Bill Text: NY A02911 | 2019-2020 | General Assembly | Introduced


Bill Title: Prohibits insurers from limiting payment on claims for damage to motor vehicles based on pricing caps for labor, parts, paint or repair materials; prohibits insurers from recommending a particular repair facility.

Spectrum: Partisan Bill (Democrat 9-0)

Status: (Introduced - Dead) 2020-01-08 - referred to insurance [A02911 Detail]

Download: New_York-2019-A02911-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                          2911
                               2019-2020 Regular Sessions
                   IN ASSEMBLY
                                    January 28, 2019
                                       ___________
        Introduced by M. of A. MAGNARELLI, ENGLEBRIGHT, GUNTHER, ABINANTI, STECK
          --  Multi-Sponsored by -- M. of A. COLTON, COOK, GALEF, JEAN-PIERRE --
          read once and referred to the Committee on Insurance
        AN ACT to amend the insurance law, in relation to collision  or  compre-
          hensive coverage on motor vehicles
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. Section 2610 of the insurance law is amended  by  adding  a
     2  new subsection (d) to read as follows:
     3    (d)(1)  No  insurer  in  processing  any  such  claim, shall limit the
     4  payment of such claim for damage to a  motor  vehicle  repair  based  on
     5  pricing  caps  for labor, parts, paint or repair materials. All elements
     6  of such a claim for damages shall be negotiated with the insured, or his
     7  or her designated representative, by a duly licensed appraiser.
     8    (2) If a recommendation or suggestion of an automotive repair facility
     9  is made by the insurer, and accepted by the claimant, the insurer  shall
    10  cause  the  damaged  vehicle to be restored to its condition immediately
    11  prior to the loss at no additional  cost  to  the  claimant  other  than
    12  deductions  stated in the policy. Should the insurer fail to restore the
    13  vehicle to its condition immediately prior  to  the  loss,  the  insurer
    14  shall  at  no additional expense to the claimant cause the vehicle to be
    15  restored to its condition immediately prior to the loss at a shop of the
    16  claimant's choice.
    17    § 2. This act shall take effect on the first of January next  succeed-
    18  ing  the date on which it shall have become a law and shall apply to all
    19  policies and contracts issued, renewed, modified, altered or amended  on
    20  or  after  such  effective date; provided, however, that effective imme-
    21  diately, the addition, amendment and/or repeal of any rule or regulation
    22  necessary for the implementation of this act on its effective  date  are
    23  authorized  and  directed  to  be  made  and completed on or before such
    24  effective date.
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD00655-01-9
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