Governor Ron DeSantis is expected to sign SB 122, which addresses
ongoing abuse that has contributed to higher insurance costs for
both residential and commercial consumers in the state
Senator Doug Broxson today made the statement below following passage of Senate Bill 122, a committee substitute for House Bill 7065, which passed the House earlier this month. Broxson, who chairs the Senate Banking and Insurance Committee, sponsored the bill, which now heads to Governor Ron DeSantis’s desk.
“Yesterday’s vote is a huge victory for Florida consumers, who have been struggling for far too long under the weight of skyrocketing insurance costs due to widespread abuse of assignment of benefits in our system. It was hard work to finally get this bill across the finish line, but it has all been worth it to protect consumers and restore integrity in Florida’s insurance system. I want to thank my colleagues in both chambers for their support, as well as Governor DeSantis. It has been a long time coming, and I look forward to the Governor signing the bill and these much-needed reforms becoming law.”
The bill’s key provisions include:
- Defines “assignment agreement” and establishes requirements for the execution, validity, and effect of such an agreement
- Prohibits certain fees and altered policy provisions related to repairs in an assignment agreement
- Transfers certain pre-lawsuit duties to the assignee
- Allows an insurer to make a policy prohibiting assignment available under certain conditions
- Revises the state’s one-way attorney fee statute
- Requires service providers to give an insurer and the consumer prior written notice of at least ten business days before filing suit on a claim
The Florida Senate passed the bill by a vote of 25-14. Governor DeSantis is expected to sign the bill, which would take effect on July 1, 2019.