The 2023 Florida Statutes (including Special Session C)

Title XXXVII
INSURANCE

Chapter 627
INSURANCE RATES AND CONTRACTS

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F.S. 627.7283

627.7283 Cancellation; return of unearned premium.—

(1) If the insured cancels a policy of motor vehicle insurance, the insurer must mail or electronically transfer the unearned portion of any premium paid within 30 days after the effective date of the policy cancellation or receipt of notice or request for cancellation, whichever is later. This requirement applies to a cancellation initiated by an insured for any reason. However, the insured may elect to apply the unearned portion of any premium paid to unpaid balances of other policies with the same insurer or insurer group.

(2) If an insurer cancels a policy of motor vehicle insurance, the insurer must mail or electronically transfer the unearned premium portion of any premium within 15 days after the effective date of the policy cancellation. However, the insured may elect to apply the unearned portion of any premium paid to unpaid balances of other policies with the same insurer or insurer group.

(3) If the unearned premium is not mailed, electronically transferred, or applied to the unpaid balance of other policies within the applicable period, the insurer must pay to the insured 8 percent interest on the amount due. If the unearned premium is not mailed or electronically transferred within 45 days after the applicable period, the insured may bring an action against the insurer pursuant to s. 624.155.

(4) If the insured cancels, the insurer may retain up to 10 percent of the unearned premium and must refund at least 90 percent of the unearned premium. If the insurer cancels, the insurer must refund 100 percent of the unearned premium. Cancellation is without prejudice to any claim originating prior to the effective date of the cancellation. For purposes of this section, unearned premiums must be computed on a pro rata basis.

(5) The insurer must refund 100 percent of the unearned premium if the insured is a servicemember, as defined in s. 250.01, who cancels because he or she is called to active duty or transferred by the United States Armed Forces to a location where the insurance is not required. The insurer may require a servicemember to submit either a copy of the official military orders or a written verification signed by the servicemember’s commanding officer to support the refund authorized under this subsection. If the insurer cancels, the insurer must refund 100 percent of the unearned premium. Cancellation is without prejudice to any claim originating prior to the effective date of the cancellation. For purposes of this section, unearned premiums must be computed on a pro rata basis.

History.—s. 1, ch. 86-262; s. 2, ch. 87-50; ss. 82, 114, ch. 92-318; s. 7, ch. 2002-282; s. 18, ch. 2003-72; s. 9, ch. 2014-103; s. 3, ch. 2016-133; s. 27, ch. 2022-183.

F.S. 627.7283 on Google Scholar

F.S. 627.7283 on Casetext

Amendments to 627.7283

Arrestable Offenses / Crimes under Fla. Stat. 627.7283

Level: Degree
Misdemeanor/Felony: First/Second/Third

Current data shows no reason an arrest or criminal charge should have occurred directly under Florida Statute 627.7283.

Annotations, Discussions, Cases:

Cases from cite.case.law:

GOVERNMENT EMPLOYEES INSURANCE COMPANY, v. KISHA,, 160 So. 3d 549 (Fla. Dist. Ct. App. 2015)

. . . GEICO asserts it keeps the payment for this period of time in order to comply with section 627.7283(2 . . . period, the insurer will owe the insured 8% interest on the unearned premium due until it is returned. § 627.7283 . . .

CANAL INSURANCE COMPANY, v. GIBRALTAR BUDGET PLAN, INC., 41 So. 3d 375 (Fla. Dist. Ct. App. 2010)

. . . Pursuant to section 627.7283, Florida Statutes (2004), insurance carriers are required to pay interest . . .

UNITED INSURANCE COMPANY OF AMERICA, v. OFFICE OF INSURANCE REGULATION, Of, 985 So. 2d 665 (Fla. Dist. Ct. App. 2008)

. . . disability insurance or charging discriminatory rate solely on basis person has sickle-cell trait); and 627.7283 . . .

INC. v. MARYLAND CASUALTY COMPANY,, 625 F. Supp. 2d 1179 (N.D. Fla. 2008)

. . . Section 627.7283. . . . .

PURITAN BUDGET PLAN, INC. Co. MHD v. AMSTAR INSURANCE COMPANY,, 964 So. 2d 769 (Fla. Dist. Ct. App. 2007)

. . . Where there is no financing, the applicable statute is section 627.7283, Florida Statutes, which provides . . . court reasoned that, because section 627.848 does not specifically provide for interest, while section 627.7283 . . . These assignments give plaintiffs the same rights as the insureds to recover interest under section 627.7283 . . . based on the assignments, which give the premium financ-ers the right to recover interest under section 627.7283 . . .

DADELAND DEPOT, INC. v. ST. PAUL FIRE AND MARINE INSURANCE CO., 945 So. 2d 1216 (Fla. 2006)

. . . Section 627.7283. (b) By the commission of any of the following acts by the insurer: 1. . . .

FLA ORTHOPEDICS, INC. v. AMERICAN INSURANCE COMPANY,, 896 So. 2d 1 (Fla. Dist. Ct. App. 2004)

. . . remedy for violations of sections 626.9541(1)®,(o), or (x); 626.9551; 626.9705; 626.9706; 626.9707; and 627.7283 . . .

ISASI, v. AMERICAN COLONIAL INSURANCE COMPANY,, 863 So. 2d 1240 (Fla. Dist. Ct. App. 2003)

. . . enforce an insurance carrier’s obligation to pay interest on unearned premiums, pursuant to section 627.7283 . . . The carrier moved for summary judgment on the ground that section 627.7283, Florida Statutes (1999), . . . Section 627.7283(1) provides: If the insured or insurer cancels a policy of motor vehicle insurance, . . . The carrier responds that section 627.7283 does limit the theory by which an insured may seek recovery . . . In doing so, we hold that section 627.7283 “permits” an insured to pursue a claim for interest on an . . .

PARSONS, v. HARBOR SPECIALTY INSURANCE COMPANY,, 839 So. 2d 742 (Fla. Dist. Ct. App. 2003)

. . . The application of section 627.7283, Florida Statutes (2001), to a claim for interest on an unearned . . . Section 627.7283, provides: (1)If the insured or insurer cancels a policy of motor vehicle insurance, . . . We acknowledge that section 627.7283, does not contain the magic language that it “abrogates the common . . . We have no quarrel with the principle, but finds its application lost in the context of section 627.7283 . . . We further hold that section 627.7283, does not deny the plaintiff access to the courts. . . .

STINSON, v. UNITED AUTOMOBILE INSURANCE COMPANY,, 734 So. 2d 505 (Fla. Dist. Ct. App. 1999)

. . . The complaint requested a declaration of rights with regard to sections 627.7282 and 627.7283, Florida . . . The complaint also alleged a violation of section 627.7283(1) which governs the time allowed for the . . . lack of subject matter jurisdiction arguing that the sole remedy available for a violation of section 627.7283 . . . insurer when such person is damaged by a violation of certain enumerated statutes, including section 627.7283 . . . the insurer of their intent to bring a civil action as a result of an alleged violation of section 627.7283 . . .

STATE FARM FIRE CASUALTY COMPANY, v. ZEBROWSKI,, 706 So. 2d 275 (Fla. 1997)

. . . Section 627.7283. (b) By the commission of any of the following acts by the insurer: 1. . . .

ZEBROWSKI a k a v. STATE FARM FIRE CASUALTY COMPANY,, 673 So. 2d 562 (Fla. Dist. Ct. App. 1996)

. . . Section 627.7283. (b) By the commission of any of the following acts by the insurer: 1. . . .