Assembly Bill A11701

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  11701

                          I N  A S S E M B L Y

                            September 1, 2010
                               ___________

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

AN ACT to amend the insurance law, in relation to requiring insurers who
  underwrite property and casualty policies in the state to cover  costs
  associated with bedbug infestations in residential buildings

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

  Section 1. Section 3407-a of the insurance law, as  added  by  chapter
306 of the laws of 2001, is amended to read as follows:
  S  3407-a.  Property/casualty  insurance  contract and policy standard
provisions. No property/casualty insurance policy or contract  shall  be
issued  or  issued  for  delivery  on a risk located or resident in this
state insuring against damage to the insured's real property  unless  it
contains  in  substance  the  following  [provision]  PROVISIONS  or  [a
provision] OTHER PROVISIONS which [is] ARE equal or  more  favorable  to
the insured:
  (A)  a  provision  that  in the event of a pending claim for damage to
real property, upon request, the insurer shall furnish to the  insured's
representative,  designated  in writing, or if none has been designated,
to the insured, a copy of any written estimate or estimates of the  cost
of  damages  to  real property resulting from the loss which the insurer
has independently prepared for its own purposes, or had prepared on  its
behalf  for  its  own  purposes,  specifying all appropriate deductions,
within thirty days after the request or preparation, whichever is later,
of such estimate or estimates. An  insurer  shall  not  be  required  to
provide an estimate on claims for damages to real property unless it has
independently  prepared  one  or  had one prepared on its behalf for the
insurer's own purposes; AND
  (B) FOR INSURANCE POLICIES ISSUED OR ISSUED FOR DELIVERY ON A RISK  TO
PROPERTY  ZONED,  FOR  RESIDENTIAL USE, IN WHOLE OR IN PART, A PROVISION
PROVIDING FOR OPTIONAL COVERAGE WHEREBY THE INSURER SHALL PAY THE  COSTS
ASSOCIATED  WITH  THE  TREATMENT  OF  BEDBUG INFESTATIONS AT THE INSURED
PROPERTY, INCLUDING ALL COSTS  FOR  EXTERMINATION  SERVICES;  COSTS  FOR
CLEANING OF THE INSURED PROPERTY AND OF PERSONAL PROPERTY LOCATED AT THE

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

                                                           LBD18069-03-0

A. 11701                            2

INSURED PREMISES INCLUDING THE DRY-CLEANING OF CLOTHING AND BEDDING; AND
THE  COST OF REPLACING ITEMS WHICH ARE NOT ABLE TO BE TREATED OR CLEANED
INCLUDING, BUT NOT LIMITED TO, MATTRESSES OR FURNITURE.  ALL SUCH INSUR-
ANCE  COVERAGE  SHALL  BE PROVIDED ONLY AT THE OPTION OF THE INSURED AND
SHALL BE PROVIDED AT ADDITIONAL COST TO THE INSURED.  THE PROVISIONS  OF
THIS   SUBSECTION   SHALL   APPLY  TO  ALL  HOMEOWNER'S,  RENTER'S,  AND
CONDO/CO-OP UNIT INSURANCE POLICIES ISSUED IN THE STATE.
  S 2. This act shall take effect on the ninetieth day  after  it  shall
have  become  a  law; provided, however, that effective immediately, the
superintendent of insurance is authorized and directed to promulgate all
rules, regulations and standards necessary  for  the  implementation  of
this  act  on  or before such effective date, including, but not limited
to, determining procedures for submission to and payment  of  claims  by
insurers and for determining the extent of a bedbug infestation.