The Office of General Counsel issued the following informal opinion on May 10, 2002, representing the position of the New York State Insurance Department.

Re: New York State Insurance Department Regulation for Disclosure of Policy Limits

In response to an inquiry, concerning whether there is a new Insurance Department regulation, which requires motor vehicle insurers to disclose policy limits when requested in writing by a claimant’s attorney, the New York State Insurance Department submits N.Y. Ins. Law § 2601(a)(6) (McKinney 2000) and N.Y. Ins. Law § 3420(f)(2)(A) (McKinney 2000):

(a) No insurer doing business in this state shall engage in unfair claim settlement practices. Any of the following acts by an insurer, if committed without just cause and performed with such frequency as to indicate a general business practice, shall constitute unfair claim settlement practices:

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(6) failing to promptly disclose coverage pursuant to subparagraph (A) of paragraph two of subsection (f) of section three thousand four hundred twenty of this chapter.

N.Y. Ins. Law § 2601(a)(6) (McKinney 2000);

Upon written request by any insured covered by supplemental uninsured/underinsured motorists insurance or his duly authorized representative and upon disclosure by the insured of the insured's bodily injury and supplemental uninsured/underinsured motorists insurance coverage limits, the insurer of any other owner or operator of another motor vehicle against which a claim has been made for damages to the insured shall disclose, within forty-five days of the request, the bodily injury liability insurance limits of its coverage provided under the policy or all bodily injury liability bonds. The time of the insured to make any supplementary uninsured/underinsured motorist claim, shall be tolled during the period the insurer of any other owner or operator of another motor vehicle that may be liable for damages to the insured, fails to so disclose its coverage.

N.Y. Ins. Law § 3420(f)(2)(A) (McKinney 2000).

The above opinion is informal and not binding on any court. For further information you may contact Attorney Kristian Earl Lynch at the New York City Office.