The 2023 Florida Statutes (including Special Session C)

Title XXXVII
INSURANCE

Chapter 624
INSURANCE CODE: ADMINISTRATION AND GENERAL PROVISIONS

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F.S. 624.437

624.437 “Multiple-employer welfare arrangement” defined; certificate of authority required; penalty.—

(1) For the purposes of ss. 624.436-624.446, the term “multiple-employer welfare arrangement” means an employee welfare benefit plan or any other arrangement which is established or maintained for the purpose of offering or providing health insurance benefits or any other benefits described in s. 624.33, other than life insurance benefits, to the employees of two or more employers, or to their beneficiaries.

(2) No person shall operate, maintain, or, after October 1, 1983, establish a multiple-employer welfare arrangement unless such arrangement has a valid certificate of authority issued by the office.

(3) This section does not apply to a multiple-employer welfare arrangement which offers or provides benefits which are fully insured by an authorized insurer, to an arrangement which is exempt from state insurance regulation in accordance with Pub. L. No. 93-406, the Employee Retirement Income Security Act, or to the state group health insurance program administered pursuant to s. 110.123.

(4)(a) Any person failing to hold a subsisting certificate of authority from the office while operating or maintaining a multiple-employer welfare arrangement shall be subject to a fine of not less than $5,000 or more than $100,000 for each violation.

(b) Any person who operates or maintains a multiple-employer welfare arrangement without a subsisting certificate of authority from the office shall be subject to the cease and desist penalty powers of the office as set forth in ss. 626.9571, 626.9581, 626.9591, and 626.9601.

(c)1. Any person who operates or maintains a multiple-employer welfare arrangement without a subsisting certificate of authority as required under this section commits a felony of the third degree, punishable as provided in s. 775.082 or s. 775.083.

2. Except as provided in subparagraph 1., any person who violates the provisions of ss. 624.437-624.446 commits a misdemeanor of the first degree, punishable as provided in s. 775.082 or s. 775.083.

(d) In addition to the penalties and other enforcement provisions of the Florida Insurance Code, the office is vested with the power to seek both temporary and permanent injunctive relief when:

1. A multiple-employer welfare arrangement is being operated by any person or entity without a subsisting certificate of authority.

2. Any person, entity, or multiple-employer welfare arrangement has engaged in any activity prohibited by the Florida Insurance Code or by any rule adopted pursuant thereto.

3. Any multiple-employer welfare arrangement, person, or entity is renewing, issuing, or delivering a policy, contract, certificate, summary plan description, or other evidence of the benefits and coverages provided to employees or employee family members without a subsisting certificate of authority.

The office’s authority to seek injunctive relief shall not be conditioned on having conducted any proceeding pursuant to chapter 120. The authority vested in the office by virtue of the operation of this section shall not act to reduce any other enforcement remedy or power to seek injunctive relief that may otherwise be available to the office.

History.—s. 3, ch. 83-203; s. 3, ch. 84-94; s. 2, ch. 85-212; ss. 24, 187, 188, ch. 91-108; s. 4, ch. 91-429; s. 809, ch. 2003-261; s. 3, ch. 2004-347.

F.S. 624.437 on Google Scholar

F.S. 624.437 on Casetext

Amendments to 624.437

Arrestable Offenses / Crimes under Fla. Stat. 624.437

Level: Degree
Misdemeanor/Felony: First/Second/Third

S624.437 4c1 - PUBLIC ORDER CRIMES - OPER MULT EMP WELFARE ARRANGE WO CERTIF - F: T

S624.437 4c2 - PUBLIC ORDER CRIMES - VIOL MULT EMP WELFARE ARRANGE LAW - M: F

Annotations, Discussions, Cases:

Cases from cite.case.law:

In INTERNATIONAL FORUM OF FLORIDA HEALTH BENEFIT TRUST, a ACTRON CONTRACTORS EQUIPMENT, v. SOUTH BROWARD HOSPITAL DISTRICT, a d b a Dr. St. s, 607 So. 2d 432 (Fla. Dist. Ct. App. 1992)

. . . . § 624.437(1), Fla.Stat. (1989). . . .

FLORIDA AUTOMOBILE DEALERS INDUSTRY BENEFIT TRUST, v. N. SMALL,, 592 So. 2d 1179 (Fla. Dist. Ct. App. 1992)

. . . A MEWA is defined in Section 624.437(1), Florida Statutes (1989), as follows: [A]n employee welfare benefit . . . Although, as earlier stated, a MEWA is defined in section 624.437, which is placed under Part III of . . .

DEPARTMENT OF INSURANCE v. DEALERS ASSOCIATION PLAN, 31 Fla. Supp. 2d 168 (Fla. Div. Admin. Hearings 1988)

. . . and desist order and an administrative fine of not less than $5,000 or more than $10,000 under FS § 624.437 . . . The second count alleged violations of FS § 624.437(4)(a) and (b), § 626.891(l)(b), and § 626.89l(2)( . . . FS § 624.437(1). Numerous requirements must be met for a MEWA to obtain a certificate of approval. . . . FS § 624.437(4)(a) and (b). C. . . . FS § 624.437(4)(a) and (b). These terms are not defined in the Act. . . .