The bill proposes significant changes to the attorney fee awards in insurance actions by repealing section 86.121 of the Florida Statutes, which previously addressed attorney fees in declaratory relief actions regarding insurance coverage. It amends section 624.1552 to clarify the applicability of offer of judgment provisions in civil actions involving insurance contracts, specifically excluding those actions governed by the newly created sections 626.9375 and 627.4275. These new sections mandate the award of reasonable attorney fees to the prevailing party in civil actions against surplus lines insurers and other insurers, establishing criteria for determining the prevailing party and defining "judgment" to include damages, attorney fees, and costs.

Additionally, the bill outlines specific circumstances under which a settlement offer is not considered a good faith offer and specifies that the provisions of section 768.79 do not apply when the new attorney fee provisions are in effect. It also amends various sections of the Florida Statutes to ensure the new attorney fee provisions apply to a range of insurance policies and entities, including assessable mutual insurers and fraternal benefit societies. The act is designed to apply to insurance policies issued on or after its effective date, ensuring it does not retroactively affect existing contracts.

Statutes affected:
H 1551 Filed: 86.121, 624.1552, 624.123, 627.062, 627.736, 627.756, 628.6016