Assembly Bill A2741

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   2741
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 27, 2023
                                ___________
 
 Introduced  by  M. of A. PAULIN, SEPTIMO, MAGNARELLI, GUNTHER, JACOBSON,
   McDONOUGH, DeSTEFANO, DURSO, K. BROWN -- Multi-Sponsored by --  M.  of
   A. SIMON -- read once and referred to the Committee on Insurance
 
 AN  ACT to amend the insurance law, in relation to summaries of readable
   and understandable insurance policies

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Section  3102 of the insurance law is amended by adding a
 new subsection (g) to read as follows:
   (G) POLICY SUMMARY.  (1) EVERY POLICY DESCRIBED IN PARAGRAPH THREE  OR
 FOUR OF SUBSECTION (A) OF THIS SECTION SHALL BE ACCOMPANIED, WHEN DELIV-
 ERED  TO A POLICYHOLDER IN THIS STATE, BY A DOCUMENT PRINTED IN RED FONT
 AND IN TYPEFACE OF NO LESS THAN SIXTEEN POINT TYPE WHICH SETS FORTH: (A)
 THE LIMITS OF INSURANCE; (B) THE TERM OF THE POLICY; (C) THE  AMOUNT  OF
 PREMIUM  TO  BE PAID FOR THE POLICY; (D) THE AMOUNT OF ANY DEDUCTIBLE OR
 DEDUCTIBLES APPLICABLE BEFORE THE POLICY WILL PROVIDE COVERAGE; (E)  THE
 PRINCIPAL EXCLUSIONS FROM COVERAGE UNDER THE POLICY; AND (F) THE FOLLOW-
 ING  STATEMENT:  "THIS  IS  ONLY A SUMMARY OF YOUR POLICY. ALL TERMS AND
 CONDITIONS OF THE POLICY WILL GOVERN AS  TO  THE  SCOPE  AND  AMOUNT  OF
 COVERAGE  UNDER THE POLICY. CONTACT YOUR AGENT, BROKER OR INSURER IF YOU
 HAVE QUESTIONS". AN INSURER MAY USE THE DECLARATIONS PAGE OF A POLICY TO
 PROVIDE THE INFORMATION REQUIRED BY THIS SUBSECTION.
   (2) THE INFORMATION REQUIRED TO BE DELIVERED TO A  POLICYHOLDER  UNDER
 PARAGRAPH  ONE  OF THIS SECTION MAY BE PROVIDED BY AN AGENT OR BROKER SO
 AUTHORIZED BY AN INSURER, AND MAY BE SENT ELECTRONICALLY TO THE  POLICY-
 HOLDER  IN  ACCORDANCE  WITH  SECTION THREE THOUSAND FOUR HUNDRED FIFTY-
 EIGHT OF THIS CHAPTER.
   (3) WITHIN  ONE  HUNDRED  EIGHTY  DAYS  FROM  THE  ENACTMENT  OF  THIS
 SUBSECTION  THE  SUPERINTENDENT  SHALL ISSUE A REGULATION SPECIFYING THE
 WORDING, FILING AND APPROVAL REQUIREMENTS FOR THE DOCUMENT DESCRIBED  IN
 PARAGRAPH ONE OF THIS SUBSECTION.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD05725-02-3
              

 A. 2741                             2
 
   (4) BEFORE ISSUING SUCH REGULATION THE SUPERINTENDENT SHALL APPOINT AN
 ADVISORY  COMMITTEE  ON  THE  SUMMARY OF KEY PERSONAL LINES PROPERTY AND
 CASUALTY POLICY PROVISIONS TO BE COMPRISED OF EQUAL NUMBER OF  REPRESEN-
 TATIVES  FROM  INSURERS  OR  INSURER ASSOCIATIONS, PRODUCERS OR PRODUCER
 ASSOCIATIONS,  CONSUMERS  OR CONSUMER ASSOCIATIONS, AND ACADEMIC EXPERTS
 ON INSURANCE REGULATION.  SUCH  ADVISORY  COMMITTEE  SHALL  SOLICIT  AND
 REVIEW  COMMENTS  FROM THE PUBLIC ON THE CONTENT OF SUCH REGULATION AND,
 WITHIN TWO HUNDRED TEN DAYS OF THE ENACTMENT  OF  THIS  SUBSECTION  MAKE
 RECOMMENDATIONS  IN  WRITING  TO THE SUPERINTENDENT AS TO THE CONTENT OF
 SUCH REGULATION.
   (5) NO INSURER OR PRODUCER COMPLYING WITH  THIS  SUBSECTION  SHALL  BE
 REQUIRED  BY  THE  SUPERINTENDENT,  IN  ANY REGULATION, ORDER, DECISION,
 DETERMINATION OR OTHER COMMUNICATION, TO PROVIDE ANY ADDITIONAL  SUMMARY
 OF THE TERMS AND CONDITIONS OF THE POLICY TO A POLICYHOLDER.
   §  2. This act shall take effect on the first of October next succeed-
 ing the date on which it shall have become a law and shall apply to  all
 policies  and contracts issued, renewed, modified, altered or amended on
 or after such date.