This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives.
STORAGE NAME: h0991a.IBS
DATE: 1/25/2024
HOUSE OF REPRESENTATIVES STAFF ANALYSIS
BILL #: HB 991 Pub. Rec./Cellular Telephone Numbers and Secure Login Credentials Held by the
Department of Financial Services
SPONSOR(S): LaMarca
TIED BILLS: HB 989 IDEN./SIM. BILLS:
REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF
1) Insurance & Banking Subcommittee 16 Y, 0 N Herrera Lloyd
2) Ethics, Elections & Open Government
Subcommittee
3) Commerce Committee
SUMMARY ANALYSIS
The Department of Financial Services (DFS) has broad duties, including licensure and regulation of insurance
agents, agencies, and adjusters; insurance consumer assistance and protection; and holding and attempting to
return unclaimed property to its rightful owner. DFS has a number of regulatory responsibilities over the Florida
insurance market. DFS regulates insurance adjusters, which includes public adjusters, independent adjusters,
and company employee adjusters.
The bill creates a public record exemption within s. 626.171, F.S., pertaining to cellular telephone numbers and
secure login credentials associated with insurance agents, customer representatives, adjusters, service
representatives, and reinsurance intermediaries, all of which are held by the DFS. The bill establishes
telephone numbers collected by the DFS are exempt from disclosure under s. 119.07(1) and s. 24(a), Art. I of
the State Constitution. This exemption encompasses cellular telephone numbers held by the DFS, irrespective
of whether they were acquired before or after the effective date of the act.
The bill exemption related to secure login credentials maintained by the DFS for the purpose of electronic filing
or record review covers information used for authenticating a user's login across various electronic platforms,
are shielded from disclosure under the same legal provisions.
The exemptions are subject to the Open Government Sunset Review Act, and will be repealed on October 2,
2029, unless reviewed and saved from repeal through reenactment by the Legislature. It also provides a
statement of public necessity as required by the Florida Constitution.
The bill provides for repeal of the exemption on October 2, 2029, unless reviewed and saved from repeal by
the Legislature. It also provides a public necessity statement as required by the Florida Constitution.
Article I, s. 24(c) of the Florida Constitution requires a two-thirds vote of the members present and
voting for final passage of a newly created public record or public meeting exemption. The bill creates
a public record exemption; thus, it requires a two-thirds vote for final passage.
STORAGE NAME: h0991a.IBS PAGE: 2
DATE: 1/25/2024
FULL ANALYSIS
I. SUBSTANTIVE ANALYSIS
A. EFFECT OF PROPOSED CHANGES:
Public Records
The Florida Constitution sets forth the state’s public policy regarding access to government records,
guaranteeing every person a right to inspect or copy any public record of the legislative, executive, and
judicial branches of government.
1
The Legislature, however, may provide by general law for exemption
2
from public record requirements provided the exemption passes by two-thirds vote of each chamber,
states with specificity the public necessity justifying the exemption, and is no broader than necessary to
meet its public purpose.
3
The Florida Statutes also address the public policy regarding access to government records,
guaranteeing every person a right to inspect and copy any state, county, or municipal record, unless
the record is exempt.
4
Furthermore, the Open Government Sunset Review Act
5
provides that a public
record exemption may be created, revised, or maintained only if it serves an identifiable public purpose
and the “Legislature finds that the purpose is sufficiently compelling to override the strong public policy
of open government and cannot be accomplished without the exemption.”
6
An identifiable public
purpose is served if the exemption meets one of the following purposes:
Allow the state or its political subdivisions to effectively and efficiently administer a
governmental program, which administration would be significantly impaired without the
exemption;
Protect sensitive personal information that, if released, would be defamatory or would
jeopardize an individual’s safety; however, only the identity of an individual may be exempted
under this provision; or
Protect trade or business secrets.
7
Pursuant to the Open Government Sunset Review Act, a new public record exemption or substantial
amendment of an existing public record exemption is repealed on October 2
nd
of the fifth year following
enactment, unless the Legislature reenacts the exemption.
8
Organization of the Department of Financial Services
The Chief Financial Officer (CFO) is an elected member of the Cabinet, serves as the state’s chief
fiscal officer,
9
and is designated as the State Fire Marshal. The CFO is the head of the DFS. Effective
January 2003, the Department of Insurance, Treasury, State Fire Marshal, and the Department of
Banking and Finance merged to form DFS. DFS consists of 13 divisions and several specialized
offices.
10
DFS is composed of the following divisions and independent office:
Accounting and Auditing;
Consumer Services;
Funeral, Cemetery, and Consumer Services;
Insurance Agent and Agency Services;
1
Art. I, s. 24(a), FLA. CONST.
2
A public record exemption means a provision of general law which provides that a specified record, or portion thereof, is not subject to
the access requirements of s. 119.07(1), F.S., or s. 24, Art. I of the State Constitution. See s. 119.011(8), F.S.
3
Art. I, s. 24(c), FLA. CONST.
4
See s. 119.01, F.S.
5
Section 119.15, F.S.
6
Section 119.15(6)(b), F.S.
7
Id.
8
Section 119.15(3), F.S.
9
Art. IV, s. 4, Fla. Const.
10
S. 20.121, F.S. STORAGE NAME: h0991a.IBS PAGE: 3
DATE: 1/25/2024
Investigative and Forensic Services;
11
Public Assistance Fraud;
Rehabilitation and Liquidation;
Risk Management;
State Fire Marshal;
Treasury;
Unclaimed Property;
Workers’ Compensation;
Administration; and the
Office of Insurance Consumer Advocate.
Division of Insurance Agent and Agency Services
DFS has broad duties, including licensure and regulation of insurance agents, agencies, and adjusters;
insurance consumer assistance and protection; and holding and attempting to return unclaimed
property to its rightful owner.
12
DFS has a number of regulatory responsibilities over the Florida
insurance market. DFS regulates insurance adjusters, which includes public adjusters, independent
adjusters, and company employee adjusters and conducts insurance-related consumer outreach
through its Consumer Services. The Division of Workers’ Compensation within DFS administers the
workers’ compensation system through enforcement of coverage requirements,
13
administration of
workers’ compensation health care delivery system,
14
data collection,
15
and assisting injured workers,
employers, insurers, and providers in fulfilling their responsibilities.
16
DFS also administers the
rehabilitation and liquidation of insolvent insurers.
No person may be, act as, or advertise, or hold himself/herself out to be an insurance agent, insurance
adjuster, or customer representative unless he or she is currently licensed by DFS and appointed by an
appropriate appointing entity or person.
17
There are several types of insurance representatives. These
include:
General lines agents,
Life insurance agents,
Health insurance agents,
Title insurance agents,
Personal lines agents, and
Unaffiliated insurance agents.
18
General Lines Agent
A general lines agent
19
is one who sells the following lines of insurance: property;
20
casualty,
21
including
commercial liability insurance underwritten by a risk retention group, a commercial self-insurance
fund,
22
or a workers’ compensation self-insurance fund;
23
surety;
24
health;
25
and, marine.
26
The general
lines agent may only transact health insurance for an insurer that the general lines agent also
11
This division includes the Bureau of Forensic Services; Bureau of Fire, Arson, and Explosives Investigations; Office of Fiscal Integrity;
Bureau of Insurance Fraud; and Bureau of Workers’ Compensation Fraud.
12
See, e.g., Florida Department of Financial Services, What is the Purpose of the Department, https://oppaga.fl.gov/ (last visited Apr. 2,
2023).
13
S. 440.107(3), F.S.
14
S. 440.13, F.S.
15
Ss. 440.185 and 440.593, F.S.
16
S. 440.191, F.S.
17
S. 626.112, F.S.
18
S. 626.015, F.S.
19
S. 626.015(5), F.S.
20
S. 624.604, F.S.
21
S. 624.605, F.S.
22
As defined in s. 624.462, F.S.
23
Pursuant to s. 624.4621, F.S.
24
S. 626.606, F.S.
25
Ss. 624.603 and 627.6482, F.S.
26
S. 624.607, F.S. STORAGE NAME: h0991a.IBS PAGE: 4
DATE: 1/25/2024
represents for property and casualty insurance. If the general lines agent wishes to represent health
insurers that are not also property and casualty insurers, they must be licensed as a health insurance
agent.
27
Title Agents and Agencies
Title insurance insures owners of real property (owner’s policy) or others having an interest in real
property, as well as lenders (mortgagee policies) against loss by encumbrance, defective title,
invalidity, or adverse claim to title. It is a policy issued by a title insurer that, after evaluating a search of
title, insures against a number of covered risks, including title defects or liens that are not identified as
exceptions. In Florida, title insurers operate on a monoline basis, meaning that the insurer can only
transact title insurance and cannot transact any other type of insurance.
28
Public Adjusters
A public adjuster, excluding duly licensed attorneys, is any individual who, for compensation or any
other valuable consideration, directly or indirectly prepares, completes, or submits an insurance claim
for an insured or third-party claimant.
29
Additionally, it includes those who, for compensation, act on
behalf of or assist an insured or third-party claimant in negotiating or settling a covered insurance
claim.
30
This term also encompasses individuals advertising as adjusters for such claims, as well as
those who, for compensation, solicit, investigate, or adjust these claims on behalf of the public
adjuster, an insured, or a third-party claimant.
31
Effect of the Bill
The bill creates a public record exemption within s. 626.171, F.S., pertaining to cellular telephone
numbers and secure login credentials associated with insurance agents, customer representatives,
adjusters, service representatives, and reinsurance intermediaries, all of which are held by the DFS.
The bill establishes telephone numbers collected by the DFS are exempt from disclosure under s.
119.07(1) and s. 24(a), Art. I of the State Constitution. This exemption encompasses cellular telephone
numbers held by the DFS, irrespective of whether they were acquired before or after the effective date
of the act.
The bill exemption related to secure login credentials maintained by the DFS for the purpose of
electronic filing or record review covers information used for authenticating a user's login across various
electronic platforms, are shielded from disclosure under the same legal provisions.
The exemptions are subject to the Open Government Sunset Review Act, and will be repealed on
October 2, 2029, unless reviewed and saved from repeal through reenactment by the Legislature. It
also provides a statement of public necessity as required by the Florida Constitution.
B. SECTION DIRECTORY:
Section 1. Amends s. 626.171, F.S., relating to application for license as an agent, customer
representative, adjuster, service representative, or reinsurance intermediary.
Section 2. Provides a statement of public necessity.
Section 3. Contains undirected section of law.
Section 4. Provides an effective date of becoming law when HB 989 takes effect
27
S. 626.829, F.S.
28
S. 627.786, F.S.
29
S. 626.854(1), F.S.
30
Id.
31
Id. STORAGE NAME: h0991a.IBS PAGE: 5
DATE: 1/25/2024
II. FISCAL ANALYSIS & ECONOMIC IMPACT STAT EMENT
A. FISCAL IMPACT ON STATE GOVERNMENT:
1. Revenues:
None.
2. Expenditures:
None.
B. FISCAL IMPACT ON LOCAL GOVERNMENTS:
1. Revenues:
None.
2. Expenditures:
None.
C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:
None.
D. FISCAL COMMENTS:
None.
III. COMMENTS
A. CONSTITUTIONAL ISSUES:
1. Applicability of Municipality/County Mandates Provision:
Not Applicable. This bill does not appear to affect county or municipal governments.
2. Other:
Vote Requirement
Article I, s. 24(c) of the Florida Constitution requires a two-thirds vote of the members present and
voting for final passage of a newly created or expanded public record exemption. The bill creates a
public record exemption; thus, it requires a two-thirds vote for final passage.
Public Necessity Statement
Article I, s. 24(c) of the Florida Constitution requires a public necessity statement for a newly created
or expanded public record exemption. The bill creates a public record exemption; therefore, it
includes a public necessity statement.
Breadth of Exemption
Article I, s. 24(c) of the Florida Constitution requires a newly created public record or public meeting
exemption to be no broader than necessary to accomplish the stated purpose of the law. This bill
creates a public record exemption for cellular telephone numbers and secure login credentials held
by the DFS associated with insurance agents, customer representatives, adjusters, service
representatives, and reinsurance intermediaries. The purpose of the exemption is to protect sensitive
personal information linked to individuals in these roles, that the DFS receives for the purpose of
electronic filing or record review. As such, the bill appears to be no broader than necessary to
accomplish its purpose.
B. RULE-MAKING AUTHORITY: STORAGE NAME: h0991a.IBS PAGE: 6
DATE: 1/25/2024
The bill does not confer rulemaking authority nor require the promulgation of rules.
C. DRAFTING ISSUES OR OTHER COMMENTS:
None.
IV. AMENDMENTS/COMMITTEE SUBSTITUTE CHANGES