Florida Administrative Code › 19 - STATE BOARD OF ADMINISTRATION › 19 - Departmental › Chapter 19-8 - ADMINISTRATION OF THE FLORIDA HURRICANE CATASTROPHE FUND › Section 19-8.013 - Revenue Bonds Issued Pursuant to Section 215.555(6), F.S

Current through Reg. 50, No. 138; July 16, 2024
(1) Purpose. This rule establishes the
				Board's policy regarding the issuance of revenue bonds pursuant to Section
				 215.555(6),
				F.S. The rule provides definitions; interprets certain terms in Section
				 215.555, F.S.; establishes
				factors for determining when to issue revenue bonds, the amount of any such
				revenue bonds, and the source for repayment of any such revenue bonds; and
				establishes procedures for levying Emergency Assessments pursuant to Section
				 215.555(6)(b),
				F.S.
(2) Definitions. The terms
				defined below will be capitalized in this rule.
(a) Assessable Insurer means Authorized
				Insurers writing property and casualty business in this state and any entity
				created pursuant to Section
				 627.351, F.S. Surplus lines
				insurers are not Assessable Insurers. Reinsurers are not Assessable
				Insurers.
(b) Assessable Insured
				means each insured procuring property and casualty coverage from surplus lines
				insurers regulated under Part VIII of Chapter 626, F.S.
(c) Assessable Lines means those lines of
				property and casualty business subject to assessment under Section
				215.555(6)(b)1., F.S., and as more fully described in subsection (5),
				below.
(d) Authorized Insurer means
				an insurer as defined in Section
				 624.09(1), F.S.
				For purposes of this rule, Authorized Insurer includes Citizens Property
				Insurance Corporation and any joint underwriting association or similar entity
				created pursuant to Section
				 627.351, F.S.
(e) Balance of the Fund and Fund Balance have
				the same meaning given to Balance of the Fund as of December 31 in Article V of
				the Reimbursement Contract adopted and incorporated by reference into Rule
				 19-8.010, F.A.C.
(f) Board means the State Board of
				Administration of Florida.
(g)
				Contract Year means the time period which begins at 12:00:01 (Eastern Time) on
				June 1 of each calendar year and ends at 12:00 p.m. midnight on May 31 of the
				following calendar year.
(h)
				Corporation means the State Board of Administration Finance Corporation created
				by Section  215.555(6)(d),
				F.S.
(i) Covered Event means a
				hurricane as defined in Section
				 215.555(2)(b),
				F.S., and in Article V of the Reimbursement Contract adopted and incorporated
				by reference in Rule  19-8.010, F.A.C.
(j) Covered Policies means an insurance
				policy covering residential property, as defined in Section
				 215.555(2)(c),
				F.S., and in Article V of the Reimbursement Contract adopted and incorporated
				by reference in Rule  19-8.010, F.A.C.
(k) Department means the Florida Department
				of Financial Services, which was created pursuant to Section
				 20.121, F.S., and which is
				charged with regulating the Florida insurance market and administering the
				Florida Insurance Code.
(l)
				Emergency Assessment means the assessment levied by the Office of Insurance
				Regulation at the direction of the Board on direct written premiums for all
				Assessable Lines pursuant to and subject to the exceptions in Section
				 215.555(6)(b),
				F.S., and as more fully described in subsection (5) of this rule.
(m) FHCF or Fund means the Florida Hurricane
				Catastrophe Fund.
(n) Office of
				Insurance Regulation means that office within the Department which was created
				in Section  20.121(3),
				F.S.
(o) Participating Insurer
				means an insurer which writes Covered Policies in this state and which has
				entered into a Reimbursement Contract with the Board, pursuant to Section
				 215.555(4)(a),
				F.S.
(p) Reimbursement Contract
				means the annual contract required pursuant to Section
				 215.555(4)(a),
				F.S., which provides coverage to Participating Insurers for losses to covered
				property during a Covered Event.
(q) Reimbursement Premium means the premium
				determined by multiplying each $1, 000 of insured value reported by the
				Participating Insurer in accordance with Section
				 215.555(5),
				F.S., by the rate as derived from the premium formula as described in Rule
				 19-8.028,
				F.A.C.