Florida Statute 631.51 - Full Text and Legal Analysis

The 2025 Florida Statutes

Title XXXVII
INSURANCE

Chapter 631
INSURER INSOLVENCY; GUARANTY OF PAYMENT

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F.S. 631.51

631.51 Purposes.—The purposes of this part are to:

(1) Provide a mechanism for the payment of covered claims under certain insurance policies to avoid excessive delay in payment and to avoid financial loss to claimants or policyholders because of the insolvency of an insurer;

(2) Assist in the detection and prevention of insurer insolvencies;

(3) Create a nonprofit corporation to administer and supervise the operation of such association; and

(4) Assess the cost of such protection among insurers.

History.—s. 2, ch. 70-20; s. 809(1st), ch. 82-243; ss. 187, 188, ch. 91-108; s. 4, ch. 91-429.

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Amendments to 631.51

Annotations, Discussions, Cases:

Cases Citing Statute 631.51

Total Results: 31

Jones v. Florida Ins. Guar. Ass'n, Inc.

908 So. 2d 435, 2005 WL 1580606

Supreme Court of Florida | Filed: Jul 7, 2005 | Docket: 1724747

Cited 103 times | Published

policyholders because of the insolvency of an insurer." § 631.51(1), Fla. Stat. (1995). The Act specifically provides

Florida Insurance Guaranty Ass'n v. Devon Neighborhood Ass'n

67 So. 3d 187, 36 Fla. L. Weekly Supp. 311, 2011 Fla. LEXIS 1526, 2011 WL 2566399

Supreme Court of Florida | Filed: Jun 30, 2011 | Docket: 434989

Cited 48 times | Published

by insurers which have become insolvent.[2]See § 631.51, Fla. Stat. (2010); O'Malley v. Fla. Ins. Guar

Fernandez v. Florida Ins. Guaranty Ass'n

383 So. 2d 974, 1980 Fla. App. LEXIS 16736

District Court of Appeal of Florida | Filed: May 27, 1980 | Docket: 457563

Cited 15 times | Published

policies of insurers which have become insolvent." § 631.51, Fla. Stat. (1979). In establishing the institution

Snyder v. Douglas

647 So. 2d 275, 1994 WL 685608

District Court of Appeal of Florida | Filed: Dec 9, 1994 | Docket: 437616

Cited 13 times | Published

policyholders because of the insolvency of an insurer." § 631.51(1); see also O'Malley v. Florida Ins. Guar. Ass'n

Hobbs v. Don Mealey Chevrolet, Inc.

642 So. 2d 1149, 1994 WL 515723

District Court of Appeal of Florida | Filed: Sep 23, 1994 | Docket: 1529494

Cited 11 times | Published

sections concerning grounds for rehabilitation (section 631.051), grounds for liquidation (section 631.061)

Florida Insurance Guaranty Ass'n v. Bernard

140 So. 3d 1023, 2014 WL 1921745, 2014 Fla. App. LEXIS 7160

District Court of Appeal of Florida | Filed: May 14, 2014 | Docket: 60241342

Cited 6 times | Published

policyholders because of the insolvency of an insurer.” § 631.51(1), Fla. Stat. Thus, “when an insurer becomes

FLORIDA INS. GUARANTY ASS'N, INC. v. Dolan

355 So. 2d 141, 1978 Fla. App. LEXIS 15295

District Court of Appeal of Florida | Filed: Feb 7, 1978 | Docket: 1360742

Cited 6 times | Published

53. The purposes of this statute, as stated in § 631.51 are as follows: "(1) Provide a mechanism for the

McKenzie Tank Lines, Inc. v. Empire Gas Corp.

538 So. 2d 482, 1989 WL 5672

District Court of Appeal of Florida | Filed: Jan 27, 1989 | Docket: 1517085

Cited 5 times | Published

construed" to effect the purposes set forth in section 631.51. The enumerated purposes found in that section

Interstate Fire & Casualty Co. v. Abernathy

93 So. 3d 352, 2012 WL 1883116, 2012 Fla. App. LEXIS 8278

District Court of Appeal of Florida | Filed: May 24, 2012 | Docket: 60310552

Cited 4 times | Published

“[a]ssess the cost of such protection among insurers.” § 631.51(1)-(4), Fla. Stat. (2011). This Act established

Florida Insurance Guaranty Ass'n v. Olympus Ass'n

34 So. 3d 791, 2010 Fla. App. LEXIS 6941, 2010 WL 1979242

District Court of Appeal of Florida | Filed: May 19, 2010 | Docket: 1131175

Cited 4 times | Published

policyholders because of the insolvency of an insurer." § 631.51(1), Fla. Stat. (2008) (emphasis added). But "the

Morrison v. Homewise Preferred Insurance Co.

209 So. 3d 682, 2017 WL 543427, 2017 Fla. App. LEXIS 1648

District Court of Appeal of Florida | Filed: Feb 10, 2017 | Docket: 4586777

Cited 2 times | Published

policyholders after their insurers have become insolvent. § 631.51(1), Fla. Stat. (2011). The FIGA Act is administered

Florida Insurance Guaranty Association, Inc. v. Mendoza and Llanes

193 So. 3d 940, 2016 WL 1445424, 2016 Fla. App. LEXIS 5583

District Court of Appeal of Florida | Filed: Apr 13, 2016 | Docket: 3053145

Cited 2 times | Published

appointed the receiver for that insolvent insurer. § 631.051, Fla; Stat. (2011). As part of DFS’s receivership

FLORIDA INS. GUAR. ASS'N v. Petty

44 So. 3d 1191, 2010 WL 3766879

District Court of Appeal of Florida | Filed: Sep 29, 2010 | Docket: 2542540

Cited 2 times | Published

construed to effect the purposes stated in section 631.51. Section 631.51(1) states that a purpose of the Act

Bartholomew v. Glens Falls Insurance Group

241 So. 2d 698

District Court of Appeal of Florida | Filed: Oct 9, 1970 | Docket: 1455548

Cited 2 times | Published

assets within Florida could be preserved. Section 631.051 "The commissioner may apply to the court for

Leandro de la Fuente v. Florida Insurance Guaranty Association

202 So. 3d 396, 41 Fla. L. Weekly Supp. 473, 2016 Fla. LEXIS 2327

Supreme Court of Florida | Filed: Oct 20, 2016 | Docket: 4481081

Cited 1 times | Published

the cost of such protection among insurers. § 631.51, Fla. Stat. (2011); see 631.57, Fla

New Hampshire Indemnity Company v. John Gray Damil Belizaire etc.

177 So. 3d 56

District Court of Appeal of Florida | Filed: Oct 20, 2015 | Docket: 2991532

Cited 1 times | Published

the insolvency of the insurer. See § 631.51(1).” Jones, 908 So.2d at 454. The court

Devonshire at PGA National, LLC v. State ex rel. Department of Financial Services

103 So. 3d 1060, 2013 WL 132695, 2013 Fla. App. LEXIS 479, 38 Fla. L. Weekly Fed. D 123

District Court of Appeal of Florida | Filed: Jan 11, 2013 | Docket: 60226876

Cited 1 times | Published

corrective plans with which providers must comply.6 Section 631.051, referred to above in subsection 651.114(5)

Florida Insurance Guaranty Ass'n v. Petty

44 So. 3d 1191, 2010 Fla. App. LEXIS 14469

District Court of Appeal of Florida | Filed: Sep 29, 2010 | Docket: 60295548

Cited 1 times | Published

construed to effect the purposes stated in section 631.51. Section 631.51(1) states that a purpose of the Act

FLORIDA INS. GUAR. ASS'N, INC. v. Soto

979 So. 2d 964, 2008 WL 183501

District Court of Appeal of Florida | Filed: Jan 23, 2008 | Docket: 1714377

Cited 1 times | Published

policyholders because of the insolvency of an insurer." § 631.51(1), Fla. Stat. (2001); see also Jones v. Fla.

Queen v. Clearwater Elec., Inc.

555 So. 2d 1262, 1989 WL 151453

District Court of Appeal of Florida | Filed: Jan 26, 1990 | Docket: 1724707

Cited 1 times | Published

certain claims on behalf of insolvent insurers. § 631.51, Fla. Stat. (1983). The recovery guaranteed under

FLORIDA INSURANCE GUARANTY ASSOCIATION v. YANICET REYES

District Court of Appeal of Florida | Filed: Sep 30, 2020 | Docket: 18488448

Published

insureds for covered claims, not all claims. See § 631.51(1); Jones v. Fla. Ins. Guar. Ass'n, 908 So

PHYLIS HEID v. FLORIDA INSURANCE GUARANTY ASSOC.

District Court of Appeal of Florida | Filed: Oct 11, 2019 | Docket: 16322819

Published

because of the insolvency of an insurer." § 631.51(1). The courts have been directed by the Legislature

Gonzalez v. Homewise Preferred Insurance Company

210 So. 3d 260, 2017 WL 603317, 2017 Fla. App. LEXIS 1958

District Court of Appeal of Florida | Filed: Feb 15, 2017 | Docket: 4585348

Published

policyholders because of the insolvency of an insurer,” § 631.51(1). The Act expressly states that it is to be

Florida Office of Insurance Regulation v. Florida Department of Financial Services

159 So. 3d 945, 2015 Fla. App. LEXIS 3576, 2015 WL 1084929

District Court of Appeal of Florida | Filed: Mar 12, 2015 | Docket: 60246713

Published

Regulation.” § 20.121(3)(a)l., Fla. Stat. See also § 631.051, Fla. Stat. (setting forth the grounds upon which

Florida Insurance Guaranty Ass'n v. Karelas

106 So. 3d 1, 2012 WL 6049111, 2012 Fla. App. LEXIS 20814

District Court of Appeal of Florida | Filed: Dec 5, 2012 | Docket: 60228068

Published

631.55(1) mandated the creation of FIGA, and section 631.51(1) provides that its purpose is to ‘[pjrovide

Florida Insurance Guaranty Ass'n v. B.T. of Sunrise Condominium Ass'n

46 So. 3d 1039, 2010 Fla. App. LEXIS 14025, 2010 WL 3655818

District Court of Appeal of Florida | Filed: Sep 22, 2010 | Docket: 60296107

Published

631.55(1) mandated the creation of FIGA, and section 631.51(1) provides that its purpose is to “[p]rovide

Florida Insurance Guaranty Ass'n v. Jones

847 So. 2d 1020, 2003 Fla. App. LEXIS 6538, 28 Fla. L. Weekly Fed. D 1142

District Court of Appeal of Florida | Filed: May 6, 2003 | Docket: 64823417

Published

because of the insolvency of an insurer.” See § 631.51(1), Fla. Stat. (1995). The Association is a statutorily-created

Shear Homes, Inc. v. Sheppard

764 So. 2d 705, 2000 Fla. App. LEXIS 7514, 2000 WL 775590

District Court of Appeal of Florida | Filed: Jun 19, 2000 | Docket: 64799406

Published

policyholders because of the insolvency of an insurer.” § 631.51(1), Fla. Stat. (1991). Self-insur-*707anee was

Provident Capital Indemnity, Ltd. v. State ex rel. Department of Insurance

654 So. 2d 232, 1995 Fla. App. LEXIS 4358, 1995 WL 293968

District Court of Appeal of Florida | Filed: Apr 25, 1995 | Docket: 64755885

Published

other authority for the order, we reverse. Section 631.051 authorizes the department upon specified grounds

Commercial Credit Equipment Corp. v. Florida Insurance Guaranty Ass'n

583 So. 2d 372, 1991 Fla. App. LEXIS 6686, 1991 WL 120798

District Court of Appeal of Florida | Filed: Jul 10, 1991 | Docket: 64660506

Published

the cost of such protection among insurers. Section 631.51, Fla.Stat. (1985). However, appellee’s obligations

Insurance Commissioner v. State ex rel. Department of Insurance

411 So. 2d 269, 1982 Fla. App. LEXIS 19450

District Court of Appeal of Florida | Filed: Mar 11, 1982 | Docket: 64588623

Published

because of the insolvency of a member insurer. See § 631.51, Florida Statutes. FIGA was created in order to