SB 1104 — Policy Cancellations and Nonrenewals by Property Insurers

For purposes of this paragraph:subsection:

A structure is deemed to be repaired:repaired when the following persons have inspected and certified or attested to the completion of the repairs:

(I) WhenA substantiallyhome completedinspector andlicensed restoredunder tos. the extent that it is insurable by Citizens Property Insurance Corporation or by another authorized insurer or eligible surplus lines insurer writing policies in this state;

or (II) When one of the following persons has inspected and certified or attested to the completion of the repairs:

(A) A home inspector licensed under s.

(B)(II) A building code inspector certified under s.

(C)(III) A general, building, or residential contractor licensed under s.

(D)Page A3 professionalof engineer7 licensedCODING: under s.

Words stricken are deletions;

words underlined are additions.

Florida Senate - 2024 CS for SB 1104 590-02908-24 20241104c1 (IV) A professional engineer licensed under s.

or (E)(V) A professional architect licensed under s.

If a policy is extended or renewed to comply with this paragraphsubsection or with any other provision of the Commissioner of Insurance Regulation’s order, the policy must contain similar policy terms as the policy being extended or renewed.

However, this paragraphsubsection does not impact current law with regard to the rates insurers may charge for policies extended or renewed under this paragraph.subsection.

c.

Flood damage that is not communicated to the insurer and the agent of the insurer before the expiration of the policy is presumed nonexistent and may not be construed to alter any terms of a policy, create a separate cause of action, or create any additional duty on the part of the insurer or an agent of an insurer to the insured.

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words underlined are additions.

Florida Senate - 2024 CS for CS for SB 1104 595-03793-24 20241104c2 6.

627.4133 Notice of cancellation, nonrenewal, or renewal premium.— (2) With respect to any personal lines or commercial residential property insurance policy, including, but not limited to, any homeowner, mobile home owner, farmowner, condominium association, condominium unit owner, apartment building, or other policy covering a residential structure or itsPage contents:4 of 7 CODING:

Words stricken are deletions;

words underlined are additions.

Florida Senate - 2024 CS for SB 1104 590-02908-24 20241104c1 its contents:

If flood is not a covered peril under the personal residential or commercial residential property insurance policy,policy and the property has been damaged as a result of flood caused by a hurricane, an insurer may not cancel or Pagenonrenew 6the personal residential or commercial residential property insurance policy until the earlier of 10when CODING:the property has been repaired or 18 months after the date of loss.

Words stricken are deletions;

words underlined are additions.

Florida Senate - 2024 CS for CS for SB 1104 595-03793-24 20241104c2 nonrenew the personal residential or commercial residential property insurance policy until the earlier of when the property has been repaired or the expiration of one subsequent renewal of the policy that was in force at the time of loss.

If an insurer is required to extend or renew a policy pursuant to this sub- subparagraph, any claim for loss or damage arising from unrepaired damage as a result of flood caused by a hurricane will not be covered under the extended or renewed policy.

Such loss or damage will be excluded from the extended or renewed policy regardless of any other cause or event that contributes concurrently or in any sequence to the loss.

When flood is not a covered peril under the personal residential or commercial residential property insurance policy, the requirements under this sub-subparagraph to extend or renew the policy do not apply if the insurer has no actual knowledge of the flood damage or if the flood damage, along with the physical evidence of the damage, is not communicated to the insurer before the expiration of the policy.

c.

The restrictions on cancellation and nonrenewal in sub- subparagraph b.

are not applicable to loss or damage to the insured property that is valued at less than the applicable deductible for a personal residential property insurance policy or less than the applicable deductible for a commercial residential insurance policy.

However, an insurer or agent may cancel or nonrenew such Pagea 7policy before prior to the repair of 10the CODING:dwelling or residential property:

Words stricken are deletions;

words underlined are additions.

Florida Senate - 2024 CS for CS for SB 1104 595-03793-24 20241104c2 a policy before prior to the repair of the dwelling or residential property:

Upon 10 days’ notice:notice for nonpayment of premium;

(I) For nonpayment of premium;

or (II) If the named insured no longer has an insurable interest in the property;

(I)Page For5 aof material7 misstatementCODING: or fraud related to the claim;

Words stricken are deletions;

words underlined are additions.

Florida Senate - 2024 CS for SB 1104 590-02908-24 20241104c1 (I) For a material misstatement or fraud related to the claim;

or (III) If,If after the expirationinsurer ofhas paid policy limits for a loss to the declarationinsured ofdwelling emergencyunder pursuanta personal residential policy, or policy limits for a loss to s.each insured structure that was damaged under a commercial residential policy.

252.36 and the order by the Commissioner of Insurance Regulation, the insurer has made a reasonable written inquiry to the insured as to the status of the repairs and the insured has failed to respond within 30 calendar days to provide information that is responsive to the inquiry, including the reasons for any delay in completing repairs, to the address or e-mail account designated by the insurer or its agent;

or (IV) If the insurer has paid policy limits for a loss to the insured dwelling under a personal residential policy, or policy limits for a loss to each insured structure that was damaged under a commercial residential policy.

Nothing in This paragraph does not Pageshall 8prevent the insurer from canceling or nonrenewing the policy 90 days after the repairs are complete for the same reasons the insurer would otherwise have canceled or nonrenewed the policy but for the limitations of 10subparagraph CODING:1.

Words stricken are deletions;

words underlined are additions.

Florida Senate - 2024 CS for CS for SB 1104 595-03793-24 20241104c2 shall prevent the insurer from canceling or nonrenewing the policy 90 days after the repairs are complete for the same reasons the insurer would otherwise have canceled or nonrenewed the policy but for the limitations of subparagraph 1.

The Commissioner of Insurance Regulation may also waive any of the provisions of this paragraph upon approval of a petition filed by an insurer requesting relief due to solvency concerns or other factors that could harm policyholders if the provisions of this paragraph were enforced upon the insurer.

A structure is deemed to be repaired:repaired when the following persons have inspected and certified or attested to the completion of the repairs:

(I)Page When6 substantiallyof completed7 andCODING: restored to the extent that it is insurable by Citizens Property Insurance Corporation or by another authorized insurer writing policies in this state;

orWords (II)stricken Whenare onedeletions; of the following persons have inspected and certified or attested to the completion of the repairs:

(A)words Aunderlined homeare inspectoradditions. licensed under s.

Florida Senate - 2024 CS for SB 1104 590-02908-24 20241104c1 (I) A home inspector licensed under s.

(B)(II) A building code inspector certified under s.

(C)(III) A general, building, or residential contractor licensed under s.

Page(IV) 9A ofprofessional 10engineer CODING:licensed under s.

Words stricken are deletions;

words underlined are additions.

Florida Senate - 2024 CS for CS for SB 1104 595-03793-24 20241104c2 (D) A professional engineer licensed under s.

or (E)(V) A professional architect licensed under s.

481.213.481.213 substantially completed and restored to the extent that it is insurable by another authorized insurer writing policies in this state.

If a policy is extended or renewed to comply with this paragraph or with any other provision of the Commissioner of Insurance Regulation’s order, the policy must contain similar policy terms as the policy being extended or renewedrenewed. unless the insurer has updated approved forms that will apply to all insureds with the same endorsement.

d.

Flood damage that is not communicated to the insurer and the agent of the insurer before the expiration of the policy is presumed nonexistent and may not be construed to alter any terms of a policy, create a separate cause of action, or create any additional duty on the part of the insurer or an agent of an insurer to the insured.

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