RELATING TO INSURANCE FRAUD.

Establishes a centralized insurance fraud database accessible to law enforcement, prosecutors, and other regulators to share data on fraud reports, licensing records, and enforcement outcomes.

Prohibits 'claims harvesting' and requires clear written disclosure for post-loss insurance assignments, preventing insurers from forcing assignments as a condition of emergency services.

Adds specific prohibitions against using runners, call centers, or social media campaigns to obtain insurance claims through deception or coercion.

Updates definitions to include 'predictive analytics' and broadens the scope of 'disaster-related activity' to include county-declared emergencies.

Changes the bill's effective date from July 1, 3000, to July 1, 2050.

Updates internal document metadata, including author names, revision numbers, and file identifiers.

Added 'local state of emergency' to the definition of disaster-related activities to ensure laws apply during local emergencies, not just statewide ones.

Created a new definition for 'litigation financing arrangement' to distinguish between legitimate legal funding and arrangements that create a financial interest in insurance claims, which are now prohibited.

Added explicit prohibitions against requiring policyholders to sign over their insurance benefits as a condition for receiving emergency services.

Changed enforcement language from 'heightened' to 'enhanced' standards and added 'coercive' to the list of prohibited advertising tactics during emergencies.

Modified the penalty for business entities to be 'additionally liable' rather than just liable, clarifying that a company can be punished even if it lacked direct knowledge of the fraud committed by its employees.

Updated the bill's effective date from the year 3000 to 2030 and changed the House designation from HD1 to HD2.

Removed definitions for 'claim harvesting' and 'post-loss assignment abuse' and updated 'fraud analytics' to focus on AI and data mining techniques.

Simplified the list of prohibited solicitation methods and updated the definition of 'disaster-related insurance activity' to include a broader range of services during emergencies.

Added a new requirement for insurers to provide a civil cause of action to recover payments from individuals who commit insurance fraud under the new part.

Added a new section appropriating funds from the compliance resolution fund specifically for insurance fraud investigations in fiscal year 2026-2027.

Changed the effective date of the Act from July 1, 2026, to July 1, 3000, indicating this is a placeholder version pending final approval.

Updated the bill title and metadata to reflect the House Committee version (HD1) and corrected formatting inconsistencies.