NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A7357
SPONSOR: Taylor TITLE OF BILL:
An act to amend chapter 490 of the laws of 2017 amending the insurance
law relating to limits on certain supplementary insurance, in relation
to the effectiveness thereof
PURPOSE OR GENERAL IDEA OF BILL:
The purpose of this bill is to make certain that auto insurance consum-
ers are made aware of the benefits of supplementary uninsured/under
motorists (SUM) coverage and to provide these consumers with the option
of declining such coverage.
SUMMARY OF PROVISIONS:
Section 1 extends the provisions of chapter 490 of the laws of 2017
until June 30, 2026.
Section 2 provides the effective date.
JUSTIFICATION:
Supplementary insurance, also known as uninsured or underinsured motor-
ist insurance, protects motorists who suffer severe and devastating
injuries in accidents with drivers who carry inadequate or no insurance.
Few drivers are aware of the value of supplementary insurance and insur-
ance companies rarely offer supplementary insurance coverage above the
statutory minimum. This bill will ensure that drivers are informed of
the availability of SUM coverage and can affirmatively elect the cover-
age that best meets their needs.
PRIOR LEGISLATIVE HISTORY:
New bill.
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
None.
EFFECTIVE DATE:
This act shall take effect immediately.
STATE OF NEW YORK
________________________________________________________________________
7357
2023-2024 Regular Sessions
IN ASSEMBLY
May 18, 2023
___________
Introduced by M. of A. TAYLOR -- read once and referred to the Committee
on Insurance
AN ACT to amend chapter 490 of the laws of 2017 amending the insurance
law relating to limits on certain supplementary insurance, in relation
to the effectiveness thereof
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 2 of chapter 490 of the laws of 2017 amending the
2 insurance law relating to limits on certain supplementary insurance, as
3 amended by section 1 of item S of subpart B of part XXX of chapter 58 of
4 the laws of 2020, is amended to read as follows:
5 § 2. This act shall take effect on the one hundred eightieth day after
6 it shall have become a law, and shall apply to new insurance policies
7 and contracts issued on and after such effective date and shall expire
8 and be deemed repealed June 30, [2023] 2026.
9 § 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD11483-01-3
