S T A T E O F N E W Y O R K
________________________________________________________________________
2022
2019-2020 Regular Sessions
I N S E N A T E
January 18, 2019
___________
Introduced by Sen. LITTLE -- read twice and ordered printed, and when
printed to be committed to the Committee on Cultural Affairs, Tourism,
Parks and Recreation
AN ACT to amend the navigation law, in relation to requiring certain
policies of insurance for public vessels which carry passengers
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 50 of the navigation law, as amended by chapter 672
of the laws of 1962, is amended to read as follows:
§ 50. Owners to notify inspector and apply for inspection. It shall be
the duty of the owner of a public vessel which he intends to operate on
the navigable waters of the state to notify the inspector of such inten-
tion at least one month before it is desired to place the vessel in
operation and to request an inspection of such vessel. Upon receipt of
such notification the inspector shall enter the application on the
records of his office. A temporary permit to operate such vessel pending
inspection may be issued by the inspector, if he finds through documen-
tary evidence that such vessel is properly equipped and manned for the
safety of life and property. No public vessel shall be used or operated
without a certificate of inspection or a temporary permit as [herein]
provided IN THIS SECTION. NO CERTIFICATE OF INSPECTION OR TEMPORARY
PERMIT SHALL BE ISSUED UNLESS THE OWNER OF A PUBLIC VESSEL PRODUCES
PROOF OF INSURANCE TO THE INSPECTOR IN ACCORDANCE WITH SECTION FIFTY-ONE
OF THIS PART.
§ 2. The navigation law is amended by adding two new sections 51 and
52 to read as follows:
§ 51. LIABILITY INSURANCE ON PUBLIC VESSELS. 1. EVERY PUBLIC VESSEL
CERTIFIED TO CARRY PASSENGERS WHICH IS OPERATED ON THE NAVIGABLE WATERS
OF THE STATE, EXCEPT VESSELS WHICH NAVIGATE ON WATERS WHICH THE UNITED
STATES EXERCISES ACTIVE CONTROL, SHALL BE COVERED BY A CORPORATE SURETY
BOND OR A POLICY OF PROTECTION AND INDEMNITY INSURANCE, ISSUED BY AN
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05887-01-9
S. 2022 2
INSURER AUTHORIZED TO ISSUE POLICIES IN THIS STATE PURSUANT TO THE
INSURANCE LAW. PUBLIC VESSELS CERTIFIED BY THE OFFICE OF PARKS, RECRE-
ATION AND HISTORIC PRESERVATION TO CARRY PASSENGERS SHALL PROVIDE COVER-
AGE OF AT LEAST ONE MILLION DOLLARS PER OCCURRENCE FOR INJURY TO OR
DEATH OF ANY PERSON ARISING OUT OF THE NEGLIGENT OPERATION OF SAID
PUBLIC VESSEL.
EVERY SUCH BOND OR INSURANCE POLICY SHALL CONTAIN A PROVISION FOR A
CONTINUING LIABILITY THEREUNDER, NOTWITHSTANDING ANY RECOVERY THEREON,
AND SHALL BE IN FULL FORCE AND EFFECT WHENEVER THE PUBLIC VESSEL IS
UNDERWAY.
2. NO POLICY OR CONTRACT SHALL BE ISSUED OR DELIVERED IN THIS STATE
PURSUANT TO THIS SECTION UNLESS IT CONTAINS IN SUBSTANCE THE PROVISIONS
OF SECTION THREE HUNDRED TWENTY OF THE INSURANCE LAW.
3. PROOF OF BOND OR INSURANCE REQUIRED BY THIS SECTION SHALL BE
PRODUCED AND DISPLAYED BY THE OWNER OR OPERATOR OF SUCH PUBLIC VESSEL
UPON THE REQUEST OF ANY PERSON HAVING AUTHORITY TO ENFORCE THE
PROVISIONS OF THIS CHAPTER. THE FAILURE TO PRODUCE SUCH PROOF UPON THE
REQUEST OF ANY SUCH PERSON SHALL NOT BE AN OFFENSE BUT SHALL BE PRESUMP-
TIVE EVIDENCE THAT THE PUBLIC VESSEL IS BEING OPERATED WITHOUT HAVING
SUCH BOND OR INSURANCE IN FORCE AND EFFECT.
4. NO OWNER OF A PUBLIC VESSEL SHALL OPERATE OR PERMIT THE SAME TO BE
OPERATED UPON THE NAVIGABLE WATERS OF THIS STATE WITHOUT HAVING IN FULL
FORCE AND EFFECT THE LIABILITY INSURANCE COVERAGE REQUIRED BY THIS
SECTION, AND NO PERSON SHALL OPERATE A PUBLIC VESSEL UPON THE NAVIGABLE
WATERS OF THIS STATE WITH KNOWLEDGE THAT SUCH INSURANCE IS NOT IN FULL
FORCE AND EFFECT.
5. OPERATION OF A PUBLIC VESSEL IN VIOLATION OF THE REQUIREMENTS OF
THIS SECTION SHALL BE PUNISHABLE AS A MISDEMEANOR IN ACCORDANCE WITH
SECTION SEVENTY-THREE-B OF THIS ARTICLE.
§ 52. SELF-INSURERS. THE COMMISSIONER MAY, IN HIS OR HER DISCRETION,
UPON THE APPLICATION OF AN OWNER OF A PUBLIC VESSEL TO HAVE SUCH PUBLIC
VESSEL CERTIFIED, ISSUE A CERTIFICATE OF SELF-INSURANCE WHEN HE OR SHE
IS REASONABLY SATISFIED THAT SUCH PERSON IS POSSESSED AND WILL CONTINUE
TO BE POSSESSED OF THE FINANCIAL ABILITY TO RESPOND TO JUDGMENTS
OBTAINED AGAINST SUCH PERSON, ARISING OUT OF THE OWNERSHIP, MAINTENANCE,
USE OR OPERATION OF ANY SUCH PERSON'S PUBLIC VESSEL. UPON DUE NOTICE AND
HEARING, THE COMMISSIONER MAY, IN HIS OR HER DISCRETION AND UPON REASON-
ABLE GROUNDS, CANCEL A CERTIFICATE OF SELF-INSURANCE.
§ 3. This act shall take effect on the ninetieth day after it shall
have become a law.