Bill Text: NY S02433 | 2023-2024 | General Assembly | Introduced
Bill Title: Authorizes self-submission of vehicle photographs and inspection for auto insurance for personal insurance; not applicable to vehicles insured by the New York automobile insurance plan.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced) 2024-01-03 - REFERRED TO INSURANCE [S02433 Detail]
Download: New_York-2023-S02433-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 2433 2023-2024 Regular Sessions IN SENATE January 20, 2023 ___________ Introduced by Sen. COMRIE -- read twice and ordered printed, and when printed to be committed to the Committee on Insurance AN ACT to amend the insurance law, in relation to self-submission for automobile insurance The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subsections (e), (f) and (h) of section 3411 of the insur- 2 ance law, subsections (e) and (f) as added by chapter 805 of the laws of 3 1984, are amended and a new subsection (o) is added to read as follows: 4 (e) For a renewal of a policy referred to in subsection (d) of this 5 section, an insurer may require, as a condition of such renewal, that 6 the automobile be made available for inspection by the insurer, the 7 insurer's authorized representative, or by the insured pursuant to 8 subsection (o) of this section. 9 (f) If an insurer requests an inspection pursuant to subsection (e) of 10 this section, the insured shall make the automobile available for 11 inspection by the insurer or the insurer's authorized representative, 12 upon reasonable notice. The insurer may also, upon reasonable notice, 13 allow the insured to complete the automobile inspection pursuant to 14 subsection (o) of this section. If the insured, upon reasonable notice, 15 fails to make the automobile available for inspection by the insurer, 16 the insurer's authorized representative, or by completing the inspection 17 pursuant to subsection (o) of this section, the insurer may refuse to 18 continue such physical damage coverage. 19 (h) Where an inspection is made pursuant to this section, it shall be 20 conducted by the insurer [or its], the insurer's authorized represen- 21 tative, or by the insured pursuant to subsection (o) of this section, 22 and shall be recorded on a form prescribed by the superintendent. Such 23 form shall be retained by the insurer with its policy records for such 24 insured, and a copy of such form shall be made available to the insured 25 upon request. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD04247-01-3S. 2433 2 1 (o) (1) An insurer may, at its option, comply with subsections (d) and 2 (e) of this section by allowing the insured to self-inspect the insured 3 vehicle and self-submit documentation establishing the inspection, 4 consistent with the requirements of this subsection. An insurer is not 5 required to comply with subsections (d) and (e) of this section by 6 allowing the insured to self-inspect the insured vehicle. 7 (2) The self-inspection option available pursuant to this subsection 8 shall only apply to vehicles insured by personal lines insurance. 9 (3) The self-inspection option available pursuant to this subsection 10 shall not apply to vehicles insured by the New York automobile insurance 11 plan. 12 (4) To perform an automobile inspection pursuant to this subsection, 13 the insured must, at minimum, submit the following documents to the 14 insurer or the insurer's authorized representative: 15 a. digital photographs of the insured vehicle; and 16 b. the signed, completed inspection form referenced in subsection (h) 17 of this section. 18 (5) An automobile inspection performed pursuant to this subsection is 19 deemed complete only when the insurer or its authorized representative 20 has received both the signed, completed inspection form and the required 21 digital photographs. 22 (6) Each digital photograph submitted by the insured must be in color, 23 clear, and must include metadata that indicates the date and time that 24 the photograph was taken. 25 (7) Each digital photograph submitted by the insured must be in .jpeg 26 format, the resolution must be no less than 2048 x 1536 pixels, and the 27 file size per photo must be no less than 200KB but no greater than 5MB. 28 (8) Each digital photograph submitted by the insured must be taken no 29 more than ten calendar days prior to the date written on the inspection 30 form, and no more than fourteen calendar days after the date written on 31 the inspection form. The included metadata must confirm that each 32 digital photograph was taken no more than ten calendar days prior to the 33 date written on the inspection form, and no more than fourteen calendar 34 days after the date written on the inspection form. 35 (9) The insured must certify the accuracy and completeness of the 36 information recorded on the inspection form prescribed by the super- 37 intendent, under penalty of perjury. Any knowing misrepresentation shall 38 constitute a "fraudulent insurance act" as that term is defined in 39 subsection (a) of section four hundred three of this chapter. 40 (10) The insured must certify the authenticity of the signature on the 41 inspection report prescribed by the superintendent, under penalty of 42 perjury. In accordance with section three hundred four of the state 43 technology law, an electronic signature is permissible. 44 (11) The insurer and/or its authorized representative must take 45 reasonable, appropriate steps necessary to ensure the security and 46 integrity of data that the insured submits pursuant to this subsection. 47 (12) If the insured chooses to sign the inspection form with an elec- 48 tronic signature, the insurer and/or its authorized representative must 49 take reasonable, appropriate steps necessary to ensure the security of 50 the electronic signature and verify its authenticity. 51 (13) The insurer and/or its authorized representative must establish 52 reasonable, appropriate procedures necessary to ensure that once 53 inspection forms are signed and submitted, they are, at minimum, stored 54 electronically, in a secure fashion, and are retained by the insurer 55 and/or its authorized representative for a minimum period of time to be 56 determined by the superintendent.S. 2433 3 1 (14) If, upon inspection of the insured's digital photographs, the 2 insurer finds that the insured has failed to comply with the photograph 3 submission requirements provided in this subsection or in the applicable 4 regulations, the insurer must request further inspection of the vehicle 5 by the insurer or its authorized representative. Further self-inspection 6 of the vehicle pursuant to this subsection is not permitted, and any 7 subsequent inspection or inspections still must be completed no more 8 than fourteen calendar days after the effective date of coverage. The 9 insurer shall have the right to refuse to continue physical damage 10 coverage until the insured completes the subsequent inspection or 11 inspections. 12 (15) If, upon inspection of the insured's digital photographs, the 13 insurer identifies inaccuracies or errors in the information recorded on 14 the inspection form, the insurer must request further inspection of the 15 automobile by the insurer or its authorized representative. Further 16 self-inspection of the vehicle pursuant to this subsection is not 17 permitted. The insurer shall have the right to refuse to continue phys- 18 ical damage coverage until the insured completes the subsequent 19 inspection or inspections. 20 (16) If, upon inspection of the insured's digital photographs and/or 21 review of the inspection form prescribed by the superintendent, the 22 insurer identifies evidence of a fraudulent insurance act, the insurer 23 may cancel or rescind the insured's physical damage coverage, and may 24 report such evidence of a fraudulent insurance act to law enforcement 25 authorities. In connection with providing the inspection form, the 26 insurer must also issue a notice to the insured containing the language 27 prescribed in subsection (e) of section four hundred three of this chap- 28 ter. 29 (17) The superintendent may promulgate additional regulations specific 30 to this subsection. 31 (18) Unless the superintendent promulgates additional regulations 32 specific to this subsection, in addition to satisfying the requirements 33 of this subsection, the insurer and the insured must also comply with 34 the applicable inspection standards prescribed pursuant to 11 NYCRR § 67 35 except that: 36 a. The insured must only submit photographs to the insurer or its 37 authorized representative electronically using digital media; and 38 b. If the insured electronically transmits the signed, completed 39 inspection report to the insurer or its authorized representative, the 40 insured must use an electronic signature. 41 § 2. This act shall take effect on the sixtieth day after it shall 42 have become a law. Effective immediately, the addition, amendment and/or 43 repeal of any rule or regulation necessary for the implementation of 44 this act on its effective date are authorized to be made and completed 45 on or before such effective date.
