The bill amends section 627.7015 of the Florida Statutes to establish a mandatory procedure for resolving disputed property insurance claims, replacing the previous alternative procedure. Insurers are required to inform policyholders about this new procedure at the time of policy issuance and renewal. Additionally, the Department of Financial Services must prepare a consumer information pamphlet to be distributed to policyholders during these times and during state emergencies. The bill allows policyholders to file a petition with the Division of Administrative Hearings to resolve claims, detailing the requirements for the petition and the insurer's response, with an administrative law judge responsible for reviewing the petition and making determinations regarding coverage and claim amounts within specified timeframes.

Moreover, the bill repeals several existing statutes related to appraisal clauses and alternative dispute resolution methods in property insurance contracts, specifically Sections 627.70153 and 627.70154. It introduces a new section, 627.70156, which designates the homeowners insurance policy insurer as the primary insurer under certain conditions, outlining the insurer's obligations regarding payment and subrogation rights. The bill also modifies provisions related to the Citizens Property Insurance Corporation, allowing it to adopt policy forms for dispute resolution through the Division of Administrative Hearings, and clarifies the sinkhole insurance claims process. The act is set to take effect on July 1, 2025.

Statutes affected:
S 1508 Filed: 627.7015, 627.351, 627.70131, 627.7074