Relates to boating liability insurance rates

Title of bill

An act to amend the insurance law, in relation to boating liability insurance rates

Purpose or general idea of bill

This bill would reduce the number of boating accidents by requiring that insurance carriers licensed to issue yacht or boating liability insurance in this state, grant actuarially appropriate rate reductions to any owner of a yacht or boat who has successfully completed a boating safety course that was approved by the Commission of Parks.

Summary of specific provisions

This bill creates a new section 2336-b of the Insurance law.

Section 1 provides that any schedule of rates or rating plan for yacht or boating liability provide for an actuarially appropriate reduction in premium charges for any insured who has successfully completed a boating safety course which has been approved by the Commissioner of Parks, Recreation and Historic Preservation.

Section 2 provides that the new law shall take effect immediately and shall apply to all policies and contracts issued, renewed, modified or altered on or after the effective date.

Currently, Navigation Law, Section 78-a authorizes, but does not require, licensed insurance carriers to grant premium reductions to any yacht and boat owner who has successfully completed a boating safety course or holds a valid United States Coast Guard operators license.

Insurance Law 2336-a authorizes licensed insurance carriers to grant actuarially appropriate rate reductions to any insured person who has successfully completed a snowmobile safety course that has been approved by the Commissioner of Parks, Recreation and Historic Preservation.

This legislation would be similar for boating insurance as it is for snowmobile.

Justification

The noticeable increase in boat traffic within and surrounding New York's waterways has led to an increased potential for boating accidents.

Many municipalities have maritime police and patrols and emergency response units, but there is not enough emphasis placed on accident prevention through education. The State Office of Parks, Recreation and Historic Preservation maintains a list of offerings of the New York State Safety Boating Course, but related sections of the Navigation Law are focused on youthful boat operators and operators of personal watercraft.

Both New Jersey and Connecticut already require that the operator of a boat possess a certificate showing that he or she has passed an approved boating safety course. However, legislative proposals to require New York boat operators to pass boating safety courses have so far not met with approval - even when drafted to affect only certain areas of the state, such as Westchester County, with heavily trafficked waterways.

This legislation would encourage New York boat owners to take boating safety courses by qualifying them for reduced liability insurance premiums. Assuring that boat owners are better educated is an important first step in reaching all boat operators. The result will be better-educated boaters and safer waterways.

Prior legislative history

2008 - S.2381 - Referred to Insurance Committee. FISCAL IMPLICATIONS: None Noted.

Effective date

This act shall take effect immediately and shall apply to all policies and contracts issued, renewed, modified or altered on and after such effective date.