While year two of the 2021-22 New York legislative session is in full swing, the state Legislature passed several bills that are designed to amend laws passed at the end of the year one of the session.
Comprehensive Insurance Disclosure Act
Those chapter amendments have been introduced and the legislation is making its way through the Legislature. S.7882—sponsored by Sen. Michael Gianaris, D-12—passed the state Senate last week. If it’s signed into law, the bill would amend the Comprehensive Insurance Disclosure Act in several ways, including the exclusion of insurance applications from the list of necessary insurance disclosures—which is most significant for PIANY members.
Electronic delivery of insurance documents
A second bill, which is related to the electronic delivery of insurance documents and designed to clean up legislation passed in 2021, also passed the Senate last week. The legislation (S.7797), sponsored by Sen. James Sanders Jr., D-10, would permit insurance carriers to send all insurance documents electronically. Previously, certain notices—mostly related to personal auto insurance notices—could not be sent electronically.
The bill makes it clear that, while documents can be sent electronically, the consumer would need to consent to electronic delivery first. Also, the bill makes it clear that a consumer’s consent is not to be considered blanket consent to send all documents electronically. Instead, insurance carriers would be required to provide clear and conspicuous information regarding the types of documents that the consumer would be consenting to receive electronically.
What happens next?
Both bills have been sent to the state Assembly for consideration. If passed, they will be sent to the Gov. Hochul for her signature.
If you want to get involved with PIANY’s legislative and advocacy work, there are many ways to engage with the association: