House Bill 799 – Property Insurance: Enhancements and Amendments
Effective Date: Except as otherwise stated, the changes outlined in House Bill 799 take effect on July 1, 2023.
House Bill 799
House Bill 799 introduces pivotal changes to property insurance, aiming to address and enhance various aspects. The key modifications include:
Consideration of Wind Uplift Prevention:
Insurance companies are now required to factor in the impact of wind uplift prevention mitigation techniques when submitting residential property insurance rate filings.
Citizens Property Insurance Corporation (Citizens) Policies:
Exempts new Citizens policies issued after November 1, 2023, from the annual rate increase cap.
Allows for rate increases on these policies up to 50%.
Applies to policies for non-primary residences and properties previously covered by insolvent companies.
Flood Insurance Requirements:
Specifies that certain properties covered by Citizens must secure flood insurance by designated dates based on the structure or unit dwelling replacement cost.
$600,000 or more: January 1, 2024
$500,000 or more: January 1, 2025
$400,000 or more: January 1, 2026
All other personal lines residential property insured by Citizens: January 1, 2027
Exemptions from Flood Insurance Requirement:
Specifies that certain Citizens policy types, such as those without coverage for wind damage and condominium unit owners, are not required to have flood insurance.
Claims Dispute Resolution with Division of Administrative Hearings:
Empowers Citizens to contract with the Division of Administrative Hearings to resolve claim disputes with policyholders.
Verification of Flood Insurance for Wind Coverage:
Effective October 1, 2023, insurance companies issuing wind coverage and requiring policyholders to have flood insurance must verify its presence during policy issuance or renewal.
Denial of a wind damage claim is permitted if the policyholder lacks the required flood insurance, with a written acknowledgement from the policyholder.
Disclaimer: This summary serves as general information. For precise details and comprehensive understanding, it is recommended to read the full text of House Bill 799. Individuals are encouraged to visit the Florida Department of Financial Services for official information or seek legal advice for personalized insights.