The Florida Senate Committee on Banking and Insurance (“Committee”) met January 8, 2014.
After Committee Chair David Simmons called the meeting to order, Senator Jeff Brandes presented SB 542, relating to flood insurance.
The bill would allow private market insurers to offer flood coverage, either as an endorsement or as a separate policy. Senator Brandes explained that his bill would offer an alternative to the National Flood Insurance Program, thus affording more choices to consumers. The Committee adopted an amendment to the bill that would provide more consumer protections.
Senator Alan Hays questioned whether or not Citizens Property Insurance Corporation (“Citizens”) would be allowed to offer flood insurance policies, adding that he would like to prohibit Citizens from doing so. Senator Brandes agreed to strengthen the language in the bill to prohibit Citizens from offering flood insurance.
The Committee unanimously passed the amended bill as a committee substitute.
Also as part of the agenda, the Committee discussed proposals for reducing Citizens’ size and exposure.