HB 625 2024
CODING: Words stricken are deletions; words underlined are additions.
hb0625-00
Page 1 of 8
F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
A bill to be entitled 1
An act relating to property insurance coverage; 2
amending s. 627.351, F.S.; removing provisions 3
relating to ineligibility of commercial lines 4
residential condominiums for wind -only coverage by 5
Citizens Property Insurance Corporation under certain 6
circumstances; amending s. 627.7011, F.S.; requiring 7
authorized inspectors to use a specified inspection 8
form for roof inspections; authorizing such in spectors 9
to provide appendices to the inspection forms for a 10
specified purpose; amending s. 627.714, F.S.; 11
increasing property loss assessment coverages under 12
condominium unit owners' residential property 13
policies; providing an effective date. 14
15
Be It Enacted by the Legislature of the State of Florida: 16
17
Section 1. Paragraph (a) of subsection (6) of section 18
627.351, Florida Statutes, is amended to read: 19
627.351 Insurance risk apportionment plans. — 20
(6) CITIZENS PROPERTY INSURANCE CORPORATION. — 21
(a) The public purpose of this subsection is to ensure 22
that there is an orderly market for property insurance for 23
residents and businesses of this state. 24
1. The Legislature finds that private insurers are 25
HB 625 2024
CODING: Words stricken are deletions; words underlined are additions.
hb0625-00
Page 2 of 8
F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
unwilling or unable to provide affordable property insurance 26
coverage in this state to the extent sought and needed. The 27
absence of affordable property insurance threatens the public 28
health, safety, and welfare and likewise threatens the economic 29
health of the state. The state therefore has a compelling pu blic 30
interest and a public purpose to assist in assuring that 31
property in the state is insured and that it is insured at 32
affordable rates so as to facilitate the remediation, 33
reconstruction, and replacement of damaged or destroyed property 34
in order to reduce or avoid the negative effects otherwise 35
resulting to the public health, safety, and welfare, to the 36
economy of the state, and to the revenues of the state and local 37
governments which are needed to provide for the public welfare. 38
It is necessary, therefo re, to provide affordable property 39
insurance to applicants who are in good faith entitled to 40
procure insurance through the voluntary market but are unable to 41
do so. The Legislature intends, therefore, that affordable 42
property insurance be provided and that it continue to be 43
provided, as long as necessary, through Citizens Property 44
Insurance Corporation, a government entity that is an integral 45
part of the state, and that is not a private insurance company. 46
To that end, the corporation shall strive to increas e the 47
availability of affordable property insurance in this state, 48
while achieving efficiencies and economies, and while providing 49
service to policyholders, applicants, and agents which is no 50
HB 625 2024
CODING: Words stricken are deletions; words underlined are additions.
hb0625-00
Page 3 of 8
F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
less than the quality generally provided in the voluntary 51
market, for the achievement of the foregoing public purposes. 52
Because it is essential for this government entity to have the 53
maximum financial resources to pay claims following a 54
catastrophic hurricane, it is the intent of the Legislature that 55
the corporation continue to be an integral part of the state and 56
that the income of the corporation be exempt from federal income 57
taxation and that interest on the debt obligations issued by the 58
corporation be exempt from federal income taxation. 59
2. The Residential Proper ty and Casualty Joint 60
Underwriting Association originally created by this statute 61
shall be known as the Citizens Property Insurance Corporation. 62
The corporation shall provide insurance for residential and 63
commercial property, for applicants who are entitle d, but, in 64
good faith, are unable to procure insurance through the 65
voluntary market. The corporation shall operate pursuant to a 66
plan of operation approved by order of the Financial Services 67
Commission. The plan is subject to continuous review by the 68
commission. The commission may, by order, withdraw approval of 69
all or part of a plan if the commission determines that 70
conditions have changed since approval was granted and that the 71
purposes of the plan require changes in the plan. For the 72
purposes of this sub section, residential coverage includes both 73
personal lines residential coverage, which consists of the type 74
of coverage provided by homeowner, mobile home owner, dwelling, 75
HB 625 2024
CODING: Words stricken are deletions; words underlined are additions.
hb0625-00
Page 4 of 8
F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
tenant, condominium unit owner, and similar policies; and 76
commercial lines residenti al coverage, which consists of the 77
type of coverage provided by condominium association, apartment 78
building, and similar policies. 79
3. With respect to coverage for personal lines residential 80
structures: 81
a. Effective January 1, 2014, a structure that has a 82
dwelling replacement cost of $1 million or more, or a single 83
condominium unit that has a combined dwelling and contents 84
replacement cost of $1 million or more, is not eligible for 85
coverage by the corporation. Such dwellings insured by the 86
corporation on December 31, 2013, may continue to be covered by 87
the corporation until the end of the policy term. The office 88
shall approve the method used by the corporation for valuing the 89
dwelling replacement cost for the purposes of this subparagraph. 90
If a policyholder is insured by the corporation before being 91
determined to be ineligible pursuant to this subparagraph and 92
such policyholder files a lawsuit challenging the determination, 93
the policyholder may remain insured by the corporation until the 94
conclusion of the litigation. 95
b. Effective January 1, 2015, a structure that has a 96
dwelling replacement cost of $900,000 or more, or a single 97
condominium unit that has a combined dwelling and contents 98
replacement cost of $900,000 or more, is not eligible for 99
coverage by the corporation. Such dwellings insured by the 100
HB 625 2024
CODING: Words stricken are deletions; words underlined are additions.
hb0625-00
Page 5 of 8
F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
corporation on December 31, 2014, may continue to be covered by 101
the corporation only until the end of the policy term. 102
c. Effective January 1, 2016, a structure that has a 103
dwelling replacement cost of $800,00 0 or more, or a single 104
condominium unit that has a combined dwelling and contents 105
replacement cost of $800,000 or more, is not eligible for 106
coverage by the corporation. Such dwellings insured by the 107
corporation on December 31, 2015, may continue to be cove red by 108
the corporation until the end of the policy term. 109
d. Effective January 1, 2017, a structure that has a 110
dwelling replacement cost of $700,000 or more, or a single 111
condominium unit that has a combined dwelling and contents 112
replacement cost of $700,0 00 or more, is not eligible for 113
coverage by the corporation. Such dwellings insured by the 114
corporation on December 31, 2016, may continue to be covered by 115
the corporation until the end of the policy term. 116
117
The requirements of sub -subparagraphs b.-d. do not apply in 118
counties where the office determines there is not a reasonable 119
degree of competition. In such counties a personal lines 120
residential structure that has a dwelling replacement cost of 121
less than $1 million, or a single condominium unit that has a 122
combined dwelling and contents replacement cost of less than $1 123
million, is eligible for coverage by the corporation. 124
4. It is the intent of the Legislature that policyholders, 125
HB 625 2024
CODING: Words stricken are deletions; words underlined are additions.
hb0625-00
Page 6 of 8
F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
applicants, and agents of the corporation receive service and 126
treatment of the highest possible level but never less than that 127
generally provided in the voluntary market. It is also intended 128
that the corporation be held to service standards no less than 129
those applied to insurers in th e voluntary market by the office 130
with respect to responsiveness, timeliness, customer courtesy, 131
and overall dealings with policyholders, applicants, or agents 132
of the corporation. 133
5.a. Effective January 1, 2009, a personal lines 134
residential structure that is located in the "wind -borne debris 135
region," as defined in s. 1609.2, International Building Code 136
(2006), and that has an insured value on the structure of 137
$750,000 or more is not eligible for coverage by the corporation 138
unless the structure has opening protections as required under 139
the Florida Building Code for a newly constructed residential 140
structure in that area. A residential structure is deemed to 141
comply with this sub -subparagraph if it has shutters or opening 142
protections on all openings and if such opening protections 143
complied with the Florida Building Code at the time they were 144
installed. 145
b. Any major structure, as defined in s. 161.54(6)(a), 146
that is newly constructed, or rebuilt, repaired, restored, or 147
remodeled to increase the total square foot age of finished area 148
by more than 25 percent, pursuant to a permit applied for after 149
July 1, 2015, is not eligible for coverage by the corporation if 150
HB 625 2024
CODING: Words stricken are deletions; words underlined are additions.
hb0625-00
Page 7 of 8
F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
the structure is seaward of the coastal construction control 151
line established pursuant to s. 161.053 or is within the Coastal 152
Barrier Resources System as designated by 16 U.S.C. ss. 3501 -153
3510. 154
6. With respect to wind -only coverage for commercial lines 155
residential condominiums, effective July 1, 2014, a condominium 156
shall be deemed ineligible for coverage if 5 0 percent or more of 157
the units are rented more than eight times in a calendar year 158
for a rental agreement period of less than 30 days. 159
Section 2. Paragraph (c) of subsection (5) of section 160
627.7011, Florida Statutes, is amended to read: 161
627.7011 Homeowners' policies; offer of replacement cost 162
coverage and law and ordinance coverage. — 163
(5) 164
(c) For a roof that is at least 15 years old, an insurer 165
must allow a homeowner to have a roof inspection performed by an 166
authorized inspector at the homeowner's e xpense before requiring 167
the replacement of the roof of a residential structure as a 168
condition of issuing or renewing a homeowner's insurance policy. 169
The insurer may not refuse to issue or refuse to renew a 170
homeowner's insurance policy solely because of roo f age if an 171
inspection of the roof of the residential structure performed by 172
an authorized inspector indicates that the roof has 5 years or 173
more of useful life remaining. An authorized inspector must use 174
the Commercial Roof Condition Inspection Form (CL -RCF-1 07 17). 175
HB 625 2024
CODING: Words stricken are deletions; words underlined are additions.
hb0625-00
Page 8 of 8
F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
An authorized inspector may provide an appendix to this form 176
which includes pictures or other documentation to demonstrate 177
the remaining useful life of the roof. 178
Section 3. Subsection (1) of section 627.714, Florida 179
Statutes, is amended to read: 180
627.714 Residential condominium unit owner coverage; loss 181
assessment coverage required. — 182
(1) For policies issued or renewed on or after July 1, 183
2024 2010, coverage under a unit owner's residential property 184
policy must include at least $5,000 $2,000 in property loss 185
assessment coverage for all assessments made as a result of the 186
same direct loss to the property, regardless of the number of 187
assessments, owned by all members of the association 188
collectively if such loss is of the type of loss covered by the 189
unit owner's residential property insurance policy, to which a 190
deductible of no more than $250 per direct property loss 191
applies. If a deductible was or will be applied to other 192
property loss sustained by the unit owner resulting from the 193
same direct loss to the property, no deductible applies to the 194
loss assessment coverage. 195
Section 4. This act shall take effect July 1, 2024. 196