This bill amends various sections of Florida Statutes concerning insurance practices, with a primary focus on enhancing regulation and reporting requirements for insurers. It increases the basis points added to the Federal Reserve's discount rate from 400 to 800 when calculating the interest rate on judgments. Additionally, it requires the Office of Insurance Regulation to produce annual reports on the relationships and compensation of executive officers for insurers, ensuring that certain data cannot be classified as a trade secret. The bill also updates the criteria for determining whether insurance rates are excessive or unfairly discriminatory and introduces new requirements for insurers regarding loss estimates, including the use of electronic estimating programs and the retention of all versions of loss estimates for seven years.

Moreover, the bill establishes mandatory mediation for claimants and insurers before litigation can begin and outlines the insurer's obligations to respond to claims with detailed estimates. It also addresses property insurance disputes by requiring insurers to respond to notices of alleged acts or omissions with a settlement offer or participation in alternative dispute resolution. If the appraisal process is not completed within 90 days, claimants may file suit without further notice. The bill introduces a new framework for determining attorney fees based on the judgment amount relative to the claimant's presuit settlement demand and amends requirements for mandatory binding arbitration in property insurance policies. The act is set to take effect on July 1, 2025.

Statutes affected:
S 554 Filed: 55.03, 627.062, 627.70131, 627.7015, 627.70152, 627.70154