Bill Text: NY A10903 | 2019-2020 | General Assembly | Introduced

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Bill Title: Authorizes and directs the department of financial services to require insurers to make insurance premium refunds and other adjustments for all policyholders adversely impacted by COVID-19.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2020-08-17 - referred to insurance [A10903 Detail]

Download: New_York-2019-A10903-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          10903

                   IN ASSEMBLY

                                     August 17, 2020
                                       ___________

        Introduced  by COMMITTEE ON RULES -- (at request of M. of A. Carroll) --
          read once and referred to the Committee on Insurance

        AN ACT in relation to  requiring  insurers  to  make  insurance  premium
          refunds  and other adjustments to all policyholders adversely impacted
          by COVID-19

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  Notwithstanding any provisions of law, rule or regulation
     2  to the contrary, the department of financial services is authorized  and
     3  directed  to  require  insurers  to make initial premium refund or other
     4  adjustments to all  adversely  impacted  New  York  policyholders.  Such
     5  refund  or  adjustment shall be for each month during the declared state
     6  emergency due to the coronavirus disease 2019 (COVID-19) pandemic begin-
     7  ning March 7, 2020 and apply to the following lines of insurance:
     8    1. Private passenger automobile insurance;
     9    2. Commercial automobile insurance;
    10    3. Workers' compensation insurance;
    11    4. Commercial multiple-peril insurance;
    12    5. Commercial liability insurance;
    13    6. Medical malpractice insurance; and
    14    7. Any other line of coverage where the measures of risk  have  become
    15  substantially  overstated  as  a  result of the coronavirus disease 2019
    16  (COVID-19) pandemic.
    17    § 2. Insurers shall comply with the mandated premium refund to policy-
    18  holders by providing a premium credit,  reduction,  return  of  premium,
    19  dividend or other appropriate premium adjustment, based on reclassifica-
    20  tion  of  exposures  to comport with current exposure, or a reduction of
    21  the exposure base to reflect actual or anticipated exposure.
    22    § 3. Insurers shall provide such refund or other adjustments to  poli-
    23  cyholders no later than 30 days after the effective date of this act.
    24    §  4.  This  act shall take effect immediately, and shall be deemed to
    25  have been in full force and effect on and after March 7, 2020 and  shall
    26  apply to insurance policies in force on and after that date.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD17076-01-0