physician, hospital or an, ambulatory 530 surgical center, pain program, or work-hardening program shall 531 be reimbursed either the agreed-upon contract price or the 532 maximum reimbursement allowance in the appropriate schedule. 533 (b)It is the intent of the Legislature to increase the 534 schedule of maximum reimbursement allowances for selected 535 physicians effective January 1, 2004, and to pay for the 536 increases through reductions in payments to hospitals. Revisions 537 developed pursuant to this subsection are limited to the 538 following: 539 1.Payments for outpatient physical, occupational, and 540 speech therapy provided by hospitals shall be reduced to the 541 schedule of maximum reimbursement allowances for these services 542 which applies to nonhospital providers. 543 (c)2.Payments for scheduled outpatient nonemergency 544 radiological and clinical laboratory services that are not 545 provided in conjunction with a surgical procedure shall be 546 reduced to the schedule of maximum reimbursement allowances for 547 these services which applies to nonhospital providers. 548 (d)3.Outpatient reimbursement for scheduled surgeries 549 shall be reduced from 75 percent of charges to 60 percent of 550 charges. 551 (e)1.By July 1 of each year, the department shall notify 552 carriers and self-insurers of the physician and nonhospital 553 services schedule of maximum reimbursement allowances. The 554 notice must include publication of this schedule of maximum 555 reimbursement allowances on the divisions website. This 556 schedule is not subject to approval by the three-member panel 557 and does not include reimbursement for prescription medication. 558 2.Subparagraph 1. shall take effect January 1, following 559 the July 1, 2024, notice of the physician and nonhospital 560 services schedule of maximum reimbursement allowances which the 561 department provides to carriers and self-insurers. 562 (f)4.Maximum reimbursement for a physician licensed under 563 chapter 458 or chapter 459 shall be increased to 110 percent of 564 the reimbursement allowed by Medicare, using appropriate codes 565 and modifiers or the medical reimbursement level adopted by the 566 three-member panel as of January 1, 2003, whichever is greater. 567 (g)5.Maximum reimbursement for surgical procedures shall 568 be increased to 140 percent of the reimbursement allowed by 569 Medicare or the medical reimbursement level adopted by the 570 three-member panel as of January 1, 2003, whichever is greater. 571 (h)(c)As to reimbursement for a prescription medication, 572 the reimbursement amount for a prescription shall be the average 573 wholesale price plus $4.18 for the dispensing fee. For 574 repackaged or relabeled prescription medications dispensed by a 575 dispensing practitioner as provided in s. 465.0276, the fee 576 schedule for reimbursement shall be 112.5 percent of the average 577 wholesale price, plus $8.00 for the dispensing fee. For purposes 578 of this subsection, the average wholesale price shall be 579 calculated by multiplying the number of units dispensed times 580 the per-unit average wholesale price set by the original 581 manufacturer of the underlying drug dispensed by the 582 practitioner, based upon the published manufacturers average 583 wholesale price published in the Medi-Span Master Drug Database 584 as of the date of dispensing. All pharmaceutical claims 585 submitted for repackaged or relabeled prescription medications 586 must include the National Drug Code of the original 587 manufacturer. Fees for pharmaceuticals and pharmaceutical 588 services shall be reimbursable at the applicable fee schedule 589 amount except where the employer or carrier, or a service 590 company, third party administrator, or any entity acting on 591 behalf of the employer or carrier directly contracts with the 592 provider seeking reimbursement for a lower amount. 593 (i)(d)Reimbursement for all fees and other charges for 594 such treatment, care, and attendance, including treatment, care, 595 and attendance provided by any hospital or other health care 596 provider, ambulatory surgical center, work-hardening program, or 597 pain program, must not exceed the amounts provided by the 598 uniform schedule of maximum reimbursement allowances as 599 determined by the panel or as otherwise provided in this 600 section. This subsection also applies to independent medical 601 examinations performed by health care providers under this 602 chapter. In determining the uniform schedule, the panel shall 603 first approve the data which it finds representative of 604 prevailing charges in the state for similar treatment, care, and 605 attendance of injured persons. Each health care provider, health 606 care facility, ambulatory surgical center, work-hardening 607 program, or pain program receiving workers compensation 608 payments shall maintain records verifying their usual charges. 609 In establishing the uniform schedule of maximum reimbursement 610 allowances, the panel must consider: 611 1.The levels of reimbursement for similar treatment, care, 612 and attendance made by other health care programs or third-party 613 providers; 614 2.The impact upon cost to employers for providing a level 615 of reimbursement for treatment, care, and attendance which will 616 ensure the availability of treatment, care, and attendance 617 required by injured workers; and 618 3.The financial impact of the reimbursement allowances 619 upon health care providers and health care facilities, including 620 trauma centers as defined in s. 395.4001, and its effect upon 621 their ability to make available to injured workers such 622 medically necessary remedial treatment, care, and attendance. 623 The uniform schedule of maximum reimbursement allowances must be 624 reasonable, must promote health care cost containment and 625 efficiency with respect to the workers compensation health care 626 delivery system, and must be sufficient to ensure availability 627 of such medically necessary remedial treatment, care, and 628 attendance to injured workers; and 629 4.The most recent average maximum allowable rate of 630 increase for hospitals determined by the Health Care Board under 631 chapter 408. 632 (j)(e)In addition to establishing the uniform schedule of 633 maximum reimbursement allowances, the panel shall: 634 1.Take testimony, receive records, and collect data to 635 evaluate the adequacy of the workers compensation fee schedule, 636 nationally recognized fee schedules and alternative methods of 637 reimbursement to health care providers and health care 638 facilities for inpatient and outpatient treatment and care. 639 2.Survey health care providers and health care facilities 640 to determine the availability and accessibility of workers 641 compensation health care delivery systems for injured workers. 642 3.Survey carriers to determine the estimated impact on 643 carrier costs and workers compensation premium rates by 644 implementing changes to the carrier reimbursement schedule or 645 implementing alternative reimbursement methods. 646 4.Submit recommendations on or before January 15, 2017, 647 and biennially thereafter, to the President of the Senate and 648 the Speaker of the House of Representatives on methods to 649 improve the workers compensation health care delivery system. 650 651 The department, as requested, shall provide data to the panel, 652 including, but not limited to, utilization trends in the 653 workers compensation health care delivery system. The 654 department shall provide the panel with an annual report 655 regarding the resolution of medical reimbursement disputes and 656 any actions pursuant to subsection (8). The department shall 657 provide administrative support and service to the panel to the 658 extent requested by the panel. For prescription medication 659 purchased under the requirements of this subsection, a 660 dispensing practitioner shall not possess such medication unless 661 payment has been made by the practitioner, the practitioners 662 professional practice, or the practitioners practice management 663 company or employer to the supplying manufacturer, wholesaler, 664 distributor, or drug repackager within 60 days of the dispensing 665 practitioner taking possession of that medication. 666 (14)PRACTICE PARAMETERS.The practice parameters and 667 protocols mandated under this chapter shall be the practice 668 parameters and protocols adopted by the United States Agency for 669 Healthcare Research and Quality in effect on January 1, 2003. 670 Section 6.Effective January 1, 2024, subsection (2) of 671 section 440.385, Florida Statutes, is amended to read: 672 440.385Florida Self-Insurers Guaranty Association, 673 Incorporated. 674 (2)BOARD OF DIRECTORS.The board of directors of the 675 association shall consist of nine persons and shall be organized 676 as established in the plan of operation. Each director must All 677 board members shall be experienced in self-insurance in this 678 state. Each director shall serve for a 4-year term and may be 679 reappointed. Appointments after January 1, 2002, shall be made 680 by the department upon recommendation of members of the 681 association or other persons with experience in self-insurance 682 as determined by the Chief Financial Officer. These appointments 683 are deemed to be within the scope of the exemption provided in 684 s. 112.313(7)(b). Any vacancy on the board shall be filled for 685 the remaining period of the term in the same manner as 686 appointments other than initial appointments are made. Each 687 director shall be reimbursed for expenses incurred in carrying 688 out the duties of the board on behalf of the association. 689 (a)The Chief Financial Officer may remove a director from 690 office for misconduct, malfeasance, misfeasance, or neglect of 691 duty. Any vacancy so created shall be filled as provided in this 692 subsection. 693 (b)Directors are subject to the code of ethics under part 694 III of chapter 112, including, but not limited to, the code of 695 ethics and public disclosure and reporting of financial 696 interests, pursuant to s. 112.3145. For purposes of applying 697 part III of chapter 112 to activities of members of the board of 698 directors, those persons are considered public officers and the 699 association is considered their agency. Notwithstanding s. 700 112.3143(2), a director may not vote on any measure that he or 701 she knows would inure to his or her special private gain or 702 loss; that he or she knows would inure to the special private 703 gain or loss of any principal by which he or she is retained, 704 other than an agency as defined in s. 112.312; or that he or she 705 knows would inure to the special private gain or loss of a 706 relative or business associate of the public officer. Before the 707 vote is taken, such director shall publicly state to the board 708 the nature of his or her interest in the matter from which he or 709 she is abstaining from voting and, within 15 days after the vote 710 occurs, disclose the nature of his or her interest as a public 711 record in a memorandum filed with the person responsible for 712 recording the minutes of the meeting, who shall incorporate the 713 memorandum in the minutes. 714 (c)Notwithstanding s. 112.3148, s. 112.3149, or any other 715 law, an employee of the association or a director may not 716 knowingly accept, directly or indirectly, any gift or 717 expenditure from a person or an entity, or an employee or a 718 representative of such person or entity, which has a contractual 719 relationship with the association or which is under 720 consideration for a contract. 721 (d)A director who fails to comply with paragraph (b) or 722 paragraph (c) is subject to the penalties provided under ss. 723 112.317 and 112.3173. 724 Section 7.Present subsections (62) through (77) and (78) 725 of section 497.005, Florida Statutes, are redesignated as 726 subsections (63) through (78) and (80), respectively, a new 727 subsection (62) and subsection (79) are added to that section, 728 and subsections (9) and (61) of that section are amended, to 729 read: 730 497.005Definitions.As used in this chapter, the term: 731 (9)Burial service or service means any service offered 732 or provided in connection with the final disposition, 733 memorialization, interment, entombment, or inurnment of human 734 remains or cremated remains which is required to be offered or 735 provided by an individual or entity licensed under this chapter. 736 (61)Preneed contract means any arrangement or method, of 737 which the provider of funeral merchandise or services has actual 738 knowledge, whereby any person agrees to furnish funeral 739 merchandise or service in the future. 740 (62)Preneed contract means any arrangement or method for 741 which the provider of funeral merchandise or services receives 742 any payment in advance for funeral or burial merchandise and 743 services after the death of the contract beneficiary. The term 744 excludes a transportation protection agreement and any payments 745 received on a transportation protection agreement. 746 (79)Transportation protection agreement means an 747 agreement that exclusively provides or arranges for services 748 related to the preparation for the purpose of transportation and 749 subsequent transportation of human remains or cremated remains. 750 The Florida Insurance Code, as defined in s. 624.01, does not 751 apply to any transportation protection agreement sold by any 752 licensee under this chapter. 753 Section 8.Subsection (1) of section 624.1265, Florida 754 Statutes, is amended to read: 755 624.1265Nonprofit religious organization exemption; 756 authority; notice. 757 (1)A nonprofit religious organization is not subject to 758 the requirements of the Florida Insurance Code if the nonprofit 759 religious organization: 760 (a)Qualifies under Title 26, s. 501 of the Internal 761 Revenue Code of 1986, as amended; 762 (b)Limits its participants to those members who share a 763 common set of ethical or religious beliefs; 764 (c)Acts as a facilitator among participants who have 765 financial, physical, or medical needs to assist those with 766 financial, physical, or medical needs in accordance with 767 criteria established by the nonprofit religious organization; 768 (d)Provides for the financial or medical needs of a 769 participant through contributions from other participants, or 770 through payments directly from one participant to another 771 participant; 772 (e)Provides amounts that participants may contribute, with 773 no assumption of risk and no promise to pay: 774 1.Among the participants; or 775 2.By the nonprofit religious organization to the 776 participants; 777 (f)Provides a monthly accounting to the participants of 778 the total dollar amount of qualified needs actually shared in 779 the previous month in accordance with criteria established by 780 the nonprofit religious organization; and 781 (g)Conducts an annual audit that is performed by an 782 independent certified public accounting firm in accordance with 783 generally accepted accounting principles and that is made 784 available to the public by providing a copy upon request or by 785 posting on the nonprofit religious organizations website; and 786 (h)Does not market or sell health plans by agents licensed 787 by the department under chapter 626. 788 Section 9.Subsection (25) of section 624.501, Florida 789 Statutes, is amended to read: 790 624.501Filing, license, appointment, and miscellaneous 791 fees.The department, commission, or office, as appropriate, 792 shall collect in advance, and persons so served shall pay to it 793 in advance, fees, licenses, and miscellaneous charges as 794 follows: 795 (25)Reinsurance intermediary: 796 (a)Application filing and license fee$50.00 797 (b)Original appointment and biennial renewal or 798 continuation thereof, appointment fee$60.00 799 Section 10.Subsection (5) of section 626.015, Florida 800 Statutes, is amended to read: 801 626.015Definitions.As used in this part: 802 (5)Association includes the Florida Association of 803 Insurance Agents (FAIA), the National Association of Insurance 804 and Financial Advisors (NAIFA), the National Association of 805 Benefits and Insurance Professionals Florida Chapter (NABIP 806 Florida) Florida Association of Health Underwriters (FAHU), the 807 Latin American Association of Insurance Agencies (LAAIA), the 808 Florida Association of Public Insurance Adjusters (FAPIA), the 809 Florida Bail Agents Association (FBAA), or the Professional Bail 810 Agents of the United States (PBUS). 811 Section 11.Subsection (4) of section 626.171, Florida 812 Statutes, is amended to read: 813 626.171Application for license as an agent, customer 814 representative, adjuster, service representative, or reinsurance 815 intermediary. 816 (4)An applicant for a license issued by the department 817 under this chapter must submit a set of the individual 818 applicants fingerprints, or, if the applicant is not an 819 individual, a set of the fingerprints of the sole proprietor, 820 majority owner, partners, officers, and directors, to the 821 department and must pay the fingerprint processing fee set forth 822 in s. 624.501. Fingerprints must be processed in accordance with 823 s. 624.34 and used to investigate the applicants qualifications 824 pursuant to s. 626.201. The fingerprints must be taken by a law 825 enforcement agency, designated examination center, or other 826 department-approved entity. The department shall require all 827 designated examination centers to have fingerprinting equipment 828 and to take fingerprints from any applicant or prospective 829 applicant who pays the applicable fee. The department may not 830 approve an application for licensure as an agent, customer 831 service representative, adjuster, service representative, or 832 reinsurance intermediary if fingerprints have not been 833 submitted. 834 Section 12.Paragraph (c) of subsection (1) of section 835 626.173, Florida Statutes, is amended to read: 836 626.173Insurance agency closure; cancellation of 837 licenses. 838 (1)If a licensed insurance agency permanently ceases the 839 transacting of insurance or ceases the transacting of insurance 840 for more than 30 days, the agent in charge, the director of the 841 agency, or other officer listed on the original application for 842 licensure must, within 35 days after the agency first ceases the 843 transacting of insurance, do all of the following: 844 (c)Notify all policyholders currently insured by a policy 845 written, produced, or serviced by the agency of the agencys 846 cessation of operations; the date on which operations ceased; 847 and the identity of the agency or agent to which the agencys 848 current book of business has been transferred or, if no transfer 849 has occurred, a statement directing the policyholder to contact 850 the insurance company for assistance in locating a licensed 851 agent to service the policy. This paragraph does not apply to 852 title insurance, life insurance, or annuity contracts. 853 Section 13.Subsection (8) of section 626.207, Florida 854 Statutes, is amended to read: 855 626.207Disqualification of applicants and licensees; 856 penalties against licensees; rulemaking authority. 857 (8)The department shall adopt rules establishing specific 858 penalties against licensees in accordance with ss. 626.641 and 859 626.651 for violations of s. 626.112(7) or (9), s. 626.611, s. 860 626.6115, s. 626.621, s. 626.6215, s. 626.7451, s. 626.8437, s. 861 626.844, s. 626.8695, s. 626.8697, s. 626.8698, s. 626.935, s. 862 634.181, s. 634.191, s. 634.320, s. 634.321, s. 634.422, s. 863 634.423, s. 642.041, or s. 642.043. The purpose of the 864 revocation or suspension is to provide a sufficient penalty to 865 deter future violations of the Florida Insurance Code. The 866 imposition of a revocation or the length of suspension shall be 867 based on the type of conduct and the probability that the 868 propensity to commit further illegal conduct has been overcome 869 at the time of eligibility for relicensure. The length of 870 suspension may be adjusted based on aggravating or mitigating 871 factors, established by rule and consistent with this purpose. 872 Section 14.Paragraph (j) of subsection (2) of section 873 626.221, Florida Statutes, is amended to read: 874 626.221Examination requirement; exemptions. 875 (2)However, an examination is not necessary for any of the 876 following: 877 (j)An applicant for license as an all-lines adjuster who 878 has the designation of Accredited Claims Adjuster (ACA) from a 879 regionally accredited postsecondary institution in this state; 880 Certified All Lines Adjuster (CALA) from Kaplan Financial 881 Education; Associate in Claims (AIC) from the Insurance 882 Institute of America; Professional Claims Adjuster (PCA) from 883 the Professional Career Institute; Professional Property 884 Insurance Adjuster (PPIA) from the HurriClaim Training Academy; 885 Certified Adjuster (CA) from ALL LINES Training; Certified 886 Claims Adjuster (CCA) from AE21 Incorporated; Claims Adjuster 887 Certified Professional (CACP) from WebCE, Inc.; Accredited 888 Insurance Claims Specialist (AICS) from Encore Claim Services; 889 Professional in Claims (PIC) from 2021 Training, LLC; or 890 Universal Claims Certification (UCC) from Claims and Litigation 891 Management Alliance (CLM) whose curriculum has been approved by 892 the department and which includes comprehensive analysis of 893 basic property and casualty lines of insurance and testing at 894 least equal to that of standard department testing for the all 895 lines adjuster license. The department shall adopt rules 896 establishing standards for the approval of curriculum. 897 Section 15.Paragraphs (c) and (f) of subsection (3) of 898 section 626.2815, Florida Statutes, are amended to read: 899 626.2815Continuing education requirements. 900 (3)Each licensee except a title insurance agent must 901 complete a 4-hour update course every 2 years which is specific 902 to the license held by the licensee. The course must be 903 developed and offered by providers and approved by the 904 department. The content of the course must address all lines of 905 insurance for which examination and licensure are required and 906 include the following subject areas: insurance law updates, 907 ethics for insurance professionals, disciplinary trends and case 908 studies, industry trends, premium discounts, determining 909 suitability of products and services, and other similar 910 insurance-related topics the department determines are relevant 911 to legally and ethically carrying out the responsibilities of 912 the license granted. A licensee who holds multiple insurance 913 licenses must complete an update course that is specific to at 914 least one of the licenses held. Except as otherwise specified, 915 any remaining required hours of continuing education are 916 elective and may consist of any continuing education course 917 approved by the department under this section. 918 (c)A licensee who has been licensed for 25 years or more 919 and is a CLU or a CPCU or has a Bachelor of Science degree or 920 higher in risk management or insurance with evidence of 18 or 921 more semester hours in insurance-related courses must also 922 complete a minimum of 6 hours of elective continuing education 923 courses every 2 years. 924 (f)Elective continuing education courses for public 925 adjusters may must be any course related to commercial and 926 residential property coverages, claim adjusting practices, and 927 any other adjuster elective courses specifically designed for 928 public adjusters and approved by the department. Notwithstanding 929 this subsection, public adjusters for workers compensation 930 insurance or health insurance are not required to take 931 continuing education courses pursuant to this section. 932 Section 16.Paragraphs (a), (b), and (e) of subsection (1) 933 of section 626.321, Florida Statutes, are amended, and paragraph 934 (i) is added to that subsection, to read: 935 626.321Limited licenses and registration. 936 (1)The department shall issue to a qualified applicant a 937 license as agent authorized to transact a limited class of 938 business in any of the following categories of limited lines 939 insurance: 940 (a)Motor vehicle physical damage and mechanical breakdown 941 insurance.License covering insurance against only the loss of 942 or damage to a motor vehicle that is designed for use upon a 943 highway, including trailers and semitrailers designed for use 944 with such vehicles. Such license also covers insurance against 945 the failure of an original or replacement part to perform any 946 function for which it was designed. A licensee under this 947 paragraph may not hold a license as an agent for any other or 948 additional kind or class of insurance coverage except a limited 949 license for credit insurance as provided in paragraph (e). 950 Effective October 1, 2012, all licensees holding such limited 951 license and appointment may renew the license and appointment, 952 but no new or additional licenses may be issued pursuant to this 953 paragraph, and a licensee whose limited license under this 954 paragraph has been terminated, suspended, or revoked may not 955 have such license reinstated. 956 (b)Industrial fire insurance or burglary insurance. 957 License covering only industrial fire insurance or burglary 958 insurance. A licensee under this paragraph may not hold a 959 license as an agent for any other or additional kind or class of 960 insurance coverage except for life insurance and health 961 insurance. Effective July 1, 2019, all licensees holding such 962 limited license and appointment may renew the license and 963 appointment, but no new or additional licenses may be issued 964 pursuant to this paragraph, and a licensee whose limited license 965 under this paragraph has been terminated, suspended, or revoked 966 may not have such license reinstated. 967 (e)Credit insurance.License covering credit life, credit 968 disability, credit property, credit unemployment, involuntary 969 unemployment, mortgage life, mortgage guaranty, mortgage 970 disability, guaranteed automobile protection (GAP) insurance, 971 and any other form of insurance offered in connection with an 972 extension of credit which is limited to partially or wholly 973 extinguishing a credit obligation that the department determines 974 should be designated a form of limited line credit insurance. 975 Effective October 1, 2012, all valid licenses held by persons 976 for any of the lines of insurance listed in this paragraph shall 977 be converted to a credit insurance license. Licensees who wish 978 to obtain a new license reflecting such change must request a 979 duplicate license and pay a $5 fee as specified in s. 980 624.501(15). The license may be issued only to an individual 981 employed by a life or health insurer as an officer or other 982 salaried or commissioned representative, to an individual 983 employed by or associated with a lending or financial 984 institution or creditor, or to a lending or financial 985 institution or creditor, and may authorize the sale of such 986 insurance only with respect to borrowers or debtors of such 987 lending or financing institution or creditor. However, only the 988 individual or entity whose tax identification number is used in 989 receiving or is credited with receiving the commission from the 990 sale of such insurance shall be the licensed agent of the 991 insurer. No individual while so licensed shall hold a license as 992 an agent as to any other or additional kind or class of life or 993 health insurance coverage. 994 (i)Preneed funeral agreement insurance.Limited license 995 for insurance covering only prearranged funeral, cremation, or 996 cemetery agreements, or any combination thereof, funded by 997 insurance and offered in connection with an establishment that 998 holds a preneed license pursuant to s. 497.452. Such license may 999 be issued without examination only to an individual who has 1000 filed with the department an application for a license in a form 1001 and manner prescribed by the department, who currently holds a 1002 valid preneed sales agent license pursuant to s. 497.466, who 1003 paid the applicable fees for a license as prescribed in s. 1004 624.501, who has been appointed under s. 626.112, and who paid 1005 the prescribed appointment fee under s. 624.501. 1006 Section 17.Paragraph (n) of subsection (1) of section 1007 626.611, Florida Statutes, is amended to read: 1008 626.611Grounds for compulsory refusal, suspension, or 1009 revocation of agents, title agencys, adjusters, customer 1010 representatives, service representatives, or managing general 1011 agents license or appointment. 1012 (1)The department shall deny an application for, suspend, 1013 revoke, or refuse to renew or continue the license or 1014 appointment of any applicant, agent, title agency, adjuster, 1015 customer representative, service representative, or managing 1016 general agent, and it shall suspend or revoke the eligibility to 1017 hold a license or appointment of any such person, if it finds 1018 that as to the applicant, licensee, or appointee any one or more 1019 of the following applicable grounds exist: 1020 (n)Having been found guilty of or having pleaded guilty or 1021 nolo contendere to a misdemeanor directly related to the 1022 financial services business, any felony, or any a crime 1023 punishable by imprisonment of 1 year or more under the law of 1024 the United States of America or of any state thereof or under 1025 the law of any other country, without regard to whether a 1026 judgment of conviction has been entered by the court having 1027 jurisdiction of such cases. 1028 Section 18.Subsection (18) is added to section 626.621, 1029 Florida Statutes, to read: 1030 626.621Grounds for discretionary refusal, suspension, or 1031 revocation of agents, adjusters, customer representatives, 1032 service representatives, or managing general agents license or 1033 appointment.The department may, in its discretion, deny an 1034 application for, suspend, revoke, or refuse to renew or continue 1035 the license or appointment of any applicant, agent, adjuster, 1036 customer representative, service representative, or managing 1037 general agent, and it may suspend or revoke the eligibility to 1038 hold a license or appointment of any such person, if it finds 1039 that as to the applicant, licensee, or appointee any one or more 1040 of the following applicable grounds exist under circumstances 1041 for which such denial, suspension, revocation, or refusal is not 1042 mandatory under s. 626.611: 1043 (18)Cancellation of the applicants, licensees, or 1044 appointees resident license in a state other than Florida. 1045 Section 19.Paragraphs (d) and (g) of subsection (2) and 1046 paragraphs (a), (b), and (e) through (j) of subsection (3) of 1047 section 626.7492, Florida Statutes, are amended to read: 1048 626.7492Reinsurance intermediaries. 1049 (2)DEFINITIONS.As used in this section: 1050 (d)Producer means a licensed an agent, broker, or 1051 insurance agency that is appointed as a reinsurance intermediary 1052 licensed pursuant to the applicable provision of the Florida 1053 Insurance Code. 1054 (g)Reinsurance intermediary manager means any person who 1055 has authority to bind, or manages all or part of, the assumed 1056 reinsurance business of a reinsurer, including the management of 1057 a separate division, department, or underwriting office, and 1058 acts as a representative an agent for the reinsurer whether 1059 known as a reinsurance intermediary manager, manager, or other 1060 similar term. Notwithstanding the above, none of the following 1061 persons is a reinsurance intermediary manager with respect to 1062 the reinsurer for the purposes of this section: 1063 1.An employee of the reinsurer.; 1064 2.A manager of the United States branch of an alien 1065 reinsurer.; 1066 3.An underwriting manager which, pursuant to contract, 1067 manages all the reinsurance operations of the reinsurer, is 1068 under common control with the reinsurer, subject to the holding 1069 company act, and whose compensation is not based on the volume 1070 of premiums written. 1071 4.The manager of a group, association, pool, or 1072 organization of insurers which engage in joint underwriting or 1073 joint reinsurance and who are subject to examination by the 1074 insurance regulatory authority of the state in which the 1075 managers principal business office is located. 1076 (3)LICENSURE. 1077 (a)No person shall act as a reinsurance intermediary 1078 broker in this state if the reinsurance intermediary broker 1079 maintains an office either directly or as a member or employee 1080 of a firm or association, or an officer, director, or employee 1081 of a corporation: 1082 1.In this state, unless the reinsurance intermediary 1083 broker is a licensed producer in this state; or 1084 2.In another state, unless the reinsurance intermediary 1085 broker is a licensed producer in this state or in another state 1086 having a law substantially similar to this section or the 1087 reinsurance intermediary broker is licensed in this state as an 1088 insurance agency and appointed as a nonresident reinsurance 1089 intermediary. 1090 (b)No person shall act as a reinsurance intermediary 1091 manager: 1092 1.For a reinsurer domiciled in this state, unless the 1093 reinsurance intermediary manager is a licensed producer in this 1094 state; 1095 2.In this state, if the reinsurance intermediary manager 1096 maintains an office either directly or as a member or employee 1097 of a firm or association, or an officer, director, or employee 1098 of a corporation in this state, unless the reinsurance 1099 intermediary manager is a licensed producer in this state; 1100 3.In another state for a nondomestic insurer, unless the 1101 reinsurance intermediary manager is a licensed producer in this 1102 state or another state having a law substantially similar to 1103 this section, or the person is licensed in this state as a 1104 producer nonresident reinsurance intermediary. 1105 (e)If the applicant for a reinsurance intermediary 1106 appointment license is a nonresident, the applicant, as a 1107 condition precedent to receiving or holding an appointment a 1108 license, must designate the Chief Financial Officer as agent for 1109 service of process in the manner, and with the same legal 1110 effect, provided for by this section for designation of service 1111 of process upon unauthorized insurers. Such applicant shall also 1112 furnish the department with the name and address of a resident 1113 of this state upon whom notices or orders of the department or 1114 process affecting the nonresident reinsurance intermediary may 1115 be served. The licensee shall promptly notify the department in 1116 writing of each change in its designated agent for service of 1117 process, and the change shall not become effective until 1118 acknowledged by the department. 1119 (f)The department may refuse to issue a reinsurance 1120 intermediary license if, in its judgment, the applicant, anyone 1121 named on the application, or any member, principal, officer, or 1122 director of the applicant, has demonstrated a lack of fitness 1123 and trustworthiness, or that any controlling person of the 1124 applicant is not fit or trustworthy to act as a reinsurance 1125 intermediary, or that any of the foregoing has given cause for 1126 revocation or suspension of the license, or has failed to comply 1127 with any prerequisite for the issuance of the license. 1128 (g)Reinsurance intermediaries shall be licensed, 1129 appointed, renewed, continued, reinstated, or terminated as 1130 prescribed in this chapter for insurance representatives in 1131 general, except that they shall be exempt from the photo, 1132 education, and examination provisions. License, Appointment, and 1133 other fees shall be those prescribed in s. 624.501. 1134 (g)(h)The grounds and procedures for refusal of an a 1135 license or appointment or suspension or revocation of a license 1136 or appointment issued to a reinsurance intermediary under this 1137 section are as set forth in ss. 626.611-626.691 for insurance 1138 representatives in general. 1139 (h)(i)An attorney licensed in this state, when acting in a 1140 professional capacity, is exempt from this subsection. 1141 (i)(j)The department may develop necessary rules to carry 1142 out this section. 1143 Section 20.Subsection (5) of section 626.752, Florida 1144 Statutes, is amended to read: 1145 626.752Exchange of business. 1146 (5)Within 15 days after the last day of each month, any 1147 insurer accepting business under this section shall report to 1148 the department the name, address, telephone number, and social 1149 security number of each agent from which the insurer received 1150 more than four personal lines risks during the calendar year, 1151 except for risks being removed from the Citizens Property 1152 Insurance Corporation and placed with that insurer by a 1153 brokering agent. Once the insurer has reported pursuant to this 1154 subsection an agents name to the department, additional reports 1155 on the same agent shall not be required. However, the fee set 1156 forth in s. 624.501 must be paid for the agent by the insurer 1157 for each year until the insurer notifies the department that the 1158 insurer is no longer accepting business from the agent pursuant 1159 to this section. The insurer may require that the agent 1160 reimburse the insurer for the fee. If the insurer or employer 1161 does not pay the fees and taxes due pursuant to this subsection 1162 within 21 days after notice by the department, the department 1163 must suspend the insurers or employers authority to appoint 1164 licensees until all outstanding fees and taxes have been paid. 1165 Section 21.Subsection (3) of section 626.785, Florida 1166 Statutes, is amended to read: 1167 626.785Qualifications for license. 1168 (3)Notwithstanding any other provisions of this chapter, a 1169 funeral director, a direct disposer, or an employee of a funeral 1170 establishment that holds a preneed license pursuant to s. 1171 497.452 may obtain an agents license or a limited license to 1172 sell only policies of life insurance covering the expense of a 1173 prearrangement for funeral services or merchandise so as to 1174 provide funds at the time the services and merchandise are 1175 needed. The face amount of insurance covered by any such policy 1176 shall not exceed $21,000, plus an annual percentage increase 1177 based on the Annual Consumer Price Index compiled by the United 1178 States Department of Labor, beginning with the Annual Consumer 1179 Price Index announced by the United States Department of Labor 1180 for 2016. 1181 Section 22.Subsection (4) of section 626.793, Florida 1182 Statutes, is amended to read: 1183 626.793Excess or rejected business. 1184 (4)Within 15 days after the last day of each month, any 1185 insurer accepting business under this section shall report to 1186 the department the name, address, telephone number, and social 1187 security number of each agent from which the insurer received 1188 more than four risks during the calendar year. Once the insurer 1189 has reported an agents name to the department pursuant to this 1190 subsection, additional reports on the same agent shall not be 1191 required. However, the fee set forth in s. 624.501 must be paid 1192 for the agent by the insurer for each year until the insurer 1193 notifies the department that the insurer is no longer accepting 1194 business from the agent pursuant to this section. The insurer 1195 may require that the agent reimburse the insurer for the fee. If 1196 the insurer or employer does not pay the fees and taxes due 1197 pursuant to this subsection within 21 days after notice by the 1198 department, the department must suspend the insurers or 1199 employers authority to appoint licensees until all outstanding 1200 fees and taxes have been paid. 1201 Section 23.Subsection (5) of section 626.837, Florida 1202 Statutes, is amended to read: 1203 626.837Excess or rejected business. 1204 (5)Within 15 days after the last day of each month, any 1205 insurer accepting business under this section shall report to 1206 the department the name, address, telephone number, and social 1207 security number of each agent from which the insurer received 1208 more than four risks during the calendar year. Once the insurer 1209 has reported pursuant to this subsection an agents name to the 1210 department, additional reports on the same agent shall not be 1211 required. However, the fee set forth in s. 624.501 must be paid 1212 for the agent by the insurer for each year until the insurer 1213 notifies the department that the insurer is no longer accepting 1214 business from the agent pursuant to this section. The insurer 1215 may require that the agent reimburse the insurer for the fee. If 1216 the insurer or employer does not pay the fees and taxes due 1217 pursuant to this subsection within 21 days after notice by the 1218 department, the department must suspend the insurers or 1219 employers authority to appoint licensees until all outstanding 1220 fees and taxes have been paid. 1221 Section 24.Paragraph (e) is added to subsection (2) of 1222 section 626.8411, Florida Statutes, to read: 1223 626.8411Application of Florida Insurance Code provisions 1224 to title insurance agents or agencies. 1225 (2)The following provisions of part I do not apply to 1226 title insurance agents or title insurance agencies: 1227 (e)Section 626.173(1)(c), relating to notifying 1228 policyholders of the agency closure. 1229 Section 25.Present subsections (8) through (11) of section 1230 626.8437, Florida Statutes, are redesignated as subsections (9) 1231 through (12), respectively, and a new subsection (8) and 1232 subsection (13) are added to that section, to read: 1233 626.8437Grounds for denial, suspension, revocation, or 1234 refusal to renew license or appointment.The department shall 1235 deny, suspend, revoke, or refuse to renew or continue the 1236 license or appointment of any title insurance agent or agency, 1237 and it shall suspend or revoke the eligibility to hold a license 1238 or appointment of such person, if it finds that as to the 1239 applicant, licensee, appointee, or any principal thereof, any 1240 one or more of the following grounds exist: 1241 (8)Misappropriation, conversion, or improper withholding 1242 of funds not legally entitled thereto and which are received in 1243 a fiduciary capacity and held as part of an escrow agreement, 1244 real estate sales contract, or as provided on a settlement 1245 statement in a real estate transaction. 1246 (13)Revocation or cancellation of a licensees resident 1247 license in a jurisdiction other than this state. 1248 Section 26.Subsections (7) and (8) are added to section 1249 626.844, Florida Statutes, to read: 1250 626.844Grounds for discretionary refusal, suspension, or 1251 revocation of license or appointment.The department may, in its 1252 discretion, deny, suspend, revoke, or refuse to renew or 1253 continue the license or appointment of any title insurance agent 1254 or agency, and it may suspend or revoke the eligibility to hold 1255 a license or appointment of any such title insurance agent or 1256 agency if it finds that as to the applicant or licensee or 1257 appointee, or any principal thereof, any one or more of the 1258 following grounds exist under circumstances for which such 1259 denial, suspension, revocation, or refusal is not mandatory 1260 under s. 626.8437: 1261 (7)Having been the subject of, or having had a license, 1262 permit, appointment, registration, or other authority to conduct 1263 business subject to, any decision, finding, injunction, 1264 suspension, prohibition, revocation, denial, judgment, final 1265 agency action, or administrative order by any court of competent 1266 jurisdiction, administrative law proceeding, state agency, 1267 federal agency, national securities, commodities, or option 1268 exchange, or national securities, commodities, or option 1269 association involving a violation of any federal or state 1270 securities or commodities law or any rule or regulation adopted 1271 thereunder, or a violation of any rule or regulation of any 1272 national securities, commodities, or options exchange or 1273 national securities, commodities, or options association. 1274 (8)Revocation or cancellation of a licensees resident 1275 license in a jurisdiction other than this state. 1276 Section 27.Section 626.8473, Florida Statutes, is amended 1277 to read: 1278 626.8473Escrow; trust fund. 1279 (1)A title insurance agency agent may engage in business 1280 as an escrow agent as to funds received from others to be 1281 subsequently disbursed by the title insurance agent in 1282 connection with real estate closing transactions involving the 1283 issuance of title insurance binders, commitments, policies of 1284 title insurance, or guarantees of title, provided that a 1285 licensed and appointed title insurance agency agent complies 1286 with the requirements of s. 626.8419 s. 626.8417, including such 1287 requirements added after the initial licensure of the agency 1288 agent. 1289 (2)All funds received by a title insurance agency agent as 1290 described in subsection (1) shall be trust funds received in a 1291 fiduciary capacity by the title insurance agency agent and shall 1292 be the property of the person or persons entitled thereto. 1293 (3)All funds received by a title insurance agency agent to 1294 be held in trust shall be immediately placed in a financial 1295 institution that is located within this state and is a member of 1296 the Federal Deposit Insurance Corporation or the National Credit 1297 Union Share Insurance Fund. These funds shall be invested in an 1298 escrow account in accordance with the investment requirements 1299 and standards established for deposits and investments of state 1300 funds in s. 17.57, where the funds shall be kept until 1301 disbursement thereof is properly authorized. 1302 (4)Funds required to be maintained in escrow trust 1303 accounts pursuant to this section shall not be subject to any 1304 debts of the title insurance agency agent and shall be used only 1305 in accordance with the terms of the individual, escrow, 1306 settlement, or closing instructions under which the funds were 1307 accepted. 1308 (5)The title insurance agency agents shall maintain 1309 separate records of all receipts and disbursements of escrow, 1310 settlement, or closing funds. 1311 (6)In the event that the department promulgates rules 1312 necessary to implement the requirements of this section pursuant 1313 to s. 624.308, the department shall consider reasonable 1314 standards necessary for the protection of funds held in trust, 1315 including, but not limited to, standards for accounting of 1316 funds, standards for receipt and disbursement of funds, and 1317 protection for the person or persons to whom the funds are to be 1318 disbursed. 1319 (7)A title insurance agency agent, or any officer, 1320 director, or employee thereof, or any person associated 1321 therewith as an independent contractor for bookkeeping or 1322 similar purposes, who converts or misappropriates funds received 1323 or held in escrow or in trust by such title insurance agency 1324 agent, or any person who knowingly receives or conspires to 1325 receive such funds, commits: 1326 (a)If the funds converted or misappropriated are $300 or 1327 less, a misdemeanor of the first degree, punishable as provided 1328 in s. 775.082 or s. 775.083. 1329 (b)If the funds converted or misappropriated are more than 1330 $300, but less than $20,000, a felony of the third degree, 1331 punishable as provided in s. 775.082, s. 775.083, or s. 775.084. 1332 (c)If the funds converted or misappropriated are $20,000 1333 or more, but less than $100,000, a felony of the second degree, 1334 punishable as provided in s. 775.082, s. 775.083, or s. 775.084. 1335 (d)If the funds converted or misappropriated are $100,000 1336 or more, a felony of the first degree, punishable as provided in 1337 s. 775.082, s. 775.083, or s. 775.084. 1338 (8)An attorney shall deposit and maintain all funds 1339 received in connection with transactions in which the attorney 1340 is serving as a title or real estate settlement agent into a 1341 separate trust account that is maintained exclusively for funds 1342 received in connection with such transactions and permit the 1343 account to be audited by its title insurers, unless maintaining 1344 funds in the separate account for a particular client would 1345 violate applicable rules of The Florida Bar. 1346 Section 28.Subsection (19) of section 626.854, Florida 1347 Statutes, is amended to read: 1348 626.854Public adjuster defined; prohibitions.The 1349 Legislature finds that it is necessary for the protection of the 1350 public to regulate public insurance adjusters and to prevent the 1351 unauthorized practice of law. 1352 (19)Except as otherwise provided in this chapter, no 1353 person, except an attorney at law or a licensed and appointed 1354 public adjuster, may for money, commission, or any other thing 1355 of value, directly or indirectly: 1356 (a)Prepare, complete, or file an insurance claim for an 1357 insured or a third-party claimant; 1358 (b)Act on behalf of or aid an insured or a third-party 1359 claimant in negotiating for or effecting the settlement of a 1360 claim for loss or damage covered by an insurance contract; 1361 (c)Offer to initiate or negotiate a claim on behalf of an 1362 insured; 1363 (d)Advertise services that require a license as a public 1364 adjuster; or 1365 (e)Solicit, investigate, or adjust a claim on behalf of a 1366 public adjuster, an insured, or a third-party claimant. 1367 Section 29.Section 626.874, Florida Statutes, is amended 1368 to read: 1369 626.874Catastrophe or emergency adjusters. 1370 (1)In the event of a catastrophe or emergency, the 1371 department may issue a license, for the purposes and under the 1372 conditions and for the period of emergency as it shall 1373 determine, to persons who are residents or nonresidents of this 1374 state, who are at least 18 years of age, who are United States 1375 citizens or legal aliens who possess work authorization from the 1376 United States Bureau of Citizenship and Immigration Services, 1377 and who are not licensed adjusters under this part but who have 1378 been designated and certified to it as qualified to act as 1379 adjusters by an authorized insurer to adjust claims, losses, or 1380 damages under policies or contracts of insurance issued by such 1381 insurers, or by a licensed the primary adjuster of an 1382 independent adjusting firm contracted with an authorized insurer 1383 to adjust claims on behalf of the insurer. The fee for the 1384 license is as provided in s. 624.501(12)(c). 1385 (2)If any person not a licensed adjuster who has been 1386 permitted to adjust such losses, claims, or damages under the 1387 conditions and circumstances set forth in subsection (1), 1388 engages in any of the misconduct described in or contemplated by 1389 chapter 626 ss. 626.611 and 626.621, the department, without 1390 notice and hearing, shall be authorized to issue its order 1391 denying such person the privileges granted under this section; 1392 and thereafter it shall be unlawful for any such person to 1393 adjust any such losses, claims, or damages in this state. 1394 Section 30.Subsection (2) of section 626.9892, Florida 1395 Statutes, is amended to read: 1396 626.9892Anti-Fraud Reward Program; reporting of insurance 1397 fraud. 1398 (2)The department may pay rewards of up to $25,000 to 1399 persons providing information leading to the arrest and 1400 conviction of persons committing crimes investigated by the 1401 department arising from violations of s. 400.9935, s. 440.105, 1402 s. 624.15, s. 626.112, s. 626.8473, s. 626.8738, s. 626.9541, s. 1403 626.989, s. 790.164, s. 790.165, s. 790.166, s. 806.01, s. 1404 806.031, s. 806.10, s. 806.111, s. 812.014, s. 817.034, s. 1405 817.233, or s. 817.234, s. 817.236, s. 817.2361, s. 817.505, s. 1406 817.568, s. 831.01, s. 895.03, s. 895.04, or s. 896.101. 1407 Section 31.Present subsections (7) through (12) of section 1408 626.9957, Florida Statutes, are redesignated as subsections (8) 1409 through (13), respectively, and a new subsection (7) is added to 1410 that section, to read: 1411 626.9957Conduct prohibited; denial, revocation, 1412 termination, expiration, or suspension of registration. 1413 (7)If a navigator registered under this part fails to 1414 maintain an active, valid navigators registration status with 1415 the Federal Government or an exchange, the navigators 1416 registration issued under this part shall expire by operation of 1417 law. A navigator with an expired registration may not be granted 1418 subsequent registration until the navigator qualifies as a 1419 first-time applicant. 1420 Section 32.Paragraph (c) of subsection (4) of section 1421 627.351, Florida Statutes, is amended to read: 1422 627.351Insurance risk apportionment plans. 1423 (4)MEDICAL MALPRACTICE RISK APPORTIONMENT. 1424 (c)The Joint Underwriting Association shall operate 1425 subject to the supervision and approval of a board of governors 1426 consisting of representatives of five of the insurers 1427 participating in the Joint Underwriting Association, an attorney 1428 named by The Florida Bar, a physician named by the Florida 1429 Medical Association, a dentist named by the Florida Dental 1430 Association, and a hospital representative named by the Florida 1431 Hospital Association. The Chief Financial Officer shall select 1432 the representatives of the five insurers or other persons with 1433 experience in medical malpractice insurance as determined by the 1434 Chief Financial Officer. These appointments are deemed to be 1435 within the scope of the exemption provided in s. 112.313(7)(b). 1436 One insurer representative shall be selected from 1437 recommendations of the American Insurance Association. One 1438 insurer representative shall be selected from recommendations of 1439 the Property Casualty Insurers Association of America. One 1440 insurer representative shall be selected from recommendations of 1441 the Florida Insurance Council. Two insurer representatives shall 1442 be selected to represent insurers that are not affiliated with 1443 these associations. Vacancies on the board shall be filled for 1444 the remaining period of the term in the same manner as the 1445 initial appointments. During the first meeting of the board 1446 after June 30 of each year, the board shall choose one of its 1447 members to serve as chair of the board and another member to 1448 serve as vice chair of the board. There is no liability on the 1449 part of, and no cause of action shall arise against, any member 1450 insurer, self-insurer, or its agents or employees, the Joint 1451 Underwriting Association or its agents or employees, members of 1452 the board of governors, or the office or its representatives for 1453 any action taken by them in the performance of their powers and 1454 duties under this subsection. 1455 1.The Chief Financial Officer may remove a board member 1456 from office for misconduct, malfeasance, misfeasance, or neglect 1457 of duty. Any vacancy so created shall be filled as provided in 1458 this paragraph. 1459 2.Board members are subject to the code of ethics under 1460 part III of chapter 112, including, but not limited to, the code 1461 of ethics and public disclosure and reporting of financial 1462 interests, pursuant to s. 112.3145. For purposes of applying 1463 part III of chapter 112 to activities of members of the board of 1464 governors, those persons are considered public officers and the 1465 Joint Underwriting Association is considered their agency. 1466 Notwithstanding s. 112.3143(2), a board member may not vote on 1467 any measure that he or she knows would inure to his or her 1468 special private gain or loss; that he or she knows would inure 1469 to the special private gain or loss of any principal by which he 1470 or she is retained, other than an agency as defined in s. 1471 112.312; or that he or she knows would inure to the special 1472 private gain or loss of a relative or business associate of the 1473 public officer. Before the vote is taken, such board member 1474 shall publicly state to the board the nature of his or her 1475 interest in the matter from which he or she is abstaining from 1476 voting and, within 15 days after the vote occurs, disclose the 1477 nature of his or her interest as a public record in a memorandum 1478 filed with the person responsible for recording the minutes of 1479 the meeting, who shall incorporate the memorandum in the 1480 minutes. 1481 3.Notwithstanding s. 112.3148, s. 112.3149, or any other 1482 law, a board member may not knowingly accept, directly or 1483 indirectly, any gift or expenditure from a person or entity, or 1484 an employee or representative of such person or entity, which 1485 has a contractual relationship with the Joint Underwriting 1486 Association or which is under consideration for a contract. 1487 4.A board member who fails to comply with subparagraph 2. 1488 or subparagraph 3. is subject to the penalties provided under 1489 ss. 112.317 and 112.3173. 1490 Section 33.Section 627.4215, Florida Statutes, is amended 1491 to read: 1492 627.4215Disclosures to policyholders; coverage of 1493 behavioral health care services. 1494 (1)A health insurer that offers behavioral health 1495 insurance coverages required by federal or state law shall make 1496 all of the following information available on its website: 1497 (a)The federal and state requirements for coverage of 1498 behavioral health care services. 1499 (b)Contact information for the Division of Consumer 1500 Services of the department, including a hyperlink, for consumers 1501 to submit inquiries or complaints relating to health insurer 1502 products or services regulated by the department or the office. 1503 (2)On an annual basis, a health insurer that offers 1504 behavioral health insurance coverage required by federal or 1505 state law shall provide a direct notice to insureds with 1506 behavioral health insurance coverages required by federal or 1507 state law which must include a description of the federal and 1508 state requirements for coverage of behavioral health care 1509 services. Such notice must also include the website address and 1510 statewide toll-free telephone number of the Division of Consumer 1511 Services of the department for receiving and logging complaints. 1512 Section 34.Subsections (2) and (3) of section 627.7015, 1513 Florida Statutes, are amended to read: 1514 627.7015Alternative procedure for resolution of disputed 1515 property insurance claims. 1516 (2)At the time of issuance and renewal of a policy or at 1517 the time a first-party claim within the scope of this section is 1518 filed by the policyholder, the insurer shall notify the 1519 policyholder of its right to participate in the mediation 1520 program under this section. A claim is not eligible for 1521 mediation until an insurer has made a claim determination or 1522 elected to repair pursuant to s. 627.70131. The department shall 1523 prepare a consumer information pamphlet for distribution to 1524 persons participating in mediation. 1525 (3)The costs of mediation must be reasonable, and the 1526 insurer must bear all of the cost of conducting mediation 1527 conferences, except as otherwise provided in this section. If a 1528 policyholder fails to appear at the conference, the conference 1529 must be rescheduled upon the policyholders payment of the costs 1530 of a rescheduled conference. If the insurer fails to appear at 1531 the conference, the insurer must pay the policyholders actual 1532 cash expenses incurred in attending the conference if the 1533 insurers failure to attend was not due to a good cause 1534 acceptable to the department. An insurer will be deemed to have 1535 failed to appear if the insurers representative lacks authority 1536 to settle the full value of the claim. The insurer shall incur 1537 an additional fee for a rescheduled conference necessitated by 1538 the insurers failure to appear at a scheduled conference. The 1539 fees assessed by the department administrator must include a 1540 charge necessary to defray the expenses of the department 1541 related to its duties under this section and must be deposited 1542 in the Insurance Regulatory Trust Fund. The department may 1543 suspend the insurers authority to appoint licensees if the 1544 insurer does not timely pay the required fees. 1545 Section 35.Subsection (18) is added to section 627.7074, 1546 Florida Statutes, to read: 1547 627.7074Alternative procedure for resolution of disputed 1548 sinkhole insurance claims. 1549 (18)The department may designate, by means of a written 1550 contract or agreement, an entity or a person to serve as 1551 administrator to carry out any of the provisions of this 1552 section. 1553 Section 36.Section 627.745, Florida Statutes, is amended 1554 to read: 1555 627.745Mediation of claims. 1556 (1)(a)In any claim filed with an insurer for personal 1557 injury in an amount of $10,000 or less or any claim for property 1558 damage in any amount, arising out of the ownership, operation, 1559 use, or maintenance of a motor vehicle, either party may demand 1560 mediation of the claim prior to the institution of litigation. 1561 (b)The costs of mediation must be reasonable, and the 1562 insurer must bear all of the cost of conducting mediation 1563 conferences, except as otherwise provided in this section. If a 1564 policyholder fails to appear at the conference, the conference 1565 must be rescheduled upon the policyholders payment of the costs 1566 of a rescheduled conference. If the insurer fails to appear at 1567 the conference, the insurer must pay the policyholders actual 1568 cash expenses incurred in attending the conference if the 1569 insurers failure to attend was not due to a good cause 1570 acceptable to the department. An insurer is deemed to have 1571 failed to appear if the insurers representative lacks authority 1572 to settle the full value of the claim. The insurer shall incur 1573 an additional fee, paid to the mediator, for a rescheduled 1574 conference necessitated by the insurers failure to appear at a 1575 scheduled conference. The fees assessed by the department or 1576 administrator must include a charge necessary to defray the 1577 expenses of the department related to its duties under this 1578 section and must be deposited in the Insurance Regulatory Trust 1579 Fund. The department or administrator may request that the 1580 department suspend the insurers authority to appoint licensees 1581 if the insurer does not timely pay the per-mediation-event 1582 administrative fee. Mediation under this section is also 1583 available to litigants referred to the department by a county 1584 court or circuit court. 1585 (b)A request for mediation shall be filed with the 1586 department on a form approved by the department. The request for 1587 mediation shall state the reason for the request for mediation 1588 and the issues in dispute which are to be mediated. The filing 1589 of a request for mediation tolls the applicable time 1590 requirements for filing suit for a period of 60 days following 1591 the conclusion of the mediation process or the time prescribed 1592 in s. 95.11, whichever is later. 1593 (c)The insurance policy must specify in detail the terms 1594 and conditions for mediation of a first-party claim. 1595 (d)The mediation shall be conducted as an informal process 1596 in which formal rules of evidence and procedure need not be 1597 observed. Any party participating in a mediation must have the 1598 authority to make a binding decision. All parties must mediate 1599 in good faith. 1600 (e)The department shall randomly select mediators. Each 1601 party may once reject the mediator selected, either originally 1602 or after the opposing side has exercised its option to reject a 1603 mediator. 1604 (f)Costs of mediation shall be borne equally by both 1605 parties unless the mediator determines that one party has not 1606 mediated in good faith. 1607 (g)Only one mediation may be requested for each claim, 1608 unless all parties agree to further mediation. 1609 (2)Upon receipt of a request for mediation, the department 1610 shall refer the request to a mediator. The mediator shall notify 1611 the applicant and all interested parties, as identified by the 1612 applicant, and any other parties the mediator believes may have 1613 an interest in the mediation, of the date, time, and place of 1614 the mediation conference. The conference may be held by 1615 telephone, if feasible. The mediation conference shall be held 1616 within 45 days after the request for mediation. 1617 (2)(a)(3)(a)The department shall approve mediators to 1618 conduct mediations pursuant to this section. All mediators must 1619 file an application under oath for approval as a mediator. 1620 (b)To qualify for approval as a mediator, an individual 1621 must meet one of the following qualifications: 1622 1.Possess an active certification as a Florida Supreme 1623 Court certified circuit court mediator. A Florida Supreme Court 1624 certified circuit court mediator in a lapsed, suspended, 1625 sanctioned, or decertified status is not eligible to participate 1626 in the mediation program. 1627 2.Be an approved department mediator as of July 1, 2014, 1628 and have conducted at least one mediation on behalf of the 1629 department within 4 years immediately preceding that date. 1630 (3)(4)The department shall deny an application, or suspend 1631 or revoke its approval, of a mediator to serve in such capacity 1632 if the department finds that one or more of the following 1633 grounds exist: 1634 (a)Lack of one or more of the qualifications specified in 1635 this section for approval. 1636 (b)Material misstatement, misrepresentation, or fraud in 1637 obtaining or attempting to obtain the approval. 1638 (c)Demonstrated lack of fitness or trustworthiness to act 1639 as a mediator. 1640 (d)Fraudulent or dishonest practices in the conduct of 1641 mediation or in the conduct of business in the financial 1642 services industry. 1643 (e)Violation of any provision of this code or of a lawful 1644 order or rule of the department, violation of the Florida Rules 1645 for Certified and Court-Appointed Mediators, or aiding, 1646 instructing, or encouraging another party in committing such a 1647 violation. 1648 1649 The department may adopt rules to administer this subsection. 1650 (4)The department shall adopt by rule a motor vehicle 1651 claims insurance mediation program to be administered by the 1652 department or its designee. The department may also adopt 1653 special rules that are applicable in cases of an emergency 1654 within the state. The rules shall be modeled after practices and 1655 procedures set forth in mediation rules of procedure adopted by 1656 the Supreme Court. The rules must include: 1657 (a)Reasonable requirements for processing and scheduling 1658 of requests for mediation. 1659 (b)Provisions governing who may attend mediation 1660 conferences. 1661 (c)Selection of mediators. 1662 (d)Criteria for the conduct of mediation conferences. 1663 (e)Right to legal counsel. 1664 (5)The department must adopt rules of procedure for claims 1665 mediation, taking into consideration a system which: 1666 (a)Is fair. 1667 (b)Promotes settlement. 1668 (c)Avoids delay. 1669 (d)Is nonadversarial. 1670 (e)Uses a framework for modern mediating technique. 1671 (f)Controls of costs and expenses of mediation. 1672 (5)The department may designate an entity or person to 1673 serve as an administrator to carry out any of the provisions of 1674 this section and may take this action by means of a written 1675 contract or agreement. 1676 (6)Disclosures and information divulged in the mediation 1677 process are not admissible in any subsequent action or 1678 proceeding relating to the claim or to the cause of action 1679 giving rise to the claim. A person demanding mediation under 1680 this section may not demand or request mediation after a suit is 1681 filed relating to the same facts already mediated. 1682 Section 37.Present subsections (7) through (12) of section 1683 631.141, Florida Statutes, are redesignated as subsections (8) 1684 through (13), respectively, and a new subsection (7) is added to 1685 that section, to read: 1686 631.141Conduct of delinquency proceeding; domestic and 1687 alien insurers. 1688 (7)In order to preserve as much as possible the right and 1689 interest of the policyholders whose insurance policies or 1690 similar contracts are affected by the receivership proceedings, 1691 the department as a domiciliary receiver may: 1692 (a)Use the property of the estate of the insurer to 1693 transfer the insurers book of business, policies, or similar 1694 contracts of coverage, in whole or in part, to a solvent 1695 assuming insurer or insurers. 1696 (b)Notwithstanding s. 631.195, share records of the 1697 insurer with the prospective solvent assuming insurer or 1698 insurers, but only to the extent necessary to undertake due 1699 diligence for a transfer contemplated under this section. 1700 Section 38.Subsections (1) and (3) of section 631.252, 1701 Florida Statutes, are amended to read: 1702 631.252Continuation of coverage. 1703 (1)Unless another insurer, with approval of the 1704 receivership court, assumes or otherwise provides coverage for 1705 the policies of the insolvent insurer, all insurance policies or 1706 similar contracts of coverage, other than coverages defined in 1707 s. 631.713 or health maintenance organization coverage under 1708 part IV, issued by the insurer shall be canceled upon the 1709 earlier earliest to occur of the following: 1710 (a)The date of entry of the liquidation or, if the court 1711 so provides in its order, the expiration of 30 days from the 1712 date of entry of the liquidation order; 1713 (b)The normal expiration of the policy or contract 1714 coverage; 1715 (c)The replacement of the coverage by the insured, or the 1716 replacement of the policy or contract of coverage, with a policy 1717 or contract acceptable to the insured by the receiver with 1718 another insurer; or 1719 (d)The date proposed by the receiver and approved by the 1720 receivership court to cancel coverage; or 1721 (e)(d)The termination of the coverage by the insured. 1722 (3)The 30-day coverage continuation period provided in 1723 paragraph (1)(a) and s. 631.57(1)(a)1. may not be extended 1724 unless the Chief Financial Officer office determines, based on a 1725 reasonable belief, that market conditions are such that policies 1726 of residential property insurance coverage cannot be placed with 1727 an authorized insurer within 30 days and that an additional 15 1728 days is needed to place such coverage.; and Failure of actual 1729 notice to the policyholder of the insolvency of the insurer, of 1730 commencement of a delinquency proceeding, or of expiration of 1731 the extension period does not affect such expiration. 1732 Section 39.Subsection (1) of section 631.56, Florida 1733 Statutes, is amended, and subsections (5) through (8) are added 1734 to that section, to read: 1735 631.56Board of directors. 1736 (1)The board of directors of the association shall consist 1737 of not less than five or more than nine persons serving terms as 1738 established in the plan of operation. Three members of the board 1739 must be representatives from domestic insurers and appointed by 1740 the Chief Financial Officer. The department shall approve and 1741 appoint to the board persons recommended by the member insurers 1742 or other persons with experience in property and casualty 1743 insurance or motor vehicle insurance as determined by the Chief 1744 Financial Officer. These appointments are deemed to be within 1745 the scope of the exemption provided in s. 112.313(7)(b). In the 1746 event the department finds that any recommended person does not 1747 meet the qualifications for service on the board, the department 1748 shall request the member insurers to recommend another person. 1749 Each member shall serve for a 4-year term and may be 1750 reappointed. Vacancies on the board shall be filled for the 1751 remaining period of the term in the same manner as initial 1752 appointments. 1753 (5)The Chief Financial Officer may remove a board member 1754 from office for misconduct, malfeasance, misfeasance, or neglect 1755 of duty. Any vacancy so created shall be filled as provided in 1756 subsection (1). 1757 (6)Board members are subject to the code of ethics under 1758 part III of chapter 112, including, but not limited to, the code 1759 of ethics and public disclosure and reporting of financial 1760 interests, pursuant to s. 112.3145. For purposes of applying 1761 part III of chapter 112 to activities of members of the board of 1762 directors, those persons are considered public officers and the 1763 association is considered their agency. Notwithstanding s. 1764 112.3143(2), a board member may not vote on any measure that he 1765 or she knows would inure to his or her special private gain or 1766 loss; that he or she knows would inure to the special private 1767 gain or loss of any principal by which he or she is retained, 1768 other than an agency as defined in s. 112.312; or that he or she 1769 knows would inure to the special private gain or loss of a 1770 relative or business associate of the public officer. Before the 1771 vote is taken, such member shall publicly state to the board the 1772 nature of his or her interest in the matter from which he or she 1773 is abstaining from voting and, within 15 days after the vote 1774 occurs, disclose the nature of his or her interest as a public 1775 record in a memorandum filed with the person responsible for 1776 recording the minutes of the meeting, who shall incorporate the 1777 memorandum in the minutes. 1778 (7)Notwithstanding s. 112.3148, s. 112.3149, or any other 1779 law, a board member may not knowingly accept, directly or 1780 indirectly, any gift or expenditure from a person or entity, or 1781 an employee or representative of such person or entity, which 1782 has a contractual relationship with the association or which is 1783 under consideration for a contract. 1784 (8)A board member who fails to comply with subsection (6) 1785 or subsection (7) is subject to the penalties provided under ss. 1786 112.317 and 112.3173. 1787 Section 40.Paragraph (a) of subsection (1) of section 1788 631.716, Florida Statutes, is amended, and subsections (4) 1789 through (7) are added to that section, to read: 1790 631.716Board of directors. 1791 (1)(a)The board of directors of the association shall have 1792 at least 9, but no more than 11, members. The members shall 1793 consist be comprised of member insurers serving terms as 1794 established in the plan of operation and 1 Florida Health 1795 Maintenance Organization Consumer Assistance Plan director 1796 confirmed pursuant to paragraph (b), or other persons with 1797 experience in life and annuity or accident and health insurance 1798 as determined by the Chief Financial Officer. These appointments 1799 are deemed to be within the scope of the exemption provided in 1800 s. 112.313(7)(b). At all times, at least 1 member of the board 1801 member must be a domestic insurer as defined in s. 624.06(1). 1802 The members of the board members who are member insurers shall 1803 be elected by member insurers, subject to the approval of the 1804 department. Each board member shall serve for a 4-year term and 1805 may be reappointed. 1806 (4)The Chief Financial Officer may remove a board member 1807 from office for misconduct, malfeasance, misfeasance, or neglect 1808 of duty. Any vacancy so created shall be filled as provided in 1809 subsection (1). 1810 (5)Board members are subject to the code of ethics under 1811 part III of chapter 112, including, but not limited to, the code 1812 of ethics and public disclosure and reporting of financial 1813 interests, pursuant to s. 112.3145. For purposes of applying 1814 part III of chapter 112 to activities of members of the board of 1815 directors, those persons are considered public officers and the 1816 association is considered their agency. Notwithstanding s. 1817 112.3143(2), a board member may not vote on any measure that he 1818 or she knows would inure to his or her special private gain or 1819 loss; that he or she knows would inure to the special private 1820 gain or loss of any principal by which he or she is retained, 1821 other than an agency as defined in s. 112.312; or that he or she 1822 knows would inure to the special private gain or loss of a 1823 relative or business associate of the public officer. Before the 1824 vote is taken, such member shall publicly state to the board the 1825 nature of his or her interest in the matter from which he or she 1826 is abstaining from voting and, within 15 days after the vote 1827 occurs, disclose the nature of his or her interest as a public 1828 record in a memorandum filed with the person responsible for 1829 recording the minutes of the meeting, who shall incorporate the 1830 memorandum in the minutes. 1831 (6)Notwithstanding s. 112.3148, s. 112.3149, or any other 1832 law, a board member may not knowingly accept, directly or 1833 indirectly, any gift or expenditure from a person or entity, or 1834 an employee or representative of such person or entity, which 1835 has a contractual relationship with the association or which is 1836 under consideration for a contract. 1837 (7)A board member who fails to comply with subsection (5) 1838 or subsection (6) is subject to the penalties provided under ss. 1839 112.317 and 112.3173. 1840 Section 41.Subsection (1) of section 631.816, Florida 1841 Statutes, is amended, and subsections (8) through (11) are added 1842 to that section, to read: 1843 631.816Board of directors. 1844 (1)The board of directors of the plan shall consist of not 1845 less than five or more than nine persons serving terms as 1846 established in the plan of operation. The department shall 1847 approve and appoint to the board persons recommended by the 1848 member HMOs or other persons with experience in health insurance 1849 as determined by the Chief Financial Officer. These appointments 1850 are deemed to be within the scope of the exemption provided in 1851 s. 112.313(7)(b). In the event the department finds that any 1852 recommended person does not meet the qualifications for service 1853 on the board, the department shall request the member HMOs to 1854 recommend another person. Each member shall serve for a 4-year 1855 term and may be reappointed, except that terms may be staggered 1856 as defined in the plan of operation. Vacancies on the board 1857 shall be filled for the remaining period of the term in the same 1858 manner as initial appointments. In determining voting rights, 1859 each HMO is entitled to vote on the basis of cumulative weighted 1860 voting based on the net written premium for non-Medicare and 1861 non-Medicaid policies. 1862 (8)The Chief Financial Officer may remove a board member 1863 from office for misconduct, malfeasance, misfeasance, or neglect 1864 of duty. Any vacancy so created shall be filled as provided in 1865 subsection (1). 1866 (9)Board members are subject to the code of ethics under 1867 part III of chapter 112, including, but not limited to, the code 1868 of ethics and public disclosure and reporting of financial 1869 interests, pursuant to s. 112.3145. For purposes of applying 1870 part III of chapter 112 to activities of members of the board of 1871 directors, those persons are considered public officers and the 1872 plan is considered their agency. Notwithstanding s. 112.3143(2), 1873 a board member may not vote on any measure that he or she knows 1874 would inure to his or her special private gain or loss; that he 1875 or she knows would inure to the special private gain or loss of 1876 any principal by which he or she is retained, other than an 1877 agency as defined in s. 112.312; or that he or she knows would 1878 inure to the special private gain or loss of a relative or 1879 business associate of the public officer. Before the vote is 1880 taken, such member shall publicly state to the board the nature 1881 of his or her interest in the matter from which he or she is 1882 abstaining from voting and, within 15 days after the vote 1883 occurs, disclose the nature of his or her interest as a public 1884 record in a memorandum filed with the person responsible for 1885 recording the minutes of the meeting, who shall incorporate the 1886 memorandum in the minutes. 1887 (10)Notwithstanding s. 112.3148, s. 112.3149, or any other 1888 law, a board member may not knowingly accept, directly or 1889 indirectly, any gift or expenditure from a person or entity, or 1890 an employee or representative of such person or entity, which 1891 has a contractual relationship with the plan or which is under 1892 consideration for a contract. 1893 (11)A board member who fails to comply with subsection (9) 1894 or subsection (10) is subject to the penalties provided under 1895 ss. 112.317 and 112.3173. 1896 Section 42.Subsection (1) of section 631.912, Florida 1897 Statutes, is amended, and subsections (4), (5), and (6) are 1898 added to that section, to read: 1899 631.912Board of directors. 1900 (1)The board of directors of the corporation shall consist 1901 of 11 persons, 1 of whom is the insurance consumer advocate 1902 appointed under s. 627.0613 or designee and 1 of whom is 1903 designated by the Chief Financial Officer. The department shall 1904 appoint to the board 6 persons selected by private carriers from 1905 among the 20 workers compensation insurers with the largest 1906 amount of direct written premium as determined by the 1907 department, and 2 persons selected by the self-insurance funds 1908 or other persons with experience in workers compensation 1909 insurance as determined by the Chief Financial Officer. These 1910 appointments are deemed to be within the scope of the exemption 1911 provided in s. 112.313(7)(b). The Governor shall appoint one 1912 person who has commercial insurance experience. At least two of 1913 the private carriers shall be foreign carriers authorized to do 1914 business in this state. The board shall elect a chairperson from 1915 among its members. The Chief Financial Officer may remove any 1916 board member for cause. Each board member shall be appointed to 1917 serve a 4-year term and may be reappointed. A vacancy on the 1918 board shall be filled for the remaining period of the term in 1919 the same manner by which the original appointment was made. 1920 (4)Board members are subject to the code of ethics under 1921 part III of chapter 112, including, but not limited to, the code 1922 of ethics and public disclosure and reporting of financial 1923 interests, pursuant to s. 112.3145. For purposes of applying 1924 part III of chapter 112 to activities of members of the board of 1925 directors, those persons are considered public officers and the 1926 corporation is considered their agency. Notwithstanding s. 1927 112.3143(2), a board member may not vote on any measure that he 1928 or she knows would inure to his or her special private gain or 1929 loss; that he or she knows would inure to the special private 1930 gain or loss of any principal by which he or she is retained, 1931 other than an agency as defined in s. 112.312; or that he or she 1932 knows would inure to the special private gain or loss of a 1933 relative or business associate of the public officer. Before the 1934 vote is taken, such member shall publicly state to the board the 1935 nature of his or her interest in the matter from which he or she 1936 is abstaining from voting and, within 15 days after the vote 1937 occurs, disclose the nature of his or her interest as a public 1938 record in a memorandum filed with the person responsible for 1939 recording the minutes of the meeting, who shall incorporate the 1940 memorandum in the minutes. 1941 (5)Notwithstanding s. 112.3148, s. 112.3149, or any other 1942 law, a board member may not knowingly accept, directly or 1943 indirectly, any gift or expenditure from a person or entity, or 1944 an employee or representative of such person or entity, which 1945 has a contractual relationship with the corporation or which is 1946 under consideration for a contract. 1947 (6)A board member who fails to comply with subsection (4) 1948 or subsection (5) is subject to the penalties provided under ss. 1949 112.317 and 112.3173. 1950 Section 43.Section 633.1423, Florida Statutes, is created 1951 to read: 1952 633.1423State Fire Marshal direct-support organization. 1953 (1)DEFINITION.As used in this section, the term 1954 organization means the direct-support organization established 1955 under this section. 1956 (2)ORGANIZATION ESTABLISHED.The division may establish a 1957 direct-support organization, to be known as the State Fire 1958 Marshal Safety and Training Force, whose sole purpose is to 1959 support the safety and training of firefighters and to recognize 1960 exemplary service. The organization must: 1961 (a)Be a not-for-profit corporation incorporated under 1962 chapter 617 and approved by the Department of State. 1963 (b)Be organized and operated to raise funds; request and 1964 receive grants, gifts, and bequests of money; conduct programs 1965 and activities; acquire, receive, hold, invest, and administer, 1966 in its own name, securities, funds, or property; and make grants 1967 and expenditures to or for the direct or indirect benefit of the 1968 division. Grants and expenditures may include the cost of 1969 education or training of firefighters, or the recognition of 1970 exemplary service of firefighters. 1971 (c)Be determined by the division to operate in a manner 1972 that is: 1973 1.Consistent with the goals of the division and laws 1974 relating to the safety and training of firefighters. 1975 2.In the best interest of the state. 1976 3.In accordance with the adopted goals and mission of the 1977 division. 1978 (d)Use all of its grants and expenditures solely for the 1979 purpose of educating, training, and recognizing firefighters, 1980 and not for advertising using the likeness or name of any 1981 elected official nor for the purpose of lobbying as defined in 1982 s. 11.045(1). 1983 (e)Be subject to an annual financial audit in accordance 1984 with s. 215.981. 1985 (3)CONTRACT.The organization shall operate under written 1986 contract with the division. The contract must provide for: 1987 (a)Certification by the division that the organization is 1988 complying with the terms of the contract and in a manner 1989 consistent with the goals and purposes of the department and in 1990 the best interest of the state. Such certification must be made 1991 annually and reported in the official minutes of a meeting of 1992 the organization. 1993 (b)The reversion of moneys and property held by the 1994 organization for firefighter safety, training, and recognition 1995 to the division if the organization is no longer approved to 1996 operate by the division or if the organization ceases to exist, 1997 or to the state if the division ceases to exist. 1998 (4)BOARD OF DIRECTORS.The organization shall be governed 1999 by a board of directors. The State Fire Marshal, or his or her 2000 designee, shall appoint a president of the board. The board of 2001 directors shall be appointed by the president of the board. 2002 (5)USE OF PROPERTY.The division may authorize, without 2003 charge, appropriate use of fixed property and facilities of the 2004 division by the organization, subject to this subsection. 2005 (a)The department may prescribe any condition with which 2006 the organization must comply in order to use the divisions 2007 property or facilities. 2008 (b)The department may not authorize the use of the 2009 divisions property or facilities if the organization does not 2010 provide equal membership and employment opportunities to all 2011 persons regardless of race, religion, sex, age, or national 2012 origin. 2013 (c)The department shall adopt rules prescribing the 2014 procedures by which the organization is governed and any 2015 conditions with which the organization must comply to use the 2016 divisions property or facilities. 2017 (6)DEPOSITORY ACCOUNT.Any moneys received by the 2018 organization may be held in a separate depository account in the 2019 name of the organization and subject to the contract with the 2020 division. 2021 (7)ANNUAL BUDGETS AND REPORTS.The organization shall 2022 submit to the division its annual budget and financial reports, 2023 its federal Internal Revenue Service Application for Recognition 2024 of Exemption Form 1023, and its federal Internal Revenue Service 2025 Return of Organization Exempt from Income Tax Form 990. 2026 (8)ANNUAL AUDIT.The organization shall provide for an 2027 annual financial audit in accordance with s. 215.981. 2028 (9)DIVISIONS RECEIPT OF PROCEEDS.Proceeds received by 2029 the division from the organization shall be deposited into the 2030 Insurance Regulatory Trust Fund. 2031 (10)REPEAL.This section is repealed October 1, 2028, 2032 unless reviewed and saved from repeal by the Legislature. 2033 Section 44.Section 634.181, Florida Statutes, is amended 2034 to read: 2035 634.181Grounds for compulsory refusal, suspension, or 2036 revocation of license or appointment of salespersons. 2037 (1)The department shall deny, suspend, revoke, or refuse 2038 to renew or continue the license or appointment of any such 2039 salesperson if it finds that as to the salesperson any one or 2040 more of the following applicable grounds exist: 2041 (a)(1)Material misstatement, misrepresentation, or fraud 2042 in obtaining or attempting to obtain the license or appointment. 2043 (b)(2)If the license or appointment is willfully used, or 2044 to be used, to circumvent any of the requirements or 2045 prohibitions of this part, any applicable provision of the 2046 Florida Insurance Code, or rule of the department or commission. 2047 (c)(3)Willful misrepresentation of any service agreement 2048 or willful deception with regard to any agreement, done either 2049 in person or by any form of dissemination of information or 2050 advertising. 2051 (d)(4)If in the adjustment of claims arising out of 2052 service agreements, she or he has materially misrepresented to a 2053 service agreement holder or other interested party the terms and 2054 coverage of a service agreement with intent and for the purpose 2055 of effecting settlement of the claim on less favorable terms 2056 than those provided in and contemplated by the service 2057 agreement. 2058 (e)(5)For demonstrated lack of fitness or trustworthiness 2059 to engage in the service agreement business. 2060 (f)(6)For demonstrated lack of adequate knowledge and 2061 technical competence to engage in the transactions authorized by 2062 the license or appointment. 2063 (g)(7)Fraudulent or dishonest practices in the conduct of 2064 business under the license or appointment. 2065 (h)(8)Misappropriation, conversion, or unlawful 2066 withholding of moneys belonging to a service agreement company, 2067 insurer, or service agreement holder or to others and received 2068 in the conduct of business under the license or appointment. 2069 (i)(9)For unlawfully rebating, or attempt thereat, or for 2070 unlawfully dividing or offering to divide her or his commission 2071 with another. 2072 (j)(10)Willful failure to comply with, or willful 2073 violation of any proper order of the department or office, or 2074 willful violation of any provision of this part, or of any 2075 applicable provision of the insurance code, or applicable rule 2076 of the department or commission. 2077 (k)(11)Having been found guilty of, or having pleaded 2078 guilty or nolo contendere to, a felony or a crime punishable by 2079 imprisonment of 1 year or more under the law of the United 2080 States of America or any state thereof or under the law of any 2081 other country which involves moral turpitude, without regard to 2082 whether a judgment of conviction has been entered by the court 2083 having jurisdiction of the cases. 2084 (l)(12)Failure to refund unearned pro rata commission to 2085 the agreement holder or the service agreement company, if the 2086 service agreement company is making a full unearned pro rata 2087 refund to the agreement holder. 2088 (m)Having been the subject of, or having had a license, 2089 permit, appointment, registration, or other authority to conduct 2090 business subject to, any decision, finding, injunction, 2091 suspension, prohibition, revocation, denial, judgment, final 2092 agency action, or administrative order by any court of competent 2093 jurisdiction, administrative law proceeding, state agency, 2094 federal agency, national securities, commodities, or options 2095 exchange, or national securities, commodities, or options 2096 association involving a violation of any federal or state 2097 securities or commodities law or any rule or regulation adopted 2098 thereunder, or a violation of any rule or regulation of any 2099 national securities, commodities, or options exchange or 2100 national securities, commodities, or options association. 2101 (2)When a licensee is charged with a felony enumerated in 2102 s. 626.207(2), the department shall, immediately upon receipt of 2103 information on or indictment for the felony, temporarily suspend 2104 a license or appointment issued under this chapter. Such 2105 suspension shall continue if the licensee is found guilty of, or 2106 pleads guilty or nolo contendere to, the crime, regardless of 2107 whether a judgment or conviction is entered, during a pending 2108 appeal. A person may not transact insurance business after 2109 suspension of his or her license or appointment. 2110 (3)The department may adopt rules to administer this 2111 section. 2112 Section 45.Section 634.191, Florida Statutes, is amended 2113 to read: 2114 634.191Grounds for discretionary refusal, suspension, or 2115 revocation of license or appointment of salespersons. 2116 (1)The department may, in its discretion, deny, suspend, 2117 revoke, or refuse to renew or continue the license or 2118 appointment of any salesperson if it finds that as to the 2119 salesperson any one or more of the following applicable grounds 2120 exist under circumstances for which such denial, suspension, 2121 revocation, or refusal is not mandatory under s. 634.181: 2122 (a)(1)For any cause for which granting of the license or 2123 appointment could have been refused had it then existed and been 2124 known to the department. 2125 (b)(2)Violation of any provision of this part or of any 2126 other law applicable to the business of service agreements in 2127 the course of dealings under the license or appointment. 2128 (c)(3)Violation of Has violated any lawful order or rule 2129 of the department or commission. 2130 (d)(4)Failure or refusal, upon demand, to pay over to any 2131 company or insurer the salesperson represents or has represented 2132 any money coming into her or his hands belonging to the company 2133 or insurer. 2134 (e)(5)If, in the conduct of business under the license or 2135 appointment, the salesperson has engaged in unfair methods of 2136 competition or in unfair or deceptive acts or practices, as such 2137 methods, acts, or practices are or may be defined under this 2138 part, or has otherwise shown herself or himself to be a source 2139 of injury or loss to the public or detrimental to the public 2140 interest. 2141 (f)(6)Failure to report to the department within 30 days 2142 the final disposition of an administrative action taken against 2143 a salesperson by a governmental agency or other regulatory 2144 agency in this state or any other state or jurisdiction relating 2145 to the business of insurance, the sale of securities, or an 2146 activity involving fraud, dishonesty, trustworthiness, or breach 2147 of a fiduciary duty. The salesperson must submit a copy of the 2148 order, consent to order, or other relevant legal documents to 2149 the department Having been found guilty of, or having pleaded 2150 guilty or nolo contendere to, a felony or a crime punishable by 2151 imprisonment of 1 year or more under the law of the United 2152 States of America or any state thereof or under the law of any 2153 other country, without regard to whether a judgment of 2154 conviction has been entered by the court having jurisdiction of 2155 the cases. 2156 (2)The department may adopt rules to administer this 2157 section. 2158 Section 46.Section 634.320, Florida Statutes, is amended 2159 to read: 2160 634.320Grounds for compulsory refusal, suspension, or 2161 revocation of license or appointment of sales representatives. 2162 (1)The department shall deny, suspend, revoke, or refuse 2163 to renew or continue the license or appointment of any sales 2164 representative if it is found that any one or more of the 2165 following grounds applicable to the sales representative exist: 2166 (a)(1)Material misstatement, misrepresentation, or fraud 2167 in obtaining or attempting to obtain a license or appointment. 2168 (b)(2)The license or appointment is willfully used, or to 2169 be used, to circumvent any of the requirements or prohibitions 2170 of this part. 2171 (c)(3)Willful misrepresentation of any warranty contract 2172 or willful deception with regard to any such contract, done 2173 either in person or by any form of dissemination of information 2174 or advertising. 2175 (d)(4)In the adjustment of claims arising out of 2176 warranties, material misrepresentation to a warranty holder or 2177 other interested party of the terms and coverage of a contract, 2178 with the intent and for the purpose of effecting settlement of 2179 such claim on less favorable terms than those provided in and 2180 contemplated by the contract. 2181 (e)(5)Demonstrated lack of fitness or trustworthiness to 2182 engage in the business of home warranty. 2183 (f)(6)Demonstrated lack of adequate knowledge and 2184 technical competence to engage in the transactions authorized by 2185 the license or appointment. 2186 (g)(7)Fraudulent or dishonest practices in the conduct of 2187 business under the license or appointment. 2188 (h)(8)Misappropriation, conversion, or unlawful 2189 withholding of moneys belonging to an association, insurer, or 2190 warranty holder, or to others, and received in the conduct of 2191 business under the license or appointment. 2192 (i)(9)Unlawfully rebating, or attempting to unlawfully 2193 rebate, or unlawfully dividing, or offering to divide, her or 2194 his commission with another. 2195 (j)(10)Willful failure to comply with, or willful 2196 violation of, any proper order or rule of the department or 2197 commission or willful violation of any provision of this part. 2198 (k)(11)Being found guilty of or pleading guilty or nolo 2199 contendere to a felony or a crime punishable by imprisonment of 2200 1 year or more under the law of the United States of America or 2201 any state thereof or under the law of any other country 2202 involving moral turpitude, without regard to whether judgment of 2203 conviction has been entered by the court. 2204 (l)Having been the subject of, or having had a license, 2205 permit, appointment, registration, or other authority to conduct 2206 business subject to, any decision, finding, injunction, 2207 suspension, prohibition, revocation, denial, judgment, final 2208 agency action, or administrative order by any court of competent 2209 jurisdiction, administrative law proceeding, state agency, 2210 federal agency, national securities, commodities, or options 2211 exchange, or national securities, commodities, or options 2212 association involving a violation of any federal or state 2213 securities or commodities law or any rule or regulation adopted 2214 thereunder, or a violation of any rule or regulation of any 2215 national securities, commodities, or options exchange or 2216 national securities, commodities, or options association. 2217 (2)When a licensee is charged with a felony enumerated in 2218 s. 626.207(2), the department shall, immediately upon receipt of 2219 information on or indictment for the felony, temporarily suspend 2220 a license or appointment issued under this chapter. Such 2221 suspension shall continue if the licensee is found guilty of, or 2222 pleads guilty or nolo contendere to, the crime, regardless of 2223 whether a judgment or conviction is entered, during a pending 2224 appeal. A person may not transact insurance business after 2225 suspension of his or her license or appointment. 2226 (3)The department may adopt rules to administer this 2227 section. 2228 Section 47.Section 634.321, Florida Statutes, is amended 2229 to read: 2230 634.321Grounds for discretionary refusal, suspension, or 2231 revocation of license or appointment of sales representatives. 2232 (1)The department may, in its discretion, deny, suspend, 2233 revoke, or refuse to renew or continue the license or 2234 appointment of any sales representative if it is found that any 2235 one or more of the following grounds applicable to the sales 2236 representative exist under circumstances for which such denial, 2237 suspension, revocation, or refusal is not mandatory under s. 2238 634.320: 2239 (a)(1)Any cause for which granting of the license or 2240 appointment could have been refused had it then existed and been 2241 known to the department. 2242 (b)(2)Violation of any provision of this part, or of any 2243 other law applicable to the business of warranties, in the 2244 course of dealings under the license or appointment. 2245 (c)(3)Violation of any lawful order or rule of the 2246 department or commission. 2247 (d)(4)Failure or refusal to pay over, upon demand, to any 2248 home warranty association or insurer the sales representative 2249 represents or has represented any money coming into her or his 2250 hands which belongs to the association or insurer. 2251 (e)(5)In the conduct of business under the license or 2252 appointment, engaging in unfair methods of competition or in 2253 unfair or deceptive acts or practices, as such methods, acts, or 2254 practices are or may be defined under this part, or otherwise 2255 showing herself or himself to be a source of injury or loss to 2256 the public or detriment to the public interest. 2257 (f)(6)Failure to report to the department within 30 days 2258 the final disposition of an administrative action taken against 2259 a sales representative by a governmental agency or other 2260 regulatory agency in this state or any other state or 2261 jurisdiction relating to the business of insurance, the sale of 2262 securities, or an activity involving fraud, dishonesty, 2263 trustworthiness, or breach of a fiduciary duty. The sales 2264 representative must submit a copy of the order, consent to 2265 order, or other relevant legal documents to the department Being 2266 found guilty of or pleading guilty or nolo contendere to a 2267 felony or a crime punishable by imprisonment of 1 year or more 2268 under the law of the United States of America or any state 2269 thereof or under the law of any other country, without regard to 2270 whether a judgment of conviction has been entered by the court. 2271 (2)The department may adopt rules to administer this 2272 section. 2273 Section 48.Section 634.419, Florida Statutes, is amended 2274 to read: 2275 634.419License and appointment required.No person or 2276 entity shall solicit, negotiate, advertise, or effectuate 2277 service warranty contracts in this state unless such person or 2278 entity is licensed and appointed as a sales representative. 2279 Sales representatives shall be responsible for the actions of 2280 persons under their supervision. However, a service warranty 2281 association licensed as such under this part shall not be 2282 required to be licensed and appointed as a sales representative 2283 to solicit, negotiate, advertise, or effectuate its products. 2284 Sections 501.021-501.055 do not apply to persons or entities 2285 licensed and appointed under this section, or their affiliates, 2286 which solicit the sale of a service warranty or related service 2287 or product in connection with a prearranged appointment at the 2288 request of the consumer. 2289 Section 49.Section 634.422, Florida Statutes, is amended 2290 to read: 2291 634.422Grounds for compulsory refusal, suspension, or 2292 revocation of license or appointment of sales representatives. 2293 (1)The department shall deny, suspend, revoke, or refuse 2294 to renew or continue the license or appointment of any sales 2295 representative if it is found that any one or more of the 2296 following grounds applicable to the sales representative exist: 2297 (a)(1)Material misstatement, misrepresentation, or fraud 2298 in obtaining or attempting to obtain a license or appointment. 2299 (b)(2)The license or appointment is willfully used, or to 2300 be used, to circumvent any of the requirements or prohibitions 2301 of this part. 2302 (c)(3)Willful misrepresentation of any service warranty 2303 contract or willful deception with regard to any such contract, 2304 done either in person or by any form of dissemination of 2305 information or advertising. 2306 (d)(4)In the adjustment of claims arising out of 2307 warranties, material misrepresentation to a service warranty 2308 holder or other interested party of the terms and coverage of a 2309 contract with the intent and for the purpose of effecting 2310 settlement of the claim on less favorable terms than those 2311 provided in and contemplated by the contract. 2312 (e)(5)Demonstrated lack of fitness or trustworthiness to 2313 engage in the business of service warranty. 2314 (f)(6)Demonstrated lack of adequate knowledge and 2315 technical competence to engage in the transactions authorized by 2316 the license or appointment. 2317 (g)(7)Fraudulent or dishonest practices in the conduct of 2318 business under the license or appointment. 2319 (h)(8)Misappropriation, conversion, or unlawful 2320 withholding of moneys belonging to an association, insurer, or 2321 warranty holder, or to others, and received in the conduct of 2322 business under the license or appointment. 2323 (i)(9)Unlawfully rebating, or attempting to unlawfully 2324 rebate, or unlawfully dividing, or offering to divide, her or 2325 his commission with another. 2326 (j)(10)Willful failure to comply with, or willful 2327 violation of, any proper order or rule of the department or 2328 commission, or willful violation of any provision of this part. 2329 (k)(11)Being found guilty of or pleading nolo contendere 2330 to a felony or a crime punishable by imprisonment of 1 year or 2331 more under the law of the United States of America or any state 2332 thereof or under the law of any other country involving moral 2333 turpitude, without regard to whether judgment of conviction has 2334 been entered by the court having jurisdiction of the case. 2335 (l)Having been the subject of, or having had a license, 2336 permit, appointment, registration, or other authority to conduct 2337 business subject to, any decision, finding, injunction, 2338 suspension, prohibition, revocation, denial, judgment, final 2339 agency action, or administrative order by any court of competent 2340 jurisdiction, administrative law proceeding, state agency, 2341 federal agency, national securities, commodities, or options 2342 exchange, or national securities, commodities, or options 2343 association involving a violation of any federal or state 2344 securities or commodities law or any rule or regulation adopted 2345 thereunder, or a violation of any rule or regulation of any 2346 national securities, commodities, or options exchange or 2347 national securities, commodities, or options association. 2348 (2)When a licensee is charged with a felony enumerated in 2349 s. 626.207(2), the department shall, immediately upon receipt of 2350 information on or indictment for the felony, temporarily suspend 2351 a license or appointment issued under this chapter. Such 2352 suspension shall continue if the licensee is found guilty of, or 2353 pleads guilty or nolo contendere to, the crime, regardless of 2354 whether a judgment or conviction is entered, during a pending 2355 appeal. A person may not transact insurance business after 2356 suspension of his or her license or appointment. 2357 (3)The department may adopt rules to administer this 2358 section. 2359 Section 50.Section 634.423, Florida Statutes, is amended 2360 to read: 2361 634.423Grounds for discretionary refusal, suspension, or 2362 revocation of license or appointment of sales representatives. 2363 (1)The department may deny, suspend, revoke, or refuse to 2364 renew or continue the license or appointment of any sales 2365 representative if it is found that any one or more of the 2366 following grounds applicable to the sales representative exist 2367 under circumstances for which such denial, suspension, 2368 revocation, or refusal is not mandatory under s. 634.422: 2369 (a)(1)Any cause for which granting of the license or 2370 appointment could have been refused had it then existed and been 2371 known to the department. 2372 (b)(2)Violation of any provision of this part, or of any 2373 other law applicable to the business of service warranties, in 2374 the course of dealings under the license or appointment. 2375 (c)(3)Violation of any lawful order or rule of the 2376 department or commission. 2377 (d)(4)Failure or refusal to pay over, upon demand, to any 2378 service warranty association or insurer the sales representative 2379 represents or has represented any money coming into her or his 2380 hands which belongs to the association or insurer. 2381 (e)(5)In the conduct of business under the license or 2382 appointment, engaging in unfair methods of competition or in 2383 unfair or deceptive acts or practices, as such methods, acts, or 2384 practices are or may be defined under this part, or otherwise 2385 showing herself or himself to be a source of injury or loss to 2386 the public or detriment to the public interest. 2387 (f)(6)Failure to report to the department within 30 days 2388 the final disposition of an administrative action taken against 2389 a sales representative by a governmental agency or other 2390 regulatory agency in this state or any other state or 2391 jurisdiction relating to the business of insurance, the sale of 2392 securities, or an activity involving fraud, dishonesty, 2393 trustworthiness, or breach of a fiduciary duty. The sales 2394 representative must submit a copy of the order, consent to 2395 order, or other relevant legal documents to the department Being 2396 found guilty of or pleading guilty or nolo contendere to a 2397 felony or a crime punishable by imprisonment of 1 year or more 2398 under the law of the United States of America or any state 2399 thereof or under the law of any other country, without regard to 2400 whether judgment of conviction has been entered by the court 2401 having jurisdiction of such case. 2402 (2)The department may adopt rules to administer this 2403 section. 2404 Section 51.Section 648.25, Florida Statutes, is reordered 2405 and amended to read: 2406 648.25Definitions.As used in this chapter, the term: 2407 (1)Appointment means the authority given by an insurer 2408 or the managing general agent of an insurer through the 2409 department to a licensee to transact insurance or adjust claims 2410 on behalf of the insurer or managing general agent. 2411 (2)(1)Bail bond agency means: 2412 (a)The building where a licensee maintains an office and 2413 where all records required by ss. 648.34 and 648.36 are 2414 maintained; or 2415 (b)An entity that: 2416 1.Charges a fee or premium to release an accused defendant 2417 or detainee from jail; or 2418 2.Engages in or employs others to engage in any activity 2419 that may be performed only by a licensed and appointed bail bond 2420 agent. 2421 (3)(2)Bail bond agent means a limited surety agent or a 2422 professional bail bond agent as hereafter defined. 2423 (7)(3)Managing general agent means any individual, 2424 partnership, association, or corporation appointed or employed 2425 by an insurer to supervise or manage the bail bond business 2426 written in this state by limited surety agents appointed by the 2427 insurer. 2428 (5)(4)Insurer means any domestic, foreign, or alien 2429 surety company which has been authorized to transact surety 2430 business in this state. 2431 (6)(5)Limited surety agent means any individual 2432 appointed by an insurer by power of attorney to execute or 2433 countersign bail bonds in connection with judicial proceedings 2434 who receives or is promised money or other things of value 2435 therefor. 2436 (4)(6)Primary Bail bond agent in charge means a licensed 2437 bail bond agent who is responsible for the overall operation and 2438 management of a bail bond agency location and whose 2439 responsibilities include hiring and supervising all individuals 2440 within that location. A bail bond agent may be designated as the 2441 primary bail bond agent in charge for only one bail bond agency 2442 location. 2443 (8)(7)Professional bail bond agent means any person who 2444 pledges United States currency, United States postal money 2445 orders, or cashiers checks as security for a bail bond in 2446 connection with a judicial proceeding and receives or is 2447 promised therefor money or other things of value. 2448 (9)(8)Temporary bail bond agent means a person licensed 2449 before January 1, 2024, who is employed by a bail bond agent or 2450 agency, insurer, or managing general agent, and such licensee 2451 has the same authority as a licensed bail bond agent, including 2452 presenting defendants in court; apprehending, arresting, and 2453 surrendering defendants to the proper authorities, while 2454 accompanied by a supervising bail bond agent or an agent from 2455 the same agency; and keeping defendants under necessary 2456 surveillance. However, a temporary licensee may not execute or 2457 sign bonds, handle collateral receipts, or deliver bonds to 2458 appropriate authorities. A temporary licensee may not operate an 2459 agency or branch agency separate from the location of the 2460 supervising bail bond agent, managing general agent, or insurer 2461 by whom the licensee is employed. This does not affect the right 2462 of a bail bond agent or insurer to hire counsel or to obtain the 2463 assistance of law enforcement officers. A temporary bail bond 2464 agent license expires 18 months after issuance and is no longer 2465 valid on or after June 30, 2025. 2466 Section 52.Subsection (3) of section 648.26, Florida 2467 Statutes, is amended to read: 2468 648.26Department of Financial Services; administration. 2469 (3)The papers, documents, reports, or any other 2470 investigatory records of the department are confidential and 2471 exempt from the provisions of s. 119.07(1) until such 2472 investigation is completed or ceases to be active. For the 2473 purpose of this section, an investigation is considered active 2474 active while the investigation is being conducted by the 2475 department with a reasonable, good faith belief that it may lead 2476 to the filing of administrative, civil, or criminal proceedings. 2477 An investigation does not cease to be active if the department 2478 is proceeding with reasonable dispatch and there is good faith 2479 belief that action may be initiated by the department or other 2480 administrative or law enforcement agency. This subsection does 2481 not prevent the department or office from disclosing the content 2482 of a complaint or such information as it deems necessary to 2483 conduct the investigation, to update the complainant as to the 2484 status and outcome of the complaint, or to share such 2485 information with any law enforcement agency or other regulatory 2486 body. 2487 Section 53.Subsection (5) of section 648.27, Florida 2488 Statutes, is amended to read: 2489 648.27Licenses and appointments; general. 2490 (5)(a)The license of a bail bond agent shall continue in 2491 force, without further examination unless deemed necessary by 2492 the department, until suspended, revoked, or otherwise 2493 terminated. 2494 (b)The license of a temporary bail bond agent shall 2495 continue in force until suspended, revoked, or otherwise 2496 terminated. 2497 Section 54.Section 648.285, Florida Statutes, is amended 2498 to read: 2499 648.285Bond agency; ownership requirements; applications 2500 for bail bond agency licenses. 2501 (1)A person may not own, control, manage, or otherwise 2502 have a pecuniary interest in a bail bond agency unless such 2503 individual is a licensed pursuant to s. 648.27, and appointed 2504 through the department, and actively engaged as a bail bond 2505 agent for at least the preceding 24 months. Any agency that is 2506 not in compliance with this subsection is shall be subject to 2507 the issuance of an immediate final order of suspension of its 2508 license and all operations until the agency achieves compliance. 2509 (2)Effective January 1, 2024, the department may issue a 2510 bail bond agency license to any person only after such person 2511 files a written application with the department and qualifies 2512 for such license. 2513 (3)An application for a bail bond agency license must be 2514 signed by an individual required to be listed in the application 2515 under paragraph (a). A bail bond agency license may permit a 2516 third party to complete, submit, and sign an application on the 2517 bail bond agencys behalf; however, the bail bond agency is 2518 responsible for ensuring that the information on the application 2519 is true and correct, and the bail bond agency is accountable for 2520 any misstatements or misrepresentations. The application for a 2521 bail bond agency license must include: 2522 (a)The name and license number of each owner, partner, 2523 officer, director, president, senior vice president, secretary, 2524 treasurer, and limited liability company member who directs or 2525 participates in the management or control of the bail bond 2526 agency, whether through ownership of voting securities, by 2527 contract, by ownership of any agency bank account, or otherwise. 2528 (b)The residence address of each person required to be 2529 listed in the application under paragraph (a). 2530 (c)The name, principal business street address, and valid 2531 e-mail address of the bail bond agency and the name, address, 2532 and e-mail address of the agencys registered agent or person or 2533 company authorized to accept service on behalf of the bail bond 2534 agency. 2535 (d)The physical address of each branch bail bond agency, 2536 including its name, e-mail address, and telephone number, and 2537 the date that the branch location began transacting bail bond 2538 business. 2539 (e)The name of the full-time bail bond agent in charge of 2540 the agency office, including branch locations, and his or her 2541 corresponding location. 2542 (f)Such additional information as the department requires 2543 by rule to ascertain the trustworthiness and competence of 2544 persons required to be listed on the application and to 2545 ascertain that such persons meet the requirements of this code. 2546 However, the department may not require that credit or character 2547 reports be submitted for persons required to be listed on the 2548 application. 2549 (4)The department must issue a license to each agency upon 2550 approval of the application, and each agency location must 2551 display the license prominently in a manner that makes it 2552 clearly visible to any customer or potential customer who enters 2553 the agency location. 2554 (5)A bail bond agency that holds a current and valid 2555 registration number with the department shall have its 2556 registration automatically converted to a license on July 1, 2557 2024. 2558 (6)Section 112.011 does not apply to bail bond agencies or 2559 to applicants for licensure as owners of bail bond agencies. 2560 (7)(2)If the owner of a bail bond agency dies or becomes 2561 mentally incapacitated, a personal representative or legal 2562 guardian may be issued a temporary permit to manage the affairs 2563 of the bail bond agency. Such person must appoint or maintain 2564 the appointment of a primary bail bond agent in charge, as 2565 provided in s. 648.387, and may not engage in any activities as 2566 a licensed bail bond agent but must comply with s. 648.387 2567 during the administration of the estate or guardianship. A 2568 temporary permit is valid for a maximum of 24 months. 2569 (8)(3)Application for a temporary permit must be made by 2570 the personal representative or legal guardian upon statements 2571 and affidavits filed with the department on forms prescribed and 2572 furnished by it. The applicant must meet the qualifications for 2573 licensure as a bail bond agent, except for the residency, 2574 examination, education, and experience requirements. 2575 Section 55.Subsection (1) of section 648.30, Florida 2576 Statutes, is amended to read: 2577 648.30Licensure and appointment required; prohibited acts; 2578 penalties. 2579 (1)(a)A person or entity may not act in the capacity of a 2580 bail bond agent or temporary bail bond agency agent or perform 2581 any of the functions, duties, or powers prescribed for bail bond 2582 agents or temporary bail bond agencies agents under this chapter 2583 unless that person or entity is qualified, licensed, and 2584 appointed as provided in this chapter and employed by a bail 2585 bond agency. 2586 (b)A bail bond agent may not sell a bail bond issued by an 2587 insurer for which the agent and the agents bail bond agency do 2588 not hold a current appointment. 2589 (c)Except as otherwise provided in this part, a person or 2590 entity, other than a bail bond agency or an employee of a bail 2591 bond agency, may not perform any of the functions of a bail bond 2592 agency without a bail bond agency license. 2593 Section 56.Section 648.31, Florida Statutes, is amended to 2594 read: 2595 648.31Appointment taxes and fees.The department shall 2596 collect in advance all appointment taxes and fees for the 2597 issuance of any appointment to a bail bond agent or temporary 2598 bail bond agent, as provided in s. 624.501. There is no fee for 2599 the issuance of any appointment to a bail bond agency. 2600 Section 57.Subsection (2) of section 648.34, Florida 2601 Statutes, is amended to read: 2602 648.34Bail bond agents; qualifications. 2603 (2)To qualify as a bail bond agent, it must affirmatively 2604 appear at the time of application and throughout the period of 2605 licensure that the applicant has complied with the provisions of 2606 s. 648.355 and has obtained a temporary license pursuant to such 2607 section and: 2608 (a)The applicant Is a natural person who has reached the 2609 age of 18 years and holds a high school diploma or its 2610 equivalent. 2611 (b)The applicant Is a United States citizen or legal alien 2612 who possesses work authorization from the United States Bureau 2613 of Citizenship and Immigration Services and is a resident of 2614 this state. An individual who is a resident of this state shall 2615 be deemed to meet the residence requirement of this paragraph, 2616 notwithstanding the existence, at the time of application for 2617 license, of a license in the applicants name on the records of 2618 another state as a resident licensee of such other state, if the 2619 applicant furnishes a letter of clearance satisfactory to the 2620 department that his or her resident licenses have been canceled 2621 or changed to a nonresident basis and that he or she is in good 2622 standing. 2623 (c)Will maintain his or her The place of business of the 2624 applicant will be located in this state and in the county where 2625 the applicant will maintain his or her records and be actively 2626 engaged in the bail bond business and work with a licensed 2627 maintain an agency accessible to the public which is open for 2628 reasonable business hours. 2629 (d)The applicant Is vouched for and recommended upon sworn 2630 statements filed with the department by at least three reputable 2631 citizens who are residents of the same counties in which the 2632 applicant proposes to engage in the bail bond business. 2633 (e)The applicant Is a person of high character and 2634 approved integrity and has not been convicted of or pleaded 2635 guilty or no contest to a felony, a crime involving moral 2636 turpitude, or a crime punishable by imprisonment of 1 year or 2637 more under the law of any state, territory, or country, whether 2638 or not a judgment or conviction has been entered. 2639 (f)Within 2 years immediately before applying for the 2640 license, has successfully completed a basic certification course 2641 in the criminal justice system which consists of at least 120 2642 hours of classroom instruction with a passing grade of 80 2643 percent or higher and has successfully completed a 2644 correspondence course for bail bond agents approved by the 2645 department. 2646 (g)(f)The applicant Has passed any required examination. 2647 Section 58.Section 648.355, Florida Statutes, is amended 2648 to read: 2649 648.355Temporary limited license as Limited surety agents 2650 and agent or professional bail bond agents agent; qualifications 2651 pending examination. 2652 (1)The department may, in its discretion, issue a 2653 temporary license as a limited surety agent or professional bail 2654 bond agent, subject to the following conditions: 2655 (a)The applicant is a natural person at least 18 years of 2656 age and holds a high school diploma or its equivalent. 2657 (b)The applicant is a United States citizen or legal alien 2658 who possesses work authorization from the United States Bureau 2659 of Citizenship and Immigration Services and is a resident of 2660 this state. An individual who is a resident of this state shall 2661 be deemed to meet the residence requirement of this paragraph, 2662 notwithstanding the existence, at the time of application for 2663 temporary license, of a license in the individuals name on the 2664 records of another state as a resident licensee of such other 2665 state, if the applicant furnishes a letter of clearance 2666 satisfactory to the department that the individuals resident 2667 licenses have been canceled or changed to a nonresident basis 2668 and that the individual is in good standing. 2669 (c)The applicant is a person of high character and 2670 approved integrity and has never been convicted of or pleaded 2671 guilty or no contest to a felony, a crime involving moral 2672 turpitude, or a crime punishable by imprisonment of 1 year or 2673 more under the law of any state, territory, or country, whether 2674 or not a judgment or conviction is entered. 2675 (d)Within 4 years prior to the date of application for a 2676 temporary license, the applicant has successfully completed a 2677 basic certification course in the criminal justice system, 2678 consisting of not less than 120 hours of classroom instruction 2679 with a passing grade of 80 percent or higher and has 2680 successfully completed a correspondence course for bail bond 2681 agents approved by the department. 2682 (e)The applicant must be employed full time at the time of 2683 licensure, and at all times throughout the existence of the 2684 temporary license, by only one licensed and appointed 2685 supervising bail bond agent, who supervises the work of the 2686 applicant and is responsible for the licensees conduct in the 2687 bail bond business. The applicant must be appointed by the same 2688 insurers as the supervising bail bond agent. The supervising 2689 bail bond agent shall certify monthly to the department under 2690 oath, on a form prescribed by the department, the names and 2691 hours worked each week of all temporary bail bond agents. Filing 2692 a false certification is grounds for the immediate suspension of 2693 the license and imposition of a $5,000 administrative fine. The 2694 department may adopt rules that establish standards for the 2695 employment requirements. 2696 (f)The application must be accompanied by an affidavit 2697 verifying proposed employment and a report as to the applicants 2698 integrity and moral character on a form prescribed by the 2699 department and executed by the proposed employer. 2700 (g)The applicant must file with the department statements 2701 by at least three reputable citizens who are residents of the 2702 same counties in which the applicant proposes to engage as a 2703 temporary licensee. 2704 (h)The applicants employer is responsible for the bail 2705 bonding acts of any licensee under this section. 2706 (2)All applicable license fees, as prescribed in s. 2707 624.501, must be paid before issuance of the temporary license. 2708 (3)The temporary license shall be effective for 18 months, 2709 subject to earlier termination at the request of the employer or 2710 if suspended or revoked by the department. 2711 (4)The applicant shall furnish, with the application for 2712 temporary license, a complete set of the applicants 2713 fingerprints in accordance with s. 626.171(4) and a recent 2714 credential-sized, fullface photograph of the applicant. The 2715 department may shall not issue a temporary license under this 2716 section until the department has received a report from the 2717 Department of Law Enforcement and the Federal Bureau of 2718 Investigation relative to the existence or nonexistence of a 2719 criminal history report based on the applicants fingerprints. 2720 (2)(5)The department may collect a fee necessary to cover 2721 the cost of a character and credit report made by an established 2722 and reputable independent reporting service. The fee shall be 2723 deposited to the credit of the Insurance Regulatory Trust Fund. 2724 (3)(6)Effective July 1, 2023, any individual licensed by 2725 the department as a temporary bail bond agent may take the 2726 required bail bond agents licensure examination, may file an 2727 application for a bail bond agents license if otherwise 2728 qualified for licensure, and may take the required bail bond 2729 agents licensure examination After licensure as a temporary 2730 licensee for at least 12 months, such licensee may file an 2731 application for and become eligible for a regular bail bond 2732 agents license based on the licensees experience in the bail 2733 bond business and education pursuant to paragraph (1)(d) and, if 2734 otherwise qualified, take the required bail bond agents 2735 licensure examination. The applicant and supervising bail bond 2736 agent must each file an affidavit under oath, on a form 2737 prescribed by the department, verifying the required employment 2738 of the temporary agent before issuance of the license. 2739 (7)In no event shall a temporary licensee licensed under 2740 this section perform any of the functions for which a bail bond 2741 agents license is required after expiration of the temporary 2742 license without having passed the written examination as for a 2743 regular bail bond agents license. 2744 (8)(a)A temporary licensee has the same authority as a 2745 licensed bail bond agent, including presenting defendants in 2746 court; apprehending, arresting, and surrendering defendants to 2747 the proper authorities; and keeping defendants under necessary 2748 surveillance. However, a temporary licensee must be accompanied 2749 by a supervising bail bond agent or an agent from the same 2750 agency when apprehending, arresting, or surrendering defendants 2751 to authorities. 2752 (b)A temporary licensee may not execute or sign bonds, 2753 handle collateral receipts, deliver bonds to appropriate 2754 authorities, or operate an agency or branch agency separate from 2755 the location of the supervising bail bond agent, managing 2756 general agent, or insurer by whom the licensee is employed. 2757 (4)(9)Effective July 1, 2023, the department may not issue 2758 a temporary bail bond agents license. An individual currently 2759 licensed as a temporary bail bond agent may continue to be 2760 licensed in accordance with this chapter. A temporary bail bond 2761 agents license may not be reinstated if the license expires or 2762 is terminated, suspended, or revoked The department shall not 2763 issue a temporary bail bond agents license to any individual 2764 who has held such a temporary license in this state within 2 2765 years after the expiration of such temporary bail bond agents 2766 license. 2767 Section 59.Subsections (1) through (4) of section 648.382, 2768 Florida Statutes, are amended to read: 2769 648.382Appointment of bail bond agents and bail bond 2770 agencies temporary bail bond agents; effective date of 2771 appointment. 2772 (1)(a)Each insurer or appointing a bail bond agent and 2773 each insurer, managing general agent, or bail bond agent 2774 appointing a temporary bail bond agent or bail bond agency in 2775 this state must file the appointment with the department and, at 2776 the same time, pay the applicable appointment fees and taxes. A 2777 person appointed under this section must hold a valid bail bond 2778 agents or temporary bail bond agencys agents license. There 2779 is no fee for the issuance of any appointment of a bail bond 2780 agency. 2781 (b)Effective July 1, 2025, each insurer or managing 2782 general agent appointing a bail bond agency in this state must 2783 file the appointment with the department. An entity appointed 2784 under this section must hold a valid bail bond agencys license. 2785 (2)Before Prior to any appointment, an appropriate officer 2786 or official of the appointing insurer in the case of a bail bond 2787 agent or an insurer, managing general agent, or bail bond agent 2788 in the case of a temporary bail bond agent must submit: 2789 (a)A certified statement or affidavit to the department 2790 stating what investigation has been made concerning the proposed 2791 appointee and the proposed appointees background and the 2792 appointing persons opinion to the best of his or her knowledge 2793 and belief as to the moral character and reputation of the 2794 proposed appointee. In lieu of such certified statement or 2795 affidavit, by authorizing the effectuation of an appointment for 2796 a licensee, the appointing entity certifies to the department 2797 that such investigation has been made and that the results of 2798 the investigation and the appointing persons opinion is that 2799 the proposed appointee is a person of good moral character and 2800 reputation and is fit to engage in the bail bond business; 2801 (b)An affidavit under oath on a form prescribed by the 2802 department, signed by the proposed appointee, stating that 2803 premiums are not owed to any insurer and that the appointee will 2804 discharge all outstanding forfeitures and judgments on bonds 2805 previously written. If the appointee does not satisfy or 2806 discharge such forfeitures or judgments, the former insurer 2807 shall file a notice, with supporting documents, with the 2808 appointing insurer, the former agent or agency, and the 2809 department, stating under oath that the licensee has failed to 2810 timely satisfy forfeitures and judgments on bonds written and 2811 that the insurer has satisfied the forfeiture or judgment from 2812 its own funds. Upon receipt of such notification and supporting 2813 documents, the appointing insurer shall immediately cancel the 2814 licensees appointment. The licensee may be reappointed only 2815 upon certification by the former insurer that all forfeitures 2816 and judgments on bonds written by the licensee have been 2817 discharged. The appointing insurer or former agent or agency 2818 may, within 10 days, file a petition with the department seeking 2819 relief from this paragraph. Filing of the petition stays the 2820 duty of the appointing insurer to cancel the appointment until 2821 the department grants or denies the petition; and 2822 (c)Any other information that the department reasonably 2823 requires concerning the proposed appointee; and 2824 (d)Effective January 1, 2025, a certification that the 2825 appointing entity obtained from each appointee the following 2826 sworn statement: 2827 2828 Pursuant to section 648.382(2)(b), Florida Statutes, I 2829 do solemnly swear that I owe no premium to any insurer 2830 or agency and that I will discharge all outstanding 2831 forfeitures and judgments on bonds that have been 2832 previously written. I acknowledge that failure to do 2833 this will result in my active appointments being 2834 canceled. 2835 2836 An appointed bail bond agency must have the attestation under 2837 this paragraph signed by its owner. 2838 (3)By authorizing the effectuation of an appointment for a 2839 licensee, the appointing insurer certifies to the department 2840 that the insurer will be bound by the acts of the bail bond 2841 agent or bail bond agency acting within the scope of the agents 2842 or agencys his or her appointment, and, in the case of a 2843 temporary bail bond agent, the appointing insurer, managing 2844 general agent, or bail bond agent, as the case may be, must 2845 certify to the department that he or she will supervise the 2846 temporary bail bond agents activities. 2847 (4)Each appointing insurer or, managing general agent, or 2848 bail bond agent must advise the department in writing within 5 2849 days after receiving notice or learning that an appointee has 2850 been arrested for, pled guilty or nolo contendere to, or been 2851 found guilty of, a felony or other offense punishable by 2852 imprisonment of 1 year or more under the law of any 2853 jurisdiction, whether judgment was entered or withheld by the 2854 court. 2855 Section 60.Present subsections (1) through (4) of section 2856 648.386, Florida Statutes, are redesignated as subsections (2) 2857 through (5), respectively, a new subsection (1) is added to that 2858 section, and present subsection (2) of that section is amended, 2859 to read: 2860 648.386Qualifications for prelicensing and continuing 2861 education schools and instructors. 2862 (1)DEFINITION OF CLASSROOM INSTRUCTION.As used in this 2863 section, the term classroom instruction means a course 2864 designed to be presented to a group of students by a live 2865 instructor using lecture, video, webcast, or virtual or other 2866 audio-video presentation. 2867 (3)(2)SCHOOLS AND CURRICULUM FOR CONTINUING EDUCATION 2868 SCHOOLS.In order to be considered for approval and 2869 certification as an approved limited surety agent and 2870 professional bail bond agent continuing education school, such 2871 entity must: 2872 (a)Provide a minimum of three classroom-instruction 2873 continuing education classes per calendar year. 2874 (b)Submit a course curriculum to the department for 2875 approval. 2876 (c)Offer continuing education classes that comprise which 2877 are comprised of a minimum of 2 hours of approved classroom 2878 instruction coursework and are taught by an approved supervising 2879 instructor or guest lecturer approved by the entity or the 2880 supervising instructor. 2881 Section 61.Section 648.387, Florida Statutes, is amended 2882 to read: 2883 648.387Primary Bail bond agent in charge agents; duties. 2884 (1)The owner or operator of a bail bond agency shall 2885 designate a primary bail bond agent in charge for each location, 2886 and shall file with the department the name and license number 2887 of the person and the address of the location on a form approved 2888 by the department. The designation of the primary bail bond 2889 agent in charge may be changed if the department is notified 2890 immediately. Failure to notify the department within 10 working 2891 days after such change is grounds for disciplinary action 2892 pursuant to s. 648.45. 2893 (2)The primary bail bond agent in charge is responsible 2894 for the overall operation and management of a bail bond agency 2895 location, whose responsibilities may include, without 2896 limitations, hiring and supervising of all individuals within 2897 the location, whether they deal with the public in the 2898 solicitation or negotiation of bail bond contracts or in the 2899 collection or accounting of moneys. A person may be designated 2900 as the primary bail bond agent in charge for only one agency and 2901 location. 2902 (3)The department may suspend or revoke the license of the 2903 owner, bail bond agent in charge operator, and primary bail bond 2904 agency agent if the a bail bond agency employs, contracts with, 2905 or uses the services of a person who has had a license denied or 2906 whose license is currently suspended or revoked. However, a 2907 person who has been denied a license for failure to pass a 2908 required examination may be employed to perform clerical or 2909 administrative functions for which licensure is not required. 2910 (4)An owner, a bail bond agent in charge operator, or a 2911 bail bond agency primary agent may not employ, contract with, or 2912 use the services of any person in a bail bond agency who has 2913 been charged with, found guilty of, or pled guilty or nolo 2914 contendere to a felony or a crime punishable by imprisonment of 2915 1 year or more under the law of any jurisdiction, without regard 2916 to whether judgment was entered or withheld by the court. 2917 (5)A bail bond agency location may not conduct surety 2918 business unless a primary bail bond agent in charge is 2919 designated by, and provides services to, the bail bond agency at 2920 all times. If the bail bond agent in charge designated with the 2921 department ends his or her affiliation with the bail bond agency 2922 for any reason, and the bail bond agency fails to designate 2923 another bail bond agent in charge within the 10-day period under 2924 subsection (1) and such failure continues for 90 days, the bail 2925 bond agency license automatically expires on the 91st day after 2926 the date the designated bail bond agent in charge ended his or 2927 her affiliation with the agency The failure to designate a 2928 primary agent on a form prescribed by the department, within 10 2929 working days after an agencys inception or a change of primary 2930 agent, is a violation of this chapter, punishable as provided in 2931 s. 648.45. 2932 Section 62.Section 648.3875, Florida Statutes, is created 2933 to read: 2934 648.3875Bail bond agent in charge; qualifications. 2935 (1)An application for designation as a bail bond agent in 2936 charge must be submitted on forms prescribed by the department. 2937 The application must include the applicants full name and the 2938 applicants license number issued pursuant to s. 648.27. 2939 (2)To qualify as a bail bond agent in charge, it must 2940 affirmatively appear that, at the time of application and 2941 throughout the period of licensure, the applicant has complied 2942 with s. 648.285 and that the applicant has been licensed as a 2943 bail bond agent for the 24 months immediately preceding the 2944 appointment as the bail bond agent in charge. 2945 Section 63.Section 648.39, Florida Statutes, is amended to 2946 read: 2947 648.39Termination of appointment of managing general 2948 agents, bail bond agents, and temporary bail bond agencies 2949 agents. 2950 (1)An insurer that who terminates the appointment of a 2951 managing general agent, bail bond agent, or temporary bail bond 2952 agency agent shall, within 10 days after such termination, file 2953 written notice thereof with the department together with a 2954 statement that it has given or mailed notice to the terminated 2955 agent or agency. Such notice filed with the department must 2956 state the reasons, if any, for such termination. Information so 2957 furnished to the department is confidential and exempt from the 2958 provisions of s. 119.07(1). 2959 (2)Each insurer shall, within 5 days after terminating the 2960 appointment of any managing general agent, bail bond agent, or 2961 temporary bail bond agency agent, give written notice thereof to 2962 each clerk of the circuit court and sheriff with whom such 2963 person is registered. 2964 (3)An insurer that terminates the appointment of a 2965 managing general agent or, bail bond agent, or temporary bail 2966 bond agent may authorize such person to continue to attempt the 2967 arrest and surrender of a defendant for whom a surety bond had 2968 been written by the bail bond agent before prior to termination 2969 and to seek discharge of forfeitures and judgments as provided 2970 in chapter 903. 2971 Section 64.Section 648.41, Florida Statutes, is repealed. 2972 Section 65.Section 648.42, Florida Statutes, is amended to 2973 read: 2974 648.42Registration of bail bond agents.A bail bond agent 2975 may not become a surety on an undertaking unless he or she has 2976 registered in the office of the sheriff and with the clerk of 2977 the circuit court in the county in which the bail bond agent 2978 resides. The bail bond agent may register in a like manner in 2979 any other county, and any bail bond agent shall file a certified 2980 copy of his or her appointment by power of attorney from each 2981 insurer which he or she represents as a bail bond agent with 2982 each of such officers. Registration and filing of a certified 2983 copy of renewed power of attorney shall be performed by April 1 2984 of each odd-numbered year. The clerk of the circuit court and 2985 the sheriff may shall not permit the registration of a bail bond 2986 agent unless such bail bond agent is currently licensed by the 2987 department and appointed by an insurer the department. Nothing 2988 in this section shall prevent the registration of a temporary 2989 licensee at the jail for the purposes of enabling the licensee 2990 to perform the duties under such license as set forth in this 2991 chapter. 2992 Section 66.Subsections (1) and (2) and paragraphs (c) and 2993 (d) of subsection (8) of section 648.44, Florida Statutes, are 2994 amended to read: 2995 648.44Prohibitions; penalty. 2996 (1)A bail bond agent or temporary bail bond agency agent 2997 may not: 2998 (a)Suggest or advise the employment of, or name for 2999 employment, any particular attorney or attorneys to represent 3000 his or her principal. 3001 (b)Directly or indirectly solicit business in or on the 3002 property or grounds of a jail, prison, or other place where 3003 prisoners are confined or in or on the property or grounds of 3004 any court. The term solicitation includes the distribution of 3005 business cards, print advertising, or other written or oral 3006 information directed to prisoners or potential indemnitors, 3007 unless a request is initiated by the prisoner or a potential 3008 indemnitor. Permissible print advertising in the jail is 3009 strictly limited to a listing in a telephone directory and the 3010 posting of the bail bond agents or agencys name, address, e 3011 mail address, web address, and telephone number in a designated 3012 location within the jail. 3013 (c)Initiate in-person or telephone solicitation after 9:00 3014 p.m. or before 8:00 a.m., in the case of domestic violence 3015 cases, at the residence of the detainee or the detainees 3016 family. Any solicitation not prohibited by this chapter must 3017 comply with the telephone solicitation requirements in ss. 3018 501.059(2) and (4), 501.613, and 501.616(6). 3019 (d)Wear or display any identification other than the 3020 department issued or approved license or approved department 3021 identification, which includes a citation of the licensees 3022 arrest powers, in or on the property or grounds of a jail, 3023 prison, or other place where prisoners are confined or in or on 3024 the property or grounds of any court. 3025 (e)Pay a fee or rebate or give or promise anything of 3026 value to a jailer, police officer, peace officer, or committing 3027 trial court judge or any other person who has power to arrest or 3028 to hold in custody or to any public official or public employee 3029 in order to secure a settlement, compromise, remission, or 3030 reduction of the amount of any bail bond or estreatment thereof. 3031 (f)Pay a fee or rebate or give anything of value to an 3032 attorney in a bail bond matter, except in defense of any action 3033 on a bond. 3034 (g)Pay a fee or rebate or give or promise anything of 3035 value to the principal or anyone in his or her behalf. 3036 (h)Participate in the capacity of an attorney at a trial 3037 or hearing of one on whose bond he or she is surety. 3038 (i)Loiter in or about a jail, courthouse, or where 3039 prisoners are confined. 3040 (j)Accept anything of value from a principal for providing 3041 a bail bond except the premium and transfer fee authorized by 3042 the office, except that the bail bond agent or bail bond agency 3043 may accept collateral security or other indemnity from the 3044 principal or another person in accordance with the provisions of 3045 s. 648.442, together with documentary stamp taxes, if 3046 applicable. No fees, expenses, or charges of any kind shall be 3047 permitted to be deducted from the collateral held or any return 3048 premium due, except as authorized by this chapter or rule of the 3049 department or commission. A bail bond agent or bail bond agency 3050 may, upon written agreement with another party, receive a fee or 3051 compensation for returning to custody an individual who has fled 3052 the jurisdiction of the court or caused the forfeiture of a 3053 bond. 3054 (k)Write more than one power of attorney per charge on a 3055 bond, except in the case of a cosurety, unless the power of 3056 attorney prohibits a cosurety. 3057 (l)Execute a bond in this state on his or her own behalf. 3058 (m)Execute a bond in this state if a judgment has been 3059 entered on a bond executed by the bail bond agent or the bail 3060 bond agency is a named party on the judgment, which has remained 3061 unpaid for 35 days, unless the full amount of the judgment is 3062 deposited with the clerk in accordance with s. 903.27(5). 3063 (n)Make a statement or representation to a court, unless 3064 such statement or representation is under oath. Such statement 3065 or representation may not be false, misleading, or deceptive. 3066 (o)Attempt to collect, through threat or coercion, amounts 3067 due for the payment of any indebtedness related to the issuance 3068 of a bail bond in violation of s. 559.72. 3069 (p)Conduct bail bond business with any person, other than 3070 the defendant, on the grounds of the jail or courthouse for the 3071 purpose of executing a bond. 3072 (2)The following persons or classes may shall not be bail 3073 bond agents, temporary bail bond agents, or employees of a bail 3074 bond agent or a bail bond agency business and may shall not 3075 directly or indirectly receive any benefits from the execution 3076 of any bail bond: 3077 (a)Jailers or persons employed in any jail. 3078 (b)Police officers or employees of any police department 3079 or law enforcement agency. 3080 (c)Committing trial court judges, employees of a court, or 3081 employees of the clerk of any court. 3082 (d)Sheriffs and deputy sheriffs or employees of any 3083 sheriffs department. 3084 (e)Attorneys. 3085 (f)Persons having the power to arrest or persons who have 3086 authority over or control of federal, state, county, or 3087 municipal prisoners. 3088 (8) 3089 (c)Any law enforcement agency, state attorneys office, 3090 court clerk, or insurer that is aware that a bail bond agent or 3091 temporary bail bond agent has been convicted of or who has 3092 pleaded guilty or no contest to a crime as described in 3093 paragraph (a) shall notify the department of this fact. 3094 (d)Upon the filing of an information or indictment against 3095 a bail bond agent or temporary bail bond agent, the state 3096 attorney or clerk of the circuit court shall immediately furnish 3097 the department a certified copy of the information or 3098 indictment. 3099 Section 67.Subsection (1) of section 648.441, Florida 3100 Statutes, is amended to read: 3101 648.441Furnishing supplies to unlicensed bail bond agent 3102 prohibited; civil liability and penalty. 3103 (1)An insurer, managing general agent, bail bond agent, or 3104 temporary bail bond agency agent appointed under this chapter 3105 may not furnish to any person any blank forms, applications, 3106 stationery, business card, or other supplies to be used in 3107 soliciting, negotiating, or effecting bail bonds until such 3108 person has received from the department a license to act as a 3109 bail bond agent and is appointed by the insurer. This section 3110 does not prohibit an unlicensed employee, under the direct 3111 supervision and control of a licensed and appointed bail bond 3112 agent, from possessing or executing in the bail bond agency, any 3113 forms, except for powers of attorney, bond forms, and collateral 3114 receipts, while acting within the scope of his or her 3115 employment. 3116 Section 68.Subsection (3) of section 648.46, Florida 3117 Statutes, is amended to read: 3118 648.46Procedure for disciplinary action against 3119 licensees. 3120 (3)The complaint and all information obtained pursuant to 3121 the investigation of the department are confidential and exempt 3122 from the provisions of s. 119.07(1) until such investigation is 3123 completed or ceases to be active. For the purpose of this 3124 section, an investigation is considered active while the 3125 investigation is being conducted by the department with a 3126 reasonable, good faith belief that it may lead to the filing of 3127 administrative, civil, or criminal proceedings. An investigation 3128 does not cease to be active if the department is proceeding with 3129 reasonable dispatch and there is good faith belief that action 3130 may be initiated by the department or other administrative or 3131 law enforcement agency. This subsection does not prevent the 3132 department or office from disclosing the complaint or such 3133 information as it deems necessary to conduct the investigation, 3134 to update the complainant as to the status and outcome of the 3135 complaint, or to share such information with any law enforcement 3136 agency or other regulatory body. 3137 Section 69.Section 648.50, Florida Statutes, is amended to 3138 read: 3139 648.50Effect of suspension, revocation upon associated 3140 licenses and licensees. 3141 (1)Upon the suspension, revocation, or refusal to renew or 3142 continue any license or appointment or the eligibility to hold a 3143 license or appointment of a bail bond agent or temporary bail 3144 bond agency agent, the department shall at the same time 3145 likewise suspend or revoke all other licenses or appointments 3146 and the eligibility to hold any other such licenses or 3147 appointments which may be held by the licensee under the Florida 3148 Insurance Code. 3149 (2)In case of the suspension or revocation of the license 3150 or appointment, or the eligibility to hold a license or 3151 appointment, of any bail bond agent, the license, appointment, 3152 or eligibility of any and all bail bond agents who are members 3153 of a bail bond agency, whether incorporated or unincorporated, 3154 and any and all temporary bail bond agents employed by such bail 3155 bond agency, who knowingly are parties to the act which formed 3156 the ground for the suspension or revocation may likewise be 3157 suspended or revoked. 3158 (3)A No person whose license as a bail bond agent or 3159 temporary bail bond agent has been revoked or suspended may not 3160 shall be employed by any bail bond agent, have any ownership 3161 interest in any business involving bail bonds, or have any 3162 financial interest of any type in any bail bond business during 3163 the period of revocation or suspension. 3164 Section 70.Subsections (4) and (6) of section 717.135, 3165 Florida Statutes, are amended to read: 3166 717.135Recovery agreements and purchase agreements for 3167 claims filed by a claimants representative; fees and costs. 3168 (4)A claimants representative must use the Unclaimed 3169 Property Recovery Agreement or the Unclaimed Property Purchase 3170 Agreement as the exclusive means of entering into an agreement 3171 or a contract engaging with a claimant or seller to file a claim 3172 with the department. 3173 (6)A claimants representative may not use or distribute 3174 any other agreement of any type, conveyed by any method, form, 3175 or other media with respect to the claimant or seller which 3176 relates, directly or indirectly, to unclaimed property accounts 3177 held by the department or the Chief Financial Officer other than 3178 the agreements authorized by this section. Any engagement, 3179 authorization, recovery, or fee agreement that is not authorized 3180 by this section is void. A claimants representative is subject 3181 to administrative and civil enforcement under s. 717.1322 if he 3182 or she uses an agreement that is not authorized by this section. 3183 This subsection does not prohibit lawful nonagreement, 3184 noncontractual, or advertising communications between or among 3185 the parties. 3186 Section 71.Paragraph (a) of subsection (4) of section 3187 843.021, Florida Statutes, is amended to read: 3188 843.021Unlawful possession of a concealed handcuff key. 3189 (4)(a)It is a defense to a charge of violating this 3190 section that the person in custody and in possession of a 3191 concealed handcuff key is: 3192 1.A federal, state, or local law enforcement officer, 3193 including a reserve or auxiliary officer, a licensed security 3194 officer, or a private investigator as defined in s. 493.6101; or 3195 2.A professional bail bond agent, temporary bail bond 3196 agent, runner, or limited surety agent as defined in s. 648.25. 3197 Section 72.Subsection (4) of section 631.152, Florida 3198 Statutes, is amended to read: 3199 631.152Conduct of delinquency proceeding; foreign 3200 insurers. 3201 (4)Section 631.141(10)(b) 631.141(9)(b) applies to 3202 ancillary delinquency proceedings opened for the purpose of 3203 obtaining records necessary to adjudicate the covered claims of 3204 Florida policyholders. 3205 Section 73.Paragraph (b) of subsection (3) of section 3206 631.398, Florida Statutes, is amended to read: 3207 631.398Prevention of insolvencies.To aid in the detection 3208 and prevention of insurer insolvencies or impairments: 3209 (3) 3210 (b)For an insolvency involving a domestic property 3211 insurer, the department shall: 3212 1.Begin an analysis of the history and causes of the 3213 insolvency once the department is appointed by the court as 3214 receiver. 3215 2.Submit an initial report analyzing the history and 3216 causes of the insolvency to the Governor, the President of the 3217 Senate, the Speaker of the House of Representatives, and the 3218 office. The initial report must be submitted no later than 4 3219 months after the department is appointed as receiver. The 3220 initial report shall be updated at least annually until the 3221 submission of the final report. The report may not be used as 3222 evidence in any proceeding brought by the department or others 3223 to recover assets on behalf of the receivership estate as part 3224 of its duties under s. 631.141(9) s. 631.141(8). The submission 3225 of a report under this subparagraph shall not be considered a 3226 waiver of any evidentiary privilege the department may assert 3227 under state or federal law. 3228 3.Provide a special report to the Governor, the President 3229 of the Senate, the Speaker of the House of Representatives, and 3230 the office, within 10 days upon identifying any condition or 3231 practice that may lead to insolvency in the property insurance 3232 marketplace. 3233 4.Submit a final report analyzing the history and causes 3234 of the insolvency and the review of the Office of Insurance 3235 Regulations regulatory oversight of the insurer to the 3236 Governor, the President of the Senate, the Speaker of the House 3237 of Representatives, and the office within 30 days of the 3238 conclusion of the insolvency proceeding. 3239 5.Review the Office of Insurance Regulations regulatory 3240 oversight of the insurer. 3241 Section 74.Subsection (2) of section 903.09, Florida 3242 Statutes, is amended to read: 3243 903.09Justification of sureties. 3244 (2)A bond agent, as defined in s. 648.25 s. 648.25(2), 3245 shall justify her or his suretyship by attaching a copy of the 3246 power of attorney issued by the company to the bond or by 3247 attaching to the bond United States currency, a United States 3248 postal money order, or a cashiers check in the amount of the 3249 bond; but the United States currency, United States postal money 3250 order, or cashiers check cannot be used to secure more than one 3251 bond. Nothing herein shall prohibit two or more qualified 3252 sureties from each posting any portion of a bond amount, and 3253 being liable for only that amount, so long as the total posted 3254 by all cosureties is equal to the amount of bond required. 3255 Section 75.(1)The following rules are ratified for the 3256 sole and exclusive purpose of satisfying any condition on the 3257 effectiveness imposed under s. 120.541(3), Florida Statutes: 3258 Rule 69L-7.020, Florida Administrative Code, titled Florida 3259 Workers Compensation Health Care Provider Reimbursement Manual 3260 as filed for adoption with the Department of State pursuant to 3261 the certification package dated October 22, 2021; Rule 69L 3262 7.730, Florida Administrative Code, titled Health Care Provider 3263 Medical Billing and Reporting Responsibilities as filed for 3264 adoption with the Department of State pursuant to the 3265 certification package dated April 6, 2023; and Rule 7.740, 3266 Florida Administrative Code, titled Insurer Authorization and 3267 Medical Bill Review Responsibilities as filed for adoption with 3268 the Department of State pursuant to the certification package 3269 dated April 6, 2023. 3270 (2)This section serves no other purpose and may not be 3271 codified in the Florida Statutes. After this section becomes 3272 law, its enactment and effective dates shall be noted in the 3273 Florida Administrative Code, the Florida Administrative 3274 Register, or both, as appropriate. This section does not alter 3275 rulemaking additions delegated by prior law, does not constitute 3276 legislative preemption of or exception to any provision of law 3277 governing adoption or enforcement of the rule cited, and is 3278 intended to preserve the status of any cited rule as a rule 3279 under chapter 120, Florida Statutes. This section does not cure 3280 any rulemaking defect or preempt any challenge based on a lack 3281 of authority or a violation of the legal requirements governing 3282 the adoption of any rule cited. 3283 (3)This section takes effect July 1, 2023. 3284 Section 76.Except as otherwise expressly provided in this 3285 act, this act shall take effect upon becoming a law.