Jeffrey M. Liggio
Do the Regulators really regulate?
For many years, Florida has allowed health insurers to sell group policies within the state, that are not subject to much regulation in the state, under a statute known as the out-of-state group law, Fla. Stat. 627.6515: http://archive.flsenate.gov/Statutes/index.cfm?App_mode=Display_Statute&Search_String=&URL=0600-0699/0627/Sections/0627.6515.html
Part of that statute requires that the certificate that the insured receives must contain language, in contrasting color and not less than 10-point type the following statement: “The benefits of the policy providing your coverage are governed primarily by the law of a state other than Florida”
A number of years ago, out of state group companies whined to the Florida regulators that they did not have color printers (imagine that, aren’t color printers expensive and exotic nowadays?!)
The Florida Regulators told the out of state group insurers that instead, they could put the notice language in a grey shaded box…..
When I was in school, grey didn’t count as a “contrasting color”…..
So now the out of state group insurers can in the page right after their fancy, full color cover page put this important, statutorily mandated, warning language, that is supposed to alert the consumer that, maybe they aren’t protected by Florida Law, in a grey shaded box, and then in a lawsuit defend on the basis that the regulators permitted them to ignore the statute.