Senate Bill S7709

                                 
BILL NUMBER: S7709

SPONSOR: SEPULVEDA
 
TITLE OF BILL:

An act to amend the insurance law, in relation to alternative forms of
identification for renters insurance

 
PURPOSE:

Establishes alternative forms of identification that can be used for the
purpose of purchasing renters' insurance to help all those impacted by a
natural or man-made disaster and reduce the strain on local and State
governments when addressing the cost of recovery for damage created by
such disasters.

 
SUMMARY OF PROVISIONS:

  Section  1:  The insurance law is amended by adding a new section 3421
which will require every  insurer  issuing  a  policy  or  contract  for
renters'  insurance  to  accept,  in lieu of a social security number, a
municipal identification card or other state or local  government-issued
              

identification card. The insurer may also require as proof of identity a
notarized  copy  of  the  rental lease signed by the property owner, the
property management firm and the insured.

  Section 2: This act shall take effect immediately.

 
JUSTIFICATION:

The massive flooding that impacted New York City from  the  remnants  of
Hurricane  Ida destroyed lives and property. The worst impacted communi-
ties also happen to be the home of thousands  of  non-citizen  residents
who  are  unable  to  purchase renters' insurance due to the requirement
that they have a social security number. Hundreds of New York City resi-
dents were temporarily and permanently displaced by this natural  disas-
ter and lost all their possessions as the massive flooding destroyed all
they had. Their inability to access renters' insurance left them without
any protection and financial safeguards to mitigate the damage caused by
the disaster.

This legislation attempts to resolve this problem by allowing this group
of  New Yorkers to access the products offered by the property and casu-
alty insurance market so that they can be better prepared to  address  a
disaster impacting their place of residence.

The  extreme  weather  impacting  New  York over the past decade is only
becoming worse. To help offset the impact of recovery on  local  govern-
ments,  it  should be the public policy position of our State to improve
access to insurance products that  can  help  individuals  and  families
recover  from  future  natural disasters without having to fully rely on
the limited resources of the localities impacted.  Allowing all  willing
renters  to  access the property and casualty insurance market is a wise
and needed policy that will strengthen our State's  efforts  to  address
mass disasters.

 
LEGISLATIVE HISTORY:


A.125B  of  2023-24;  Passed  Assembly  2024;  Delivered  to  Senate and
Referred to Insurance.

 
FISCAL IMPLICATIONS:

None.

 
EFFECTIVE DATE:
This act shall take effect immediately.