Important Legislative Updates Impacting Florida Property Insurance
In response to evolving property insurance concerns, the Florida Legislature recently concluded a Special Legislative Session, resulting in the passage and signing of two pivotal bills—Senate Bill 2D and Senate Bill 4D—on May 26, 2022. Immediate effectiveness accompanies all outlined changes.
Senate Bill 2D Highlights: My Safe Florida Home Program
My Safe Florida Home Program for Homeowners:
Eligible homeowners gain access to free hurricane mitigation inspections and matching grants for home hardening, significantly reducing hurricane-related damage risks.
The program offers $2 for every $1 spent on mitigation, up to $10,000, with exceptions for low-income homeowners.
Notable eligibility criteria include single-family homes insured at $500,000 or less, residing in the wind-borne debris region per the Florida Building Code, and meeting construction timelines and inspection prerequisites.
For Contractors:
Contractors aspiring to be ‘eligible contractors’ can respond to the Request for Statement of Qualifications listed on MyFlorida Marketplace.
Contractors are not allowed to engage in written or electronic communications that prompt homeowners to reach out to a contractor or public adjuster for initiating a property insurance claim related to roof damage unless the solicitation incorporates the following:
-The homeowner bears the responsibility for covering the deductible.
-Any attempt by a contractor to cover or waive an insurance deductible is considered insurance fraud, a third-degree felony offense.
-Intentionally submitting an insurance claim that includes false, fraudulent, or misleading information is deemed insurance fraud, punishable as a third-degree felony.
For more detailed information on helping stop contractor solicitation and fraud, visit Demolish Contractor Fraud: Step to Avoid Falling Victim
Separate Roof Deductibles:
Property insurance companies can propose a policy with a separate roof deductible of up to two percent of the Coverage A limit or 50 percent of the roof replacement cost, whichever is lower.
The opt-out endorsement requires explicit consent, and insurance companies must offer premium credits for selecting such policies.
Roof Age Restrictions:
Insurers cannot deny or renew policies based solely on a roof less than 15 years old.
Policies may require a roof inspection for older roofs, but a refusal is prohibited if the inspection indicates five or more years of useful life.
Claims Handling:
Insurance companies must conduct a property inspection within 45 days of receiving a proof of loss statement, excluding hurricane claims.
Policyholders have the right to obtain detailed reports/estimates developed by adjusters.
Transparent communication is mandated in cases where there is a discrepancy between the claim payment and the estimate.
Senate Bill 4D Highlights: Roof Compliance and Condo Inspections
Roof Compliance:
Compliance with the 2007 Florida Building Code is required for at least 25% of roofs being repaired, replaced, or recovered.
Condo Regulations:
Condominiums aged 30 years or more (25 years if near a coastline) must undergo inspections every 10 years.
Specific guidelines for inspections, maintenance, and reserves are outlined in the bill.
This summary provides an overview based on the Florida Legislature’s analysis and bill language. For precise details, kindly refer to the official documentation or visit MyFlorida Marketplace.
Disclaimer:
The content presented here is for informational purposes only. It is strongly recommended to review the complete bill text and visit authoritative sources, such as the Florida Department of Financial Sevices, for accurate and up-to-date information tailored to individual circumstances.