NY S09420

Defines "parametric insurance" as insurance against weather-related events (windstorm, flood, snow, wildfire, tornado, cyclone, earthquake) where indemnification is based on proximity and magnitude as measured by state or federal agencies.

Requires insurers issuing parametric insurance policies to disclose that the policy is not a substitute for property or flood insurance and that mortgagees or loss payees may not accept parametric policies.

Authorizes excess line brokers to procure parametric insurance policies and requires them to provide the required disclosures on behalf of insurers.

Adds parametric insurance to the list of non-basic kinds of insurance and establishes capital and surplus requirements for insurers licensed to write parametric insurance.

Takes effect thirty days after becoming law.