What's happening
This bill expedites court procedures for insurance claims involving property damage in areas under a state disaster emergency in New York.
Why it matters
Requires courts to expedite handling of insurance claims. after a declared state disaster emergency, ensuring faster resolution for property owners needing relief.
Mandates early and structured court conferences. preliminary conferences must occur within 30 days and settlement conferences within 14 days after certain filings—potentially speeding up negotiations and settlements between policyholders and insurers.
Sets strict timelines for discovery (60 days) and court motions (30 days after a note of issue). , aiming to limit delays and move cases toward resolution more quickly, with penalties for parties that stall the process.
Applies specifically to property damage claims related to the disaster,. meaning residents and businesses in disaster-affected areas may see swifter insurance payouts or court decisions, which could help with faster recovery and rebuilding efforts.
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Who cares
Headline styles
Speed Up Disaster Insurance Claims
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to judiciary
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.
Speed Up Disaster Insurance Claims
Assembly Floor Calendar · Sponsor Matthew Titone
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
8756
IN SENATE
May 11, 2018
Introduced by Sen. LANZA -- read twice and ordered printed, and when printed to be committed to the Committee on Judiciary
AN ACT to amend the civil practice law and rules, in relation to expediting actions involving insurance claims for damages resulting from a state disaster emergency
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The civil practice law and rules is amended by adding three new rules 3410, 3411 and 3412 to read as follows:
Rule 3410. Mandatory preliminary conference in certain insurance actions. (a) In any action involving an insurance claim for damages occurring to property in a county where a state disaster emergency has been declared by the governor pursuant to section twenty-eight of the executive law relating to any claim arising from the cause of such declaration, the court shall hold a preliminary conference within thirty days after the request for judicial intervention is filed.
(b) At any conference held pursuant to this rule, all parties shall appear in person or by counsel, and if appearing by counsel, such counsel shall be fully authorized to dispose of the case. In the court's discretion, the court may permit a representative of any party to attend the settlement conference telephonically or by video-conference.
(c) Upon filing of a request for judicial intervention, the court shall promptly send a notice to parties advising them of the time and place of the conference, the purpose of the conference and the requirements of this rule. The notice shall be in a form prescribed by the office of court administration, or, at the discretion of the office of court administration, the administrative judge of the judicial district in which the action is pending, and shall advise the parties of the documents that they should bring to the conference.
(d) No adjournment in excess of ten days shall be granted by the court for any such preliminary conference, and such an adjournment shall only be granted upon good cause shown.
(e) Discovery shall be completed within sixty days from the date of the preliminary conference, and penalties may be assessed against any
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD09199-01-7
S. 8756 2
party as per section three thousand one hundred twenty-six of this chapter for refusal to comply with discovery within said sixty day time period. The court may extend said sixty day time period sua sponte in the interest of justice, or upon good cause shown by any party.
Rule 3411. Mandatory settlement conference in certain insurance actions. In any action involving an insurance claim for damages occurring to property in a county where a state disaster emergency has been declared by the governor pursuant to section twenty-eight of the executive law relating to any claim arising from the cause of such declaration, the court shall hold a mandatory settlement conference within fourteen days after a note of issue has been filed for the purpose of holding settlement discussions pertaining to such insurance claims.
Rule 3412. Motions in certain insurance actions. (a) Notwithstanding subdivision (a) of rule thirty-two hundred twelve of this chapter, in any action involving an insurance claim for damages occurring to property in a county where a state disaster emergency has been declared by the governor pursuant to section twenty-eight of the executive law relating to any claim arising from the cause of such declaration, all pre-trial motions shall be made within thirty days after the note of issue is filed.
(b) This rule shall not apply to claims involving reinsurance.
§ 2. Subdivision (a) of rule 3403 of the civil practice law and rules is amended by adding a new paragraph 7 to read as follows:
7. an action to recover damages resulting from damage to property in a county caused by a natural disaster upon declaration of a state disaster emergency by the governor pursuant to section twenty-eight of the executive law relating to any claim arising from the cause of such declaration.
§ 3. This act shall take effect immediately.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the civil practice law and rules, in relation to expe- diting actions involving insurance claims for damages resulting from a state disaster emergency
Purpose or general idea of bill
To expedite actions involving insurance claims for damages resulting from a state disaster emergency and to provide mandatory guidelines
Summary of provisions
Section 1 would add new rules 3410, 3411, and 3412 to the civil practice law and rules, and create a mandatory expedited preliminary conference for property damage claims against insurers for damages sustained by insured's in counties where a State Disaster Emergency has declared by the Governor pursuant to Executive Law Section 29-a.
Section 2 would amend rule 3403 (a) of the civil practice law and rules to allow such litigation to be granted a special trial preference, thus expediting ultimate resolution of same. Section 3 states that this act shall take effect immediately.
Difference between original and amended version (if applicable)
N/A
Justification
Where many insurers have dealt with the victims of property damage loss- es sustained as the result of State Disaster Emergencies, i.e. most recently Storm Sandy, in a responsible and timely manner, some insurers have not. This has resulted in litigation by property owners, i.e. home- owners, to enforce their rights under contracts of insurance. Many of these property owner insured's have sustained utter financial ruin due to severe property damage losses, and this bill seeks to allow for a swift and certain resolution of their claims against their insurers in Court. For example, there is no reason why an individual who has lost their home and all of their belongings due to Storm Sandy should have to wait years for their claims against their insurer to be adjudicated in Court. This bill requires that upon institution of an action by an insured against an insurer for damages related to a State Disaster Emer- gency as declared by the Governor, the Court shall hold a preliminary conference within thirty days after the request for judicial inter- vention is filed. In addition, this bill requires that all parties shall appear for preliminary conference by a person fully authorized to dispose of the case. It is hoped that requiring same will permit many of such actions to be resolved without the need for further proceedings. For actions which cannot be resolved at the preliminary conference, the bill requires that discovery be completed within 60 days of the holding of the conference, absent good cause shown. Finally, this bill allows for these types of actions to be given a special trial preference, and be tried in advance of most other types of litigation. An expedited discovery schedule and a special trial preference represent a recogni- tion that property owners who have all too often lost all of the possessions due to natural disaster, as declared by the Governor, should have the ability to obtain prompt and swift adjudication of their claims against any insurers who would ostensibly be contractually responsible to them.
Prior legislative history
(2013-2014) - A5570 Ordered to third reading cal. 263 (2015-2016) - A2946 Referred to Judiciary
Fiscal implications for state and local governments
No negative effects anticipated. If contractual claims against insurers are resolved in a more timely manner, there may be some positive effects upon State and Local government disaster-related expenditures.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.