711997 - Florida Administrative Rules, Law, Code, Register

Florida Department of State and Division of Library and Information Services


Notice: 711997
Notice of Meeting/Workshop Hearing

Department:	DEPARTMENT OF FINANCIAL SERVICES
Division:	OIR – Insurance Regulation


Overview



	The Financial Services Commission announces a hearing to which all persons are invited.

DATE AND TIME:	October 3, 2006, 9:00 a.m., during a regular meeting of the Financial Services Commission

PLACE:	Cabinet Meeting Room, Lower Level, The Capitol, Tallahassee, Florida

Subject:	This is the Public Hearing on the adoption of proposed amendments to Rule 69O-170.017, Florida Administrative Code, published on September 8, 2006 in Vol. 32, No. 36, of the F.A.W. No notice of change was published. Pursuant to the provisions of the Americans with Disabilities Act, any person requiring special accommodations to participate in this program, please advise the contact person at least 5 calendar days before the program by contacting: Richard Koon, richard.koon@fldfs.com. THE FULL TEXT OF THE PROPOSED RULE IS: 69O-170.017 Windstorm Mitigation Shutter Discounts. (1)(a) This rule applies to all residential property insurance rate filings filed on or after September 1, 2006. All residential property insurers must make new filings by January 1, 2007, to reflect the requirements in this rule. For the purpose of determining appropriate discounts, credits, rate differentials, or reductions in deductibles for residential properties on which shutters or other wind mitigation devices or fixtures have been installed, pursuant to Section 627.0629(1), Florida Statutes, any rate filing which provides discounts, credits, rate differentials, or reductions in deductibles consistent with any statewide rating organization plan currently approved pursuant to Section 627.062, Florida Statutes, shall be considered in compliance with the applicable requirements of Section 627.0629(1), Florida Statutes. (b) A rate filing which does not provide at least the same level of discounts, credits, rate differentials, or reductions in deductibles as specified in such a plan will be disapproved, unless the insurer demonstrates that the discounts, credits, rate differentials, or reductions comply with the requirements of Sections 627.062 and 627.0629(1), Florida Statutes. (2) Section 627.0629, F.S., states that discounts on an actuarially reasonable basis or appropriate reductions in deductibles must be provided in the rates for residential property insurance for fixtures or construction techniques, including minimum provisions of the Florida Building Code which have been demonstrated to reduce windstorm loss. The discounts must reflect the discounts as set forth in the appendix, which is incorporated by reference, which are based upon the studies Development of Loss Relativities for Wind Resistive Features of Residential Structures and Development of Loss Relativities for Wind-Resistive Features of Residential Structures of Five or More Units. These discounts must be used without any modification unless they are supported by detail alternate studies where all assumptions are available to the Office for review. These public domain studies providing data and information on estimated loss reduction for wind resistive building features in residences are incorporated by reference, and are available for downloading at the website of the Florida Department of Community Affairs, at http://www.floridadisaster. org/brm/RCMP/Wind%20Loss/ and http://www.floridadisaster.org/ brm/Wind%20Loss/index2.htm respectively. Any insurer that has implemented a residential property rate filing on or after July 1, 1994, that does not provide at least the level of discounts, credits, rate differentials, or reductions in deductibles provided for in an approved rating plan referenced in subsection (1) above, or otherwise comply with the requirements of Section 627.0629(1), Florida Statutes, shall make a shutter discount filing immediately. (3) Filings can modify other rating factors to reflect revenue impact on current business only if they have actual information on policies receiving the discounts currently to support the modification. An insurer shall provide to residential property insurance policy applicants at the time of procurement of the policy application actual notice of the availability of discounts, credits, rate differentials, or reductions in deductibles, as well as all requirements that must be satisfied in order to qualify for such discounts, credits, rate differentials or reductions. For all residential property insurance policies in force on the effective date of this rule, an insurer shall, at the next renewal, provide such actual notice to the policyholder. After once providing such actual notice to a policyholder or policy applicant, an insurer shall not be required to again provide such notice at the time of renewal of the policy unless the insurer implements changes to its discounts, credits, rate differentials, reductions in deductibles, or requirements that must be satisfied to qualify for such discounts, credits, rate differentials, or reductions. Failure to provide such notice shall be considered a violation of Section 626.9541(1)(a)1., Florida Statutes. Specific Authority 624.307(1), 624.308(1) FS. Law Implemented 624.307(1), 627.062, 627.0629(1) FS. History–New 4-1-98, Formerly 4-170.017, Amended________.


	A copy of the agenda may be obtained by contacting: Richard Koon, richard.koon@fldfs.com.

PRINT PUBLISH DATE:	9/15/2006 Vol. 32/37


REFERENCE MATERIALS:	No reference(s).

Under Florida law, E-mail addresses are public records. If you do not want your E-mail address released in response to a public records request, do not send electronic mail to this entity. Instead, contact this office by phone or in writing.

Overview