S. 7561-A(Seward)/A. 10403-A(Morelle)
Summary: The bill expands the definition of certain kinds of insurance an insurer may write in New York and makes Insurance Law § 3442 permanent. Specifics include:
- The bill amends Insurance Law §1113(a)(7) to include coverage for a “stolen identity event” under the definition of “burglary and theft insurance.”
- The bill amends Insurance Law § 1113 (a)(17)(C) to include coverage for “other educational expenses,” in addition to tuition, in the definition of "credit insurance.”
- The bill adds a new subparagraph (F) to Insurance Law § 1113(a)(17) to include coverage for event ticket protection in the definition of “credit insurance.”
- Insurance Law § 3442(d) is amended to permit credit card issuers, debit card issuers, and banks to provide group coverage via their credit cards, debit cards, or checking accounts for: loss resulting from the inability to use an event ticket, not to exceed $750 per ticket; loss due to the cancellation of a catered affair, not to exceed $30,000 in any twelve-month period; loss of tuition and other educational expenses due to a student's dismissal or withdrawal from an educational institution, not to exceed $60,000 in any twelve-month period; loss resulting from the cancellation or interruption of a trip, not to exceed $15,000 per trip; and physical loss of, or physical damage to, personal property in connection with a specific trip, not to exceed $1,000 per article of personal property, and $5,000 in the aggregate for all insureds per trip.
- Insurance Law § 3442(d) is amended to allow an authorized insurer to provide coverages that the Superintendent determines to be limited in scope, and not duplicative or a substitute for other more comprehensive coverages.
- A new Insurance Law § 3451 is added to permit an authorized insurer to issue an identity theft insurance policy on a group basis.
- A new Insurance Law § 3452 is added to permit an authorized insurer to issue a property travel insurance policy on a group basis.
- The bill eliminates the sunset provision in Insurance Law § 3442, thus making the law applicable to credit cards programs permanent.
Effective Date: Most provisions effective ninety days after enactment.
Last Action: Approved and signed by the Governor on July 21, 2008 (Chapter 318 of the Laws of 2008).