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Who cares
Headline styles
Sponsors
2 Co-sponsors
History
- Referred to insurance
- Referred to insurance
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Provides for the revocation of insurers license and prohibit sale of new policies where insurer cancels or fails to renew two percent or more of home owner policies
In Assembly Committee · Insurance · Sponsor Janele Hyer-Spencer
Full text
The text isn't available here yet. Check nysenate.gov.
Sponsor's memo
Title of bill
An act to amend the insurance law, in relation to revoking an insurer license for canceling two percent or more of its homeowner policies in the state
Purpose
Provides for the revocation of insurers license and prohibit sale of new policies where insurer cancels or fails to renew two percent or more of homeowner policies.
Summary of provisions
Section 1104 of the insurance law is amended by adding a new subsection (e).
Existing law
None.
Justification
One of New York's largest insurers, Allstate, recently announced plans to cancel or "non renew" more than 28,000 homeowner's insurance policies in the coastal portions of New York City, Westchester County and Long Island, However, because this matter represents less than 4% of their total policies in New York State, Allstate is not required to notify the State Insurance Department of their plans or take any steps to ensure that their departure from this segment of the market is conducted in an orderly manner to minimize the disruption that is sure to be caused by so many homeowners scrambling for replacement coverage.
Providing for a lower percentage of permissible cancellations, or non-renewals, of homeowners policies will help protect homeowners' rights while ensuring that companies do not "dump" a potential risk pool onto the open market that there may not be enough market capacity to accommodate. Furthermore, to ensure compliance with such regulation, the State Insurance Department needs to be able to take disciplinary action - including license revocation - against insurers and underwriters who violate this law.
Legislative history
2007: S.1995
Effective date
Immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.