Key Takeaways
- Florida provides a 14-day free look period for life insurance (21 days for annuities)
- Florida law specifically protects senior consumers (age 65+) from financial exploitation
- Producers must exercise heightened care when recommending products to seniors
- Florida's Senior Protection laws provide civil and criminal penalties for exploitation
- Senior-targeted marketing must comply with advertising standards
Florida Senior Consumer Protections
Florida provides extensive protections for senior consumers, particularly those age 65 and older, with specific laws addressing financial exploitation and unsuitable sales.
Free Look Periods
Florida provides free look periods for insurance products:
Standard Free Look Periods
| Product Type | Free Look Period |
|---|---|
| Life Insurance | 14 days |
| Annuities | 21 days |
| Long-Term Care | 30 days |
| Medicare Supplement | 30 days |
What the Free Look Allows
During the free look period:
- Review the policy completely
- Return for full premium refund
- No penalty for returning
- No questions asked
Exam Tip: Florida's annuity free look is 21 days, life insurance is 14 days, and LTC is 30 days. Know these differences for the exam.
Florida Senior Protection Laws
Exploitation of Elderly Persons
Florida Statute 825.103 prohibits financial exploitation of elderly persons (65+):
| Protection | Requirement |
|---|---|
| Prohibited Conduct | Exploiting elderly for financial gain |
| Reporting | Mandatory reporting of suspected abuse |
| Penalties | Criminal prosecution |
| Civil Remedies | Victims can sue for damages |
Signs of Financial Exploitation
Producers should watch for:
- Sudden changes in financial decisions
- New "advisors" or "friends" involved
- Pressure from third parties
- Senior cannot explain transactions
- Signs of confusion or coercion
Enhanced Suitability for Seniors
When working with seniors, producers must consider:
Senior-Specific Factors
| Factor | Consideration |
|---|---|
| Life Expectancy | Will surrender period exceed life expectancy? |
| Liquidity Needs | Will funds be needed for healthcare? |
| Cognitive Ability | Does senior understand the product? |
| Fixed Income | Is premium affordable? |
| Existing Coverage | Are there duplicate policies? |
| Medicare/Medicaid | How will purchase affect benefits? |
Red Flags for Senior Sales
DFS and OIR scrutinize sales with:
- Surrender periods extending past age 85
- Long surrender periods (10+ years)
- High surrender charges
- Complex products
- Pattern of replacements
Senior Seminar Rules
Florida regulates marketing events targeting seniors:
Requirements for Senior Events
| Requirement | Details |
|---|---|
| Identification | Must identify as insurance sales |
| No False Urgency | Cannot pressure immediate decisions |
| Balanced Information | Present risks and benefits |
| Disclosure | Identify producer and insurer |
Prohibited Practices
- Implying government or Medicare endorsement
- Using scare tactics
- Creating false urgency
- Making impossible guarantees
- Discouraging family consultation
Senior Replacement Protections
Florida has requirements when replacing insurance for seniors:
Replacement Documentation
| Requirement | Details |
|---|---|
| Comparison | Side-by-side of old and new |
| Surrender Charges | Both contracts |
| Benefits | What is gained and lost |
| Acknowledgment | Senior signs understanding |
Penalties for Senior Violations
Florida provides significant penalties for violations involving seniors:
Criminal Penalties
Under F.S. 825.103 (Exploitation of Elderly):
| Violation | Classification |
|---|---|
| $10,000-$50,000 | 2nd degree felony |
| $50,000-$100,000 | 1st degree felony |
| Over $100,000 | 1st degree felony (enhanced) |
Administrative Penalties
| Violation | Potential Penalty |
|---|---|
| Unsuitable sale | Fine, suspension |
| Pattern of violations | License revocation |
| Senior exploitation | Criminal referral |
| Consumer harm | Required restitution |
Aggravating Factors
Regulators consider:
- Victim's age and vulnerability
- Financial harm caused
- Whether conduct was intentional
- Producer's prior history
DFS Senior Protection Resources
Florida DFS provides senior-focused resources:
Consumer Assistance
| Resource | Description |
|---|---|
| Senior Helpline | Direct assistance |
| Fraud Hotline | Report suspected abuse |
| Educational Programs | Senior-focused education |
| SHINE Program | Medicare counseling |
SHINE Program
Serving Health Insurance Needs of Elders:
- Free Medicare counseling
- Help with Medicare choices
- Understanding benefits
- Available statewide
Exam Tip: Florida takes senior protection very seriously. The SHINE program is a unique Florida resource providing free Medicare counseling to seniors.
What is the free look period for life insurance in Florida?
At what age does Florida's elderly protection statute (F.S. 825.103) apply?
What is the SHINE program in Florida?
Which factor should producers especially consider when recommending annuities to seniors?
What classification of felony is exploiting an elderly person for $75,000 in Florida?