FL S0940

Expands the reduced reserve requirement category under s. 625.111 to include title insurers that are members of an insurance holding company system with $1 billion or more in surplus and a superior, excellent, exceptional, or equivalent financial strength rating from an acceptable rating agency.

Allows title insurers in the expanded category to maintain reserves equal to 6.5 percent of direct premiums written plus assumed reinsurance premiums, rather than the higher reserves required for smaller insurers.

Establishes a process for title insurers transferring domicile to Florida to calculate an adjusted statutory or unearned premium reserve as if Florida's reserve requirements had applied for the 20 years prior to redomestication.

Permits redomesticated insurers to phase in excess reserve requirements over 6 calendar years at one-sixth per year or to release excess reserves into surplus if the adjusted reserve is lower than the existing reserve.

Takes effect July 1, 2016.