Bill Text: NY A09645 | 2011-2012 | General Assembly | Introduced

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Bill Title: Relates to fair settlement practices under the comprehensive motor vehicle insurance reparations act; requires mandatory arbitration of no-fault disputes.

Spectrum: Bipartisan Bill

Status: (Introduced - Dead) 2012-03-22 - referred to insurance [A09645 Detail]

Download: New_York-2011-A09645-Introduced.html

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                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         9645
                                 I N  A S S E M B L Y
                                    March 22, 2012
                                      ___________
       Introduced  by M. of A. MORELLE -- read once and referred to the Commit-
         tee on Insurance
       AN ACT to amend the insurance law, in relation to requiring  arbitration
         for  no fault claims under the comprehensive motor vehicle reparations
         act
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1.    Subsection (b) of section 5106 of the insurance law, as
    2  amended by chapter 452 of the laws  of  2005,  is  amended  to  read  as
    3  follows:
    4    (b) [Every insurer shall provide a claimant with the option of submit-
    5  ting  any dispute] ALL DISPUTES involving the insurer's liability to pay
    6  first party benefits, or additional first  party  benefits,  the  amount
    7  thereof  or  any other matter which may arise pursuant to subsection (a)
    8  of this section SHALL BE SUBMITTED to arbitration pursuant to simplified
    9  procedures to be promulgated or approved  by  the  superintendent.  Such
   10  simplified  procedures  shall  include  an expedited eligibility hearing
   11  option, when required, to designate the insurer for first party benefits
   12  pursuant to subsection (d) of this section.  The  expedited  eligibility
   13  hearing option shall be a forum for eligibility disputes only, and shall
   14  not  include the submission of any particular bill, payment or claim for
   15  any specific benefit for adjudication, nor shall it consider  any  other
   16  defense to payment.
   17    S  2.  This  act  shall take effect immediately and shall apply to all
   18  actions and proceedings commenced on or after such date; and shall  also
   19  apply  to  any  action  or  proceeding which was commenced prior to such
   20  effective date where, as of such date, a trial of the issues has not yet
   21  commenced.
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD14982-01-2