Florida Division of Agent and Agency Services Proposes Neutral Evaluator Certification Rule Amendments

Jun 14, 2017

 

The opportunity to submit written comments is open until July 5, 2017 on proposed Rules relating to the certification of neutral evaluators used in neutral evaluations for sinkhole insurance claims in Florida.

Subsection 627.7074(18), F.S. was amended in 2016 to require the Florida Department of Financial Services’ Division of Agent and Agency Services to adopt rules for obtaining certification, and denying certification of, suspending certification of, and revoking certification of a neutral evaluator.  

Paragraph 627.706(7)(b), F.S. sets forth the grounds for the denial of an application and for the suspension or revocation of the certification of a neutral evaluator.

Published today, June 14, 2017, the proposed Rules establish those requirements.  A hearing has been scheduled for July 10, 2017, if requested.

69B-251.001  

Purpose

69B-251.002  

Definitions

69B-251.003  

Qualifications for Certification as a Neutral Evaluator

69B-251.020  

Penalties for Violations of Section 627.7074

The full text of the proposed Rules is reprinted below, or click here.

 

69B-251.001 Purpose.

The purpose of this rule chapter is to establish the qualifications for obtaining certification as a neutral evaluator, specify grounds for the denial of applications, and specify grounds for the suspension or revocation of the certification of a neutral evaluator.

Rulemaking Authority 627.7074(18) FS. Law Implemented 626.706(2), 627.7074 FS. History – New __________. 

 

69B-251.002 Definitions.

When used in this rule chapter, the following terms are defined as follows:

(1) “Applicant” means an individual who submits an application for certification as a neutral evaluator.

(2) “Certification” means the Department approval of an individual who meets the requirements for a neutral evaluator under subsections 627.706(2) and 627.7074(7), F.S.

Rulemaking Authority 627.7074(18) FS. Law Implemented 627.706(2), 627.7074 FS. History – New __________. 

 

69B-251.003  Qualifications for Certification as a Neutral Evaluator.

(1) An applicant seeking certification as a neutral evaluator shall apply to the Department using the Neutral Evaluator Application, Form Number DFS-H2-1783 (Revised 03/2017), which is hereby incorporated by reference. The form can be obtained from the Department on the following website: http://www.myfloridacfo.com/Division/Agents/Licensure/Forms/docs/DFS-H2-1783.pdf.  The completed form shall be mailed to the Department of Financial Services, Bureau of Licensing, 200 East Gaines Street, Tallahassee, FL 32399-0319. 

(2) An application for certification as a neutral evaluator shall be granted if the applicant meets the following eligibility requirements of subsection 627.706(2), F.S.:

(a)1. Is an engineer licensed under Chapter 471, F.S., who has experience and expertise in the identification of sinkhole activity as well as other potential causes of structural damage; or

2. Is a professional geologist licensed under Chapter 492, F.S., who has experience and expertise in the identification of sinkhole activity as well as other potential geologic causes of structural damage;

(b) Has completed a course of study in alternative dispute resolution approved by the Department for use in the neutral evaluation process pursuant to Rule 69B-227.170, F.A.C.;

(c) Is determined to be fair and impartial based on the criteria in subsection (3) below; and

(d) Is not ineligible for certification as a neutral evaluator pursuant to paragraph 627.7074(7)(b), F.S.

(3) An applicant shall be deemed to be fair and impartial unless:

(a) The applicant is currently an employee of an insurer as defined in section 624.03, F.S., adjuster as defined in section 626.015, F.S., or adjusting firm as defined in section 626.8695, F.S.;

(b) The applicant has through word, action, appearance, or otherwise expressed a bias or favoritism for or against insurers or property insurance policyholders; or

(c) The applicant acts or has acted in such a way that would compromise the fairness and impartiality of the neutral evaluation program or the program’s efficient effective operation.

(4) A neutral evaluator must notify the Department in writing within 5 days of failing to meet the standards in subsection (2). Such notice shall be mailed to the Bureau of Licensing at the address in subsection (1) or electronically submitted to the Department at AgentLicensing@MyFloridaCFO.com.

Rulemaking Authority 627.7074(18) FS. Law Implemented 627.706(2), 627.7074 FS. History – New __________.

 

69B-251.020  Penalties for Violations of Section 627.7074, F.S.

(1) An application for certification as a neutral evaluator shall be denied by the Department if any of the grounds set forth in subparagraphs 627.7074(7)(b)1. through 5., F.S., exist.

(2) If a certified neutral evaluator has violated the following provisions of section 627.7074, F.S., the following stated penalty shall apply:

(a) Failure to voluntarily withdraw from an evaluation due to the existence of any of the grounds set forth in paragraph 627.7074(7)(a), F.S. – revocation.

(b) Subparagraph 627.7074(7)(b)1., F.S.:

1. Suspension of 12 months if, had the application been accurate, the application would have been granted, based on the statutes and Department rules applicable to the application at the time the Department issued the certification and the documentation in the applicant’s file at the time the Department issued the certification; or

2. Revocation if, had the application been accurate, the application would have been denied, based on the statutes and Department rules applicable to the application at the time the Department issued the certification.

(c) Subparagraph 627.7074(7)(b)2., F.S. – revocation.

(d) Subparagraph 627.7074(7)(b)3., F.S. – suspension of 12 months.

(e) Subparagraph 627.7074(7)(b)4., F.S. – revocation.

(f) Subparagraph 627.7074(7)(b)5., F.S. – revocation.

(g) Failure to adhere to the requirements of paragraph 627.7074(7)(d), F.S. – suspension of 6 months.

(h) Failure to submit the report as required in subsection 627.7074(12), F.S. – suspension of 6 months.

Rulemaking Authority 627.7074(18), FS. Law Implemented 627.706(2), 627.7074 FS. History – New __________.

 

 

 

 

 

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