Category(s): Florida - 12/21/2016

On May 5, 2010, the Eleventh Circuit Court of Appeals ruled in favor of the Florida Office of Insurance Regulation ("OIR") in its litigation with Coventry First, LLC of Florida. The Court affirmed the OIR's right to review non-Florida related records for viatical providers. There are presently 14 licensed viatical settlement providers operating in Florida.

To view the OIR press release on the case, click here.

To view the Court's opinion, click here.

Richard J. Fidei, Esq. - GREENBERG TRAURIG LLP, (954) 592-5530

Category(s): Florida - 12/21/2016

The Florida Office of Insurance Regulation ("OIR") announced on May 18, 2010, that it has ordered 16 workers' compensation insurance companies to return a total of more than $9.4 million in profits to their policyholders pursuant to Florida's excessive profit law.

Fred E. Karlinsky, Esq. - GREENBERG TRAURIG, P.A., (954) 768-8278 , karlinskyf@gtlaw.com

Category(s): Florida - 12/21/2016

The Circuit Court of the Second Judicial Circuit for Leon County, Florida, issued a final judgment on May 7, 2010 in Frederick Kortum v. Alex Sink, finding in favor of the Florida Department of Financial Services and upholding section 626.854(6), Florida Statutes. The Court held that the 48-hour solicitation ban on public adjusters is constitutional. A notice of appeal of the Court's decision was filed on May 10, 2010. 

To access a copy of the Court's opinion, click here.

Fred E. Karlinsky, Esq. - GREENBERG TRAURIG, P.A., (954) 768-8278 , karlinskyf@gtlaw.com

Category(s): Georgia - 12/21/2016

Responding to certified questions from the United States District Court for the Northern District of Georgia, the Georgia Supreme Court held on May 3, 2010, that where an insurer wishes to disclaim liability and reserve its defenses against an insured when defending an action against the insured under an insurance policy, the insurer must communicate to the insured that, notwithstanding the insurer’s defense of the action against the insured, the insurer disclaims liability and does not waive its defenses against the insured.  According to the court, such a reservation of rights is not required to be made in writing, but it must be unambiguous and should inform the insured of the specific basis for the insurer’s reservations about coverage under the insurance policy.  The court also stated that where an insurer assumes and conducts an initial defense without providing the insured with the insurer’s reservation of rights, the insurer is estopped from asserting a non-coverage defense, regardless of whether the insured can demonstrate prejudice.  In this particular case, the court held that the insurer did not provide an adequate reservation of rights regarding coverage under the commercial general liability policy issued to the insured before defending the action against the insured, and accordingly, the insurer was estopped from asserting a non-coverage defense.  See World Harvest Church v. Guideone Mut. Ins. Co., S10Q0341.

Brian T. Casey, Esq. - LOCKE LORD LLP, (404) 870-4638 , bcasey@lockelord.com
Kyllan C Lowe

Category(s): Georgia - 12/21/2016

The Georgia Assembly passed Georgia Senate Bill 316 (the “Bill”) in its 2010 session and will become law on November 1, 2010.  The Bill will permit the sale of Medi-gap insurance policies to individuals under the age of sixty-five who qualify for Medicare benefits due to end-stage renal failure or disability. The Bill also provides time frames for when such individuals may enroll in these insurance policies.

Brian T. Casey, Esq. - LOCKE LORD LLP, (404) 870-4638 , bcasey@lockelord.com
Kyllan C Lowe

Category(s): Louisiana - 12/21/2016

Act No. 1 (the “Act”) of the Louisiana Legislature 2010 Regular Session was signed into law by the Governor of Louisiana on April 24, 2010. The Act requires that “any prepaid entity” participating in the Louisiana Medicaid Program is required to obtain a certificate of authority or license the Louisiana Department of Insurance (“LDOI”). The term “prepaid entity” is defined under the Act to mean any organization paid “on a per-person per-month basis for the provision of services to Medicaid eligible beneficiaries, when such organization has entered into a contract” with the Louisiana Department of Health and Hospitals (“LDHH”) assuming a financial obligation to pay for such services. See LSA-R.S. 22:1016(B). Under the Act, these prepaid entities are regulated by the LDOI with respect to licensure and financial solvency. However, with respect to products and services offered under the Louisiana Medicaid Program, these entities are regulated by the LDHH, subject to all other applicable federal and state laws, rules, and regulations relating to the Louisiana Medicaid Program.

Van R. Mayhall, III - Investar Bank, (225) 227-2309 , van.mayhall@investarbank.com

Category(s): Mississippi - 12/21/2016

As the hurricane season approaches, Mississippi's newest domestic property and casualty insurer, Coastal American Insurance Company, is poised to begin writing homeowners insurance coverage on the Mississippi Gulf Coast and other parts of Mississippi.  Coastal American is a privately held, locally owned and managed company that was licensed effective January 1, 2010.

Robert B. House, Esq. - JONES WALKER LLP, (601) 949-4830 , rhouse@joneswalker.com
David L. Martin, Esq. - JONES WALKER LLP, (601) 949-4901 , davidmartin@joneswalker.com

Category(s): New York - 12/21/2016

New York has adopted comprehensive life settlement legislation as part of New York Insurance Law Article 78, effective May 18, 2010.  The law prohibits "stranger originated life insurance."  Life settlement brokers are required to be licensed and may receive compensation only pursuant to a memo precisely specifying the amount of the compensation.  All life settlement contracts and applications must be filed and approved prior to use.

Francine L Semaya, Esq. - LEGAL AND REGULATORY CONSULTANT, (732) 241-8090 , flsemaya@gmail.com
William K Broudy, Esq. - NELSON LEVINE de LUCA & HORST, LLC, (212) 233-3254 , wbroudy@nldh.com