S T A T E   O F   N E W   Y O R K
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                                  3212

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                            January 22, 2015
                               ___________

Introduced  by  M.  of  A.  WEPRIN  --  Multi-Sponsored  by  -- M. of A.
  BROOK-KRASNY, COOK, ORTIZ, PERRY -- read  once  and  referred  to  the
  Committee on Insurance

AN  ACT  to  amend  the insurance law, in relation to claims for loss or
  damage to real property, continuing education for licensed persons and
  qualifications for independent adjusters

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  The insurance law is amended by adding a new section 2616
to read as follows:
  S 2616. CLAIMS FOR LOSS OR DAMAGE TO REAL PROPERTY; REPAIRS. (A) WHEN-
EVER AN INSURED SUFFERS A LOSS OR DAMAGE TO REAL  PROPERTY,  NO  INSURER
PROVIDING COVERAGE THEREFOR SHALL REQUIRE THAT REPAIRS BE COMPLETED BY A
PARTICULAR ENTITY OR INDIVIDUAL.
  (B)  IN  PROCESSING ANY SUCH CLAIM, THE INSURER SHALL NOT RECOMMEND OR
SUGGEST REPAIRS BE MADE BY A  PARTICULAR  ENTITY  OR  INDIVIDUAL  UNLESS
EXPRESSLY  REQUESTED  BY  THE  INSURED,  IN WHICH CASE THE INSURER SHALL
DISCLOSE TO THE INSURED WHETHER THE INSURER HAS A CONTROLLING  OR  BUSI-
NESS INTEREST IN ANY ENTITY OR INDIVIDUAL THAT THE INSURER RECOMMENDS OR
SUGGESTS.
  S  2.  Paragraph  1 of subsection (f) of section 2108 of the insurance
law is amended to read as follows:
  (1) The superintendent shall, in order to determine  the  trustworthi-
ness and competency to act as an independent adjuster of each individual
applicant for such license, and of each proposed sub-licensee, except in
the case of a renewal license, require every such individual to take and
pass,  to  the  satisfaction  of  the superintendent, a personal written
examination.  AN INDIVIDUAL SHALL NOT BE DEEMED QUALIFIED  TO  TAKE  THE
EXAMINATION  WITHOUT HAVING DEMONSTRATED BY EVIDENCE SATISFACTORY TO THE
SUPERINTENDENT  THAT:  (A)  THE  INDIVIDUAL  POSSESSES  A   MINIMUM   OF
ONE-YEAR'S  EXPERIENCE  IN  THE  INSURANCE BUSINESS, WITH INVOLVEMENT IN

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD07479-01-5
              

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SALES, UNDERWRITING, CLAIMS, OR OTHER EXPERIENCE  CONSIDERED  SUFFICIENT
BY  THE  SUPERINTENDENT;  OR  (B)  THE INDIVIDUAL SUCCESSFULLY COMPLETED
FORTY HOURS OF FORMAL TRAINING IN A COURSE, PROGRAM OF  INSTRUCTION,  OR
SEMINARS   APPROVED   BY  THE  SUPERINTENDENT.  The  superintendent  may
prescribe the types of written examinations according  to  the  kind  or
kinds  of  insurance claims [which] THAT the applicant is to be licensed
to investigate and adjust.
  S 3. Subsection (r) of section 2108 of the insurance law, as added  by
chapter 264 of the laws of 1998, is amended to read as follows:
  (r) (1) The following continuing education requirements shall apply to
resident  and  non-resident  persons  licensed  as public OR INDEPENDENT
adjusters.
  (2) Resident and non-resident persons licensed as public OR  INDEPEND-
ENT  adjusters  and  any person previously so licensed whose license was
not in effect on the effective date  of  this  subsection  and  who  has
subsequently been relicensed pursuant to the provisions of this article,
shall biennially satisfactorily complete such courses or programs as may
be approved by the superintendent, as follows:
  (A)  Any  person holding a license as a public OR INDEPENDENT adjuster
shall,  during  each  full  biennial  licensing  period,  satisfactorily
complete courses or programs of instruction or attend seminars as may be
approved  by  the  superintendent  equivalent to fifteen credit hours of
instruction.
  (B) During the same calendar year biennial licensing period, a  licen-
see  may  use  accumulated  continuing  education  credits  to  meet the
requirements of similar classes of licenses including  those  authorized
by subsection (b) of section two thousand one hundred three, section two
thousand  one  hundred  four,  section two thousand one hundred seven of
this article with respect to general  insurance  consultants,  and  THIS
section [two thousand one hundred eight of this article] with respect to
public AND INDEPENDENT adjusters.
  (C)  Excess  credit  hours  accumulated  during any biennial licensing
period shall not carry forward to the next biennial licensing period for
that same class of license.
  (3) (A) The courses or programs of instruction successfully completed,
which shall be deemed to meet the superintendent's standards for contin-
uing education shall be:
  (i) Courses, programs of instruction or seminars, approved as to meth-
od and content by the superintendent, covering portions of the principal
branches of insurance related to the kinds of insurance covered  by  the
public  OR  INDEPENDENT adjusting license, and given by a degree confer-
ring college or university whose curriculum is registered with the state
education department at the time the person takes  the  course,  whether
such course be given as part of such curriculum or separately, or by any
other  institution,  association,  trade  association  or insurer, which
maintains equivalent standards of instruction and which shall have  been
approved for such purpose by the superintendent.
  (ii)  Continuing education as required by the state in which a non-re-
sident licensee resides and maintains an  office,  provided  the  super-
intendent  deems  them  equivalent  to  New  York  continuing  education
requirements. If the state in which the  non-resident  licensee  resides
and maintains an office has no continuing education requirements, or the
superintendent  does not deem them equivalent, the licensee must satisfy
New York continuing education requirements.

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  (B) The number of credit hours assigned to  each  of  the  courses  or
programs  of  instruction  set forth in paragraph one of this subsection
shall be determined by the superintendent.
  (4)  A  person  who  teaches any approved course of instruction or who
lectures at any approved seminar, and who is subject to these continuing
education requirements shall be granted the same number of credit  hours
as  would be granted to a person taking and successfully completing such
course, seminar or program, provided that such  credit  hours  shall  be
credited  only  once  per  approved course during any biennial licensing
period.
  (5) Every person subject to these  continuing  education  requirements
shall  furnish,  in  a  form satisfactory to the superintendent, written
certification attesting to the course or programs of  instruction  taken
and  successfully completed by such person, and executed by the sponsor-
ing organization or its authorizing representative.
  (6) (A) Any person failing to  meet  applicable  continuing  education
requirements shall not be eligible to renew the license.
  (B)  Any person whose license was not renewed shall not be eligible to
become relicensed during  the next biennial licensing period until  that
person  has  demonstrated to the satisfaction of the superintendent that
continuing education requirements for the last biennial licensing period
were met.
  (C) Any person whose license was not renewed pursuant to  subparagraph
(A)  of  this paragraph, who accumulates sufficient credit hours for the
prior licensing period to qualify for relicensing in the biennial period
following such non-renewal, may not apply those same credit hours toward
the continuing education requirements for the current biennial licensing
period.
  (7) (A) Any entity eligible to provide continuing  education  courses,
programs  of  instruction,  or  seminars  shall file for approval by the
superintendent on a  biennial  basis,  to  conform  with  its  areas  of
instruction, a provider organization application and a course submission
application for each course, program, and seminar.
  (B)  The  provider organization application shall include the names of
all instructors to be used during the contract period,  and  instructors
may  be  added  during  the  period  by notifying the superintendent and
paying the appropriate filing fee.
  (C) The completed applications shall be returned in a  timely  manner,
as  specified  by the superintendent with a non-refundable filing fee of
two hundred dollars per organization, fifty dollars per course, program,
and seminar, and fifty dollars per instructor.
  (D) Approval of the application shall be  at  the  discretion  of  the
superintendent.
  (8) Each licensee shall pay a biennial fee of ten dollars per license,
for  continuing  education  certificate filing and recording charges, to
the superintendent, or, at the direction of the superintendent, directly
to an organization under contract to provide continuing education admin-
istrative services.
  S 4. The opening paragraph of subsection (a) of section  2110  of  the
insurance law, as amended by chapter 499 of the laws of 2009, is amended
to read as follows:
  The  superintendent  may refuse to renew, revoke, or may suspend for a
period the  superintendent  determines  the  license  of  any  insurance
producer,  insurance  consultant, PUBLIC OR INDEPENDENT adjuster or life
settlement broker, if, after  notice  and  hearing,  the  superintendent
determines that the licensee or any sub-licensee has:

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  S  5.  Paragraph  2 of subsection (c) of section 2132 of the insurance
law, as amended by chapter 264 of the laws of 1998, is amended  to  read
as follows:
  (2)  During the same calendar year biennial licensing period, a licen-
see may  use  accumulated  continuing  education  credits  to  meet  the
requirements  of similar classes of licenses, as follows: (A) subsection
(a) of section two thousand one hundred three and section  two  thousand
one  hundred  seven  of  this  article  with  respect  to life insurance
consultants; or (B) subsection (b) of section two thousand  one  hundred
three,  section  two thousand one hundred four, section two thousand one
hundred seven of this article with respect to general insurance consult-
ants, and section two thousand one hundred eight of  this  article  with
respect to public AND INDEPENDENT adjusters.
  S  6. This act shall take effect on the first of January next succeed-
ing the date on which it shall have become a law.