Sep 18, 2014

PIANY: Help pass certificates of insurance reform law

PIANYs Director of Government Affairs Matthew F. Guilbault, Esq., joined a coalition of producer groups to meet with Gov. Cuomos staff (for the second time in two weeks) to advocate for the governors favorable consideration of the associations top-priority "certificates of insurance bill" (A.9590 Morelle/S.6545-A Seward).

The bill passed both houses of the state Legislature and soon will be sent to the governor for his consideration and we hope to be signed into law. PIANY, again, joined other producer associations in the meeting, and talked about how the bill was amended to address the concerns set forth in last years veto message of a similar proposal. During the meeting, the governors representatives acknowledged the new bill language and indicated that a clear message has been sent  by the Legislatures overwhelming endorsement and passage of this proposal for two consecutive years. We hope that this will weigh heavily upon the governor when he considers the bill. But, we still have a considerable amount of work to do. PIANY members are requested to contact their New York state representatives in both the Senate and Assembly and ask them to write letters to the governor in support of the bill. This will show strong, broad-based support for the bill.

The message is simple:

         there is a large and growing problem regarding the improper use of certificates in the state of New York (cite personal examples);

         the improper use of certificates creates situations in which proper insurance coverage is not in place, which puts both workers and the general public at risk;

         this bill (A.9590 Morelle/S.6545-A Seward) directly addresses that problem by regulating the use of certificate forms and requiring that certificates clearly and accurately reflect the coverages in the policy;

         this bill was amended and passed to eliminate the concerns the governor set forth in last years veto message.

Please reach out TODAY to your state Assembly member and state senator and ask them to contact the governors office and to request that Gov. Cuomo to sign the bill into law. Moreover, please reach out to your clients who would be positively impacted by the passage of this reform bill into law and request that they join our effort by asking for letters of their own.

Find your New York senator at: http://www.nysenate.gov/. Call them at: (518) 455-2800.

Find your New York Assembly member at: http://assembly.state.ny.us/. Call them at: (518) 455-4100.

The bill requires the use of an ACORD certificate form (with limited exceptions) and provides that no person or governmental entity shall request or require, prepare or issue a certificate of insurance that such person knows does not accurately state the terms of coverage provided by the policy; or purports to alter, amend, extend or misrepresent the terms of coverage to which the certificate makes reference; or purports to confer to any person new or additional rights beyond what the referenced policy of insurance expressly provides. Essentially, the bill requires a certificate to be a true and accurate representation of the policy.

Think PIA first