S T A T E O F N E W Y O R K
________________________________________________________________________
1172
2009-2010 Regular Sessions
I N A S S E M B L Y
(PREFILED)
January 7, 2009
___________
Introduced by M. of A. SEMINERIO -- read once and referred to the
Committee on Insurance
AN ACT to amend the insurance law, in relation to increases in deduct-
ibles and cancellation of automobile insurance policies
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subsection (k) of section 3411 of the insurance law is
amended to read as follows:
(k) Each insurer which offers physical damage insurance subject to the
provisions of this section shall offer such insurance with a standard
deductible of two hundred dollars for each occurrence. The insured
shall, however, at the inception of the policy or at the annual anniver-
sary date, or at the time of the replacement or addition of an automo-
bile, have the option of purchasing a policy with a lesser deductible,
but in no event may the insurer sell a policy with a deductible of less
than fifty dollars for fire, theft or comprehensive insurance coverages
(one hundred dollars for assigned risk policies issued pursuant to para-
graph two of subsection (a) of section five thousand three hundred three
of this chapter) and one hundred dollars for collision insurance cover-
age except that window glass coverage may be sold without a deductible.
Each insurer which offers physical damage insurance subject to the
provisions of this section shall also offer physical damage coverages
with co-insurance or deductible provisions or combinations thereof as
the superintendent may prescribe[, including but not limited to deduct-
ibles of two hundred fifty dollars, five hundred dollars and one thou-
sand dollars]. IN NO EVENT SHALL AN INSURER INCREASE THE CO-INSURANCE
OR DEDUCTIBLE MORE THAN TWENTY-FIVE PERCENT FOR THE TERM OF THE POLICY.
S 2. Paragraph 1 of subsection (c) of section 3425 of the insurance
law is amended by adding a new closing paragraph to read as follows:
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01842-01-9
A. 1172 2
NOTWITHSTANDING ANY OTHER PROVISION OF LAW, RULE OR REGULATION, NO
AUTOMOBILE INSURANCE POLICY WHICH HAS BEEN IN EFFECT FOR SIXTY DAYS, OR
UPON THE EFFECTIVE DATE IF THE POLICY IS A RENEWAL, SHALL BE CANCELLED
BY THE INSURER FOR A PERIOD OF TEN YEARS UNLESS SUCH CANCELLATION IS
PURSUANT TO SUBPARAGRAPH (A), (B) OR (C) OF THIS PARAGRAPH.
S 3. This act shall take effect on the first of January next succeed-
ing the date on which it shall have become a law and shall apply to all
policies issued or renewed on and after such effective date.