Senate Bill S7138A

2023-2024 Legislative Session

Restricts insurers from demanding intrusive personal, financial and tax information from insureds as a standard practice in ordinary theft claims

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Current Bill Status - Stricken


  • 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

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Bill Amendments

2023-S7138 - Details

See Assembly Version of this Bill:
A1731
Law Section:
Insurance Law
Laws Affected:
Add §2619, Ins L
Versions Introduced in Other Legislative Sessions:
2009-2010: A534
2011-2012: A714
2013-2014: A302
2015-2016: A1340
2017-2018: A2532
2019-2020: A3718
2021-2022: A2254

2023-S7138 - Summary

Restricts insurers from demanding intrusive personal, financial and tax information from insureds as a standard practice in processing ordinary theft claims where no special circumstances warranting a demand for such information exists.

2023-S7138 - Sponsor Memo

2023-S7138 - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7138
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                               May 18, 2023
                                ___________
 
 Introduced  by  Sen. KENNEDY -- 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  restricting  insurers
   from  demanding intrusive personal, financial and tax information from
   insureds as a standard practice in processing ordinary theft claims

   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 2618
 to read as follows:
   § 2618. INTRUSIVE REQUESTS FOR PERSONAL, FINANCIAL  AND  TAX  INFORMA-
 TION;  ORDINARY THEFT CLAIMS. (A) IT SHALL BE AN UNFAIR CLAIM SETTLEMENT
 ACT OR PRACTICE UNDER PARAGRAPHS THREE AND FOUR  OF  SUBSECTION  (A)  OF
 SECTION  TWO THOUSAND SIX HUNDRED ONE OF THIS ARTICLE FOR AN INSURER, IN
 THE COURSE OF INVESTIGATING OR SETTLING A THEFT CLAIM, TO DEMAND OF  ITS
 INSURED PERSONAL, FINANCIAL AND TAX INFORMATION UNLESS SPECIAL ARTICULA-
 BLE  CIRCUMSTANCES  HAVE  BEEN  DISCOVERED  WHICH DIRECTLY RELATE TO THE
 PARTICULAR INDIVIDUAL FACTS OF SUCH THEFT AND WHICH WARRANT  THE  MAKING
 OF  SUCH DEMAND FOR THE SPECIFIC PURPOSE OF DETERMINING IF SUCH CLAIM IS
 FRAUDULENT.
   (B) AS USED IN THIS SECTION, A DEMAND FOR PERSONAL, FINANCIAL AND  TAX
 INFORMATION  IS  A DEMAND THAT ANY OF THE FOLLOWING MATERIAL OR INFORMA-
 TION BE PROVIDED:
   (1) COPIES OF THE INSURED'S PERSONAL AND BUSINESS TAX RETURNS;
   (2) PERMITS OR LICENSES WHICH THE INSURED  HOLDS  IN  NEW  YORK  STATE
 OTHER THAN THOSE FOR OPERATING A MOTOR VEHICLE;
   (3) LOAN APPLICATIONS WHICH THE INSURED FILED;
   (4)  STATEMENT SETTING FORTH THE COUNTY AND STATE IN WHICH THE INSURED
 HAS BEEN REGISTERED TO VOTE OVER A PERIOD OF TIME, OTHER THAN  FROM  HIS
 OR HER PRESENT RESIDENCE;
   (5)  COPIES  OF  ANY BANK STATEMENTS OF BANKS IN WHICH THE INSURED HAS
 ACCOUNTS;
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD00825-01-3
              

2023-S7138A (ACTIVE) - Details

See Assembly Version of this Bill:
A1731
Law Section:
Insurance Law
Laws Affected:
Add §2619, Ins L
Versions Introduced in Other Legislative Sessions:
2009-2010: A534
2011-2012: A714
2013-2014: A302
2015-2016: A1340
2017-2018: A2532
2019-2020: A3718
2021-2022: A2254

2023-S7138A (ACTIVE) - Summary

Restricts insurers from demanding intrusive personal, financial and tax information from insureds as a standard practice in processing ordinary theft claims where no special circumstances warranting a demand for such information exists.

2023-S7138A (ACTIVE) - Sponsor Memo

2023-S7138A (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  7138--A
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                               May 18, 2023
                                ___________
 
 Introduced  by  Sen. KENNEDY -- 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  restricting  insurers
   from  demanding intrusive personal, financial and tax information from
   insureds as a standard practice in processing ordinary theft claims
 
   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 2619
 to read as follows:
   § 2619. INTRUSIVE REQUESTS FOR PERSONAL, FINANCIAL  AND  TAX  INFORMA-
 TION;  ORDINARY THEFT CLAIMS. (A) IT SHALL BE AN UNFAIR CLAIM SETTLEMENT
 ACT OR PRACTICE UNDER PARAGRAPHS THREE AND FOUR  OF  SUBSECTION  (A)  OF
 SECTION  TWO THOUSAND SIX HUNDRED ONE OF THIS ARTICLE FOR AN INSURER, IN
 THE COURSE OF INVESTIGATING OR SETTLING A THEFT CLAIM, TO DEMAND OF  ITS
 INSURED PERSONAL, FINANCIAL AND TAX INFORMATION UNLESS SPECIAL ARTICULA-
 BLE  CIRCUMSTANCES  HAVE  BEEN  DISCOVERED  WHICH DIRECTLY RELATE TO THE
 PARTICULAR INDIVIDUAL FACTS OF SUCH THEFT AND WHICH WARRANT  THE  MAKING
 OF  SUCH DEMAND FOR THE SPECIFIC PURPOSE OF DETERMINING IF SUCH CLAIM IS
 FRAUDULENT.
   (B) AS USED IN THIS SECTION, A DEMAND FOR PERSONAL, FINANCIAL AND  TAX
 INFORMATION  IS  A DEMAND THAT ANY OF THE FOLLOWING MATERIAL OR INFORMA-
 TION BE PROVIDED:
   (1) COPIES OF THE INSURED'S PERSONAL AND BUSINESS TAX RETURNS;
   (2) PERMITS OR LICENSES WHICH THE INSURED  HOLDS  IN  NEW  YORK  STATE
 OTHER THAN THOSE FOR OPERATING A MOTOR VEHICLE;
   (3) LOAN APPLICATIONS WHICH THE INSURED FILED;

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD00825-03-4
 S. 7138--A                          2
 
              

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