Upcoming Legislative Session

As most of you are aware, the 2010 Legislative Session begins this month and runs through late April.  Your FAPAN board and fellow agents are currently preparing for what will certainly be a battle for new insurance legislation.

·       Last year agents and their staffs, hand in hand with company employees, worked tirelessly to help HB 1171 (Consumer Choice Ins Bill) pass by a landslide. As we all know, the bill was vetoed by Governor Crist.  Since no new meaningful P & C law was signed,  STATE FARM FLORIDA CONTINUES TO BE  A HURRICANE AWAY FROM GOING OUT OF BUSINESS.

·       The 2010 Legislative will again bring up the Consumer Choice Bill again with new additions and changes.  We need your help to ensure this critically important bill does not lose the momentum we created for it last year. 

1.      Have your Legislators sign on (Co-Sponsor) to the new Consumer Choice Bill.  Before you do so, you must know the facts:
a.      85% of the Legislature supported the bill last year.
b.      A Florida Chamber polls show that 60% of the Voters supported a Consumer Choice Bill.
c.      The 2010 version of this bill will be changed to include all companies (what the Governor wanted last year).
d.      At present 102 out of 210 property insurers are losing money and three Florida companies were declared insolvent, despite no hurricanes in Florida in 2009.
e.      The  $4 billion in new private claims-paying capital touted by the Department of Insurance belonged almost exclusively to unlicensed surplus lines insurers. These carriers have no regulation on rates and don't serve the average Floridian home owner.
f.      The hidden "hurricane tax" to be levied by Citizens is just a storm away,  After the next hurricane, Citizens policyholders will be surcharged in the form of a massive insurance tax.  This tax must be paid when it is levied, rather than at renewal as is currently the case.  Under this scenario,  a policyholder in a fully paid status can receive a massive bill mid-term, due immediately.  All CPIC policies must be exhausted before surcharges can be placed on other policyholders.
g.      The new Consumer Choice bill will provide a special notice which must be signed by the policyholder so there is a clear understanding of the potential assessment liability.
h.      This bill gives Florida Residents a choice to pay what they feel is reasonable, based on quality of product.
i.      The State of Florida does not regulate the price you can sell your home for, the mortgage interest you are charged, the health insurance carrier you choose or the auto payment you choose to have. Why does the State of Florida control who and what you can pay for your home insurance?

There are a handful of openings for agents still wishing to attend the upcoming Legislative session.  Please sign up and get involved in the process, rather than sitting on the sideline letting someone else determine your destiny.

Guy Brickman, Chairman FAPAN.