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NY S05970
Bill
Status
6/7/2017
Primary Sponsor
Jeffrey Klein
Click for details
AI Summary
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Amends Insurance Law Section 401 to grant the superintendent authority to investigate fraudulent activities involving individuals operating motor vehicles without insurance coverage and insureds who misrepresent where insured vehicles are garaged and operated.
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Establishes that operating uninsured motor vehicles violates Article 6 of the Vehicle and Traffic Law and creates public danger by preventing compensation for injuries, death, and property damage.
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Notes that misrepresenting vehicle garaging locations improperly shifts high liability exposure costs to other insureds with lower risk profiles.
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Requires any person licensed or registered in the insurance business, including self-insurers providing motor vehicle liability insurance, to report suspected fraudulent insurance transactions to the superintendent within thirty days of determination that fraud may have occurred.
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Takes effect 180 days after becoming law.
Legislative Description
Grants the superintendent of financial services authority to investigate fraudulent activities, such as motor vehicle operators who drive with no insurance coverage, and those who misrepresent their principal place of residence or where their motor vehicle is principally garaged and operated; requires insurance companies and self-insurers to report incidents of insurance fraud, relating to automobile liability insurance, to the department of financial services.
Last Action
referred to insurance
6/20/2018