CS/CS/HB 1127 - Insurance Fraud Summary

• Repeals section 400.993 and amends section 400.9935 to strengthen criminal penalties for unlicensed health care clinics, including making unlawful charges punishable as theft under section 812.014.

• Makes it a felony of the third degree to establish, operate, or manage an unlicensed clinic or advertise services requiring licensure without a license; elevates to felony of the second degree for second or subsequent violations, with each day of violation constituting a separate offense.

• Requires health care providers aware of unlicensed clinics to report them to the agency; authorizes the agency to report provider failures to report to their licensing boards.

• Establishes felony of the third degree for knowingly filing false or misleading license applications or failing to report required information; defines "convicted" as a determination of guilt from trial or guilty/nolo contendere plea regardless of adjudication status.

• Repeals section 626.9895 establishing a motor vehicle insurance fraud direct-support organization and updates the Criminal Punishment Code's offense severity ranking chart to reflect these changes; takes effect October 1, 2015.