S T A T E O F N E W Y O R K
________________________________________________________________________
6153
2015-2016 Regular Sessions
I N A S S E M B L Y
March 16, 2015
___________
Introduced by M. of A. OAKS, KOLB, BARCLAY, HAWLEY, MONTESANO, WALTER,
FINCH -- Multi-Sponsored by -- M. of A. McDONOUGH, McLAUGHLIN, PALMES-
ANO, SALADINO, STEC, TENNEY -- read once and referred to the Committee
on Transportation
AN ACT to amend the vehicle and traffic law, in relation to notices of
termination for policies of liability insurance
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision 2 of section 313 of the vehicle and traffic
law, as amended by chapter 678 of the laws of 1997 and paragraphs (a),
(b) and (d) as amended by chapter 509 of the laws of 1998, is amended to
read as follows:
2. (a) Upon the termination of an owner's policy of liability insur-
ance, other than an owner's policy of liability insurance for a motorcy-
cle, at the request of the insured or by cancellation by the insurer,
the insurer shall file a notice of termination with reference to such
policy, as opposed to any insured vehicle or vehicles under such policy,
with the commissioner not later than thirty days following the effective
date of such cancellation or other termination, in accordance with the
regulations required by paragraph (c) of this subdivision. An insurer
shall not file a notice of termination with the commissioner except as
required by this subdivision.
(b) Upon the issuance of an owner's policy of liability insurance the
insurer shall file a notice or confirmation of issuance with reference
to such policy not later than fourteen days following the effective date
of such issuance, and not later than seven days following the effective
date for policies issued after January first, two thousand one, in
accordance with the regulations required by paragraph (c) of this subdi-
vision.
(c) The commissioner shall promulgate regulations establishing proce-
dures for issuance of proof of insurance and for reporting by insurers
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05919-01-5
A. 6153 2
of notices of termination and policy issuance, either electronically or
by paper copy, at the option of the department. Such reporting shall be
required for every cancellation or termination which is effective on or
after July first, nineteen hundred eighty-four and for every policy
issuance which is effective on or after January first, two thousand;
provided, however, that should the commissioner find, after testing of
reporting procedures, that it would be feasible to require reporting for
policy cancellations, terminations or issuances effective on an earlier
date, he may by regulation so require reporting on such earlier date,
but in no event shall reporting be required for cancellations or termi-
nations effective prior to February first, nineteen hundred eighty-four
nor for policy issuances effective prior to September first, nineteen
hundred ninety-nine. Insurers shall cooperate fully with the commission-
er in any such testing of reporting procedures.
(d) Upon application by an insurer, the commissioner may extend the
period for filing of notices of termination by such insurer for up to
fifteen days, and for seven days for policies issued by an insurer.
Extensions shall not be granted unless the insurer demonstrates to the
satisfaction of the commissioner that compliance with the notice period
would result in substantial hardship to the insurer. The commissioner
shall maintain a list of extensions granted pursuant to this paragraph.
(E) NOTWITHSTANDING ANY INCONSISTENT PROVISION OF THIS SECTION, THIS
SUBDIVISION SHALL BE APPLICABLE TO ALL VEHICLES, INCLUDING SNOWMOBILES,
WHICH ARE INSURED OR COVERED UNDER AN OWNER'S POLICY OF LIABILITY INSUR-
ANCE.
S 2. This act shall take effect immediately.