(1) By March 1 of each year, each service agreement company shall submit to the office annual financial reports on forms prescribed by the commission and furnished by the office.
(2) Any motor vehicle service agreement company engaged in the business of issuing service agreements in this state must transmit the following information, based on Florida data, to the office each year with the annual report of the company:

(a) Net assets.

Terms Used In Florida Statutes 634.137

  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
  • Motor vehicle: means :
    (a) A self-propelled device operated solely or primarily upon roadways to transport people or property, or the component part of such a self-propelled device, except such term does not include any self-propelled vehicle, or component part of such vehicle, which:
    1. See Florida Statutes 634.011
  • motor vehicle service agreement: includes any contract or agreement that provides:
    (a) For the coverage or protection defined in this subsection and which is issued or provided in conjunction with an additive product applied to the motor vehicle that is the subject of such contract or agreement;
    (b) For payment of vehicle protection expenses. See Florida Statutes 634.011
  • Premium: means the total amount paid by the agreement holder. See Florida Statutes 634.011
  • service agreement: means any contract or agreement indemnifying the service agreement holder for the motor vehicle listed on the service agreement and arising out of the ownership, operation, and use of the motor vehicle against loss caused by failure of any mechanical or other component part, or any mechanical or other component part that does not function as it was originally intended; however, nothing in this part shall prohibit or affect the giving, free of charge, of the usual performance guarantees by manufacturers or dealers in connection with the sale of motor vehicles. See Florida Statutes 634.011
  • service agreement company: means any corporation, sole proprietorship, or partnership (other than an authorized insurer) issuing motor vehicle service agreements. See Florida Statutes 634.011
(b) Premiums written.
(c) Premiums earned.
(d) Unearned premium reserve.
(e) Percent of claim exposure for which contractual liability insurance has been obtained.
(f) Incurred claims, not including claims incurred but not reported.
(g) Claims incurred but not reported.
(h) Loss reserve for all claims except those incurred but not reported.
(i) Reserves for claims incurred but not reported.
(j) Number and dollar amount of claims paid.
(k) Itemized acquisition costs.
(l) Net gain or loss from operations before income taxes.
(m) Net investment income from all reserves.
(n) Net investment income from surplus.
(o) Ratio of claims paid to premium earned.
(p) Ratio of all claims incurred to premium earned plus investment income from all reserves.
(q) Number of claims resisted.
(r) Any additional information that the commission requires in order to evaluate the financial condition or trade practices of companies issuing service agreements in this state.
(3) Any service agreement company that does not file an annual statement in the form and within the time provided by this section shall forfeit up to $100 for each day during which the default continues, and, upon notice by the office, the authority of the company to do business in this state shall cease while the default continues. The office shall deposit all sums collected under this subsection in the Insurance Regulatory Trust Fund.
(4) The office shall provide a summary of the information provided pursuant to subsection (2) in its annual report.
(5) The commission may by rule require each motor vehicle service agreement company to submit to the office, as the commission may designate, all or part of the information contained in the financial reports required by this section in a computer-readable form compatible with the electronic data processing system specified by the office.
(6) The office shall develop by rule an abbreviated form for motor vehicle manufacturers to use in submitting statistical reporting of sales of service agreements in this state in lieu of the financial reports required in subsections (1) and (2).
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