Bill Text: NY A04916 | 2009-2010 | General Assembly | Introduced

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Bill Title: An act to amend the insurance law, in relation to rental vehicle reimbursement coverage

Spectrum: Partisan Bill (Democrat 25-0)

Status: (Passed) 2010-08-13 - signed chap.322 [A04916 Detail]

Download: New_York-2009-A04916-Introduced.html

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                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         4916
                              2009-2010 Regular Sessions
                                 I N  A S S E M B L Y
                                   February 6, 2009
                                      ___________
       Introduced  by  M.  of  A.  PHEFFER,  MAISEL,  JACOBS, GUNTHER, MILLMAN,
         GREENE, COLTON, GALEF, FIELDS, EDDINGTON, ROSENTHAL, V. LOPEZ, CAHILL,
         ESPAILLAT, JEFFRIES --  Multi-Sponsored  by  --  M.  of  A.  DelMONTE,
         GABRYSZAK, GLICK, HIKIND, MARKEY, McENENY, REILLY, J. RIVERA, ROBINSON
         -- read once and referred to the Committee on Insurance
       AN  ACT  to  amend  the  insurance  law,  in  relation to rental vehicle
         reimbursement coverage
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. The insurance law is amended by adding a new section 2610-a
    2  to read as follows:
    3    S  2610-A. RENTAL VEHICLE REIMBURSEMENT COVERAGE. (A) FOR THE PURPOSES
    4  OF THIS SECTION, "RENTAL  VEHICLE  REIMBURSEMENT  COVERAGE"  SHALL  MEAN
    5  COVERAGE  FOR THE COST OF RENTING A VEHICLE USED AS SUBSTITUTE TRANSPOR-
    6  TATION IF THE INSURED VEHICLE IS DAMAGED AND IS TEMPORARILY OUT  OF  USE
    7  DUE  TO  A COVERED LOSS, UNTIL SUCH VEHICLE IS REPAIRED OR IS DECLARED A
    8  TOTAL LOSS.
    9    (B) WHENEVER A MOTOR VEHICLE COLLISION  OR  COMPREHENSIVE  LOSS  SHALL
   10  HAVE  BEEN  SUFFERED  BY AN INSURED, NO INSURER PROVIDING RENTAL VEHICLE
   11  REIMBURSEMENT COVERAGE SHALL REQUIRE THAT THE INSURED UTILIZE A  PARTIC-
   12  ULAR  RENTAL  VEHICLE  COMPANY,  RENTAL  VEHICLE  COMPANY  LOCATION OR A
   13  PARTICULAR CONCERN.
   14    (C) IN PROCESSING ANY SUCH CLAIM, THE INSURER SHALL  DISCLOSE  TO  THE
   15  INSURED  THAT  THE INSURED HAS THE RIGHT, AS GRANTED BY THIS SECTION, TO
   16  UTILIZE ANY RENTAL VEHICLE COMPANY, RENTAL VEHICLE COMPANY LOCATION OR A
   17  PARTICULAR CONCERN.
   18    (D) AN INSURER WRITING  AUTOMOBILE  INSURANCE  WHICH  INCLUDES  RENTAL
   19  VEHICLE  REIMBURSEMENT  COVERAGE SHALL INFORM THE CONSUMER OF HIS OR HER
   20  RIGHT, AS GRANTED BY THIS SECTION, TO CHOOSE A RENTAL VEHICLE COMPANY TO
   21  UTILIZE IN THE EVENT THAT HE OR SHE UTILIZES SUCH COVERAGE. THE  INSURER
   22  SHALL  PROVIDE THE DISCLOSURE REQUIRED UNDER THIS SECTION TO ANY INSURED
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD08619-01-9
       A. 4916                             2
    1  ON NEW AND RENEWAL POLICIES. SUCH DISCLOSURE  SHALL  BE  PROVIDED  IN  A
    2  SEPARATE  WRITTEN  DOCUMENT,  WHICH  NEED  NOT BE PROVIDED IN A SEPARATE
    3  MAILING AS ANOTHER DOCUMENT AS LONG AS IT  IS  PROVIDED  ON  A  SEPARATE
    4  PIECE  OF  PAPER, EXCEPT THAT FOR NEW BUSINESS IT MAY BE PROVIDED EITHER
    5  IN WRITING OR IN THE SAME MEDIUM AS THE APPLICATION FOR INSURANCE.
    6    S 2. Severability and construction. The provisions of this  act  shall
    7  be  severable,  and  if any court of competent jurisdiction declares any
    8  phrase, clause, sentence or provision of this act to be invalid, or  its
    9  applicability  to  any  government,  agency,  person  or circumstance is
   10  declared invalid, the remainder of this act and its relevant applicabil-
   11  ity shall not be affected. The provisions of this act shall be liberally
   12  construed to give effect to the purposes thereof.
   13    S 3. This act shall take effect on the ninetieth day  after  it  shall
   14  have become a law.