What's happening
This bill prohibits auto insurers from canceling, refusing to renew, or changing coverage solely because of disputed claims or related complaints.
Why it matters
Protects consumers from retaliation. This bill ensures that drivers are not punished by their insurer simply for disputing a claim or filing a complaint, helping maintain fair access to necessary coverage during disagreements.
Encourages policyholders to assert their rights. By removing the threat of losing or diminishing coverage, the bill empowers individuals to challenge claim denials or mistreatment by insurers without fear of adverse consequences.
Promotes accountability and transparency in insurance practices. Insurers will need to provide more substantial reasons for non-renewal or changes in coverage, leading to more transparent and justifiable decision-making.
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Who cares
Headline styles
Protect Drivers During Claim Disputes
Plain English, a few words. Used as the page title.
Sponsors
9 Co-sponsors
2 Multi-sponsors
History
- Ordered to third reading cal.2
- Advanced to third reading cal.364
- Reported
- Reported referred to codes
- Referred to insurance
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
86
2019-2020 Regular Sessions
IN ASSEMBLY (Prefiled)
January 9, 2019
Introduced by M. of A. PERRY, DICKENS, TAYLOR, BARRON, BLAKE, COLTON, COOK, WILLIAMS, D'URSO, SEAWRIGHT -- Multi-Sponsored by -- M. of A. HYNDMAN, ORTIZ -- read once and referred to the Committee on Insurance
AN ACT to amend the insurance law, in relation to prohibiting an insurer from cancelling or refusing to renew or condition its renewal of automobile insurance policies in certain cases
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 3425 of the insurance law is amended by adding a new subsection (t) to read as follows:
(t) No insurer shall cancel or refuse to renew a policy covering a private passenger automobile, or to condition its renewal upon change of limits or elimination of any coverages solely on the basis that a claim filed by the insured with the insurer is in dispute, or that a complaint by the insured against the insurer resulting from the disputed claim is pending with the department.
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02625-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.