FL S1506

Redefines "retention" calculation for the Florida Hurricane Catastrophe Fund, setting the retention multiple at $4.5 billion adjusted for exposure growth, with an aggregate retention level cap of $5 billion.

Reduces the actual claims-paying capacity for the first covered event by $1 billion per contract year beginning with the 2016 contract year until the capacity reaches $8 billion, with reduced amounts reserved for second covered events as an automatic reinstatement.

Requires the State Board of Administration to pay initial reimbursement amounts to insurers within 15 days after receiving reports of reimbursable losses, rather than "as soon as practicable."

Changes contract language from "shall" to "must" throughout the statute to strengthen requirements for board actions, including contract provisions regarding reimbursement promises, loss reporting, and advance payments.

Takes effect July 1, 2015.