This bill amends various sections of Florida Statutes concerning insurance practices, with a primary focus on enhancing regulation and reporting requirements for insurers. Notably, it increases the interest rate on judgments set by the Chief Financial Officer from 400 to 800 basis points above the Federal Reserve's discount rate. The Office of Insurance Regulation is mandated to produce annual reports on the relationships and compensation of executive officers within the insurance sector, ensuring that certain data cannot be classified as a trade secret. Additionally, the bill updates criteria for assessing whether insurance rates are excessive or discriminatory and requires insurers to provide written loss estimates to policyholders under specific conditions. It also introduces mandatory mediation before litigation and establishes penalties for non-compliance.

Further, the bill addresses property insurance disputes and the management of attorney fees, requiring insurers to respond to notices of alleged acts or omissions with a settlement offer or alternative dispute resolution participation. If the appraisal process is not completed within 90 days of a notice of intent to litigate, claimants may file suit without further notice. The legislation also revises the framework for determining attorney fees based on the judgment amount in relation to the claimant's presuit settlement demand, particularly in cases of bad faith. It amends requirements for mandatory binding arbitration in property insurance policies, ensuring policyholders are aware of any premium discounts related to such arbitration. The bill is scheduled to take effect on July 1, 2025.

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