Capitol to Courthouse Florida Insurance Report: Tuesday, June 26

Jun 26, 2012


To go directly to the section of your choice, click on a hyperlink below.  Other hyperlinks to meeting information, bills and news are noted in bold type.

Daily Florida Insurance-Related Events


9:00 a.m.–Florida Cabinet meeting.  To view the complete agenda, click here.

  • Insurance-Related Presentations
    • Florida Insurance Commissioner Kevin McCarty
    • Citizens Property Insurance Corporation President Barry Gilway
  • Hurricane Preparedness Presentation
    • Florida Division of Emergency Management Director Bryan Koon
  • Florida Office of Insurance Regulation (“OIR”)
    • For publication
      • Amendments to Rule 69O-137.001 would adopt the 2011 National Association of Insurance Commissioners (“NAIC”) Quarterly Statement Instructions and the 2011 NAIC Accounting Practices and Procedures Manual.
      • Amendments to Rule 69O-138.001 would adopt the 2012 NAIC Financial Condition Examiners Handbook.  The current Rule adopted the 2011 version.
      • Rule 69O-164.030, entitled “Application of Rule 69O-164.020 to Various Product Designs,” has been deemed unnecessary by the OIR and is proposed for repeal.
      • Proposed repeal of Rule 69O-198.003, which prohibits any person, entity or administrator from providing or offering to provide service warranties unless authorized through OIR license, because it is a restatement of Section 634.403, F.S. and, therefore, unnecessary.
      • Proposed repeal of Rule 69O-200.013, which requires insurers and motor vehicle service agreement companies that file rating manuals with the OIR to include a copy of all rates to be charged to the consumer and all service agreement forms currently in use.  The OIR no longer has the authority to enforce this Rule because Section 634.1216, F.S. has been repealed.
      • Proposed repeal of Rule 69O-170.012, which prohibits insurers from non-renewing or canceling property insurance policies “on the basis of filing of claims for partial loss caused by sinkhole damage or clay shrinkage.”  Legislative changes have caused this Rule to become antiquated and unnecessary.
      • Proposed repeal of Rule 69O-191.072, which requires health maintenance organization (HMO) reinsurance contracts to be filed with and approved by the OIR, and for those contracts that contain insolvency protection to also be submitted to the OIR for prior approval.  With the repeal of Section 641.285(5)(a)(1), F.S., the OIR no longer has authority to enforce this Rule.
      • Proposed repeal of Rule 69O-143.045, which was originally promulgated in the 1970s and defines a list of insurance items–many of which are now inconsistent with portions of the Florida Insurance Code.
      • Proposed repeal of Rule 69O-142.011, which establishes guidelines for assessment of administrative fines concerning certain violations of the Florida Insurance Code and applicable OIR Rules.  Many of the fines prescribed in this Rule have become antiquated due to inflation.  Furthermore, Section 624.4211, F.S. provides specific guidelines.
    • For final adoption
      • In Sections 634.011(7) and 634.041(12), F.S., the Florida Legislature created a new category of Motor Vehicle Service Agreement Companies called “Motor Vehicle Manufacturers.”  The purpose was to eliminate certain regulatory requirements for these large corporations under certain circumstances.  Proposed amendments to Rules 69O-200.004, .005, .006, .009, .014, and .015 address the mandate to modify the Rules and forms to incorporate this new category.
      • Section 627.062(6), F.S. granted insurers the right to arbitrate rate filing disputes with the OIR, as well as granted the Florida Financial Services Commission the authority to adopt the corresponding Rules relating to the arbitration of rate filings.  The law has been amended to remove the provision for arbitration.  Therefore, Rule Chapter 69O-170 Part IV, F.A.C. is no longer relevant, nor does the OIR any longer have authority for such Rules.  Consequently, this Chapter needs to be repealed.



Daily Insurance-Related News


Blog:  Florida Governor Scott declares storm emergency; “Be careful,” he says

Governor Rick Scott flew back to Tallahassee Monday after cancelling two official events in Tampa, where rainfall from Tropical Storm Debby was among the heaviest in the state.

Insurance claims from Tropical Storm Debby, so far, “relatively light”

Tropical Storm Debby is certainly a rainmaker, but it’s not wreaking major damage.  At least not yet.


New Citizens Property Insurance  head slated to meet top Florida pols

New Citizens Property Insurance chief Barry Gilway will meet with Governor Rick Scott and the Cabinet for the first time.


Question and Answer with State Board of Administration Executive Director Ash Williams

Ash Williams has helped oversee the state’s pension investments twice, during the early and mid-1990s and again starting in 2008, when he helped the State Board of Administration with the fallout of the financial crisis.


Blog:  Panel revives effort to reform residential care for the elderly

After a failed attempt to pass legislation to protect the frail and elderly in assisted-living facilities, industry experts reconvened in Jacksonville Monday with the hope of hammering out measures to curb abuse while appeasing the powerful long-term care industry.


Florida Legislators Expected to Revive Immigration Push Following Arizona Ruling

The U.S. Supreme Court ruling on Arizona’s immigration law may revive Florida’s 2010 effort to bring some Western justice to the Sunshine State.


Blog:  Miami federal judge blocks new Florida anti-Cuba law

A Miami federal judge on Monday blocked Florida from enforcing a new state law that prohibits governments from hiring companies with business ties to Cuba.


THE NEWS SERVICE OF FLORIDA:  Lawsuit filed over Florida Supremes qualifying paperwork shuffle 

A conservative legal group filed a lawsuit Monday contending that three Florida Supreme Court justices should be removed from the November ballot because they did not qualify properly.


Blog:  U.S. Supreme Court leaves Florida’s university travel ban to ‘terrorist’ nations in place  

The U.S. Supreme Court on Monday left intact a controversial Florida law that restricts state colleges and universities from traveling to Cuba and other “terrorist states,” despite indications last year that the court would consider a review. 


U.S. Supreme Court refuses to hear Florida’s case in tri-state water dispute

Alabama, Florida and Georgia have been fighting in federal court since 1990 over water from the Apalachicola-Chattahoochee-Flint river system.


Governor Rick Scott could get a chance to appoint 3 new justices to the Florida Supreme Court

Governor Rick Scott could get a chance to overhaul the Florida Supreme Court.


Judge hears arguments in online travel company tax case

Leon County Circuit Court Judge Terry Lewis heard arguments from attorneys for Orbitz and Broward County on Monday, but Orbitz received more time and so both sides will return Tuesday. 


As springs, rivers decline, 40-year-old law to protect them mostly goes unheeded

There are more than 700 springs in Florida and thousands of lakes, many thousands of miles of streams and rivers, but only 322 required “minimum flows and levels” have been adopted statewide.


U.S. High Court Turns Away Louisiana Citizens Property Insurance Appeal 

The U.S. Supreme Court on Monday said it would not hear an appeal from insurer Louisiana Citizens on a class-action.


Sea Level Rise Accelerating Along East Coast

Scientists dub the stretch from Cape Hatteras, N.C. to north of Boston, Massachusetts a “hotspot” for rising sea level.


USA Today:  States consider raising fines for distracted driving

Growing concern over the continued use of cellphones by drivers has some states reviewing laws against the practice and exploring stiffer fines and harsher penalties.



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