DEPARTMENT OF FINANCIAL SERVICES
RULE NO.:RULE TITLE:
69O-142.015Standardized Requirements Applicable to Insurers After Hurricanes or Natural Disasters
NOTICE OF CHANGE
Notice is hereby given that the following changes have been made to the proposed rule in accordance with subparagraph 120.54(3)(d)1., F.S., published in Vol. 46 No. 189, September 28, 2020 issue of the Florida Administrative Register.
The changes are in response to comments received from the public and the Joint Administrative Procedures Committee.
69O-142.015 Standardized Requirements Applicable to Insurers After Hurricanes or Natural Disasters
This rule adopts standardized requirements that may be applied to insurers as a consequence of a hurricane or other natural disaster. The Office is authorized to issue an Order or Orders deemed necessary to protect the health, safety and welfare, activating the requirements herein, in whole or in part. An Order may be amended as deemed necessary to accommodate the particular circumstances of the specified hurricane or natural disaster. The following standardized provisions may be activated as provided herein:
(1) Claims Reporting Requirements.
(a) This subsection applies to all property and casualty contracts of insurance subject to regulation under the Florida Insurance Code including:
1. All policies referenced in chapters 440, 624, 626, and 627, F.S.; and
2. Premium finance company contracts associated with property and casualty contracts.
References in this subsection herein to “policy” or “contract of insurance” includes all property and casualty contracts regulated under the Florida Insurance Code. References to “insurer” include all regulated entities issuing these contracts.
(b)(a) All insurers entities having direct premiums written in Florida and authorized, approved or otherwise eligible to provide the coverages indicated below in subparagraphs (1)(b)(a)1. and 2., shall report the requested information to the Office. The reporting shall be submitted with such frequency and for such areas as set forth in the Order. The applicable coverages are:
1. through 2. No change.
(c)(b)1. Insurers shall electronically submit the data required for each reporting event. Required data may include but is not limited to:
a. Policies in force;
b. Claims reported Total insured value of policies in force;
c. Open claims with payment Number of claims reported;
d. Open claims without payment;
e.d. Claims closed with payment;
f.e. Claims closed without payment;
g.f. Number of open claims;
h.g. Percent of claims closed;
i.h. Paid loss excluding loss adjustment expense;
j.i. Paid allocated loss adjustment expense;
k.j. Case incurred loss excluding loss adjustment expense; and,
l.k. Case allocated loss adjustment expense.
2. No change.
(2) Grace Periods and Temporary Postponement of Cancellations or Non-renewals.
(a) This subsection applies to all property and casualty contracts of insurance subject to regulation under the Florida Insurance Code including: Subsection (2) of this rule, applies to all contracts of property and casualty insurance and other contracts that are subject to regulation under the Florida Insurance Code and not governed by subsection (3) of this rule, including:
1. No change.
2. Premium finance company Finance Company contracts.
References in this subsection herein to “policy” or “contract of insurance” includes all property and casualty contracts regulated under the Florida Insurance Code. References to “insurer” include all regulated entities issuing these contracts.
References herein to “policy” or “contract of insurance” includes all agreements regulated under the Insurance Code.
(b) through (c) No change.
(d) During the dates specified in the Order, no insurer or other entity regulated under the Florida Insurance Code shall cancel or non-renew, or issue a notice of cancellation or nonrenewal of, a policy or contract of insurance covering a, property or risk in the referenced areas as specified in the Order, except at the written request or written concurrence of the policyholder.
(e) through (q) No change.
(3) Grace Periods and Temporary Postponement of Cancellations or Non-renewals.
(a) This subsection applies to all life and health contracts of insurance subject to regulation under the Florida Insurance Code including:
1. through 2. No change.
3. Premium finance company Finance Company contracts associated with life and health contracts.
References in this subsection herein to “policy” or “contract of insurance” includes all life or health agreements regulated under the Florida Insurance Code. References to “insurer” include all regulated entities issuing these agreements.
(b) through (c) No change.
(d) During the dates specified in the Order, no insurer or other entity regulated under the Florida Insurance Code insurance code shall cancel or non-renew a policy or contract of insurance or issue a notice of cancellation or nonrenewal on a contract of insurance covering a person in the referenced areas as specified in the Order, except at the written request or written concurrence of the policyholder.
(e) All notices of cancellation issued or mailed within ten (10) calendar days preceding the date specified in the Order, affecting a person in the specified areas, shall be withdrawn and reissued to insureds on or after the date specified in the Order.
(f) No change.
(g) Except as provided in paragraphs (3)(e) and (f), with respect to a notice of cancellation or nonrenewal which, but for this rule, would have taken effect during the dates specified in the Order, such notice is not made invalid by this rule; however;
1. The insurer shall extend the coverage to and including the date specified in the Order, or a later date specified by the insurer; and
2. No change.
(h) Retroactive cancellation due to non-payment of premium:
1. For health policies or contracts, an insurer or other regulated entity that was unable to cancel or non-renew a policy due to the operation of this rule, may upon proper notice, cancel or non-renew such policy, effective on the date the policy would have otherwise been cancelled or non-renewed, in the event the insured has not paid outstanding premium due. For all other policies under this subsection, an An insurer or other regulated entity that was unable to cancel or non-renew a policy due to the operation of this rule, may upon proper notice, cancel or non-renew such policy, effective on the date the policy would have otherwise been cancelled or non-renewed, in the event the insured has not paid the outstanding premium due.
2. No change.
(i) through (q) No change.
This subsection does not apply to major medical health insurance policies subject to regulation by the Patient Protection and Affordable Care Act, Pub. L. No. 111-148, as amended by the Health Care and Education Reconciliation Act of 2010, Pub. L. No. 111-152, and regulations adopted pursuant to those acts, to the extent this requirement would result in a violation of federal law.
Rulemaking Authority 624.308, 627.7019 FS. Law Implemented 624.307(1), 624.319, 624.424, 627.7019 FS. History–New 6-12-07, Amended 7-30-17, ____________.
