Florida Amends Rules for Reporting Professional Liability Claims

Florida Gov. Charlie Crist has signed into law a bill that amends the rules for reporting of professional liability claims by insurers and health care providers.

The bill (SB 2252) also defines when a claim exists and sets forth a new set of criteria for those reporting claims activity to the Office of Insurance Regulation (OIR).

The legislation requires all self-insurers, commercial self-insurance funds, authorized insurers, surplus lines insurers, risk retention groups and joint underwriting associations to report any written claim or action for damages brought against doctors, hospitals, health maintenance organizations, ambulatory surgical centers, attorneys and dentists.

Under the measure, the reporting requirements are triggered under these conditions:

• the entry of any judgment against any provider for which an exhaustion of right of appeals or time period for filing appeal has expired;
• the execution of an agreement that includes an indemnity payment of at least $1 or approval of the agreement in court;
• the final payment of indemnity money for damages from professional services rendered; or
• the final disposition of a claim where no indemnity payment was made on behalf of insured but loss adjustment expenses were paid in excess of $5,000 to allow insurer to close its file.

Insurers are responsible for filing reports no later than 30 days after occurrence of the first event.

The new law, which is effective July 1, amends Section 627.912, F.S.