Bill Text: NY S07882 | 2021-2022 | General Assembly | Amended
Bill Title: Relates to amending the comprehensive insurance disclosure act to require that all parties provide notice and proof of the existence and contents of any insurance agreement, including coverage amounts, under which any person or entity may be liable to satisfy part or all of a judgment within ninety days of serving an answer in an action; makes provisions applicable to actions commenced on or after the effective date.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2022-02-24 - SIGNED CHAP.136 [S07882 Detail]
Download: New_York-2021-S07882-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 7882--A Cal. No. 296 IN SENATE January 18, 2022 ___________ Introduced by Sen. GOUNARDES -- read twice and ordered printed, and when printed to be committed to the Committee on Rules -- reported favora- bly from said committee, ordered to a third reading, passed by Senate and delivered to the Assembly, recalled, vote reconsidered, restored to third reading, amended and ordered reprinted, retaining its place in the order of third reading AN ACT to amend the civil practice law and rules, in relation to insur- ance disclosures; and to amend a chapter of the laws of 2021 amending the civil practice law and rules relating to insurance disclosures, as proposed in legislative bills numbers S. 7052 and A. 8041, in relation to the effectiveness thereof The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivision (f) of section 3101 of the civil practice law 2 and rules, as amended by a chapter of the laws of 2021 amending the 3 civil practice law and rules relating to insurance disclosures, as 4 proposed in legislative bills numbers S. 7052 and A. 8041, is amended to 5 read as follows: 6 (f) Contents of insurance agreement. (1) [Any] No later than ninety 7 days after service of an answer pursuant to rule three hundred twenty or 8 section three thousand eleven or three thousand nineteen of this chap- 9 ter, any defendant, third-party defendant, or defendant on a cross-claim 10 or counter-claim shall provide to the plaintiff, third-party plaintiff, 11 plaintiff on counter-claim, and any other party in the action [within12sixty days after serving an answer pursuant to rule three hundred twenty13or section three thousand eleven or three thousand nineteen of this14chapter notice and] proof of the existence and contents of any insurance 15 agreement in the form of a copy of the insurance policy in place at the 16 time of the loss or, if agreed to by such plaintiff or party in writing, 17 in the form of a declaration page, under which any person or entity may 18 be liable to satisfy part or all of a judgment that may be entered in 19 the action or to indemnify or reimburse for payments made to satisfy the 20 entry of final judgment. A plaintiff or party who agrees to accept a 21 declaration page in lieu of a copy of any insurance policy does not EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD11693-04-2S. 7882--A 2 1 waive the right to receive any other information required to be provided 2 under this subdivision, and may revoke such agreement at any time, and 3 upon notice to an applicable defendant of such revocation, shall be 4 provided with the full copy of the insurance policy in place at the time 5 of the loss. Information and documentation, as evidenced in the form of 6 a copy of the insurance policy in place at the time of the loss or the 7 declaration page, pursuant to this subdivision shall include: 8 (i) all primary, excess and umbrella policies, contracts or agreements 9 issued by private or publicly traded stock companies, mutual insurance 10 companies, captive insurance entities, risk retention groups, reciprocal 11 insurance exchanges, syndicates, including, but not limited to, Lloyd's 12 Underwriters as defined in section six thousand one hundred sixteen of 13 the insurance law, surplus line insurers and self-insurance programs 14 [sold or delivered within the state of New York] insofar as such docu- 15 ments relate to the claim being litigated; 16 (ii) if the insurance policy in place is provided, a complete copy of 17 any policy, contract or agreement under which any person or entity may 18 be liable to satisfy part or all of a judgment that may be entered in 19 the action or to indemnify or reimburse for payments made to satisfy the 20 entry of final judgment as referred to in [subparagraph (i) of] this 21 paragraph, including, but not limited to, declarations, insuring agree- 22 ments, conditions, exclusions, endorsements, and similar provisions; 23 (iii) the contact information, including [telephone number] the name 24 and e-mail address, of [any person or persons responsible for adjusting25the claim made to or against the person or entity described in subpara-26graph (i) of this paragraph, including third-party administrators and27persons within the insuring entity to whom the third-party administrator28is required to report] an assigned individual responsible for adjusting 29 the claim at issue; and 30 (iv) the [amounts] total limits available under any policy, contract 31 or agreement, which shall mean the actual funds, after taking into 32 account erosion and any other offsets, that can be used to satisfy a 33 judgment described in this subdivision or to reimburse for payments made 34 to satisfy the judgment[;35(v) any lawsuits that have reduced or eroded or may reduce or erode36such amounts referred to in subparagraph (iv) of this paragraph, includ-37ing the caption of any such lawsuit, the date the lawsuit was filed, and38the identity and contact information of the attorneys for all repres-39ented parties therein; and40(vi) the amount, if any, of any payment of attorney's fees that have41eroded or reduced the face value of the policy, along with the name and42address of any attorney who received such payments]. 43 (2) A defendant, third-party defendant, or defendant on a cross-claim 44 or counter-claim required to produce to a plaintiff or third-party 45 plaintiff or plaintiff on a counter-claim all information set forth in 46 paragraph one of this subdivision [has an ongoing obligation to] must 47 make reasonable efforts to ensure that the information remains accurate 48 and complete, and provide updated information to any party to whom this 49 information has been provided [within thirty days of receiving informa-50tion rendering the prior disclosure inaccurate or incomplete in whole or51in part. This obligation shall exist during the entire pendency of the52litigation] at the filing of the note of issue, when entering into any 53 formal settlement negotiations conducted or supervised by the court, at 54 a voluntary mediation, and when the case is called for trial, and for 55 sixty days after any settlement or entry of final judgment in the case 56 inclusive of all appeals.S. 7882--A 3 1 (3) For purposes of this subdivision, an application for insurance 2 shall not be treated as part of an insurance agreement [and shall be3disclosed]. Disclosure of policy limits under this section shall not 4 constitute an admission that an alleged injury or damage is covered by 5 the policy. 6 (4) Information concerning the insurance agreement is not by reason of 7 disclosure admissible in evidence at trial. 8 (5) The requirements of this subdivision shall not apply to actions 9 brought to recover motor vehicle insurance personal injury protection 10 benefits under article fifty-one of the insurance law or regulation 11 sixty-eight of title eleven of the New York codes, rules and regu- 12 lations. 13 § 2. Section 4 of a chapter of the laws of 2021 amending the civil 14 practice law and rules relating to insurance disclosures, as proposed in 15 legislative bills numbers S. 7052 and A. 8041, is amended to read as 16 follows: 17 § 4. This act shall take effect immediately and apply to all [pending] 18 actions[. Any information required by this act that has not previously19been provided in pending cases shall be provided within sixty days] 20 commenced on or after such effective date. 21 § 3. This act shall take effect immediately provided, however that 22 section one of this act shall take effect on the same date and in the 23 same manner as a chapter of the laws of 2021 amending the civil practice 24 law and rules relating to insurance disclosures, as proposed in legisla- 25 tive bills numbers S. 7052 and A. 8041, takes effect.