This bill amends various sections of Florida Statutes concerning insurance practices, particularly in the realm of property and casualty insurance. A significant change includes the adjustment of the interest rate calculation on judgments by the Chief Financial Officer, increasing the basis points added to the Federal Reserve's discount rate from 400 to 800. The Office of Insurance Regulation is now required to produce annual reports on the relationships and compensation of executive officers within insurance entities, with specific data exempt from being classified as trade secrets. Additionally, the bill updates the criteria for assessing whether insurance rates are excessive or unfairly discriminatory and mandates that insurers provide written loss estimates to policyholders under certain conditions.

The legislation also introduces new requirements for insurers regarding claims handling, including mandatory mediation before litigation can begin and the obligation to send detailed written loss estimates to policyholders within seven days. Insurers must utilize electronic estimating programs that reflect current market data and disclose any premium discounts related to mandatory binding arbitration endorsements. Furthermore, the bill establishes a framework for responding to notices of alleged acts or omissions, stipulating that if the appraisal process is not completed within 90 days, claimants may file suit without further notice. It also revises the rules for determining attorney fees in property insurance disputes and ensures that policyholders receive premium discounts for binding arbitration endorsements. 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