senate Bill S638A

Requires report due the governor and legislature to include the incidence of misrepresentation by insured of the principal place where vehicles are driven and stored

download pdf

Sponsor

Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
view actions

actions

  • 12 / Jan / 2009
    • REFERRED TO INSURANCE
  • 11 / May / 2009
    • REPORTED AND COMMITTED TO FINANCE
  • 02 / Jun / 2009
    • 1ST REPORT CAL.532
  • 03 / Jun / 2009
    • 2ND REPORT CAL.
  • 04 / Jun / 2009
    • ADVANCED TO THIRD READING
  • 16 / Jul / 2009
    • COMMITTED TO RULES
  • 06 / Jan / 2010
    • REFERRED TO INSURANCE
  • 25 / Jan / 2010
    • REPORTED AND COMMITTED TO FINANCE
  • 09 / Feb / 2010
    • 1ST REPORT CAL.111
  • 22 / Feb / 2010
    • AMENDED 638A
  • 22 / Feb / 2010
    • 2ND REPORT CAL.
  • 23 / Feb / 2010
    • ADVANCED TO THIRD READING
  • 01 / Mar / 2010
    • SUBSTITUTED BY A1003A

Summary

Requires that the report due the governor and legislative leaders relating to insurance fraud include the incidence of misrepresentation by insureds of the principal place where motor vehicles are garaged and driven.

do you support this bill?

Bill Details

See Assembly Version of this Bill:
A1003A
Versions:
S638
S638A
Legislative Cycle:
2009-2010
Law Section:
Insurance Law
Laws Affected:
Amd ยง405, Ins L
Versions Introduced in 2007-2008 Legislative Cycle:
S188, A1273

Sponsor Memo

BILL NUMBER: S638A

TITLE OF BILL :

An act to amend the insurance law, in relation to reporting on motor
vehicle insurance fraud


PURPOSE :

To report on the incidence of misrepresentation by insureds as to
where the principal places of motor vehicles are garaged and driven,
and that such misrepresentation will be considered a fraudulent
insurance act.

SUMMARY OF PROVISIONS :

Section 405 of the insurance law is amended to require a report due to
the Governor and Legislature which includes the incidence of
misrepresentation by insureds of the principal place where motor
vehicles are driven and stored.

JUSTIFICATION :

Within the Metro areas of New York State, automobile insurance is
appropriately higher in relation to the more rural, less populated
areas of New York State. The reasons for higher rates of automobile
insurance in Metro areas include higher incidents of accidents, theft,
and damage. The practice of misrepresenting the place where an
automobile is garaged or driven is a dishonest way of reducing the
costs paid for insurance. Residents of areas where insurance costs are
higher should not be permitted to pay lower rates for automobile
insurance based simply on documentation that states their motor
vehicle is garaged in an area where insurance costs are lower. This
act is causing an imbalance in the insurance pool of some regions in
less populated areas of New York State, causing rates for less
populated regions to be artificially inflated. This legislation seeks
to report on these incidents in order to combat these abuses.

LEGISLATIVE HISTORY :

2008: S.188 Advanced to Third Reading/Passed Assembly
2006: S.60 Referred to Insurance/Passed Assembly
2004: S.2086 Referred to Insurance/Passed Assembly

FISCAL IMPLICATIONS :

Undetermined.

EFFECTIVE DATE :
This act shall take effect on the one hundred twentieth day after it
shall have become law.
view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 638--A
    Cal. No. 111

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                            January 12, 2009
                               ___________

Introduced  by  Sens. LARKIN, LEIBELL -- read twice and ordered printed,
  and when printed to be committed to  the  Committee  on  Insurance  --
  recommitted  to  the  Committee on Insurance in accordance with Senate
  Rule 6, sec. 8 -- reported favorably from said committee and committed
  to the Committee on Finance -- reported favorably from said committee,
  ordered to first report, amended on first report, ordered to a  second
  report  and  ordered  reprinted,  retaining  its place in the order of
  second report

AN ACT to amend the insurance law, in relation  to  reporting  on  motor
  vehicle insurance fraud

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Paragraph 11 of subsection (d) of section 405 of the insur-
ance law, as amended by chapter 499 of the laws of 2009, is  amended  to
read as follows:
  (11) an assessment of law enforcement and insurance company activities
to detect and curtail the incidence of operating a motor vehicle without
proper  insurance coverage as required by this chapter AND THE INCIDENCE
OF MISREPRESENTATION BY INSUREDS OF  THE  PRINCIPAL  PLACE  WHERE  MOTOR
VEHICLES ARE GARAGED AND DRIVEN.
  S 2. This act shall take effect on the one hundred twentieth day after
it shall have become a law.




 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02316-03-0

Comments

Open Legislation comments facilitate discussion of New York State legislation. All comments are subject to moderation. Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity or hate speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Comment moderation is generally performed Monday through Friday.

By contributing or voting you agree to the Terms of Participation and verify you are over 13.