Bill Text: NY S01052 | 2023-2024 | General Assembly | Introduced

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Bill Title: Requires a review and report by the superintendent of financial services, in consultation with the office of court administration, on the adequacy, reasonableness and affordability of insurance products designed to pay for the future medical expenses of injured plaintiffs who receive a judgment or settlement for damages that include future medical expenses.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-01-03 - REFERRED TO INSURANCE [S01052 Detail]

Download: New_York-2023-S01052-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          1052

                               2023-2024 Regular Sessions

                    IN SENATE

                                     January 9, 2023
                                       ___________

        Introduced  by  Sen.  COONEY -- read twice and ordered printed, and when
          printed to be committed to the Committee on Insurance

        AN ACT in relation to requiring a review and  report  on  the  adequacy,
          reasonableness and affordability of insurance products designed to pay
          for  the  future  medical expenses of injured plaintiffs who receive a
          judgment  or  settlement  for  damages  that  include  future  medical
          expenses; and providing for the repeal of such provisions upon expira-
          tion thereof

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

     1    Section 1. The legislature hereby finds  that  the  costs  of  medical
     2  malpractice  payouts  are  significant for the defendant medical profes-
     3  sionals, medical groups and hospitals responsible for these  payouts  to
     4  successful  plaintiffs.  The COVID-19 outbreak highlighted the essential
     5  role these health care providers play in New York state's protection  of
     6  the  health  and  welfare of its residents. One component of the medical
     7  malpractice lawsuit payouts that are extremely costly are future medical
     8  expenses for the injured plaintiff. The tremendous financial impact upon
     9  the health care community due  to  the  ongoing  and  growing  costs  of
    10  medical malpractice payouts highlights the need to examine the possibil-
    11  ity  of  the  current market for insurance products such as annuities to
    12  lessen the tremendous financial burden of these  payouts  on  the  vital
    13  health  care services the New York health care community provides to all
    14  New Yorkers.
    15    § 2. The superintendent of financial services shall,  in  consultation
    16  with  the  office  of  court  administration,  review  and report on the
    17  adequacy,  reasonableness  and  affordability  of   insurance   products
    18  designed  to  pay  for the future medical expenses of injured plaintiffs
    19  who receive a judgment or settlement for  damages  that  include  future
    20  medical expenses.  Such report shall include but not be limited to:

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD02694-01-3
        S. 1052                             2

     1    (a) the present state of the marketplace regarding insurance products,
     2  including  but  not  limited  to  annuities,  that could be purchased by
     3  defendants to satisfy the future medical expenses incurred by plaintiffs
     4  who receive either a judgment or settlement for future medical  expenses
     5  damages;
     6    (b)  the  experience of states and jurisdictions as far as such insur-
     7  ance products and any laws either allowing or  requiring  defendants  to
     8  purchase  such insurance products to satisfy the future medical expenses
     9  portion of a judgment or settlement; and
    10    (c) recommendations to promote reasonable, adequate and cost-effective
    11  insurance products available for defendants to purchase such products.
    12    § 3. Within two hundred seventy days of the  effective  date  of  this
    13  act,  the  superintendent of financial services shall submit such report
    14  to the governor, the temporary president of the senate, and the  speaker
    15  of the assembly.
    16    §  4.  This  act shall take effect immediately and shall expire and be
    17  deemed repealed on the sixtieth day after the submission of  the  report
    18  required  by section three of this act; provided that the superintendent
    19  of financial services shall notify the legislative bill drafting commis-
    20  sion upon the submission of the report required by section three of this
    21  act in order that the commission may maintain  an  accurate  and  timely
    22  effective data base of the official text of the laws of the state of New
    23  York  in furtherance of effectuating the provisions of section 44 of the
    24  legislative law and section 70-b of the public officers law.