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S8583 • 2025

Requires property/casualty insurance companies to submit certain data to the department of financial services and authorizes premium discounts to policyholders who demonstrate certain mitigation actions

Requires property/casualty insurance companies to submit certain data to the department of financial services and authorizes premium discounts to policyholders who demonstrate certain mitigation actions

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Brian Kavanagh
Last action
2026-06-04
Official status
In Assembly Committee
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Requires property/casualty insurance companies to submit certain data to the department of financial services and authorizes premium discounts to policyholders who demonstrate certain mitigation actions

Requires property/casualty insurance companies to submit certain data to the department of financial services and authorizes premium discounts to policyholders who demonstrate certain mitigation actions Requires property/casualty insurance companies to submit certain zip code-level data to the department of financial services on nonrenewal rates, nonpayment cancellation rates, other cancellation rates, claim frequency rates, average claim amounts, paid loss ratios, and average premiums; requires property/casualty insurance companies that use a natural disaster risk model or scoring method to assign risk, information about such model or scoring method; authorizes a premium discount to policyholders of homeowners insurance or property/casualty insurance applicable to residential real property who demonstrate certain mitigation actions; requires insurers to post about such discounts on their public websites; relates to the timing of cancellation and nonrenewal notices for certain insurance policies; relates to increasing membership of the board governing the New York property insurance underwriting association; requires a quadrennial report on the activities of such association; increases such board membership to 23 including 6 directors appointed by the legislature and 4 directors appointed by the governor.

What This Bill Does

  • Requires property/casualty insurance companies to submit certain data to the department of financial services and authorizes premium discounts to policyholders who demonstrate certain mitigation actions Requires property/casualty insurance companies to submit certain zip code-level data to the department of financial services on nonrenewal rates, nonpayment cancellation rates, other cancellation rates, claim frequency rates, average claim amounts, paid loss ratios, and average premiums; requires property/casualty insurance companies that use a natural disaster risk model or scoring method to assign risk, information about such model or scoring method; authorizes a premium discount to policyholders of homeowners insurance or property/casualty insurance applicable to residential real property who demonstrate certain mitigation actions; requires insurers to post about such discounts on their public websites; relates to the timing of cancellation and nonrenewal notices for certain insurance policies; relates to increasing membership of the board governing the New York property insurance underwriting association; requires a quadrennial report on the activities of such association; increases such board membership to 23 including 6 directors appointed by the legislature and 4 directors appointed by the governor.

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

  1. 2026-06-04 Assembly

    REFERRED TO INSURANCE

  2. 2026-06-03 Senate

    COMMITTEE DISCHARGED AND COMMITTED TO RULES

  3. 2026-06-03 Senate

    ORDERED TO THIRD READING CAL.1637

  4. 2026-06-03 Senate

    PASSED SENATE

  5. 2026-06-03 Senate

    DELIVERED TO ASSEMBLY

  6. 2026-05-29 Senate

    AMEND (T) AND RECOMMIT TO INSURANCE

  7. 2026-05-29 Senate

    PRINT NUMBER 8583C

  8. 2026-05-13 Senate

    AMEND (T) AND RECOMMIT TO INSURANCE

  9. 2026-05-13 Senate

    PRINT NUMBER 8583B

  10. 2026-01-07 Senate

    REFERRED TO INSURANCE

  11. 2025-11-17 Senate

    REFERRED TO RULES

  12. 2025-11-17 Senate

    AMEND AND RECOMMIT TO RULES

  13. 2025-11-17 Senate

    PRINT NUMBER 8583A

Official Summary Text

Requires property/casualty insurance companies to submit certain data to the department of financial services and authorizes premium discounts to policyholders who demonstrate certain mitigation actions
Requires property/casualty insurance companies to submit certain zip code-level data to the department of financial services on nonrenewal rates, nonpayment cancellation rates, other cancellation rates, claim frequency rates, average claim amounts, paid loss ratios, and average premiums; requires property/casualty insurance companies that use a natural disaster risk model or scoring method to assign risk, information about such model or scoring method; authorizes a premium discount to policyholders of homeowners insurance or property/casualty insurance applicable to residential real property who demonstrate certain mitigation actions; requires insurers to post about such discounts on their public websites; relates to the timing of cancellation and nonrenewal notices for certain insurance policies; relates to increasing membership of the board governing the New York property insurance underwriting association; requires a quadrennial report on the activities of such association; increases such board membership to 23 including 6 directors appointed by the legislature and 4 directors appointed by the governor.

Current Bill Text

Read the full stored bill text
S T A T E   O F   N E W   Y O R K
        ________________________________________________________________________

                                          8583

                               2025-2026 Regular Sessions

                                    I N  S E N A T E

                                    November 17, 2025
                                       ___________

        Introduced  by Sen. KAVANAGH -- read twice and ordered printed, and when
          printed to be committed to the Committee on Rules

        AN  ACT  to  amend  the  insurance  law,  in   relation   to   requiring
          property/casualty insurance companies to submit certain zip code-level
          data,  market  share  data,  and  information about models and scoring
          methods used for catastrophes to the department of financial services;
          to amend the insurance law, in relation to requiring an annual  report
          on  the housing insurance market for multifamily and nonprofit housing
          providers; to amend the insurance law, in relation  to  authorizing  a
          premium  discount  to policyholders who demonstrate certain mitigation
          actions; to amend the insurance law, in relation   to  the  timing  of
          cancellation   and   nonrenewal  notices   for certain insurance poli-
          cies; and to amend  the  insurance  law,  in  relation  to  increasing
          membership  of  the  board  governing  the New York property insurance
          underwriting association and to requiring a quadrennial report on  the
          activities of such association

          THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
        BLY, DO ENACT AS FOLLOWS:

     1    Section 1. The insurance law is amended by adding a new  section  4122
     2  to read as follows:
     3    §  4122. REPORTING REQUIREMENTS FOR PROPERTY/CASUALTY INSURANCE COMPA-
     4  NIES.  (A) FOR THE PURPOSES OF THIS SECTION, THE FOLLOWING  TERMS  SHALL
     5  HAVE THE FOLLOWING MEANINGS:
     6    (1) "CATASTROPHE MODEL" MEANS A TOOL, INSTRUMENTALITY, MEANS, OR PROD-
     7  UCT,  INCLUDING A MAP-BASED TOOL, A COMPUTER-BASED TOOL, OR A SIMULATION
     8  THAT IS USED BY AN INSURER TO ESTIMATE POTENTIAL LOSSES FROM CATASTROPH-
     9  IC EVENTS.
    10    (2) "COMMUNITY-LEVEL MITIGATION ACTION" MEANS  A  SCIENCE-BASED  MITI-
    11  GATION  ACTION  AS  DEMONSTRATED  BY  A  COMMUNITY OR NEIGHBORHOOD LEVEL
    12  DESIGNATION OR CERTIFICATION OR AS UNDERTAKEN BY A GOVERNMENT ENTITY.

         EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD13906-06-5
        S. 8583                             2

     1    (3) "PROPERTY-SPECIFIC MITIGATION ACTION" MEANS A SCIENCE-BASED  MITI-
     2  GATION ACTION THAT INCLUDES A VERIFICATION AND CERTIFICATION PROCESS.
     3    (4)  "NATURAL  DISASTER  RISK  MODEL"  MEANS  A TOOL, INSTRUMENTALITY,
     4  MEANS, OR PRODUCT, INCLUDING A MAP-BASED TOOL, A COMPUTER-BASED TOOL, OR
     5  A SIMULATION, THAT IS USED BY AN INSURER IN WHOLE OR IN PART, TO MEASURE
     6  OR ASSESS THE NATURAL DISASTER RISK ASSOCIATED WITH A RESIDENTIAL  PROP-
     7  ERTY  OR  COMMUNITY  FOR  PURPOSES  OF  RATING, CLASSIFYING, PRICING, OR
     8  UNDERWRITING, INCLUDING BUT NOT LIMITED TO WRITING  OR  RENEWING  INSUR-
     9  ANCE,  BASED  ON  NATURAL  DISASTER  RISK  OR ESTIMATING RISKS OR LOSSES
    10  CORRESPONDING TO THE NATURAL DISASTER RISK CLASSIFICATIONS.
    11    (5) "NATURAL  DISASTER" MEANS THE OCCURRENCE  OR  IMMINENT  THREAT  OF
    12  WIDESPREAD  CATASTROPHIC  OR  SEVERE  DAMAGE, INJURY, OR LOSS OF LIFE OR
    13  PROPERTY RESULTING FROM ANY NATURAL CAUSE INCLUDING, BUT NOT LIMITED TO,
    14  FIRE, FLOOD, EARTHQUAKE,  HURRICANE,  TORNADO,  HIGH  WATER,  LANDSLIDE,
    15  MUDSLIDE,  WIND,  STORM,  WAVE  ACTION,  ICE   STORM, AIR CONTAMINATION,
    16  BLIGHT, DROUGHT, INFESTATION,  EXPLOSION,  WATER  CONTAMINATION,  BRIDGE
    17  FAILURE, OR BRIDGE COLLAPSE.
    18    (B)  EVERY  PROPERTY/CASUALTY INSURANCE COMPANY DOING BUSINESS IN THIS
    19  STATE SHALL SUBMIT THE FOLLOWING INFORMATION TO THE DEPARTMENT:
    20    (1) ZIP CODE-LEVEL DATA ON THE FOLLOWING TOPICS:
    21    (A) NONRENEWAL RATES;
    22    (B) NONPAYMENT CANCELLATION RATES;
    23    (C) OTHER CANCELLATION RATES;
    24    (D) CLAIM FREQUENCY RATES;
    25    (E) AVERAGE CLAIM AMOUNTS;
    26    (F) PAID LOSS RATIOS; AND
    27    (G) AVERAGE PREMIUMS;
    28    (2) MARKET SHARE DATA; AND
    29    (3) IF UTILIZED, THE NATURAL DISASTER RISK MODEL OR CATASTROPHE  MODEL
    30  OR SCORING METHOD USED TO ASSIGN RISK.
    31    (A)  THE  FOLLOWING INFORMATION ABOUT A NATURAL DISASTER RISK MODEL OR
    32  CATASTROPHE MODEL OR SCORING METHOD SHALL BE SUBMITTED:
    33    (I) A DESCRIPTION OF SUCH MODEL OR METHOD;
    34    (II) THE IMPACT OF SUCH MODEL OR METHOD ON RATES;
    35    (III) AN ACTUARIAL JUSTIFICATION FOR  ALL  RATING  FACTORS,  INCLUDING
    36  MITIGATION DISCOUNTS OFFERED; AND
    37    (IV)  AN EXPLANATION OF THE USE OF THE MODEL OR METHOD IN UNDERWRITING
    38  DECISIONS.
    39    (B) ANY MODEL OR METHOD SUBMITTED TO THE DEPARTMENT PURSUANT  TO  THIS
    40  PARAGRAPH SHALL BE TREATED AS A TRADE SECRET AND SHALL NOT BE SUBJECT TO
    41  DISCLOSURE UNDER ARTICLE SIX OF THE PUBLIC OFFICERS LAW.
    42    (C) ANY PROPERTY/CASUALTY INSURANCE COMPANY THAT USES A NATURAL DISAS-
    43  TER  RISK  MODEL,  A CATASTROPHE MODEL, OR A COMBINATION OF MODELS SHALL
    44  ENSURE THE FOLLOWING FACTORS ARE  EITHER  INCORPORATED  IN  THE  NATURAL
    45  DISASTER  RISK MODEL, CATASTROPHE MODEL, OR COMBINATION OF MODELS OR ARE
    46  OTHERWISE DEMONSTRABLY  INCLUDED  IN  SUCH  PROPERTY/CASUALTY  INSURANCE
    47  COMPANY'S UNDERWRITING AND PRICING:
    48    (I) PROPERTY-SPECIFIC MITIGATION ACTIONS SUCH AS ESTABLISHING DEFENSI-
    49  BLE  SPACE,  INCORPORATING  BUILDING  HARDENING  MEASURES,  OR RECEIVING
    50  CERTIFICATION FROM AN ENTITY WITH EXPERIENCE IN MITIGATION OF PROPERTIES
    51  AGAINST NATURAL DISASTERS; AND
    52    (II) COMMUNITY-LEVEL MITIGATION ACTIVITIES OR DESIGNATIONS,  INCLUDING
    53  FOREST TREATMENT AND OTHER FUEL REDUCTION ACTIVITIES.
    54    (D) ANY PROPERTY/CASUALTY INSURANCE COMPANY THAT USES A NATURAL DISAS-
    55  TER  RISK  MODEL OR A CATASTROPHE MODEL OR SCORING METHOD TO ASSIGN RISK
    56  SHALL ALSO INCLUDE THE INFORMATION REQUIRED IN SUBPARAGRAPH (A) OF  THIS
        S. 8583                             3

     1  PARAGRAPH  IN  ANY  RATE  FILING SUBMITTED TO THE SUPERINTENDENT BY SUCH
     2  PROPERTY/CASUALTY INSURANCE COMPANY.
     3    (C)  THE DEPARTMENT SHALL CREATE AND MAINTAIN A PUBLIC-FACING DATABASE
     4  WHERE POLICYHOLDERS CAN  ACCESS  THE  MARKET  SHARE  DATA  SUBMITTED  BY
     5  PROPERTY/CASUALTY  INSURANCE  COMPANIES  PURSUANT  TO  PARAGRAPH  TWO OF
     6  SUBSECTION (B) OF THIS SECTION.
     7    § 2. The insurance law is amended by adding a new section 3463 to read
     8  as follows:
     9    § 3463. REPORT ON THE HOUSING INSURANCE  MARKET  FOR  MULTIFAMILY  AND
    10  NONPROFIT  HOUSING  PROVIDERS.  (A)  DEFINITIONS.  FOR  PURPOSES OF THIS
    11  SECTION:
    12    (1) "MULTIFAMILY RESIDENTIAL BUILDING"  MEANS  A  PROPERTY  CONTAINING
    13  FIVE OR MORE DWELLING UNITS.
    14    (2)  "NONPROFIT  HOUSING  PROVIDER"  MEANS  ORGANIZATIONS DESCRIBED BY
    15  SECTION 501(C)(3) OF THE UNITED STATES INTERNAL REVENUE CODE, CHARITABLE
    16  CORPORATIONS AS DEFINED IN PARAGRAPH (A) OF SECTION ONE HUNDRED  TWO  OF
    17  THE  NOT-FOR-PROFIT CORPORATION LAW AND FORMED PURSUANT TO PARAGRAPH (A)
    18  OF SECTION TWO HUNDRED ONE OF THE NOT-FOR-PROFIT  CORPORATION  LAW,  AND
    19  ORGANIZATIONS  DESCRIBED  BY SECTION TWO HUNDRED SIXTEEN-A OF THE EDUCA-
    20  TION LAW THAT OWN OR OPERATE RESIDENTIAL HOUSING IN NEW YORK.
    21    (3) "AFFORDABLE HOUSING DEVELOPMENT" MEANS A RESIDENTIAL BUILDING WITH
    22  UNITS REQUIRED TO  BE  AFFORDABLE  BY  STATUTE,  REGULATION,  REGULATORY
    23  AGREEMENT, OR RECORDED COVENANT.
    24    (4)  "EXCESS  LINE INSURANCE" HAS THE SAME MEANING AS IN ARTICLE TWEN-
    25  TY-ONE OF THIS CHAPTER.
    26    (5) "INSURER" MEANS AN AUTHORIZED INSURER WRITING PROPERTY OR  LIABIL-
    27  ITY  COVERAGE  ON RESIDENTIAL BUILDINGS AND INCLUDES REPORTING BY EXCESS
    28  LINE PLACEMENTS THROUGH THE EXCESS  LINE  ASSOCIATION  OF  NEW  YORK  AS
    29  PROVIDED BY REGULATION.
    30    (B)  ANNUAL  JOINT REPORT. (1) THE SUPERINTENDENT AND THE COMMISSIONER
    31  OF HOMES AND COMMUNITY RENEWAL SHALL SUBMIT A JOINT REPORT  DETAILED  IN
    32  SUBDIVISION  (C) OF THIS SECTION ON OR BEFORE OCTOBER FIRST OF EACH YEAR
    33  TO THE GOVERNOR, THE TEMPORARY PRESIDENT OF THE SENATE, AND THE  SPEAKER
    34  OF THE ASSEMBLY, AND POST IT ON THEIR WEBSITES.
    35    (2)  THE  REPORT  SHALL  ANALYZE THE AVAILABILITY, PRICING, TERMS, AND
    36  AFFORDABILITY OF PROPERTY AND LIABILITY INSURANCE FOR MULTIFAMILY  RESI-
    37  DENTIAL  BUILDINGS  OWNED  OR  OPERATED  BY NONPROFIT AND MISSION-DRIVEN
    38  ENTITIES, INCLUDING AFFORDABLE HOUSING DEVELOPMENTS.
    39    (3) THE REPORT SHALL INCLUDE STATEWIDE AND REGIONAL RESULTS, WITH  NEW
    40  YORK CITY REPORTED SEPARATELY FROM THE REST OF THE STATE.
    41    (C)  REQUIRED CONTENTS. THE REPORT SHALL PRESENT, AT A MINIMUM, AGGRE-
    42  GATED STATISTICS FOR THE PRIOR CALENDAR YEAR ON:
    43    (1) PREMIUM LEVELS AND CHANGES, INCLUDING AVERAGE AND  MEDIAN  PREMIUM
    44  PER UNIT AND SQUARE FOOT, AND PREMIUM AS A SHARE OF OPERATING EXPENSES.
    45    (2)  COVERAGE  AVAILABILITY  AND MARKET CHANNEL, INCLUDING NON-RENEWAL
    46  AND DECLINATION COUNTS, THE SHARE PLACED IN THE EXCESS-LINE MARKET,  AND
    47  USE OF NEW YORK PROPERTY INSURANCE UNDERWRITING ASSOCIATION.
    48    (3) DEDUCTIBLES BY PERIL AND TREND.
    49    (4)  COMMON  EXCLUSIONS  AND  LIMITATIONS,  INCLUDING  NEW OR EXPANDED
    50  EXCLUSIONS INTRODUCED IN THE REPORTING YEAR.
    51    (5) COVERAGE LIMITS RELATIVE TO REPORTED REPLACEMENT COST.
    52    (6) CLAIMS FREQUENCY AND SEVERITY FOR FIRE, WATER, WIND,  AND  LIABIL-
    53  ITY, TO THE EXTENT AVAILABLE.
    54    (7)  DOCUMENTED  AFFORDABILITY  IMPACTS IN THE DIVISION OF HOUSING AND
    55  COMMUNITY  RENEWAL  PORTFOLIOS,  INCLUDING   RENT-PRESSURE   INDICATORS,
        S. 8583                             4

     1  RESERVE  DRAWS,  OR  CAPITAL-PLAN  DEFERRALS LINKED TO INSURANCE EXPENSE
     2  CHANGES.
     3    (8)   RISK-MITIGATION  CREDITS  AND  BUILDING  RESILIENCY  INVESTMENTS
     4  REPORTED BY OWNERS AND RECOGNIZED BY INSURERS.
     5    (9) REGIONAL HEAT-MAP SUMMARIES OF MARKET STRESS USING THE METHODOLOGY
     6  SET BY THE DEPARTMENT BY BULLETIN OR CIRCULAR LETTER. THE DEPARTMENT MAY
     7  ALIGN WITH THE NATIONAL ASSOCIATION OF INSURANCE COMMISSIONERS'  MARKET-
     8  INTELLIGENCE DATA ELEMENTS.
     9    (D)  DATA  COLLECTION  AND CONFIDENTIALITY. (1) THE SUPERINTENDENT MAY
    10  REQUIRE SPECIAL REPORTS UNDER SECTION THREE HUNDRED EIGHT OF THIS  CHAP-
    11  TER AND MAY CONSOLIDATE REQUESTS WITH EXISTING DEPARTMENT DATA CALLS.
    12    (2)  THE  DEPARTMENT  MAY  REQUIRE  GRANTEES, BORROWERS, AND REGULATED
    13  OWNERS TO PROVIDE INSURANCE EXPENSE AND COVERAGE DATA AS A CONDITION  OF
    14  ASSISTANCE.
    15    (3)  SUBMISSIONS THAT CONSTITUTE TRADE SECRETS OR SENSITIVE COMMERCIAL
    16  INFORMATION ARE CONFIDENTIAL UNDER PARAGRAPH (D) OF SUBDIVISION  TWO  OF
    17  SECTION  EIGHTY-SEVEN  OF  THE PUBLIC OFFICERS LAW. THE PUBLISHED REPORT
    18  SHALL CONTAIN ONLY AGGREGATED, DE-IDENTIFIED STATISTICS AND ANALYSIS.
    19    (4) THE DEPARTMENT SHALL CONSULT WITH EXCESS LINE AND NEW YORK PROPER-
    20  TY INSURANCE UNDERWRITING ASSOCIATION REGARDING REPORTING  FORMATS  THAT
    21  CAPTURE  EXCESS-LINE PLACEMENTS AND ASSIGNED-RISK ACTIVITY WITHOUT IDEN-
    22  TIFYING INDIVIDUAL INSUREDS.
    23    (E) THE DIVISION OF HOUSING AND COMMUNITY  RENEWAL.  THE  DIVISION  OF
    24  HOUSING  AND  COMMUNITY  RENEWAL  SHALL COOPERATE WITH THE DEPARTMENT IN
    25  PRODUCING THE JOINT REPORT, INCLUDING COLLECTING PORTFOLIO-LEVEL  INSUR-
    26  ANCE  EXPENSE AND COVERAGE DATA FROM REGULATED ENTITIES THROUGH EXISTING
    27  REPORTING SYSTEMS. THE DIVISION OF HOUSING AND COMMUNITY  RENEWAL  SHALL
    28  PUBLISH  NON-CONFIDENTIAL  AGGREGATED  STATISTICS  AND PROVIDE TECHNICAL
    29  ASSISTANCE TO OWNERS ON RISK-MITIGATION PRACTICES RECOGNIZED  BY  INSUR-
    30  ERS.
    31    (F)  RULEMAKING.  THE  DEPARTMENT  MAY  ADOPT  REGULATIONS OR CIRCULAR
    32  LETTERS  TO  IMPLEMENT  THIS  SECTION,  HARMONIZE  DATA  STANDARDS  WITH
    33  NATIONAL  ASSOCIATION OF INSURANCE COMMISSIONERS AND OTHER STATES, LIMIT
    34  THE BURDEN ON SMALL INSURERS, AND ENSURE DATA QUALITY. THE  DIVISION  OF
    35  HOUSING  AND  COMMUNITY  RENEWAL  MAY  ISSUE  GUIDANCE  TO PARTICIPATING
    36  OWNERS.
    37    (G) NO PRIVATE RIGHT OF ACTION. NOTHING  IN  THIS  SECTION  CREATES  A
    38  PRIVATE RIGHT OF ACTION.
    39    §  3.  The  insurance law is amended by adding a new section 2346-b to
    40  read as follows:
    41    § 2346-B. HOMEOWNERS INSURANCE OR PROPERTY/CASUALTY  INSURANCE;  MITI-
    42  GATION  ACTION. 1. FOR THE PURPOSES OF THIS SECTION, THE FOLLOWING TERMS
    43  SHALL HAVE THE FOLLOWING MEANINGS:
    44    (A) "COMMUNITY-LEVEL MITIGATION ACTION" MEANS  A  SCIENCE-BASED  MITI-
    45  GATION  ACTION  AS  DEMONSTRATED  BY  A  COMMUNITY OR NEIGHBORHOOD-LEVEL
    46  DESIGNATION OR CERTIFICATION OR AS UNDERTAKEN BY A GOVERNMENT ENTITY;
    47    (B) "NATURAL DISASTER" MEANS THE  OCCURRENCE  OR  IMMINENT  THREAT  OF
    48  WIDESPREAD  CATASTROPHIC  OR  SEVERE  DAMAGE, INJURY, OR LOSS OF LIFE OR
    49  PROPERTY RESULTING FROM ANY NATURAL CAUSE INCLUDING, BUT NOT LIMITED TO,
    50  FIRE, FLOOD, EARTHQUAKE,  HURRICANE,  TORNADO,  HIGH  WATER,  LANDSLIDE,
    51  MUDSLIDE,  WIND,  STORM,  WAVE  ACTION,  ICE  STORM,  AIR CONTAMINATION,
    52  BLIGHT, DROUGHT, INFESTATION,  EXPLOSION,  WATER  CONTAMINATION,  BRIDGE
    53  FAILURE, OR BRIDGE COLLAPSE;
    54    (C)  "NATURAL  DISASTER  RISK  MODEL" MEANS A   TOOL, INSTRUMENTALITY,
    55  MEANS, OR PRODUCT, INCLUDING A MAP-BASED TOOL, A COMPUTER-BASED TOOL, OR
    56  A SIMULATION, THAT IS USED BY AN INSURER IN WHOLE OR IN PART, TO MEASURE
        S. 8583                             5

     1  OR ASSESS THE NATURAL DISASTER RISK ASSOCIATED WITH A RESIDENTIAL  PROP-
     2  ERTY  OR COMMUNITY FOR PURPOSES OF RATING, CLASSIFYING, OR PRICING BASED
     3  ON NATURAL DISASTER RISK OR ESTIMATING RISKS OR LOSSES CORRESPONDING  TO
     4  THE NATURAL DISASTER RISK CLASSIFICATIONS; AND
     5    (D)  "PROPERTY-SPECIFIC MITIGATION ACTION" MEANS A SCIENCE-BASED MITI-
     6  GATION ACTION THAT INCLUDES A VERIFICATION AND CERTIFICATION PROCESS.
     7    2. THE SUPERINTENDENT SHALL PROVIDE  FOR  AN  ACTUARIALLY  APPROPRIATE
     8  REDUCTION   IN   THE   RATES   OF   HOMEOWNERS  INSURANCE  PREMIUMS  AND
     9  PROPERTY/CASUALTY INSURANCE  PREMIUMS  APPLICABLE  TO  RESIDENTIAL  REAL
    10  PROPERTY  FOR  POLICYHOLDERS  WHO CAN DEMONSTRATE THAT PROPERTY-SPECIFIC
    11  MITIGATION ACTIONS HAVE BEEN UNDERTAKEN ON THE  PROPERTY  OR  COMMUNITY-
    12  LEVEL MITIGATION ACTIONS HAVE BEEN UNDERTAKEN IN SUFFICIENT PROXIMITY TO
    13  THE  PROPERTY  TO  REDUCE  THE RISK OF LOSS FROM A NATURAL DISASTER. THE
    14  SUPERINTENDENT SHALL BY REGULATION ESTABLISH A PROCESS FOR POLICYHOLDERS
    15  TO DEMONSTRATE SUCH MITIGATION ACTIONS HAVE OCCURRED.
    16    3. AN INSURER SHALL POST ON  ITS  PUBLIC  WEBSITE  READILY  ACCESSIBLE
    17  INFORMATION  ON  THE  PREMIUM  DISCOUNTS,  INCENTIVES  OR  OTHER PREMIUM
    18  ADJUSTMENTS THAT ARE AVAILABLE TO POLICYHOLDERS OF HOMEOWNERS  INSURANCE
    19  OR  PROPERTY/CASUALTY  INSURANCE APPLICABLE TO RESIDENTIAL REAL PROPERTY
    20  WHO UNDERTAKE PROPERTY-SPECIFIC MITIGATION ACTIONS OR  PROVIDE  EVIDENCE
    21  OF  COMMUNITY-LEVEL  MITIGATION  ACTIONS. THE WEBSITE SHALL IDENTIFY, AS
    22  APPLICABLE:
    23    (A) PROPERTY-SPECIFIC  MITIGATION  ACTIONS  FOR  THE  POLICYHOLDER  TO
    24  UNDERTAKE  AND  COMMUNITY-LEVEL MITIGATION ACTIONS, AS DETERMINED BY THE
    25  SUPERINTENDENT, THAT COULD RESULT IN A  DISCOUNT,  INCENTIVE,  OR  OTHER
    26  PREMIUM ADJUSTMENT; AND
    27    (B) THE AMOUNT OF THE DISCOUNT, INCENTIVE, OR OTHER PREMIUM ADJUSTMENT
    28  ASSOCIATED WITH EACH ACTION.
    29    4.  (A)  AN INSURER THAT PROVIDES A MITIGATION DISCOUNT OR THAT USES A
    30  NATURAL DISASTER RISK MODEL  OR  RISK  SCORE  TO  UNDERWRITE,  NONRENEW,
    31  PRICE,  CREATE  A RATE DIFFERENTIAL, OR SURCHARGE THE PREMIUM BASED UPON
    32  THE POLICYHOLDER'S OR APPLICANT'S NATURAL DISASTER RISK SHALL PROVIDE AN
    33  ANNUAL WRITTEN NOTICE TO EACH POLICYHOLDER OR APPLICANT UPON APPLICATION
    34  FOR INSURANCE OF THE APPLICABLE MITIGATION DISCOUNTS, THE NATURAL DISAS-
    35  TER RISK SCORE, AND ANY OTHER NATURAL DISASTER RISK CLASSIFICATION  USED
    36  BY  THE  INSURER TO UNDERWRITE, NONRENEW, PRICE, CREATE A RATE DIFFEREN-
    37  TIAL, OR SURCHARGE THE PREMIUM BASED UPON THE POLICYHOLDER'S  OR  APPLI-
    38  CANT'S NATURAL DISASTER RISK.
    39    (B) SUCH NOTICE SHALL INCLUDE:
    40    (I) A PLAIN-LANGUAGE EXPLANATION OF THE NATURAL DISASTER RISK SCORE OR
    41  OTHER  NATURAL  DISASTER  RISK  CLASSIFICATION, INCLUDING AN EXPLANATION
    42  THAT INSURERS MAY USE DIFFERENT MODELS AND  HAVE  DIFFERENT  RISK  SCORE
    43  CHANGES THAT COULD RESULT IN DIFFERENT RISK SCORES FROM OTHER INSURERS;
    44    (II) THE RANGE OF THE SCORES OR CLASSIFICATIONS THAT COULD POTENTIALLY
    45  BE ASSIGNED TO THE PROPERTY;
    46    (III) THE RELATIVE POSITION OF THE SCORE OR CLASSIFICATION ASSIGNED TO
    47  THE  PROPERTY  WITHIN  THAT  RANGE OF POSSIBLE SCORES OR CLASSIFICATIONS
    48  PROVIDED BY THE INSURER'S RISK MODEL;
    49    (IV) A WRITTEN  EXPLANATION  OF  WHY  THE  POLICYHOLDER  OR  APPLICANT
    50  RECEIVED THE ASSIGNED SCORE OR CLASSIFICATION THAT IDENTIFIES THE PRIMA-
    51  RY  FEATURES OF THE PROPERTY THAT INFLUENCED THE ASSIGNMENT OF THE SCORE
    52  OR CLASSIFICATION; AND
    53    (V) THE IMPACT, IF ANY,  THAT  EACH  PROPERTY-SPECIFIC  MITIGATION  OR
    54  COMMUNITY-LEVEL  MITIGATION ACTION COULD HAVE ON A NATURAL DISASTER RISK
    55  SCORE OR CLASSIFICATION ASSIGNED TO THE PROPERTY.
        S. 8583                             6

     1    5. THE INSURER SHALL PROVIDE THE NATURAL DISASTER RISK SCORE OR  CLAS-
     2  SIFICATION TO THE POLICYHOLDER OR THE APPLICANT:
     3    (A) FOR APPLICANTS, NO LATER THAN FIFTEEN DAYS AFTER THE SUBMISSION OF
     4  THE APPLICANT'S COMPLETED APPLICATION TO THE INSURER;
     5    (B) FOR POLICYHOLDERS, IN THE OFFER OF RENEWAL;
     6    (C)  FOR  POLICYHOLDERS THAT ARE NOT BEING OFFERED A RENEWAL, WITH THE
     7  NONRENEWAL NOTICE; AND
     8    (D) FOR A POLICYHOLDER OR APPLICANT, IF THE POLICYHOLDER OR  APPLICANT
     9  HAS COMPLETED A PROPERTY-SPECIFIC MITIGATION ACTION OR PROVIDES EVIDENCE
    10  OF  A  COMMUNITY-LEVEL  MITIGATION ACTION IN SUFFICIENT PROXIMITY TO THE
    11  PROPERTY TO REDUCE THE RISK OF LOSS SINCE THE TIME OF THE LAST  APPLICA-
    12  TION  TO  OR RENEWAL BY THE INSURER, NO LATER THAN THIRTY DAYS AFTER THE
    13  SUBMISSION TO THE INSURER OF THE POLICYHOLDER'S OR  APPLICANT'S  REQUEST
    14  THAT  THE  INSURER PROVIDE A REVISED NATURAL DISASTER RISK SCORE OR RISK
    15  CLASSIFICATION.
    16    6. A POLICYHOLDER OR APPLICANT FOR A POLICY OF INSURANCE WHOSE NATURAL
    17  DISASTER RISK MODEL SCORE, NATURAL DISASTER RISK CLASSIFICATION ASSIGNED
    18  TO THE PROPERTY, OR APPLICABLE MITIGATION  DISCOUNT  IS  INACCURATE  AND
    19  PROVIDES EVIDENCE OF THE PROPERTY-SPECIFIC OR COMMUNITY-LEVEL MITIGATION
    20  ACTION  MAY  APPEAL THE SCORE DIRECTLY TO THE INSURER. THE INSURER SHALL
    21  NOTIFY THE POLICYHOLDER OR APPLICANT IN WRITING OF THE RIGHT  TO  APPEAL
    22  THE  NATURAL  DISASTER RISK SCORE OR OTHER NATURAL DISASTER RISK CLASSI-
    23  FICATION OR APPLICABLE MITIGATION DISCOUNT WHEN THE SCORE OR CLASSIFICA-
    24  TION OR DISCOUNT  IS  PROVIDED  TO  THE  POLICYHOLDER  OR  APPLICANT  AS
    25  REQUIRED  BY  THIS SECTION. IF THE POLICYHOLDER OR APPLICANT APPEALS THE
    26  NATURAL DISASTER RISK SCORE OR OTHER NATURAL DISASTER  RISK  CLASSIFICA-
    27  TION  OR  APPLICABLE  DISCOUNT, THE INSURER SHALL ACKNOWLEDGE RECEIPT OF
    28  THE APPEAL IN WRITING WITHIN TEN CALENDAR  DAYS  AFTER  RECEIPT  OF  THE
    29  APPEAL.    THE  INSURER  SHALL  RESPOND  TO THE APPEAL IN WRITING WITH A
    30  RECONSIDERATION AND DECISION WITHIN THIRTY CALENDAR DAYS AFTER RECEIVING
    31  THE APPEAL. IF AN APPEAL IS DENIED, THE INSURER SHALL, UPON  REQUEST  BY
    32  THE  SUPERINTENDENT,  FORWARD  A  COPY  OF  THE APPEAL AND THE INSURER'S
    33  RESPONSE, TO THE SUPERINTENDENT.
    34    § 4. Paragraphs 12 and 13 of subsection (b) of  section  2305  of  the
    35  insurance  law, as amended by section 9 of part AAA of chapter 59 of the
    36  laws of 2017, are amended and a new paragraph 14 is  added  to  read  as
    37  follows:
    38    (12) gap insurance; [and]
    39    (13)  private  passenger  automobile  insurance, except as provided in
    40  section two thousand three hundred fifty of this article[,]; AND
    41    (14) HOMEOWNERS INSURANCE OR PROPERTY/CASUALTY INSURANCE APPLICABLE TO
    42  RESIDENTIAL REAL PROPERTY AS IT RELATES TO THE  INCLUSION  OF  PROPERTY-
    43  SPECIFIC  MITIGATION  ACTIONS  AND COMMUNITY-LEVEL MITIGATION ACTIONS IN
    44  THE CALCULATION OF SUCH RATES,
    45    § 5. Paragraphs 1 and 2 of subsection  (d)  of  section  3425  of  the
    46  insurance law are amended to read as follows:
    47    (1) Unless the insurer, at least [forty-five] NINETY but not more than
    48  [sixty]  ONE  HUNDRED  TWENTY  days  in advance of the end of the policy
    49  period FOR NONRENEWAL OR CONDITIONAL RENEWAL OR THE EFFECTIVE  DATE  FOR
    50  CANCELLATION,  mails  or  delivers  to the named insured, at the address
    51  shown in the policy, a written notice of its intention not  to  renew  a
    52  covered  policy,  [or] to condition its renewal upon change of limits or
    53  elimination of any coverages, OR TO CANCEL THE POLICY, the named insured
    54  shall be entitled to renew the policy upon timely payment of the premium
    55  billed to the insured for the renewal. The specific  reason  or  reasons
    56  for nonrenewal or conditioned renewal shall be stated in or shall accom-
        S. 8583                             7

     1  pany  the  notice.  THE  SPECIFIC  REASON OR REASONS FOR CANCELLATION AS
     2  PROVIDED IN SUBSECTION (C) OF THIS SECTION SHALL BE STATED IN  OR  SHALL
     3  ACCOMPANY  THE  NOTICE.  This  paragraph  shall not apply when the named
     4  insured,  an  agent  or  broker  authorized  by the named insured, or an
     5  insurer of the named insured, has mailed or delivered written notice  to
     6  the insurer that the policy has been replaced or is no longer desired.
     7    (2)  If an insurer has the right to cancel a policy it may, in lieu of
     8  cancellation, condition continuation  of  such  policy  upon  change  of
     9  limits  or  elimination  of any coverage not required by law, if written
    10  notice of such intention is mailed or delivered to the  insured  at  the
    11  address  shown  in the policy at least [twenty] NINETY days prior to the
    12  effective date of such action.
    13    § 6. The opening paragraph of subsection (c) of section  3426  of  the
    14  insurance law, as amended by chapter 235 of the laws of 1989, is amended
    15  to read as follows:
    16    After  a  covered  policy  has  been  in  effect for sixty days unless
    17  cancelled pursuant to subsection (b) of this section, or on or after the
    18  effective date if such policy is a renewal, no  notice  of  cancellation
    19  shall  become effective until [fifteen] NINETY days after written notice
    20  is mailed or delivered to the first-named insured and to such  insured's
    21  authorized  agent  or  broker,  and such cancellation is based on one or
    22  more of the following:
    23    § 7. Paragraphs 3 and 4 of subsection  (a)  of  section  3462  of  the
    24  insurance  law,  as  added  by section 1 of part BB of chapter 56 of the
    25  laws of 2024, are amended and a new paragraph 5  is  added  to  read  as
    26  follows:
    27    (3)  The  level  or source of income of the tenants of the residential
    28  building or the shareholders of a cooperative housing corporation; [or]
    29    (4) Whether such residential building is  owned  by  a  limited-equity
    30  cooperative;  owned by a public housing authority; or owned by a cooper-
    31  ative housing corporation subject to  the  provisions  of  article  two,
    32  article  four,  article  five  or  article eleven of the private housing
    33  finance law[.]; OR
    34    (5) THE RESIDENTIAL BUILDING IS LOCATED IN A DISADVANTAGED  COMMUNITY,
    35  AS IDENTIFIED PURSUANT TO SECTION 75-0111 OF THE ENVIRONMENTAL CONSERVA-
    36  TION  LAW. AN INSURER WHO CANCELS, REFUSES TO ISSUE, REFUSES TO RENEW OR
    37  INCREASE THE PREMIUM OF A POLICY, OR  EXCLUDES,  LIMITS,  RESTRICTS,  OR
    38  REDUCES  COVERAGE UNDER A POLICY FOR A RESIDENTIAL BUILDING LOCATED IN A
    39  DISADVANTAGED COMMUNITY  SHALL  PROVIDE  ACTUARIAL  INFORMATION  TO  THE
    40  INSURED OR APPLICANT TO SUPPORT SUCH ACTION.
    41    §  8.  Subsection (b) of section 5402 of the insurance law, as amended
    42  by chapter 42 of the laws of 1996, is amended to read as follows:
    43    (b) The association shall be governed by a board of  [thirteen]  TWEN-
    44  TY-THREE  directors, ten of whom shall be elected annually by cumulative
    45  voting by the members of the association, whose votes in  such  election
    46  shall  be  weighted in accordance with each member's net direct premiums
    47  written during the preceding calendar year. AN ADDITIONAL SIX  DIRECTORS
    48  SHALL  BE  APPOINTED  ANNUALLY  BY THE LEGISLATURE, TWO BY THE TEMPORARY
    49  PRESIDENT OF THE SENATE, TWO BY THE SPEAKER OF THE ASSEMBLY, ONE BY  THE
    50  MINORITY  LEADER  OF  THE  SENATE  AND ONE BY THE MINORITY LEADER OF THE
    51  ASSEMBLY. FOUR DIRECTORS SHALL BE APPOINTED ANNUALLY BY THE GOVERNOR AND
    52  TWO OF SUCH DIRECTORS SHALL BE REPRESENTATIVES OF CONSUMERS. The remain-
    53  ing three directors shall be appointed annually  by  the  superintendent
    54  and be duly licensed insurance agents or brokers representative of broad
    55  segments of the public obtaining insurance through the association.
        S. 8583                             8

     1    §  9.  Subsection (g) of section 5402 of the insurance law, as amended
     2  by chapter 182 of the laws of 2023, is amended to read as follows:
     3    (g)  In  addition  to  fire insurance, extended coverage, coverage for
     4  additional perils and homeowners  insurance  should  the  same  be  made
     5  available  through the association in accordance with a determination of
     6  necessity pursuant to section five thousand four hundred twelve of  this
     7  article,  the  association  may  offer broad form coverage to applicants
     8  seeking to insure real property at fixed locations of this state, or the
     9  tangible personal property located thereon. The  association  may  offer
    10  broad  form coverage until June thirtieth, two thousand twenty-eight. On
    11  or before October first, two thousand  twenty-seven  the  superintendent
    12  shall  require the association to report to the superintendent as to the
    13  number of policies written pursuant to  this  subsection  and  paragraph
    14  three  of  subsection  (f) of section five thousand four hundred five of
    15  this article, and any other information the superintendent may  require.
    16  On  or  before  January first, two thousand twenty-eight, AND EVERY FOUR
    17  YEARS THEREAFTER, the superintendent shall report to  the  governor  and
    18  the legislature regarding the number of policies issued pursuant to this
    19  section  and  such  paragraph, THE GEOGRAPHIC LOCATION OF SUCH POLICIES,
    20  THE TYPES OF POLICIES OFFERED, THE COVERAGE  LIMITS  OF  SUCH  POLICIES,
    21  RISK REDUCTION INVESTMENTS, INFORMATION ON THE FINANCIAL STANDING OF THE
    22  ASSOCIATION  and  [shall include] recommendations as to the continuation
    23  of such insurance offerings.
    24    § 10. This act shall take effect on  the  one  hundred  eightieth  day
    25  after  it  shall have become a law. Effective immediately, the addition,
    26  amendment and/or repeal of any rule  or  regulation  necessary  for  the
    27  implementation  of  this  act on its effective date are authorized to be
    28  made and completed on or before such effective date.