Jun 23, 2016

State legislative session: What happened to key insurance issues

The New York state legislative session ended June 17, with a flurry of agreements as lawmakers headed home for the rest of the year and focused on the November elections.

Uber, Lyft out

The bill to authorize ride-hailing companies, like Uber and Lyft, to operate outside New York City didn't pass both houses. Assembly Democrats wanted larger insurance limits on the companies, even as the bill passed the Senate. Senate Insurance Committee Chairman James Seward, R-Milford, Otsego County, who sponsored the bill, said the measure was important to Upstate and he was disappointed a deal couldn't be reached. However, some lawmakers said the bill didn't go far enough to ensure consumers and drivers were protected. Unions, insurance companies, taxi drivers and trial lawyers have been in a high-priced lobbying war over the matter—and that led to a stalemate.

PIANY's NYSIF 30-day repeal bill

Unfortunately, the legislature did not act on our New York State Insurance Fund 30-day repeal bill. PIANY is pleased we got it as far as we did (Senate Third Reading Calendar/Assembly Rules) and hope to use that as momentum for next session. Because of our efforts, lawmakers are finally paying attention to the inherent advantages NYSIF enjoys.

PIANY's continuing education fix

On the continuing-education front, PIANY's priority legislation to ease CE requirements for producers with multiple licenses was reported from Committee, but ultimately not acted upon. PIANY will continue to work with the New York State Department of Financial Services to try and get resolution for our affected producers and stands prepared to initiate legislative efforts next session if necessary.

Insurance Advisory Board includes producers

PIANY was successful in getting two agent representatives added to the new Insurance Advisory Board legislation, which passed both houses. The bill will now be sent to Gov. Cuomo. The bill (S.7536A/A.10267A) creates a State Insurance Advisory board within the NYDFS consisting of 17 members who will be appointed by the superintendent of the NYDFS, including nine representatives of domestic insurance companies, five representatives of foreign insurance companies, two insurance producers and one consumer representative. The board will make recommendations on ways to grow the industry in New York, and to encourage insurers to offer diverse and affordable insurance products. The board would also suggest amendments to laws, regulations, or guidance to further these goals. PIANY was successful in getting two insurance producers designated as members of the board.

Policyholder notices for WC

Legislation supported by PIANY which would have required advance notice of premium increase on renewal for workers' compensation policies passed the Assembly but did not pass the Senate.