NJ S3637

Creates the New Jersey Pandemic Risk Reinsurance Program and Fund to provide reinsurance support for business interruption insurance claims arising from declared public health emergencies, pandemics, or infectious disease outbreaks.

Participating insurers must offer pandemic/virus coverage riders to businesses with 100 or fewer employees in New Jersey as a condition of program participation.

Program payouts are triggered only when aggregate statewide industry losses exceed $75 million, with a maximum annual payout cap of $500 million; insurers retain a deductible equal to 5% of their prior year's direct earned premiums.

Fund receives minimum $50 million annually from the State General Fund, plus at least $50 million from federal CARES Act funds and $50 million from any additional federal COVID-19 assistance.

Program will be phased out if a federal pandemic risk reinsurance program is established; applies to policies issued or renewed 90 days after enactment.