senate Bill S26A

2015-2016 Legislative Session

Relates to the timing for giving notice of a loss under insurance contracts

download bill text pdf

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Archive: Last Bill Status - In Senate Committee Insurance Committee


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

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Actions

view actions (4)
Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jun 13, 2016 print number 26a
Jun 13, 2016 amend and recommit to insurance
Jan 06, 2016 referred to insurance
Jan 07, 2015 referred to insurance

S26 - Details

Current Committee:
Senate Insurance
Law Section:
Insurance Law
Laws Affected:
Amd §3407, Ins L
Versions Introduced in Other Legislative Sessions:
2009-2010: S4669
2011-2012: S4714
2013-2014: S2315

S26 - Summary

Relates to the timing for giving notice of a loss under insurance contracts.

S26 - Sponsor Memo

S26 - Bill Text download pdf

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

                                   26

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                               (PREFILED)

                             January 7, 2015
                               ___________

Introduced  by  Sen.  DeFRANCISCO -- read twice and ordered printed, and
  when printed to be committed to the Committee on Insurance

AN ACT to amend the insurance law, in relation to the timing for  giving
  notice of a loss under insurance contracts

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

  Section 1. Section 3407 of the insurance law is amended  by  adding  a
new subsection (c) to read as follows:
  (C)  (1)  ANY  PROVISION  CONTAINED IN AN INSURANCE CONTRACT ISSUED OR
DELIVERED IN THIS STATE OR COVERING A PROPERTY IN  THIS  STATE  THAT  IS
CONTRARY  IN  PURPOSE  WITH,  OR IN CONFLICT WITH THE PROVISIONS OF THIS
SECTION SHALL BE NULL AND VOID IF THE  EFFECTUATION  OF  SUCH  PROVISION
WOULD  RESULT IN THE DEROGATION OF THE BENEFIT TO AN INSURED INTENDED BY
THE ENACTMENT OF THIS SECTION.
  (2) AN INSURER SHALL NOT DENY COVERAGE FOR A CLAIM BASED ON THE  FAIL-
URE OF AN INSURED TO GIVE TIMELY NOTICE OF A CLAIM UNLESS THE AUTHORIZED
INSURER  OR  OTHER INSURER CAN DEMONSTRATE THAT IT HAS SUFFERED SUBSTAN-
TIAL PREJUDICE AS A RESULT OF THE  DELAYED  NOTICE.  EVIDENCE  THAT  THE
INSURER HAD KNOWLEDGE OF THE LOSS THAT IS THE SUBJECT OF THE CLAIM SHALL
CREATE A REBUTTABLE PRESUMPTION THAT THE INSURER HAS NOT BEEN PREJUDICED
BY  DELAYED NOTICE. NOTICE GIVEN TO ANY LICENSED AGENT OF THE INSURER IN
THIS STATE WITH PARTICULARS SUFFICIENT TO IDENTIFY THE INSURED SHALL  BE
DEEMED NOTICE TO THE INSURER.
  (3)  THE  PROVISIONS  OF  THIS SECTION SHALL BE LIBERALLY CONSTRUED IN
ORDER TO EFFECTUATE THE PURPOSE HEREOF WHICH IS TO MITIGATE AGAINST  THE
POTENTIAL  FOR  PROCEDURAL  DENIAL  OF  INSURANCE  COVERAGE RESULTING IN
UNREASONABLE LOSS OF INSURANCE PROTECTION FOR INSUREDS.
  S 2. Severability clause. If any clause, sentence, paragraph, subdivi-
sion, section or part of this act shall be  adjudged  by  any  court  of
competent  jurisdiction  to  be invalid, such judgment shall not affect,

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

S26A (ACTIVE) - Details

Current Committee:
Senate Insurance
Law Section:
Insurance Law
Laws Affected:
Amd §3407, Ins L
Versions Introduced in Other Legislative Sessions:
2009-2010: S4669
2011-2012: S4714
2013-2014: S2315

S26A (ACTIVE) - Summary

Relates to the timing for giving notice of a loss under insurance contracts.

S26A (ACTIVE) - Sponsor Memo

S26A (ACTIVE) - Bill Text download pdf

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

                                  26--A

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                               (PREFILED)

                             January 7, 2015
                               ___________

Introduced  by  Sen.  DeFRANCISCO -- read twice and ordered printed, and
  when printed to be committed to the Committee on Insurance  --  recom-
  mitted to the Committee on Insurance in accordance with Senate Rule 6,
  sec.  8  --  committee  discharged, bill amended, ordered reprinted as
  amended and recommitted to said committee

AN ACT to amend the insurance law, in relation to the timing for  giving
  notice of a loss under insurance contracts

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

  Section 1.  Subsection (a) of section 3407 of the  insurance  law,  is
amended to read as follows:
  (a)  The failure of any person insured against loss or damage to prop-
erty under any contract of insurance, issued or delivered in this  state
or covering property located in this state, to furnish proofs of loss to
the  insurer or insurers as specified in such contract shall not invali-
date or diminish any claim of such person insured under  such  contract,
unless  such  insurer or insurers shall, after such loss or damage, give
to such insured a written notice that it or they desire proofs  of  loss
to  be  furnished by such insured to such insurer or insurers on a suit-
able blank form or forms. If the insured shall furnish  proofs  of  loss
within  [sixty]  NINETY  days  after the receipt of such notice and such
form or forms, or within any longer period of  time  specified  in  such
notice,  such  insured  shall  be  deemed  to  have  complied  with  the
provisions of such contract of insurance relating  to  the  time  within
which proofs of loss are required. Neither the giving of such notice nor
the  furnishing of such blank form or forms by the insurer shall consti-
tute a waiver of any stipulation or condition of such  contract,  or  an
admission of liability thereunder.
  S  2.  This  act shall take effect immediately, and shall apply to all
insurance contracts, executed, issued, reissued or renewed on  or  after
such date.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

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