NY State Senate Bill 2021-S7917A

Senate Bill S7917A

2021-2022 Legislative Session

Relates to homeowner natural disaster preparedness, home safety and loss prevention courses

download bill text pdf

Archive: Last Bill Status - In Senate Committee Rules Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

Please enter your contact information

First Name

Last Name

Email Address

A valid email address is required.

Home address is used to determine the senate district in which you reside. Your support or opposition to this bill is then shared immediately with the senator who represents you.

Optional services from the NY State Senate:

Create an account. An account allows you to officially support or oppose key legislation, sign petitions with a single click, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Include a custom message for your Senator? (Optional)

Enter a message to your senator. Many New Yorkers use this to share the reasoning behind their support or opposition to the bill. Others might share a personal anecdote about how the bill would affect them or people they care about.

Actions

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jun 03, 2022	committed to rules
May 11, 2022	advanced to third reading
May 10, 2022	2nd report cal.
May 09, 2022	1st report cal.1087
Apr 25, 2022	print number 7917a
Apr 25, 2022	amend and recommit to insurance
Jan 19, 2022	referred to insurance

Votes

- May 9, 2022 - Insurance Committee Vote
  S7917A
  
  7
  
  Aye
  
  0
  
  Nay
  
  4
  
  Aye with Reservations
  
  0
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Insurance Committee Vote: May 9, 2022
      
      aye (7)
      
      Breslin
      
      Cooney
      
      Gounardes
      
      Harckham
      
      Kennedy
      
      Parker
      
      Sanders Jr.
      
      aye wr (4)
      
      Brooks
      
      Helming
      
      O'Mara
      
      Serino

Bill Amendments

Original

A (Active)

2021-S7917 - Details

See Assembly Version of this Bill:: A8417
Current Committee:: Senate Rules
Law Section:: Insurance Law
Laws Affected:: Amd §2346, Ins L
Versions Introduced in 2023-2024 Legislative Session:: S4057, A136

2021-S7917 - Summary

Requires the department of financial services to fulfill certain requirements to implement homeowner natural disaster preparedness, home safety and loss prevention courses, by issuing a request for proposal and acting on such requirements of part BB of chapter 54 of the laws of 2016.

2021-S7917 - Sponsor Memo

                                 
BILL NUMBER: S7917

SPONSOR: REICHLIN-MELNICK
 
TITLE OF BILL:

An act to amend the insurance law, in relation to homeowner natural
disaster preparedness, home safety and loss prevention courses

 
PURPOSE OR GENERAL IDEA OF BILL:

The purpose of this bill is to provide for an actuarially appropriate
reduction in homeowners insurance and insurance that covers property
damage for condominiums, cooperative residential units and for renters
caused by a natural disaster or other insurable events. A residential
property owner could obtain such an actuarially appropriate premium
reduction upon completion of a natural disaster preparedness, home safe-
ty and loss prevention course that is approved by the Superintendent of
the Financial Services Department. The goal of the bill is to raise the
awareness of natural disaster preparedness and losses by other insurable
events by offering such a course for residential property owners. The
ultimate goal being to help reduce the risk exposure faced by property
owners from damage caused by a wide spread natural disasters such as a
hurricane, ice storm, flood, tornado, or other disasters caused by

nature or by other insurable events such as fire, theft, burglary,
personal injury or property damage.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1: Enacts the "Homeowner Natural Disaster, Home Safety and Loss
Prevention Preparedness Program."

Section 2: Legislative intent.

Section 3: Amends Insurance Law section 2346 to add a new subsection (5)
that provides for this actuarially appropriate reduction in homeowners
insurance and for others who live in condominiums, cooperates, or are
renters.

- Provides for a definition of "completion certificate", "natural disas-
ter" and "homeowner natural disaster, home safety and loss prevention
preparedness course".

- Authorizes the Superintendent of Financial Services to provide for an
actuarially appropriate reduction on residential property insurance
premiums for a period of 3 years upon the completion of a homeowner
natural disaster preparedness, home safety and loss prevention course.

The Superintendent may also provide for an actuarially appropriate
reduction in premium rates for the installation of equipment, devices,
or other capital improvements that can help to eliminate or mitigate
natural disaster damage or losses from other insurable events.

- Such coarse, after being submitted for approval to the Superintendent
by a property/casualty insurer, shall provide useful information related
to courses of action that can be taken by a homeowner before, during and
after the occurrence of a natural disaster; strategies to reduce risk
exposure to residential property owners, and information on the kinds of
equipment, devices and other capital improvements made to real property
to help reduce the risk of damage to real property, personal injury or
loss of life. The emphasis of the course is to be on reducing the risk
of damage from natural disasters, but it shall also include information
about increasing home safety and other loss prevention techniques.

- The insurer would provide for the reduction in insurance premiums upon
completion of such a natural disaster, home safety and loss prevention
preparedness course. A completion certificate would need to be issued by
the approved natural disaster preparedness course sponsor and submitted
to the insurance carrier.

- The Superintendent, in consultation with the Commissioner of the Divi-
sion of Homeland Security and Emergency Services, would establish stand-
ards and the curriculum to be used in such homeowner natural disaster,
home safety and loss prevention preparedness course.

 
JUSTIFICATION:

Over the last decade more and more catastrophic weather events have
struck the Northeastern region of the United States. The purpose of this
bill is to encourage homeowners to take a natural disaster preparedness
course to help reduce the risk of property damage, personal injury, and
loss of life that can occur as the result of these increasingly
catastrophic weather events. In addition, by encouraging residential
property owners to take such a class, it is the sponsor's hope to help
reduce the economic and personal injuries that occur due to these weath-
er events. In addition, such course, to increase the cost savings to
consumers and insurance carriers can include items related to home safe-
ty and other loss prevention techniques.

This bill will not adversely affect insurers, in that they would only
give an actuarially appropriate premium reduction that is demonstrated
to reflect real potential property/casualty losses that could be curbed.
Further, this is not a mandate bill in that only those insurers that
wish to offer the course or sanction such a course to provide for such a
premium reduction would need to participate in the program.

New York State law already provides for an actuarially appropriate
reduction on auto insurance rates to those that take a defensive driving
course. This bill merely extends this concept to homeowners' insurance.
Also, as is the case with the driver safety auto insurance premium
reduction course that is already in state law, such premium reduction is
for a three year period of time.

This legislation is part of a package of bills that positions New York
to be better prepared, more resilient and able to provide relief and
recovery assistance to impacted communities quickly.

 
PRIOR LEGISLATIVE HISTORY:

New Legislation

 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:

None

 
EFFECTIVE DATE:
January first, next succeeding when the law shall have gone into effect.

2021-S7917 - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7917
 
                             I N  S E N A T E
 
                             January 19, 2022
                                ___________
 
 Introduced  by  Sen. REICHLIN-MELNICK -- 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  homeowner  natural
   disaster preparedness, home safety and loss prevention courses
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. Subparagraphs 3 and 4 of paragraph (a) and paragraph (d) of
 subsection 5 of section 2346 of the insurance law, as added by section 2
 of part BB of chapter 54 of the laws of 2016, are  amended  to  read  as
 follows:
   (3)  "Homeowner  natural  disaster  preparedness, home safety and loss
 prevention course" means a natural disaster  preparedness,  home  safety
 and loss prevention course that has been submitted to the superintendent
 for  [their  information and review] APPROVAL by an applicant, AND WHICH
 HAS BEEN APPROVED BY THE SUPERINTENDENT, PURSUANT TO  PARAGRAPH  (D)  OF
 THIS  SUBSECTION.  Such course [may] SHALL provide useful information to
 participants on items including, but not limited to: courses  of  action
 that  can  be taken before, during and after the occurrence of a natural
 disaster, strategies to reduce  risk  exposure  to  insured  residential
 property  owners  and renters, and information about the installation of
 equipment, devices or other capital improvements to real property  which
 can  help  to eliminate or mitigate damage to real or personal property,
 personal injury or the loss of life caused  by  a  natural  disaster  or
 other insurable event or occurrence of a fire, theft, burglary, personal
 injury or property damage.
   (4)  "Applicant"  means  an  insurer,  or  any other person, agency or
 organization  which  submits  a  proposed  homeowner  natural   disaster
 preparedness,  home safety and loss prevention course to the superinten-
 dent for [their information and review] APPROVAL PURSUANT  TO  PARAGRAPH
 (D)  OF  THIS SUBSECTION, and who or which is prepared and able to offer
 such course to insureds upon the approval thereof.
   (d) The superintendent may establish, by rule or otherwise,  standards
 or  guidelines  to  be  used  by  the  superintendent when reviewing the
 proposed homeowner natural disaster preparedness, home safety  and  loss
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD13393-01-1
 S. 7917                             2
 
 prevention  courses.  EVERY SUCH COURSE SUBMITTED BY AN APPLICANT TO THE
 SUPERINTENDENT FOR APPROVAL MUST BE REVIEWED AND  SHALL  BE  SUBJECT  TO
 APPROVAL BY THE SUPERINTENDENT.
   §  2. This act shall take effect on the first of January next succeed-
 ing the date on which it shall have become  a  law;  provided,  however,
 that  effective  immediately,  any actions necessary to be taken for the
 implementation of the provisions of this act on its effective  date  are
 authorized to be completed on or before such effective date.

2021-S7917A (ACTIVE) - Details

See Assembly Version of this Bill:: A8417
Current Committee:: Senate Rules
Law Section:: Insurance Law
Laws Affected:: Amd §2346, Ins L
Versions Introduced in 2023-2024 Legislative Session:: S4057, A136

2021-S7917A (ACTIVE) - Summary

2021-S7917A (ACTIVE) - Sponsor Memo

                                 
BILL NUMBER: S7917A

SPONSOR: REICHLIN-MELNICK
 
TITLE OF BILL:

An act to amend the insurance law, in relation to homeowner natural
disaster preparedness, home safety and loss prevention courses

 
PURPOSE OR GENERAL IDEA OF BILL:

The purpose of this bill is to provide for an actuarially appropriate
reduction in homeowners insurance and insurance that covers property
damage for condominiums, cooperative residential units and for renters
caused by a natural disaster or other insurable events. A residential
property owner could obtain such an actuarially appropriate premium
reduction upon completion of a natural disaster preparedness, home safe-
ty and loss prevention course that is approved by the Superintendent of
the Financial Services Department. The goal of the bill is to raise the
awareness of natural disaster preparedness and losses by other insurable
events by offering such a course for residential property owners. The
ultimate goal being to help reduce the risk exposure faced by property
owners from damage caused by a wide spread natural disasters such as a
hurricane, ice storm, flood, tornado, or other disasters caused by

nature or by other insurable events such as fire, theft, burglary,
personal injury or property damage.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1: Enacts the "Homeowner Natural Disaster, Home Safety and Loss
Prevention Preparedness Program."

Section 2: Legislative intent.

Section 3: Amends Insurance Law section 2346 to add a new subsection (5)
that provides for this actuarially appropriate reduction in homeowners
insurance and for others who live in condominiums, cooperates, or are
renters.

- Provides for a definition of "completion certificate", "natural disas-
ter" and "homeowner natural disaster, home safety and loss prevention
preparedness course".

- Authorizes the Superintendent of Financial Services to provide for an
actuarially appropriate reduction on residential property insurance
premiums for a period of 3 years upon the completion of a homeowner
natural disaster preparedness, home safety and loss prevention course.
The Superintendent may also provide for an actuarially appropriate
reduction in premium rates for the installation of equipment, devices,
or other capital improvements that can help to eliminate or mitigate
natural disaster damage or losses from other insurable events.

- Such coarse, after being submitted for approval to the Superintendent
by a property/casualty insurer, shall provide useful information related
to courses of action that can be taken by a homeowner before, during and
after the occurrence of a natural disaster; strategies to reduce risk
exposure to residential property owners, and information on the kinds of
equipment, devices and other capital improvements made to real property
to help reduce the risk of damage to real property, personal injury or
loss of life. The emphasis of the course is to be on reducing the risk
of damage from natural disasters, but it shall also include information
about increasing home safety and other loss prevention techniques.

- The insurer would provide for the reduction in insurance premiums upon
completion of such a natural disaster, home safety and loss prevention
preparedness course. A completion certificate would need to be issued by
the approved natural disaster preparedness course sponsor and submitted
to the insurance carrier.

- The Superintendent, in consultation with the Commissioner of the Divi-
sion of Homeland Security and Emergency Services, would establish stand-
ards and the curriculum to be used in such homeowner natural disaster,
home safety and loss prevention preparedness course.

 
JUSTIFICATION:

Over the last decade more and more catastrophic weather events have
struck the Northeastern region of the United States. The purpose of this
bill is to encourage homeowners to take a natural disaster preparedness
course to help reduce the risk of property damage, personal injury, and
loss of life that can occur as the result of these increasingly
catastrophic weather events. In addition, by encouraging residential
property owners to take such a class, it is the sponsor's hope to help
reduce the economic and personal injuries that occur due to these weath-
er events. In addition, such course, to increase the cost savings to
consumers and insurance carriers can include items related to home safe-
ty and other loss prevention techniques.

This bill will not adversely affect insurers, in that they would only
give an actuarially appropriate premium reduction that is demonstrated
to reflect real potential property/casualty losses that could be curbed.
Further, this is not a mandate bill in that only those insurers that
wish to offer the course or sanction such a course to provide for such a
premium reduction would need to participate in the program.

New York State law already provides for an actuarially appropriate
reduction on auto insurance rates to those that take a defensive driving
course. This bill merely extends this concept to homeowners' insurance.
Also, as is the case with the driver safety auto insurance premium
reduction course that is already in state law, such premium reduction is
for a three year period of time.

This legislation is part of a package of bills that positions New York
to be better prepared, more resilient and able to provide relief and
recovery assistance to impacted communities quickly.

 
PRIOR LEGISLATIVE HISTORY:

New Legislation

 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:

None

 
EFFECTIVE DATE:
January first, next succeeding when the law shall have gone into effect.

2021-S7917A (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  7917--A
 
                             I N  S E N A T E
 
                             January 19, 2022
                                ___________
 
 Introduced  by  Sen. REICHLIN-MELNICK -- read twice and ordered printed,
   and when printed to be committed to  the  Committee  on  Insurance  --
   committee  discharged,  bill amended, ordered reprinted as amended and
   recommitted to said committee
 
 AN ACT to amend the insurance law,  in  relation  to  homeowner  natural
   disaster preparedness, home safety and loss prevention courses

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subparagraphs 3 and 4 of paragraph (a) and paragraph (d) of
 subsection 5 of section 2346 of the insurance law, as added by section 2
 of part BB of chapter 54 of the laws of 2016,  are  amended  and  a  new
 paragraph (e) is added to read as follows:
   (3)  "Homeowner  natural  disaster  preparedness, home safety and loss
 prevention course" means a natural disaster  preparedness,  home  safety
 and loss prevention course that has been submitted to the superintendent
 for  [their  information and review] APPROVAL by an applicant, AND WHICH
 HAS BEEN APPROVED BY THE SUPERINTENDENT, PURSUANT TO  PARAGRAPH  (D)  OF
 THIS  SUBSECTION.  Such course [may] SHALL provide useful information to
 participants on items including, but not limited to: courses  of  action
 that  can  be taken before, during and after the occurrence of a natural
 disaster, strategies to reduce  risk  exposure  to  insured  residential
 property  owners  and renters, and information about the installation of
 equipment, devices or other capital improvements to real property  which
 can  help  to eliminate or mitigate damage to real or personal property,
 personal injury or the loss of life caused  by  a  natural  disaster  or
 other insurable event or occurrence of a fire, theft, burglary, personal
 injury or property damage.
   (4)  "Applicant"  means  an  insurer,  or  any other person, agency or
 organization  which  submits  a  proposed  homeowner  natural   disaster
 preparedness,  home safety and loss prevention course to the superinten-
 dent for [their information and review] APPROVAL PURSUANT  TO  PARAGRAPH
 (D)  OF  THIS SUBSECTION, and who or which is prepared and able to offer
 such course to insureds upon the approval thereof.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD13393-03-2

 S. 7917--A                          2
 
   (d) The superintendent may establish, by rule or otherwise,  standards
 or  guidelines  to  be  used  by  the  superintendent when reviewing the
 proposed homeowner natural disaster preparedness, home safety  and  loss
 prevention  courses.  EVERY SUCH COURSE SUBMITTED BY AN APPLICANT TO THE
 SUPERINTENDENT  FOR  APPROVAL  MUST  BE REVIEWED AND SHALL BE SUBJECT TO
 APPROVAL BY THE SUPERINTENDENT.
   (E) THE DEPARTMENT SHALL ISSUE A REQUEST FOR PROPOSAL FOR THE HOMEOWN-
 ER NATURAL DISASTER PREPAREDNESS, HOME SAFETY AND LOSS PREVENTION COURS-
 ES DESCRIBED PURSUANT TO THIS SUBSECTION. ON OR BEFORE MARCH FIRST,  TWO
 THOUSAND  TWENTY-THREE,  THE DEPARTMENT SHALL SUBMIT A REQUEST FOR STATE
 FUNDING IN ORDER  TO  EFFECTUATE  THE  PROVISIONS  OF  THIS  SUBSECTION;
 PROVIDED,  HOWEVER,  THAT  NO EXPENDITURE SHALL BE MADE UNTIL THE SUPER-
 INTENDENT HAS APPROVED A PROGRAM AND FISCAL PLAN FOR  HOMEOWNER  NATURAL
 DISASTER  PREPAREDNESS,  HOME  SAFETY AND LOSS PREVENTION COURSES.  SUCH
 PLAN SHALL INCLUDE, BUT NOT BE LIMITED TO, THE FOLLOWING:  (1)  SPECIFIC
 CRITERIA  TO BE APPLIED IN EVALUATING THE REQUESTS FOR PROPOSAL; AND (2)
 UNIFORM COURSE AND COST STANDARDS.
   § 2. This act shall take effect on the first of January next  succeed-
 ing  the date on which it shall have become a law.  Effective immediate-
 ly, the addition, amendment and/or repeal  of  any  rule  or  regulation
 necessary  for  the implementation of this act on its effective date are
 authorized to be made and completed on or before such effective date.

Comments

Open Legislation is a forum for New York State legislation. All comments are subject to review and community moderation is encouraged.

Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity, hate or toxic speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Attempts to intimidate and silence contributors or deliberately deceive the public, including excessive or extraneous posting/posts, or coordinated activity, are prohibited and may result in the temporary or permanent banning of the user. Comment moderation is generally performed Monday through Friday. By contributing or voting you agree to the Terms of Participation and verify you are over 13.

Create an account. An account allows you to sign petitions with a single click, officially support or oppose key legislation, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.