FL Community Association Manager Continuing Education

The law also addressed issues concerning: Attorney Fees:

age of the roof. An insurer may not refuse to issue or renew a homeowner’s insurance policy solely because a roof age is at least 15 years if an inspection is performed by an authorized inspector that indicates that the roof has five years or more of useful life. Proof of Loss Inspections: The law requires property insurers to conduct any physical inspection of property related to a claim within 45 days of receiving proof of loss statements. Property Insurer Stability Unit: The Property Insurer Stability Unit was created within the Florida Office of Insurance Regulations (OIR) to aid in the detection and prevention of insurer insolvencies in the homeowner and condominium unit owners’ insurance market. The scope of the unit is limited to matters related to homeowner and condominium unit owners’ insurance. The OIR must include an annual statistical report to include an analysis of the availability of reinsurance to domestic insurers selling homeowner and condominium unit owners’ insurance in Florida. These reports must be made available upon request. Additionally, the OIR must make the date publicly available. This provision specifies that this information is not a trade secret. Civil Remedy: The bill requires a claimant to establish a property insurer breached the insurance contract in order for the claimant to prevail in a bad faith claim for extracontractual damages under F.S. 624.155(1)(b). Building Safety - Condominiums/Cooperatives [Chapter 2022-269-SB 4-D, Effective May 26, 2022] Florida legislature during the special session considered and passed legislation critical to condominium and cooperative building safety. SB 4-D Building Safety passed unanimously in both the House and Senate on May 24 and 25, respectively. Governor DeSantis signed the bill on May 26. The following are important factors of this legislation. F.S. 553.844 was amended to include: (5) Not withstanding any provision in the Florida Building Code to the contrary, if an existing roofing system or roof section was built, repaired, or replaced in compliance with the requirements of the 2007 Florida Building Code, or any subsequent editions of the Florida Building Code, and 25 percent or more of such roofin g system or roof section is being repaired, replaced, or recovered, only the repaired, replaced, or recovered portion is required to be constructed in accordance with the Florida Building Code in effect, as applicable. The Florida Building Commission shall adopt this exception by rule and incorporate it in the Florida Building Code. Notwithstanding s. 553.73 (4), a local government may not adopt by ordinance an administrative or technical amendment to this exception. The legislation was amended in include other significant amendments including those relating to the following: Inspection Documents: Condominium and cooperative associations that are three stories or more in height must have a milestone inspection completed within specific time frames, Milestone Inspection Requirements Condominium and cooperative associations must have a “milestone inspection” performed on each building that is three stories or higher by December 31 of the year in which the building turns 30 years of age (based on the date the certificate of occupancy was issued for the building), and every 10 years thereafter.

● Fee multipliers: The bill creates a new standard for the award of an attorney fee multiplier in property insurance The bill creates a presumption that in property insurance cases, attorney fee awards based on the Lodestar methodology are sufficient and reasonable. Attorney fee multipliers may only be awarded under rare and exceptional circumstances, with evidence that competent counsel could not be hired in a reasonable manner. ● Assignment of benefits: The bill prohibits assignment of the right to obtain attorney fees in suits arising out of a property insurance policy to persons other than a named or omnibus insured or a named beneficiary under the policy. Assignment of Benefits (AOB): The bill revises the definition of “assignment agreement” to include assignments executed by a party that inspects the property, clarifies that public adjuster fees are not an assignment agreement, and clarifies the requirement to provide a Notice of Intent to Initiate Litigation before filing suit. The bill requires that a valid AOB must specify that the assignee will hold harmless the assignor from all liabilities, including attorney fees. Regulation of Insurers and Insurer Transparency: The bill creates a Property Insurer Stability Unit within the OIR to aid in the detection and prevention of insurer insolvencies in the homeowner and condominium unit owners’ insurance market. Conflict with Laws Passed During the 2022 Regular Session: The bill provides that if any law amended by this act was also amended by a law enacted during the 2022 regular session of the legislature, such laws shall be construed as if enacted during the same session of the legislature. depending on the distance from the coast and/or the age of the building. These mandatory inspections are designed to ensure that such buildings are structurally sound so as not to pose a threat to the public health, safety, or welfare of its residents, guests, and surrounding community. Additionally, condominium and cooperative associations are required to complete structural integrity reserve studies (SIRS) and mandatory reserves for any building three stories or higher at least every 10 years after the condominium’s creation. These reports/documents become the official record of the association and as such must be open for inspection by members of the association as well as other entities. Lessee Access to Records: Lessees (renters) have the right to inspect and copy the association’s declaration, bylaws, and rules. Lessees also have the right to inspect the milestone inspection report and structural integrity reserve study inspection reports. Documents on Condominium Website: Documents that the condominium must post on its website include milestone inspection reports and any other inspection reports relating to a structural or life safety inspection of the association property including the most recent SIRS. Mandatory Structural Inspections: Effective May 26, 2022, Florida implemented a statewide structural inspection program for aging condominium and cooperative buildings to ensure that they are structurally sound and do not pose a threat to the public health, safety, or welfare of residents, visitors, vendors, and the general public. [F.S. 553.899] If the building is located within three miles of a coastline, the inspection must be performed by December 31 of the year in which the building turns 25 years of age (based on the date the certitude of occupancy was issued for the building), and every 10 years thereafter. If the certificate of occupancy for a building was issued before July 1, 1992, the initial milestone inspection

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