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Cuomo acts on insurance legislation

In addition to vetoing PIAs top-priority certificates of insurance legislation, Gov. Andrew Cuomo also considered a number of other insurance-related proposals, signing one into law and vetoing two others. They are:

A.7340-A  Farrell (MS)/S.5323-A  MAZIARZ

Would enact the "Facilitating Business Rapid Response to State Declared Disaster Act of 2013." This bill would have exempted from certain tax obligations out-of-state entities and their employees that come into New York temporarily to restore utilities and other infrastructure in the wake of a declared disaster. The governor indicated that this bill was unnecessary because the Tax Law already affords the Department of Taxation and Finance considerable authority to respond to various tax issues that may arise as a result of a disaster or other declared emergency in New York state. - Vetoed-Memo 266

A.7546-A  Braunstein/S.5550  LIBOUS

Would have provided that wireless communications equipment insurance policies shall not be subject to rules providing for producer compensation transparency under Regulation 194. Citing two similar vetoes in each of the last two years, the governor deemed this bill as diluting consumer protections and therefore "similarly flawed." - Vetoed-Memo 267

S.5775  KLEIN/A.6786-B  Weprin

Requires public adjusters to work for the benefit of insureds and requires disclosure of conflicts of interest. The new law adds a new subsection to state Insurance Law [2108(s)] that prohibits a public adjuster from receiving any compensation for the referral or recommendation to an insured that such insured use another individual or firm to perform services, work or repairs relating to any insurance claim settled or negotiated by such public adjuster. Public adjusters may, however, receive such compensation, if such arrangement is clearly disclosed to the insured and acknowledged by such insured in a signed writing. - Signed Chapter 546