Bill Text: NY S07706 | 2013-2014 | General Assembly | Introduced

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Bill Title: Expands the application of provisions regulating insurance on wireless communications equipment.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Vetoed) 2014-12-29 - VETOED MEMO.586 [S07706 Detail]

Download: New_York-2013-S07706-Introduced.html

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                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         7706
                                   I N  S E N A T E
                                     June 2, 2014
                                      ___________
       Introduced  by  Sen.  LIBOUS -- read twice and ordered printed, and when
         printed to be committed to the Committee on Insurance
       AN ACT to amend the insurance law, in relation to insurance on  wireless
         communications equipment
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. Paragraph 2 of subsection (d) of section 2131 of the insur-
    2  ance law, as amended by chapter 368 of the laws of 2010, is  amended  to
    3  read as follows:
    4    (2)  with respect to wireless communications equipment vendors, insur-
    5  ance issued to cover the loss, theft, mechanical failure, or malfunction
    6  of, or damage to, wireless communications equipment offered as either an
    7  individual policy issued to the consumer or  as  a  group  policy  under
    8  which  certificates or other evidence of coverage are issued to individ-
    9  ual consumers who enroll in the program, OR ANY ARRANGEMENT  THAT  SEEKS
   10  TO  PROVIDE SUBSTANTIALLY SIMILAR BENEFITS THROUGH OTHER MEANS INCLUDING
   11  ARRANGEMENTS THAT CONFER BENEFITS UPON CONSUMERS THAT PURCHASE,  INCLUD-
   12  ING  INSTALLMENT SALE PURCHASES, OR LEASE WIRELESS COMMUNICATIONS EQUIP-
   13  MENT OR WIRELESS  SERVICES,  REGARDLESS  OF  WHETHER  THE  BENEFITS  ARE
   14  PROVIDED  DIRECTLY  OR  INDIRECTLY  TO  THE CONSUMER, WHERE THE BENEFITS
   15  INCLUDE THE REPAIR OR REPLACEMENT OF THE COVERED DEVICE,  THE  PROVISION
   16  OF  A  LOANER OR RENTAL DEVICE, OR THE PAYMENT OF INDEMNIFICATION IN THE
   17  EVENT OF A LOSS OF A COVERED DEVICE, AND WHERE THE BENEFITS ARE EXPRESS-
   18  LY OR IMPLIEDLY CONDITIONED ON THE HAPPENING OF  SOME  FORTUITOUS  EVENT
   19  SUCH  AS THE LOSS, THEFT OR PHYSICAL DAMAGE OF THE COVERED DEVICE, OR IS
   20  STRUCTURED AS A REMEDY IN THE EVENT OF  SUCH  PERILS  WITHOUT  EXPRESSLY
   21  STATING  THOSE PERILS AS A CONDITION OF COVERAGE, provided however, that
   22  said  insurance  shall  not  extend  to  wireless  services  or  service
   23  contracts governed by article seventy-nine of this chapter; or
   24    S  2.  Subparagraphs  (F)  and (G) of paragraph 2 of subsection (e) of
   25  section 2131 of the insurance law, as amended by chapter 368 of the laws
   26  of 2010, are amended and a new subparagraph (H)  is  added  to  read  as
   27  follows:
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD15460-01-4
       S. 7706                             2
    1    (F) disclose that the employee of the rental vehicle company, wireless
    2  communications equipment vendor or self-storage company is not qualified
    3  or  authorized  to  evaluate  the  adequacy  of the purchaser's existing
    4  coverages, unless otherwise licensed; [and]
    5    (G)  state  that the customer may cancel the insurance at any time and
    6  any unearned premium will be  refunded  in  accordance  with  applicable
    7  law[.]; AND
    8    (H)  WITH  REGARD  TO  WIRELESS  COMMUNICATIONS  EQUIPMENT  INSURANCE,
    9  INCLUDE A DISCLOSURE THAT  IS  DEEMED  SUFFICIENT  TO  COMPLY  WITH  ANY
   10  REQUIREMENT  TO DISCLOSE PRICE AND PRODUCER COMPENSATION WITH RESPECT TO
   11  THIS TYPE OF INSURANCE AND THAT SHALL  READ  SUBSTANTIALLY  AS  FOLLOWS:
   12  "YOU  WILL  BE  BILLED  A  CHARGE  OF  (AMOUNT OF PREMIUM) FOR A TERM OF
   13  (NUMBER OF MONTHS) MONTHS. FOR CUSTOMERS WHO ELECT  INSURANCE  COVERAGE,
   14  THE  MONTHLY  INSURANCE  PREMIUM  MAY  INCLUDE  FEES PAYABLE TO (NAME OF
   15  ADMINISTRATOR) AND/OR (NAME OF VENDOR)."
   16    S 3. Subsection (1) of section 2131 of the insurance law, as added  by
   17  chapter 582 of the laws of 2003, is amended to read as follows:
   18    (l)  For  purposes of this section "wireless communications equipment"
   19  shall mean wireless handsets, pagers, personal digital assistants, wire-
   20  less telephones [or], wireless telephone batteries,  PORTABLE  COMPUTERS
   21  AND TABLETS, and other SIMILAR PORTABLE wireless devices and accessories
   22  related  to such devices that are used to access wireless communications
   23  services and includes wireless services.
   24    S 4. Subsection (a) of section 3449 of the insurance law, as added  by
   25  chapter 426 of the laws of 2005, is amended to read as follows:
   26    (a)  In  this  section,  the  term  "policy of wireless communications
   27  equipment insurance" means an insurance  policy  covering  the  kind  of
   28  insurance  described in PARAGRAPH TWO OF subsection [(1)] (D) of section
   29  two thousand one hundred thirty-one of this chapter.
   30    S 5. This act shall take effect immediately.