ALBANY, N.Y.—The Professional Insurance Agents of New York State Inc., applaud Gov. Kathy Hochul for signing legislation (A.2866/S.4199), which establishes a standardized definition of windstorm for homeowners insurance policies. This bill was the top legislative priority for PIANY for the 2024 session.
“The passage of this bill is a testament to the relentless advocacy of PIANY and its members,” said PIANY President Richard Andrews, LUTCF. “This year, the association set a goal to standardize the definition of windstorm, recognizing its crucial impact on consumer protection. PIANY leadership and staff members met with dozens of state lawmakers, highlighting the inconsistencies and financial risks posed by the current patchwork of over 100 different windstorm definitions approved by the New York State Department of Financial Services.”
To help achieve its goal, PIANY members participated in several grassroots letter-writing campaigns throughout the legislative session to educate their local assembly members, senators, and the governor about the benefits of a single definition. The dedicated efforts of PIANY and its members led to a 1,000% increase in the number of co-sponsors for the bill—including all the senators from Long Island.
Before the governor signed this legislation, the differences in the definition of windstorm could cost homeowners thousands of dollars in the event of a wind-related claim. Insurance companies often included hurricane windstorm deductibles in homeowners policies, which are higher than standard deductibles and are usually a percentage of the home’s replacement cost. Now the uniform windstorm definition aligns New York with neighboring states including New Jersey and Connecticut.
A uniform definition of hurricane windstorm will provide clearer guidance to consumers regarding their exposure to windstorm risks. Simplifying these definitions will help consumers focus on comparing premiums and deductibles without the added complexity of varying definitions. It also positions insurance agents, companies, and local leaders to better understand and manage situations after a hurricane without needing to review individual policy definitions.
PIANY extends its gratitude to Assemblywoman Stacey Pheffer-Amato, D-23, and Sen. James Sanders, D-10, the sponsors of A.2866/S.4199, for their unwavering support in this legislative endeavor.
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PIA New York is the premier professional association for independent insurance agents, working to advance the needs of its members and be a leading voice in the insurance industry. PIANY provides members with the very best education, information, advocacy, and business tools possible.