H1305 Changes made on the Senate Floor

– Late Breaking News –
HB1305 “Beach Plan” Goes to the Senate Floor

HB1305 was read in on the Senate Floor late Wednesday afternoon and passed second and third reading by a vote of 42-5 and will now go back to the House for concurrence.  However some last minute amendments were introduced on the Senate floor that changed at least one of the amendments that were changed when the bill was in the Senate Commerce Committee earlier in the day.  Sen. Phil Berger introduced an amendment to reduce the compromise the $1 Million dollar coverage limit back down to $750,000.  The amendment unfortunately passed 43-4 with Sen. Boseman, Brown, Hartsell, and Swindell voting against it.  Sen. Goodall introduced an amendment to increase the surcharges back to the 10% and 20% as it was listed in the bill has it came over from the House.  Thankfully, this amendment failed 6-40.  Additionally, Senator Tony Rand provided a number of amendments which were adopted by the Senate. These amendments are significant and tremendously beneficial.

They include:

• deleted the January 1, 2010 effective date, meaning that the surcharges of 5% (wind) and 15% (homeowners) will go into effect when the bill becomes law
• deleted the section on special surcharges, precluding additional surcharges being expanded to COMMERCIAL and DWELLING policies
• in rate filings, places the burden on the Rate Bureau to prove that proposed rates are “not excessing, inadequate or unfairly discriminatory”