The confusion surrounding supplemental spousal liability coverage in New York state, which began last year, has now been addressed. Gov. Kathy Hochul has officially signed legislation (A.9407-A/S.9021) into law, introducing important changes to SSL coverage in auto policies.
The new law reverses the changes made to SSL in 2023. Last year’s reform required most policyholders to opt out of SSL coverage, causing significant confusion, particularly for individuals without a spouse. PIANY strongly supported the new legislation and actively advocated for these amendments to address this confusion and ensure a smoother process for policyholders.
The new amendment will go into effect on Wednesday, March 26, 2025.
What has changed
With A.9407-A/S.9021 now law, policyholders will once again need to “opt in” to SSL coverage for it to be included in their auto policies—reverting to the pre-2023 requirement. However, there is one key exception: if the first-named insured indicates on the insurance application that he or she has a spouse, SSL coverage will be included in the policy automatically. The first-named insured still retains the option to decline this coverage by providing written notice to the insurance carrier.
This legislative update simplifies the process, reducing confusion and ensuring that SSL coverage is clearly and appropriately offered to policyholders in New York state.
Thank you to all the PIANY members who took the time to voice their concern about the 2023 changes and assisted the association in achieving another legislative success with the 2024 amendments.
For more information about SSL, see PIA QuickSource document No. QS31224, titled New York Department of Financial Services announces the inclusion of spousal liability coverage on personal and commercial automobile insurance policies.
Shirley Albright, CPIA, CISR
Shirley Albright, CPIA, CISR, has been a cornerstone of PIA since joining the association in 1983. Over the decades, she has contributed meaningfully across numerous departments, demonstrating unwavering dedication and leadership. In 1995, Shirley played a pivotal role in launching the Industry Resource Center, where she led the development of a comprehensive software system designed to log and manage all incoming and outgoing member inquiries—an innovation that transformed the center’s operational efficiency. As director of the Industry Resource Center, Shirley oversees the center’s daily operations, including the triage and resolution of thousands of member inquiries and multiple database updates, ensuring timely and accurate support across the organization. Her industry accomplishments include earning her New York state property/casualty broker’s license and has obtaining the CPIA and CISR professional designations, underscoring her deep expertise and commitment to excellence in the insurance industry.
