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Assembly Bill A8006

2025-2026 Legislative Session

Relates to the sale of a non-indemnity legal service plan

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Current Bill Status - In Assembly Committee

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2025-A8006 (ACTIVE) - Details

See Senate Version of this Bill:
S3147
Current Committee:
Assembly Insurance
Law Section:
Insurance Law
Laws Affected:
Amd §1101, Ins L
Versions Introduced in 2023-2024 Legislative Session:
A5047, S4863

2025-A8006 (ACTIVE) - Summary

Provides that the sale of a non-indemnity legal service plan shall not constitute doing an insurance business in this state; makes related provisions.

2025-A8006 (ACTIVE) - Bill Text download pdf 

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8006
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                              April 21, 2025
                                ___________
 
 Introduced by M. of A. LAVINE -- read once and referred to the Committee
   on Insurance
 
 AN  ACT to amend the insurance law, in relation to the sale of a non-in-
   demnity legal service plan
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section  1.  Subsection  (b)  of  section 1101 of the insurance law is
 amended by adding a new paragraph 9 to read as follows:
   (9)(A) NOTWITHSTANDING THE FOREGOING,  THE  SALE  OF  A  NON-INDEMNITY
 LEGAL  SERVICE  PLAN SHALL NOT CONSTITUTE DOING AN INSURANCE BUSINESS IN
 THIS STATE.
   (B) FOR PURPOSES OF THIS PARAGRAPH, A NON-INDEMNITY LEGAL SERVICE PLAN
 INCLUDES ANY PLAN, REGARDLESS OF THE BENEFITS, WHERE LEGAL SERVICES  ARE
 AVAILABLE  TO MEMBERS, OR THEIR DEPENDENTS, THROUGH AN ORGANIZATION THAT
 CONTRACTS DIRECTLY WITH INDEPENDENT ATTORNEYS FOR THE PROVISION  OF  THE
 LEGAL  SERVICES AND THE ORGANIZATION PAYS THE INDEPENDENT ATTORNEY VIA A
 CAPITATED ARRANGEMENT AND THE INDEPENDENT  ATTORNEY  RECEIVES  NO  ADDI-
 TIONAL  PAYMENT  OR  REIMBURSEMENT  FROM  THE ORGANIZATION FOR SPECIFIED
 LEGAL SERVICES OR SPECIFIED LEGAL EXPENSES.
   § 2.  This act shall take effect on the thirtieth day after  it  shall
 have become a law.
 
 
 
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD03172-01-5

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