Assembly Bill A9117

2021-2022 Legislative Session

Permits a waiver of the diligent effort requirement in limited circumstances for certain insurance coverage to be placed by licensed excess line brokers with unauthorized insurers

download bill text pdf

Sponsored By

Archive: Last Bill Status - In Assembly 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

Do you support this bill?

Please enter your contact information

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

co-Sponsors

2021-A9117 (ACTIVE) - Details

See Senate Version of this Bill:
S8128
Current Committee:
Assembly Insurance
Law Section:
Insurance Law
Laws Affected:
Amd §2118, Ins L
Versions Introduced in 2023-2024 Legislative Session:
A5253, S5896

2021-A9117 (ACTIVE) - Summary

Permits a waiver of the diligent effort requirement in limited circumstances for certain insurance coverage to be placed by licensed excess line brokers with unauthorized insurers where a retail producing insurance broker seeks to procure or place commercial lines insurance through an unaffiliated wholesale excess line insurance broker.

2021-A9117 (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9117
 
                           I N  A S S E M B L Y
 
                             January 31, 2022
                                ___________
 
 Introduced by M. of A. HUNTER -- read once and referred to the Committee
   on Insurance
 
 AN ACT to amend the insurance law, in relation to permitting a waiver of
   the  diligent  effort requirement in limited circumstances for certain
   insurance coverage to be placed by licensed excess line  brokers  with
   unauthorized insurers

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subparagraph (A)  of  paragraph  3  of  subsection  (b)  of
 section 2118 of the insurance law, as amended by section 12 of part I of
 chapter 61 of the laws of 2011, is amended to read as follows:
   (A)  Except  as  provided  in  subparagraph  (F) OF THIS PARAGRAPH AND
 SUBJECT TO SUBPARAGRAPH (C) of this paragraph, submission  of  insurance
 documents  to  the  excess  line  association  shall be accompanied by a
 statement subscribed to, and affirmed by, the licensee or sublicensee as
 true under the penalties of perjury that,  after  diligent  effort,  the
 full amount of insurance required could not be procured, from authorized
 insurers,  each  of  which  is authorized to write insurance of the kind
 requested and which the licensee has reason to  believe  might  consider
 writing the type of coverage or class of insurance involved, and further
 showing  that  the  amount  of  insurance  procured from an unauthorized
 insurer is only the excess over the amount procurable from an authorized
 insurer. The licensee, however, shall be excused from affirming  that  a
 diligent effort, as defined above, was made to procure the coverage from
 authorized  insurers  if  the licensee's affidavit is accompanied by the
 affidavit of another broker involved in the placement affirming as  true
 under  the  penalties  of  perjury  that,  after  diligent effort by the
 affirming broker, the required insurance could not be procured  from  an
 authorized  insurer  which  the  affirming  broker had reason to believe
 might consider writing the  type  of  coverage  or  class  of  insurance
 involved.  The  licensee  and the affirming broker shall be excused from
 affirming that a diligent effort was made if the  superintendent  deter-
 mines,  pursuant  to paragraph four of this subsection, that no declina-
 tions are  required.  NOTWITHSTANDING  ANY  PROVISION  TO  THE  CONTRARY
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

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.