HB 1555 2025
CODING: Words stricken are deletions; words underlined are additions.
hb1555-00
Page 1 of 12
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 insurers' liabilities and 2
responsibilities; amending s. 626.926, F.S.; requiring 3
surplus lines insurers to comply with valued policy 4
law under certain circumstances; creating s. 627.4263, 5
F.S.; defining the term "qualified human 6
professional"; requiring insurers' decisions to deny 7
claims to be reviewed, approved, and signed off by 8
qualified human professionals; prohibiting artificial 9
intelligence, machine learning algorithms, and 10
automated systems from serving as the basis for 11
denying claims; requiring insurers to maintain certain 12
records of the human review process for denied claims; 13
requiring insurers to include certain information in 14
denial communications to claimants; providing 15
reporting requirements; authorizing the Office of 16
Insurance Regulation to audit claim denials; amending 17
s. 627.702, F.S.; defining the term "insurer" to 18
include surplus lines insurers for the purpose of 19
valued policy law; amending ss. 627.7011 and 627.7142, 20
F.S.; conforming cross -references; providing an 21
effective date. 22
23
Be It Enacted by the Legislature of the State of Florida: 24
25
HB 1555 2025
CODING: Words stricken are deletions; words underlined are additions.
hb1555-00
Page 2 of 12
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
Section 1. Subsection (2) of section 626.926, Florida 26
Statutes, is renumbered as subs ection (3), and a new subsection 27
(2) is added to that section, to read: 28
626.926 Liability of insurer as to losses and unearned 29
premiums; valued policy law.— 30
(2) Each unauthorized insurer assuming a surplus lines 31
direct risk under this Surplus Lines Law and issuing property or 32
casualty insurance coverage shall comply with the valued policy 33
law, as applicable, under s. 627.702. 34
Section 2. Section 627.4263, Florida Statutes, is created 35
to read: 36
627.4263 Mandatory human reviews of claim denials. — 37
(1) As used in this section, the term "qualified human 38
professional" includes, but is not limited to, a supervisor, a 39
claims manager, or a licensed claims adjuster having authority 40
over a claim. 41
(2)(a) An insurer's decision to deny a claim must be 42
reviewed, approved, and signed off by a qualified human 43
professional. 44
(b) Artificial intelligence, a machine learning algorithm, 45
or an automated system must not serve as the basis for 46
determining whether to deny a claim. 47
(3) An insurer shall maintain detailed records of the 48
human review process described in paragraph (2)(a) for all 49
denied claims, including: 50
HB 1555 2025
CODING: Words stricken are deletions; words underlined are additions.
hb1555-00
Page 3 of 12
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) The name and title of the qualified human professional 51
who reviewed the denial decision . 52
(b) The date and time of the review by the qualified human 53
professional. 54
(c) Documentation of the basis for the denial, including 55
any supplemental information provided by automated tools. 56
(4) In each denial communication to a claimant, an insurer 57
shall: 58
(a) Clearly identify the qualified human professional who 59
reviewed the denial decision. 60
(b) Include a statement affirming that artificial 61
intelligence, a machine learning algorithm, or an automated 62
system did not serve as the basis for determining whether to 63
deny the claim. 64
(5) An insurer shall submit per iodic compliance reports to 65
the office detailing the steps taken to comply with this 66
section. 67
(6) The office may audit claim denials to verify 68
compliance with this section. 69
Section 3. Section 627.702, Florida Statutes, is amended 70
to read: 71
627.702 Valued policy law.— 72
(1) Beginning July 1, 2025, as used in this section, the 73
term "insurer" includes an unauthorized insurer assuming a 74
surplus lines direct risk under the Surplus Lines Law, ss. 75
HB 1555 2025
CODING: Words stricken are deletions; words underlined are additions.
hb1555-00
Page 4 of 12
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
626.913-626.937, and issuing property or casualty insurance 76
coverage. 77
(2)(a)(1)(a) In the event of the total loss of any 78
building, structure, mobile home as defined in s. 320.01(2), or 79
manufactured building as defined in s. 553.36(13), located in 80
this state and insured by any insurer as to a covered peril, in 81
the absence of any change increasing the risk without the 82
insurer's consent and in the absence of fraudulent or criminal 83
fault on the part of the insured or one acting in her or his 84
behalf, the insurer's liability under the policy for such total 85
loss, if caused by a covered peril, shall be in the amount of 86
money for which such property was so insured as specified in the 87
policy and for which a premium has been charged and paid. 88
(b) The intent of this subsection is not to deprive an 89
insurer of any proper defen se under the policy, to create new or 90
additional coverage under the policy, or to require an insurer 91
to pay for a loss caused by a peril other than the covered 92
peril. In furtherance of such legislative intent, when a loss 93
was caused in part by a covered pe ril and in part by a 94
noncovered peril, paragraph (a) does not apply. In such 95
circumstances, the insurer's liability under this section shall 96
be limited to the amount of the loss caused by the covered 97
peril. However, if the covered perils alone would have c aused 98
the total loss, paragraph (a) shall apply. The insurer is never 99
liable for more than the amount necessary to repair, rebuild, or 100
HB 1555 2025
CODING: Words stricken are deletions; words underlined are additions.
hb1555-00
Page 5 of 12
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
replace the structure following the total loss, after 101
considering all other benefits actually paid for the total loss. 102
(c) It is the intent of the Legislature that the amendment 103
to this section shall not be applied retroactively and shall 104
apply only to claims filed after the effective date of such 105
amendment. 106
(3)(2) In the case of a partial loss by fire or lightning 107
of any such property, the insurer's liability, if any, under the 108
policy shall be for the actual amount of such loss but may shall 109
not exceed the amount of insurance specified in the policy as to 110
such property and such peril. 111
(4)(3) The provisions of Subsections (2) and (3) (1) and 112
(2) do not apply when: 113
(a) Insurance policies are issued or renewed by more than 114
one company insuring the same building, structure, mobile home, 115
or manufactured building, and the existence of such additional 116
insurance is not disclo sed by the insured to all insurers 117
issuing such policies; 118
(b) Two or more buildings, structures, mobile homes, or 119
manufactured buildings are insured under a blanket form for a 120
single amount of insurance; or 121
(c) The completed value of a building, struct ure, mobile 122
home, or manufactured building is insured under a builder's risk 123
policy. 124
(5)(4) The amount of any loss referred to in subsection 125
HB 1555 2025
CODING: Words stricken are deletions; words underlined are additions.
hb1555-00
Page 6 of 12
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
(1) or subsection (2) or subsection (3) is shall be subject to 126
any coinsurance clause contained in the policy pursuant to s. 127
627.701. 128
(6)(5) This section does not apply as to personal property 129
or any interest therein, except with respect to mobile homes as 130
defined in s. 320.01(2) or manufactured building s as defined in 131
s. 553.36(13). Nor does this section apply to coverage of an 132
appurtenant structure or other structure or any coverage or 133
claim in which the dollar amount of coverage available as to the 134
structure involved is not directly stated in the polic y as a 135
dollar amount specifically applicable to that particular 136
structure. 137
(7)(6) With regard to mobile homes included in subsection 138
(2) (1), any total loss shall be adjusted on the basis of the 139
amount of money for which such property was insured as spec ified 140
in the policy, whether on an actual cash value basis, 141
replacement cost basis, or stated amount, and for which a 142
premium has been charged and paid only if the insured has 143
elected to purchase such coverage at the inception of the 144
policy. However, when coverage is written for a mobile home on 145
any basis other than stated value, a complete disclosure of the 146
relative cost between that policy and the stated value policy 147
shall be made to the insured on a form and in a format approved 148
by the office. Such forms shall disclose and describe the 149
differences between the types of policies and shall be signed by 150
HB 1555 2025
CODING: Words stricken are deletions; words underlined are additions.
hb1555-00
Page 7 of 12
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 insured. Copies shall be maintained in the insurer's file, 151
and a copy shall be made available to the insured. Each insurer 152
licensed to write insurance cov ering mobile homes shall make 153
such stated value coverage available at the option of the 154
insured. 155
(8)(7) This section does not prohibit Nothing herein shall 156
be construed as prohibiting an insurer from repairing or 157
replacing damaged property at its own exp ense and without 158
contribution on the part of the insured except, as provided in 159
subsection (7) (6), when an insured has elected to purchase 160
stated value coverage. Such repair or replacement of damaged 161
property shall be in lieu of any liability created by s ubsection 162
(2) (1); and any insurer so repairing or replacing shall have no 163
liability pursuant to subsection (2) (1), provided such insurer 164
returns to the named insured a portion of the premium, for all 165
policy terms during which the policy limits were the s ame as 166
those in effect on the date on which the loss occurred, equal to 167
that portion of the premium paid for limits of insurance on the 168
structure in excess of the cost of replacement. 169
(9)(8) Any property insurer may, by an appropriate rider 170
or endorsement or otherwise, provide insurance indemnifying the 171
insured for the difference between the insurable value of the 172
insured property at the time any loss or damage occurs, and the 173
amount actually expended to repair, rebuild, or replace within 174
this state, with new materials of like size, kind, and quality, 175
HB 1555 2025
CODING: Words stricken are deletions; words underlined are additions.
hb1555-00
Page 8 of 12
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
such property as has been damaged or destroyed. 176
Section 4. Paragraph (e) of subsection (6) of section 177
627.7011, Florida Statutes, is amended to read: 178
627.7011 Homeowners' policies; offer of replacement cost 179
coverage and law and ordinance coverage. — 180
(6) This section does not: 181
(e) Prohibit an insurer from exercising its right to 182
repair damaged property in compliance with its policy and s. 183
627.702(8) s. 627.702(7). 184
Section 5. Section 627.7142, Flori da Statutes, is amended 185
to read: 186
627.7142 Homeowner Claims Bill of Rights. —An insurer 187
issuing a personal lines residential property insurance policy 188
in this state must provide a Homeowner Claims Bill of Rights to 189
a policyholder within 14 days after recei ving an initial 190
communication with respect to a claim. The purpose of the bill 191
of rights is to summarize, in simple, nontechnical terms, 192
existing Florida law regarding the rights of a personal lines 193
residential property insurance policyholder who files a c laim of 194
loss. The Homeowner Claims Bill of Rights is specific to the 195
claims process and does not represent all of a policyholder's 196
rights under Florida law regarding the insurance policy. The 197
Homeowner Claims Bill of Rights does not create a civil cause of 198
action by any individual policyholder or class of policyholders 199
against an insurer or insurers. The failure of an insurer to 200
HB 1555 2025
CODING: Words stricken are deletions; words underlined are additions.
hb1555-00
Page 9 of 12
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
properly deliver the Homeowner Claims Bill of Rights is subject 201
to administrative enforcement by the office but is not 202
admissible as evidence in a civil action against an insurer. The 203
Homeowner Claims Bill of Rights does not enlarge, modify, or 204
contravene statutory requirements, including, but not limited 205
to, ss. 626.854, 626.9541, 627.70131, 627.7015, and 627.7074, 206
and does not prohibit an insurer from exercising its right to 207
repair damaged property in compliance with the terms of an 208
applicable policy or ss. 627.7011(6)(e) and 627.702(8) 209
627.702(7). The Homeowner Claims Bill of Rights must state: 210
HOMEOWNER CLAIMS 211
BILL OF RIGHTS 212
This Bill of Rights is specific to the claims process and does 213
not represent all of your rights under Florida law regarding 214
your policy. There are also exceptions to the stated timelines 215
when conditions are beyond your insurance company's control. 216
This document does not create a civil cause of action by an 217
individual policyholder, or a class of policyholders, against an 218
insurer or insurers and does not prohibit an insurer from 219
exercising its right to repair damaged property in compliance 220
with the terms of an app licable policy. 221
YOU HAVE THE RIGHT TO: 222
1. Receive from your insurance company an acknowledgment 223
of your reported claim within 7 days after the time you 224
communicated the claim. 225
HB 1555 2025
CODING: Words stricken are deletions; words underlined are additions.
hb1555-00
Page 10 of 12
F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
2. Upon written request, receive from your insurance 226
company within 30 days after you have submitted a complete 227
proof-of-loss statement to your insurance company, 228
confirmation that your claim is covered in full, partially 229
covered, or denied, or receive a written statement that 230
your claim is being investigated. 231
3. Receive from your insurance company a copy of any 232
detailed estimate of the amount of the loss within 7 days 233
after the estimate is generated by the insurance company's 234
adjuster. 235
4. Within 60 days, subject to any dual interest noted in 236
the policy, receive full settlement payment for your claim 237
or payment of the undisputed portion of your claim, or your 238
insurance company's denial of your claim. 239
5. Receive payment of interest, as provided in s. 240
627.70131, Florida Statutes, from your insurance company, 241
which begins accruin g from the date your claim is filed if 242
your insurance company does not pay full settlement of your 243
initial, reopened, or supplemental claim or the undisputed 244
portion of your claim or does not deny your claim within 60 245
days after your claim is filed. The in terest, if 246
applicable, must be paid when your claim or the undisputed 247
portion of your claim is paid. 248
6. Free mediation of your disputed claim by the Florida 249
Department of Financial Services, Division of Consumer 250
HB 1555 2025
CODING: Words stricken are deletions; words underlined are additions.
hb1555-00
Page 11 of 12
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
Services, under most circumstances and sub ject to certain 251
restrictions. 252
7. Neutral evaluation of your disputed claim, if your 253
claim is for damage caused by a sinkhole and is covered by 254
your policy. 255
8. Contact the Florida Department of Financial Services, 256
Division of Consumer Services' toll -free helpline for 257
assistance with any insurance claim or questions pertaining 258
to the handling of your claim. You can reach the Helpline 259
by phone at ...(toll -free phone number)..., or you can seek 260
assistance online at the Florida Department of Financial 261
Services, Division of Consumer Services' website at 262
...(website address).... 263
YOU ARE ADVISED TO: 264
1. File all claims directly with your insurance company. 265
2. Contact your insurance company before entering into any 266
contract for repairs to confirm any managed r epair policy 267
provisions or optional preferred vendors. 268
3. Make and document emergency repairs that are necessary 269
to prevent further damage. Keep the damaged property, if 270
feasible, keep all receipts, and take photographs or video 271
of damage before and afte r any repairs to provide to your 272
insurer. 273
4. Carefully read any contract that requires you to pay 274
out-of-pocket expenses or a fee that is based on a 275
HB 1555 2025
CODING: Words stricken are deletions; words underlined are additions.
hb1555-00
Page 12 of 12
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
percentage of the insurance proceeds that you will receive 276
for repairing or replacing your property. 277
5. Confirm that the contractor you choose is licensed to 278
do business in Florida. You can verify a contractor's 279
license and check to see if there are any complaints 280
against him or her by calling the Florida Department of 281
Business and Professional Regulation. You should also ask 282
the contractor for references from previous work. 283
6. Require all contractors to provide proof of insurance 284
before beginning repairs. 285
7. Take precautions if the damage requires you to leave 286
your home, including securing your property and turning off 287
your gas, water, and electricity, and contacting your 288
insurance company and provide a phone number where you can 289
be reached. 290
Section 6. This act shall take effect July 1, 2025. 291