S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  4454--A
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                              March 12, 2019
                                ___________
 
 Introduced  by  Sen.  BROOKS -- read twice and ordered printed, and when
   printed to be committed to the Committee on Insurance  --  recommitted
   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  claims  for  loss  or
   damage to real property, continuing education for licensed persons and
   qualifications for independent adjusters
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The insurance law is amended by adding a new  section  2617
 to read as follows:
   §  2617.  CLAIMS  FOR  LOSS  OR  DAMAGE TO REAL PROPERTY; REPAIRS. (A)
 UNLESS OTHERWISE PRESCRIBED WITHIN THE  INSURANCE  POLICY,  WHENEVER  AN
 INSURED  SUFFERS A LOSS OR DAMAGE TO REAL PROPERTY, NO INSURER PROVIDING
 COVERAGE THEREFOR SHALL REQUIRE THAT REPAIRS BE COMPLETED BY  A  PARTIC-
 ULAR ENTITY OR INDIVIDUAL.
   (B) NOTWITHSTANDING SUBSECTION (A) OF THIS SECTION, AN INSURER, THIRD-
 PARTY ADMINISTRATOR, INDEPENDENT ADJUSTER, OR PUBLIC ADJUSTER MAY RECOM-
 MEND  OR  SUGGEST  REPAIRS BE MADE BY A PARTICULAR ENTITY OR INDIVIDUAL,
 PROVIDED THAT ANY FINANCIAL INTEREST IN SUCH ENTITY OR  INDIVIDUAL  THAT
 THEY RECOMMEND OR SUGGEST IS ALSO DISCLOSED.
   §  2.  Paragraph  1 of subsection (f) of section 2108 of the insurance
 law is amended to read as follows:
   (1) The superintendent shall, in order to determine  the  trustworthi-
 ness and competency to act as an independent adjuster of each individual
 applicant for such license, and of each proposed sub-licensee, except in
 the case of a renewal license, require every such individual to take and
 pass,  to  the  satisfaction  of  the superintendent, a personal written
 examination.  AN INDIVIDUAL SHALL NOT BE DEEMED QUALIFIED  TO  TAKE  THE
 EXAMINATION  WITHOUT HAVING DEMONSTRATED BY EVIDENCE SATISFACTORY TO THE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD08425-02-0

 S. 4454--A                          2
 
 SUPERINTENDENT THAT: (A) THE  INDIVIDUAL  POSSESSES  A  MINIMUM  OF  ONE
 YEAR'S  EXPERIENCE IN THE INSURANCE BUSINESS, WITH INVOLVEMENT IN SALES,
 UNDERWRITING, CLAIMS, OR OTHER EXPERIENCE CONSIDERED SUFFICIENT  BY  THE
 SUPERINTENDENT; OR (B) THE INDIVIDUAL SUCCESSFULLY COMPLETED FORTY HOURS
 OF  FORMAL  TRAINING  IN  A  COURSE, PROGRAM OF INSTRUCTION, OR SEMINARS
 APPROVED BY THE SUPERINTENDENT. The  superintendent  may  prescribe  the
 types  of  written examinations according to the kind or kinds of insur-
 ance claims [which] THAT the applicant is to be licensed to  investigate
 and adjust.
   §  3. Subsection (r) of section 2108 of the insurance law, as added by
 chapter 264 of the laws of 1998, is amended to read as follows:
   (r) (1) The following continuing education requirements shall apply to
 resident and non-resident persons  licensed  as  public  OR  INDEPENDENT
 adjusters.
   (2)  Resident and non-resident persons licensed as public OR INDEPEND-
 ENT adjusters and any person previously so licensed  whose  license  was
 not  in  effect  on  the  effective  date of this subsection and who has
 subsequently been relicensed pursuant to the provisions of this article,
 shall biennially satisfactorily complete such courses or programs as may
 be approved by the superintendent, as follows:
   (A) Any person holding a license as a public OR  INDEPENDENT  adjuster
 shall,  during  each  full  biennial  licensing  period,  satisfactorily
 complete courses or programs of instruction or attend seminars as may be
 approved by the superintendent equivalent to  fifteen  credit  hours  of
 instruction.
   (B)  During the same calendar year biennial licensing period, a licen-
 see may  use  accumulated  continuing  education  credits  to  meet  the
 requirements  of  similar classes of licenses including those authorized
 by subsection (b) of section two thousand one hundred three, section two
 thousand one hundred four, section two thousand  one  hundred  seven  of
 this  article  with  respect  to general insurance consultants, and THIS
 section [two thousand one hundred eight of this article] with respect to
 public AND INDEPENDENT adjusters.
   (C) Excess credit hours  accumulated  during  any  biennial  licensing
 period shall not carry forward to the next biennial licensing period for
 that same class of license.
   (3) (A) The courses or programs of instruction successfully completed,
 which shall be deemed to meet the superintendent's standards for contin-
 uing education shall be:
   (i) Courses, programs of instruction or seminars, approved as to meth-
 od and content by the superintendent, covering portions of the principal
 branches  of  insurance related to the kinds of insurance covered by the
 public OR INDEPENDENT adjusting license, and given by a  degree  confer-
 ring college or university whose curriculum is registered with the state
 education  department  at  the time the person takes the course, whether
 such course be given as part of such curriculum or separately, or by any
 other institution, association,  trade  association  or  insurer,  which
 maintains  equivalent standards of instruction and which shall have been
 approved for such purpose by the superintendent.
   (ii) Continuing education as required by the state in which a  non-re-
 sident  licensee  resides  and  maintains an office, provided the super-
 intendent  deems  them  equivalent  to  New  York  continuing  education
 requirements.  If  the  state in which the non-resident licensee resides
 and maintains an office has no continuing education requirements, or the
 superintendent does not deem them equivalent, the licensee must  satisfy
 New York continuing education requirements.

 S. 4454--A                          3
 
   (B)  The  number  of  credit  hours assigned to each of the courses or
 programs of instruction set forth in paragraph one  of  this  subsection
 shall be determined by the superintendent.
   (4)  A  person  who  teaches any approved course of instruction or who
 lectures at any approved seminar, and who is subject to these continuing
 education requirements shall be granted the same number of credit  hours
 as  would be granted to a person taking and successfully completing such
 course, seminar or program, provided that such  credit  hours  shall  be
 credited  only  once  per  approved course during any biennial licensing
 period.
   (5) Every person subject to these  continuing  education  requirements
 shall  furnish,  in  a  form satisfactory to the superintendent, written
 certification attesting to the course or programs of  instruction  taken
 and  successfully completed by such person, and executed by the sponsor-
 ing organization or its authorizing representative.
   (6) (A) Any person failing to  meet  applicable  continuing  education
 requirements shall not be eligible to renew the license.
   (B)  Any person whose license was not renewed shall not be eligible to
 become relicensed during  the next biennial licensing period until  that
 person  has  demonstrated to the satisfaction of the superintendent that
 continuing education requirements for the last biennial licensing period
 were met.
   (C) Any person whose license was not renewed pursuant to  subparagraph
 (A)  of  this paragraph, who accumulates sufficient credit hours for the
 prior licensing period to qualify for relicensing in the biennial period
 following such non-renewal, may not apply those same credit hours toward
 the continuing education requirements for the current biennial licensing
 period.
   (7) (A) Any entity eligible to provide continuing  education  courses,
 programs  of  instruction,  or  seminars  shall file for approval by the
 superintendent on a  biennial  basis,  to  conform  with  its  areas  of
 instruction, a provider organization application and a course submission
 application for each course, program, and seminar.
   (B)  The  provider organization application shall include the names of
 all instructors to be used during the contract period,  and  instructors
 may  be  added  during  the  period  by notifying the superintendent and
 paying the appropriate filing fee.
   (C) The completed applications shall be returned in a  timely  manner,
 as  specified  by the superintendent with a non-refundable filing fee of
 two hundred dollars per organization, fifty dollars per course, program,
 and seminar, and fifty dollars per instructor.
   (D) Approval of the application shall be  at  the  discretion  of  the
 superintendent.
   (8) Each licensee shall pay a biennial fee of ten dollars per license,
 for  continuing  education  certificate filing and recording charges, to
 the superintendent, or, at the direction of the superintendent, directly
 to an organization under contract to provide continuing education admin-
 istrative services.
   § 4. The opening paragraph of subsection (a) of section  2110  of  the
 insurance law, as amended by chapter 499 of the laws of 2009, is amended
 to read as follows:
   The  superintendent  may refuse to renew, revoke, or may suspend for a
 period the  superintendent  determines  the  license  of  any  insurance
 producer,  insurance  consultant, PUBLIC OR INDEPENDENT adjuster or life
 settlement broker, if, after  notice  and  hearing,  the  superintendent
 determines that the licensee or any sub-licensee has:

 S. 4454--A                          4
 
   §  5.  Paragraph  2 of subsection (c) of section 2132 of the insurance
 law, as amended by chapter 264 of the laws of 1998, is amended  to  read
 as follows:
   (2)  During the same calendar year biennial licensing period, a licen-
 see may  use  accumulated  continuing  education  credits  to  meet  the
 requirements  of similar classes of licenses, as follows: (A) subsection
 (a) of section two thousand one hundred three and section  two  thousand
 one  hundred  seven  of  this  article  with  respect  to life insurance
 consultants; or (B) subsection (b) of section two thousand  one  hundred
 three,  section  two thousand one hundred four, section two thousand one
 hundred seven of this article with respect to general insurance consult-
 ants, and section two thousand one hundred eight of  this  article  with
 respect to public AND INDEPENDENT adjusters.
   §  6. This act shall take effect on the first of January next succeed-
 ing the date on which it shall have become a law.