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NY A03321

Bill

Status

Introduced

1/27/2025

Primary Sponsor

Kenneth Blankenbush

Click for details

Origin

Assembly

2025-2026 General Assembly

AI Summary

  • Establishes certification requirements for managed care organizations providing medical services to auto insurance claimants, requiring quality standards, adequate provider networks, utilization review procedures, and dispute resolution mechanisms

  • Requires initial notice of first party benefit claims to be filed within 30 days of injury, and proof of medical service costs to be submitted within 45 days of treatment; extends insurer payment deadline from 30 to 45 days

  • Creates financial rewards of 15-25% (up to $25,000) for individuals who report insurance fraud to the attorney general, district attorney, or insurance frauds bureau when their information leads to prosecution

  • Lowers monetary thresholds for insurance fraud felony charges: fourth degree reduced from $1,000 to $500, third degree from $3,000 to $1,500, second degree from $50,000 to $25,000, and first degree from $1 million to $500,000

  • Criminalizes the use of "runners" who procure clients for attorneys or healthcare providers for fraudulent insurance claims as a class E felony; appropriates $3,100,000 to support district attorney fraud prosecution efforts

Legislative Description

Enacts the New York automobile insurance fraud and premium reduction act; provides that this act is aimed at reducing insurance fraud and thus lowering the cost of insurance premiums; provides a provision for compensation to a person that reports insurance fraud to the authorities; further provides that this act also increases the penalty for insurance fraud; appropriates $3,100,000 therefor.

Last Action

referred to insurance

1/7/2026

Committee Referrals

Insurance1/27/2025

Full Bill Text

No bill text available