Welcome to the
Office of Insurance Regulation
;
Palm Beach Windstorm Self-Insurance Trust
The Office issued a
Consent Order accepting the surrender.
The Palm Beach Windstorm Self-Insurance Trust (Trust) was licensed on January 16, 2008. As indicated
in the Consent Order, the license was issued based on certain conditions the Trust promised to meet.
On July 23, 2008 the Office of Insurance Regulation issued to the Trust an
Order to Cease and Desist operating as a self-insurance fund
alleging the Trust had not met all of the conditions it promised to meet. Soon thereafter, the Trust met with
Office officials to demonstrate they were meeting most of the conditions set forth in the original Consent
Order, and that they would soon meet the remaining conditions.
Upon review of the Trust’s records, the Office found previously undisclosed information and other
documentation that led to the Office’s issuance on November 24, 2008 of an
Immediate Final Order revoking
the Trust’s license.
Under Florida law, the Trust had 21 days from the receipt of the Order to file a petition for a hearing
at the Division of Administrative Hearings (DOAH) to contest the Office’s allegations. The Trust filed
a petition within 21 days, and the Office forwarded the petition to DOAH. The DOAH judge agreed to the parties'
request to put the matter in abeyance until the Florida Legislative Session concluded on May 8. For several
weeks thereafter, the parties met to resolve differences, and on May 26, the Office issued a
Consent Order
accepting the Trust’s surrender of its license.
The Consent Order requires the Trust to continue to honor all claims and liabilities arising under its
contractual obligations pursuant to all policies issued in this state. Furthermore, the Trust agrees that
the Office shall retain jurisdiction over Palm Beach to enforce the Florida Insurance Code provisions
applicable to the satisfaction of any remaining current or future claims, liabilities or other obligations
which may arise in this state.
The Trust also agrees that it will immediately begin the process of moving its members out of the trust
by cancelling or non-renewing members' existing coverage and working with each member to obtain replacement
coverage with an insurance carrier authorized to transact insurance in the state of Florida. The Trust must
complete this process prior to June 1, 2009.
Anyone with questions about this matter may call the Office’s Communication Office at (850) 413-2515.