Summary


CS/SB 2498 expanded the applicability of the Program, as created by HB 1A, by defining the phrase “an insurer writing only manufactured housing policies” as including the following for purposes of the Program: 1. A Florida domiciled insurer that begins writing personal lines residential manufactured housing policies in Florida after March 1, 2007, and that removes a minimum of 50,000 policies from Citizens Property Insurance Corporation without accepting a bonus, provided at least 25 percent of its policies cover manufactured housing. Such an insurer may count any funds above the minimum capital and surplus requirement that were contributed into the insurer after March 1, 2007, as new capital under this statute and 2. A Florida domiciled insurer that writes at least 40 percent of its policies covering manufactured housing in Florida. In addition, HB 1A provided that insurers writing only manufactured housing were eligible for a surplus note of up to $7 million and, for those applying for a surplus note after July 1, 2006, the amount of new capital had to double the amount of the surplus note. Thus, the new capital would be $14 million for a $7 million surplus note if the manufactured housing insurer applied after July 1, 2006. This was changed in CS/SB 2498 passed during the Regular Legislative Session. Now the surplus requirement for an insurer writing only manufactured housing need only be equal to the surplus note. Thus, a $7 million surplus note would require a new capital contribution of $7 million.