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.