The national guide covers the foundations of life insurance: insurable interest, the application and underwriting, premium factors, and agent responsibilities in the field. Florida puts several of these rules into statute. The main ones are insurable interest (627.404), the buyer's guide and solicitation rules (626.99), the viatical settlement law (626.991 and following) and a set of anti-discrimination rules.

Insurable interest (627.404)

• Insurable interest must exist when the contract is made. It doesn't have to continue after that.
• Recognized interests:
  • a close relationship by blood or law, with love and affection
  • a lawful expectation of substantial financial advantage from the insured's continued life
• STOLI (stranger-originated life insurance), where a policy is bought for investors who lack an insurable interest, is prohibited.

Solicitation and the buyer's guide (626.99)

• Before presenting, the agent must say he is a life insurance agent and give the insurer's full name.
• Titles like "financial planner" or "investment adviser" can't be used to suggest an advisory business that doesn't exist.
• Any mention of dividends must say they aren't guaranteed.
• Cost comparisons must use methods that account for the time value of money. The policy summary shows surrender cost and net payment cost indexes for 10 and 20 years.
• Buyer's guide and policy summary: delivered before the initial premium is accepted, unless the policy has an unconditional refund of at least 14 days. Failing to deliver them is treated as misrepresentation.
• Exempt from 626.99: annuities (which have their own rules), credit life, group life, ERISA plans and variable life, unless specifically included.
• Readability: policies must score at least 45 on the Flesch reading ease test (627.4145).
• Delivery: within 60 days after coverage takes effect (627.421).

Underwriting limits

• Genetic information can't be used to deny, limit or rate life, health or LTC coverage without a diagnosis (627.4301).
• Sickle-cell trait: life insurers can't refuse or surcharge solely because of it (626.9706).
• Severe disability: life insurers can't refuse or unfairly rate solely because of it. This includes vision of 20/200 or worse (626.9705).
• HIV testing requires disclosure and written informed consent (627.429).

Viatical (life) settlements

• Providers must be licensed by OIR (626.9912).
• Brokers: Florida has no separate broker license. Only a licensed life agent who self-appoints with DFS as a viatical settlement broker may negotiate settlements (626.9916). The broker represents only the viator and owes a fiduciary duty to him (626.9911).
• Rescission: the viator may rescind within 15 days after receiving the proceeds, by returning them (626.9924).
• Settlements close through an independent escrow agent or trustee.

Unclaimed proceeds

• Life and annuity funds are presumed abandoned if unclaimed more than 5 years after the death. DFS administers unclaimed property (717.107).

Exam traps

• Insurable interest is needed at inception only.
• The buyer's guide may come with the policy only if there is a 14-day free look.
• Viatical brokers are life agents who self-appoint. The viator's rescission right lasts 15 days after receiving the money.