S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    537
 
                        2021-2022 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                (PREFILED)
 
                              January 6, 2021
                                ___________
 
 Introduced by M. of A. CAHILL -- read once and referred to the Committee
   on Insurance
 
 AN  ACT to amend the insurance law and the executive law, in relation to
   public auto insurance claims
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1. Subsections (a), (b) and (c) of section 5106 of the insur-
 ance law, subsection (b) as amended by chapter 452 of the laws of  2005,
 are amended to read as follows:
   (a)  Payments of first party benefits and additional first party bene-
 fits shall be made as the loss is incurred.  Such benefits  are  overdue
 if  not paid within thirty days after the claimant supplies proof of the
 fact and amount of loss sustained. If proof is not supplied  as  to  the
 entire  claim,  the amount which is supported by proof is overdue if not
 paid within thirty days  after  such  proof  is  supplied.  All  overdue
 payments  shall bear interest at the rate of two percent per month. If a
 valid claim or portion was overdue, the claimant shall also be  entitled
 to  recover  [his  attorney's]  A  reasonable ATTORNEY fee, for services
 necessarily performed in connection with securing payment of the overdue
 claim, subject to limitations promulgated by the superintendent in regu-
 lations.
   (b) EVERY CLAIMANT SHALL HAVE THE OPTION OF DESIGNATING THE  NAME  AND
 ADDRESS  TO  WHICH THE INSURER WILL BE REQUIRED TO SEND DUPLICATE COPIES
 OF ALL REQUESTS FOR INFORMATION AND EXAMINATIONS.
   (C)(1) Every insurer shall provide  a  claimant  with  the  option  of
 submitting  any  dispute  involving the insurer's liability to pay first
 party benefits, or additional first party benefits, the  amount  thereof
 or  any  other matter which may arise pursuant to subsection (a) of this
 section to arbitration pursuant to simplified procedures to  be  promul-

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

                                                            LBD01646-01-1

 A. 537                              2
 
 gated  or  approved  by  the  superintendent. Such simplified procedures
 shall:
   (I)  PERMIT  A CLAIMANT TO GROUP DISPUTES ARISING FROM THE SAME OCCUR-
 RENCE WITH A SINGLE INSURER BASED ON COMMON QUESTIONS OF LAW AND FACT;
   (II) PERMIT EITHER THE CLAIMANT OR THE INSURER, AT THEIR OWN  EXPENSE,
 TO  RECORD  OR  TRANSCRIBE  ALL  PROCEEDINGS  RELATED TO THE ARBITRATION
 DEMAND;
   (III) include an expedited eligibility hearing option, when  required,
 to designate the insurer for first party benefits pursuant to subsection
 (d) of this section. The expedited eligibility hearing option shall be a
 forum   for  eligibility  disputes  only,  and  shall  not  include  the
 submission of any particular bill, payment or  claim  for  any  specific
 benefit  for  adjudication,  nor  shall it consider any other defense to
 payment.  [(c)] THE EXPEDITED ELIGIBILITY HEARING OPTION SHALL  ALSO  BE
 AVAILABLE  TO  PROMPTLY  ADJUDICATE  ALL  DISPUTES  RELATED  TO DOCUMENT
 REQUESTS AND EXAMINATIONS  UNDER  OATH  OF  A  CLAIMANT  HEALTH  SERVICE
 PROVIDER REGARDING THE PROVIDER'S INELIGIBILITY FOR REIMBURSEMENT DUE TO
 THE  ALLEGED  FAILURE  TO  MEET  ANY  APPLICABLE NEW YORK STATE OR LOCAL
 LICENSING REQUIREMENT NECESSARY TO PERFORM SUCH SERVICE IN NEW YORK,  OR
 MEET  ANY  APPLICABLE  LICENSING  REQUIREMENT  NECESSARY TO PERFORM SUCH
 SERVICE IN ANY OTHER STATE WHERE SUCH SERVICE IS PERFORMED.  THE  TIMELY
 FILING  OF  THE REQUEST FOR EXPEDITED ELIGIBILITY HEARING SHALL TOLL THE
 TIME TO COMPLY UNTIL THE TIME SET FORTH IN THE ARBITRATOR'S DECISION.
   (2) THE COMMENCEMENT OF A COURT PROCEEDING  OR  THE  SUBMISSION  OF  A
 DISPUTE  TO  ARBITRATION  SHALL NOT PRECLUDE A CLAIMANT FROM ELECTING TO
 SUBMIT OTHER DISPUTES ARISING FROM THE SAME OCCURRENCE TO THE  ALTERNATE
 FORUM.  ARBITRATORS ARE REQUIRED TO FOLLOW AND APPLY SUBSTANTIVE LAW. An
 award by an arbitrator shall be binding except where vacated or modified
 by a master arbitrator in accordance with simplified  procedures  to  be
 promulgated  or approved by the superintendent. The grounds for vacating
 or modifying an arbitrator's award by a master arbitrator shall  not  be
 limited to those grounds for review set forth in article seventy-five of
 the  civil  practice  law and rules AND SHALL INCLUDE FACTUAL, LEGAL AND
 PROCEDURAL ERRORS. The award of a master  arbitrator  shall  be  binding
 except  for  the grounds for review set forth in article seventy-five of
 the civil practice law and rules[, and provided further that  where  the
 amount  of  such  master  arbitrator's award is five thousand dollars or
 greater, exclusive of interest and attorney's fees, the insurer  or  the
 claimant  may  institute  a  court  action  to adjudicate the dispute de
 novo].
   (3) WITH RESPECT TO AN ACTION FOR SERIOUS PERSONAL INJURY  PERMISSIBLE
 UNDER  SECTION FIVE THOUSAND ONE HUNDRED FOUR OF THIS ARTICLE, THE AWARD
 OR DECISION OF AN ARBITRATOR OR MASTER ARBITRATOR RENDERED PURSUANT TO A
 NO-FAULT PROCEEDING SHALL NOT CONSTITUTE A COLLATERAL  ESTOPPEL  OF  THE
 ISSUES  ARBITRATED,  BUT  SUCH AN AWARD OR DECISION MAY BE ADMISSIBLE AS
 RELEVANT EVIDENCE BY A PARTY TO AN ACTION.
   § 2. Section 5102 of the insurance law is  amended  by  adding  a  new
 subsection (n) to read as follows:
   (N)  "PROVIDER OF HEALTH SERVICES" FOR PURPOSES OF THIS ARTICLE, MEANS
 AN INDIVIDUAL OR ENTITY WHO OR  THAT  RENDERS  OR  HAS  RENDERED  HEALTH
 SERVICES,  OR  WHO PROVIDES FOR REMUNERATION AN OPINION TO AN INSURER OR
 AN ENTITY CONTRACTED BY AN INSURER REGARDING EITHER (I) WHETHER A HEALTH
 SERVICE WAS MEDICALLY NECESSARY, OR (II) BASED UPON  AN  EXAMINATION  OF
 THE CLAIMANT, THE NEED FOR ANY HEALTH SERVICE.
   § 3. Section 5109 of the insurance law, as added by chapter 423 of the
 laws of 2005, is amended to read as follows:

 A. 537                              3
 
   § 5109. Unauthorized providers of health services. (a) The superinten-
 dent,  in  consultation  with the commissioner of health and the commis-
 sioner of education,  shall  by  regulation,  promulgate  standards  and
 procedures  for  investigating  and  suspending or removing the authori-
 zation for providers of health services to demand or request payment for
 health  services  [as  specified  in  paragraph one of subsection (a) of
 section five thousand one hundred two of] UNDER this article upon  find-
 ings  reached  after  investigation pursuant to this section. Such regu-
 lations shall ensure the same or greater due process provisions, includ-
 ing notice and opportunity to be heard,  as  those  afforded  physicians
 investigated  under  article  two  of  the workers' compensation law and
 shall include provision for notice to all providers of  health  services
 of the provisions of this section and regulations promulgated thereunder
 at  least  ninety  days  in  advance of the effective date of such regu-
 lations. AS USED IN THIS  SECTION,  "HEALTH  SERVICES"  MEANS  SERVICES,
 SUPPLIES,  THERAPIES,  OR  OTHER TREATMENTS AS SPECIFIED IN SUBPARAGRAPH
 (I), (II), OR (IV) OF PARAGRAPH ONE OF SUBSECTION (A)  OF  SECTION  FIVE
 THOUSAND  ONE  HUNDRED  TWO OF THIS ARTICLE OR AN OPINION RENDERED TO AN
 INSURER OR AN ENTITY CONTRACTED  BY  AN  INSURER  REGARDING  EITHER  (I)
 WHETHER SUCH SERVICES, SUPPLIES, THERAPIES, OR TREATMENTS WERE MEDICALLY
 NECESSARY,  OR  (II) BASED UPON AN EXAMINATION OF THE CLAIMANT, THE NEED
 FOR ANY SUCH SERVICE, SUPPLY, THERAPY, OR TREATMENT.
   (b) [The commissioner of health  and  the  commissioner  of  education
 shall  provide  a  list of the names of all providers of health services
 who the commissioner of health and the commissioner of  education  shall
 deem,  after  reasonable  investigation,  not  authorized  to  demand or
 request any payment for medical services in connection  with  any  claim
 under  this article because such provider of health services] THE SUPER-
 INTENDENT, IN CONSULTATION WITH  THE  COMMISSIONER  OF  HEALTH  AND  THE
 COMMISSIONER  OF  EDUCATION,  MAY PROHIBIT A PROVIDER OF HEALTH SERVICES
 FROM DEMANDING OR REQUESTING PAYMENT FOR HEALTH SERVICES RENDERED  UNDER
 THIS  ARTICLE,  FOR  A  PERIOD  SPECIFIED  BY THE SUPERINTENDENT, IF THE
 SUPERINTENDENT DETERMINES THAT THE PROVIDER OF HEALTH SERVICES:
   (1) has ADMITTED TO OR been FOUND  guilty  of  professional  or  other
 misconduct  or incompetency in connection with [medical] HEALTH services
 rendered under this article; or
   (2) has exceeded the limits of his or her professional  competence  in
 rendering  medical  care under this article, AS DETERMINED BY THE APPRO-
 PRIATE SUPERVISING OR LICENSING AGENCY, or has knowingly  made  a  false
 statement  or representation as to a material fact in any medical report
 made, OR DOCUMENT SUBMITTED, in connection with  any  claim  under  this
 article; or
   (3)  solicited,  or  has  employed  another to solicit for [himself or
 herself] THE PROVIDER OF HEALTH SERVICES or  for  another,  professional
 treatment,  examination  or care of an injured person in connection with
 any claim under this article; or
   (4) has refused to appear before, or to answer upon  request  of,  the
 commissioner of health, the superintendent, or any duly authorized offi-
 cer  of the state, any legal question, or to produce any relevant infor-
 mation concerning [his or her] THE conduct OF  THE  PROVIDER  OF  HEALTH
 SERVICES in connection with [rendering medical services] HEALTH SERVICES
 RENDERED under this article; [or]
   (5) has engaged in [patterns] A PATTERN of billing for HEALTH services
 which were not provided;

 A. 537                              4
 
   (6)  KNOWINGLY  UTILIZED  UNLICENSED PERSONS TO RENDER HEALTH SERVICES
 UNDER THIS ARTICLE, WHEN ONLY A PERSON LICENSED IN THIS STATE MAY RENDER
 THE HEALTH SERVICES;
   (7)  KNOWINGLY  UTILIZED  LICENSED  PERSONS  TO RENDER HEALTH SERVICES
 BEYOND THE AUTHORIZED SCOPE OF THE PERSON'S LICENSE;
   (8) DIRECTLY OR INDIRECTLY UNLAWFULLY CEDED OWNERSHIP OR CONTROL OF  A
 BUSINESS  ENTITY  AUTHORIZED  TO PROVIDE PROFESSIONAL HEALTH SERVICES IN
 THIS STATE, INCLUDING A PROFESSIONAL SERVICE  CORPORATION,  PROFESSIONAL
 LIMITED  LIABILITY COMPANY, OR REGISTERED LIMITED LIABILITY PARTNERSHIP,
 TO A PERSON NOT LICENSED TO RENDER THE HEALTH SERVICES WHICH THE  ENTITY
 IS  LEGALLY  AUTHORIZED TO PROVIDE, EXCEPT WHERE THE UNLICENSED PERSON'S
 OWNERSHIP OR CONTROL IS OTHERWISE PERMITTED BY LAW;
   (9) HAS ENGAGED IN A PATTERN  OF  RECOMMENDING  AGAINST  REIMBURSEMENT
 WHEN  SUCH RECOMMENDATION IS NOT SUPPORTED BY CLEARLY ESTABLISHED STAND-
 ARDS IN THE PROFESSIONAL COMMUNITY;
   (10) HAS SUBMITTED AN EXAMINATION REPORT THAT CONTAINS MATERIAL FACTU-
 AL MISREPRESENTATIONS OR PROFESSIONAL CONCLUSIONS THAT ARE NOT SUPPORTED
 BY CLEARLY ESTABLISHED STANDARDS IN THE PROFESSIONAL COMMUNITY;
   (11)  CONSISTENTLY  DELIVERED  UNNECESSARY  HEALTH  SERVICES   WITHOUT
 REASONABLE  MEDICAL JUSTIFICATION AS DETERMINED BY THE SUPERINTENDENT IN
 CONSULTATION WITH THE DEPARTMENT  OF  HEALTH  AND  THE  STATE  EDUCATION
 DEPARTMENT  TAKING  INTO CONSIDERATION THE OVERALL HEALTH OF THE PATIENT
 AND ISSUES OF PALLIATIVE CARE; OR
   (12) HAS VIOLATED ANY PROVISION OF THIS ARTICLE OR REGULATIONS PROMUL-
 GATED THEREUNDER.
   (c) Providers of  health  services  shall  refrain  from  subsequently
 treating  for  remuneration,  as  a  private patient, any person seeking
 medical treatment under this article if such provider pursuant  to  this
 section has been prohibited from demanding or requesting any payment for
 [medical]  HEALTH  services  under  this article. An injured claimant so
 treated or examined may raise this as a defense in any  action  by  such
 provider  for  payment  for  treatment  rendered  at any time after such
 provider has been prohibited from demanding or  requesting  payment  for
 [medical]  HEALTH services in connection with any claim under this arti-
 cle.  PROVIDERS OF HEALTH SERVICES WHO HAVE BEEN PROHIBITED FROM DEMAND-
 ING OR REQUESTING ANY PAYMENT FOR HEALTH  SERVICES  UNDER  THIS  ARTICLE
 SHALL ALSO REFRAIN FROM SUBSEQUENTLY PROVIDING FOR REMUNERATION AN OPIN-
 ION TO AN INSURER OR AN ENTITY CONTRACTED BY AN INSURER REGARDING EITHER
 (I) WHETHER A HEALTH SERVICE WAS MEDICALLY NECESSARY, OR (II) BASED UPON
 AN EXAMINATION OF THE CLAIMANT, THE NEED FOR ANY HEALTH SERVICE.
   (d)  The  [commissioner  of  health and the commissioner of education]
 SUPERINTENDENT shall maintain and regularly update a database containing
 a list of providers of health services prohibited by this  section  from
 demanding  or requesting any payment for health services [connected to a
 claim] RENDERED under this  article  and  shall  make  such  information
 available to the public by means of a website and by a toll free number.
   (e)  Nothing  in  this  section  shall be construed as limiting in any
 respect the powers and duties of the commissioner of health, commission-
 er of education  or  the  superintendent  to  investigate  instances  of
 misconduct  by  a  [health care] provider [and, after a hearing and upon
 written notice to the provider, to temporarily prohibit  a  provider  of
 health  services  under  such investigation from demanding or requesting
 any payment for medical services under this article  for  up  to  ninety
 days from the date of such notice] OF HEALTH SERVICES AND TAKE APPROPRI-
 ATE  ACTION  PURSUANT  TO  ANY  OTHER  PROVISION OF LAW. A DETERMINATION
 PURSUANT TO SUBSECTION (B) OF THIS SECTION SHALL NOT BE BINDING UPON THE

 A. 537                              5
 
 COMMISSIONER OF HEALTH OR COMMISSIONER OF EDUCATION  IN  A  PROFESSIONAL
 DISCIPLINE  PROCEEDING  RELATING TO THE SAME CONDUCT BUT MAY BE ADMITTED
 AS EVIDENCE.
   §  4.  Paragraph  1  of subsection (a) of section 308 of the insurance
 law, as amended by chapter 499 of the laws of 2009, is amended  to  read
 as follows:
   (1)  The  superintendent  may  also  address to any health maintenance
 organization, life settlement provider, life settlement intermediary  or
 its  officers,  ANY  PROVIDER OF HEALTH SERVICES WHO DEMANDS OR REQUESTS
 PAYMENT FOR HEALTH SERVICES RENDERED UNDER  ARTICLE  FIFTY-ONE  OF  THIS
 CHAPTER,  or  any  authorized  insurer  or rate service organization, or
 officers thereof, any inquiry in relation to its transactions or  condi-
 tion  or  any matter connected therewith. Every corporation or person so
 addressed shall reply in writing to such inquiry promptly and  truthful-
 ly,  and  such  reply  shall  be,  if  required  by  the superintendent,
 subscribed by such individual, or by  such  officer  or  officers  of  a
 corporation, as the superintendent shall designate, and affirmed by them
 as true under the penalties of perjury.
   §  5.  Section  337  of the insurance law, as amended by section 64 of
 part A of chapter 62 of the laws of 2011, is amended to read as follows:
   § 337. Annual consumer guide on automobile insurance. (a)  The  super-
 intendent  shall  issue  and  update,  as necessary, a consumer guide on
 private passenger automobile insurance that shall contain  comprehensive
 information  written  in  plain  language  in a clear and understandable
 format, including the following:
   (1) an annual ranking of automobile insurers: (A) including an  analy-
 sis  of  private  passenger  insurers  in  the  state which provides, in
 detail, a ranking of such insurers from best  to  worst  based  on  each
 insurer's  record  of  consumer complaints during the preceding calendar
 year, using criteria available to the department, adjusted for volume of
 insurance written; and (B) taking into consideration  the  corresponding
 total  of  claims  improperly  denied  in  whole  or  in  part, consumer
 complaints found to be valid in whole or in part, and any  other  perti-
 nent  data which would permit the department to objectively determine an
 insurer's performance; and (C)  the  superintendent  may  note,  to  the
 extent  relevant, actions taken by the department against an insurer for
 violating any law or regulation;
   (2) AN ANNUAL RANKING OF VOLUNTARY CLAIM PAYMENT RATES  OF  AUTOMOBILE
 INSURERS,  INCLUDING:  (A)  AN ANALYSIS OF PRIVATE PASSENGER INSURERS IN
 THE STATE WHICH PROVIDES, IN DETAIL, A RANKING  OF  SUCH  INSURERS  FROM
 BEST  TO WORST BASED ON EACH INSURER'S RECORD OF VOLUNTARY CLAIM PAYMENT
 RATES FOR EACH PAYMENT  REQUEST  DURING  THE  PRECEDING  CALENDAR  YEAR,
 ADJUSTED  FOR  VOLUME  OF  INSURANCE WRITTEN; AND (B) A REPORTING TO THE
 PUBLIC OF THE CORRESPONDING TOTAL  NUMBER  OF  CLAIMS  PAID,  THE  TOTAL
 NUMBER  OF CLAIMS DENIED IN WHOLE, AND THE TOTAL NUMBER OF CLAIMS DENIED
 IN PART, AND ANY OTHER PERTINENT DATA WHICH WOULD PERMIT THE  PUBLIC  TO
 OBJECTIVELY DETERMINE AN INSURER'S PERFORMANCE;
   (3)  AN  ANNUAL RANKING OF PAPER PEER REVIEW AND INSURER MEDICAL EXAM-
 INATION PROFESSIONALS USED TO EVALUATE CLAIMS MADE TO AUTOMOBILE  INSUR-
 ERS  INCLUDING:  AN  ANALYSIS OF THE NUMBER OF TIMES THAT THE PAPER PEER
 REVIEWER AND INSURER MEDICAL EXAMINATION PROFESSIONAL  RECOMMENDED  FULL
 CLAIM  PAYMENT,  PARTIAL  CLAIM  DENIAL, AND FULL CLAIM DENIAL OF CLAIMS
 SUBMITTED AND REQUESTS FOR PAYMENT SUBMITTED TO THE PAPER PEER  REVIEWER
 AND INSURER MEDICAL EXAMINATION PROFESSIONAL DURING THE PRECEDING CALEN-
 DAR YEAR;

 A. 537                              6
 
   (4)  a  list  of makes and models of automobiles that generally do not
 meet underwriting guidelines of automobile  insurers  or  in  regard  to
 which  consumers  can  expect  to  pay higher premiums as a result of an
 automobile's style, model type or other distinguishing features,  except
 that  specific  insurers  shall  not  be identified for purposes of such
 list;
   [(3)] (5) an explanation of all types of automobile insurance required
 by law and available  as  optional  coverage,  including  policyholders'
 rights under these types of coverage and when making claims;
   [(4)]  (6)  an explanation of and information on the automobile insur-
 ance plan established pursuant to article fifty-three of  this  chapter,
 including  how  motorists  in  such plan should proceed in attempting to
 obtain insurance in the voluntary market;
   [(5)] (7) recommendations as to how best to shop for and compare pric-
 es, service and quality of automobile insurance coverage;
   [(6)] (8) an explanation of prohibited discriminatory practices apply-
 ing to insurance companies, agents and brokers; and
   [(7)] (9) a department  toll  free  consumer  hot-line  through  which
 consumers  may  initiate  complaints,  and  request general information,
 about automobile insurance.
   (b) The requirements set forth in subsection (a) of this  section  may
 be satisfied by separate or supplemental publications and updates.
   (c)  The  superintendent  shall  post the consumer guide on automobile
 insurance on the department's website.
   § 6. The executive law is amended by adding a new article 44-A to read
 as follows:
                               ARTICLE 44-A
             OFFICE OF PUBLIC AUTO INSURANCE CONSUMER ADVOCATE
 SECTION 945. OFFICE OF PUBLIC AUTO INSURANCE CONSUMER ADVOCATE.
         946. PUBLIC AUTO INSURANCE CONSUMER ADVOCATE.
         947. POWERS AND DUTIES.
   § 945. OFFICE OF PUBLIC AUTO INSURANCE  CONSUMER  ADVOCATE.  THERE  IS
 HEREBY  CREATED  IN  THE  EXECUTIVE  DEPARTMENT AN INDEPENDENT OFFICE OF
 PUBLIC AUTO INSURANCE CONSUMER  ADVOCATE  (HEREINAFTER  REFERRED  TO  AS
 "OFFICE") TO REPRESENT THE INTERESTS OF NON-COMMERCIAL AUTOMOBILE INSUR-
 ANCE CONSUMERS IN THE STATE.
   §  946. PUBLIC AUTO INSURANCE CONSUMER ADVOCATE. 1. THE GOVERNOR SHALL
 APPOINT A PUBLIC AUTO INSURANCE CONSUMER ADVOCATE (HEREINAFTER  REFERRED
 TO  AS  "ADVOCATE")  WHO  SHALL  SERVE  AS THE EXECUTIVE DIRECTOR OF THE
 OFFICE OF PUBLIC AUTO INSURANCE CONSUMER ADVOCATE AND SHALL  RECEIVE  AN
 ANNUAL  SALARY  TO  BE FIXED BY THE GOVERNOR WITHIN THE AMOUNT AVAILABLE
 THEREFOR BY APPROPRIATION.
   2. (A) TO BE ELIGIBLE TO SERVE AS ADVOCATE, A PERSON MUST BE  A  RESI-
 DENT OF THE STATE. THE ADVOCATE SHALL BE A PERSON WHO HAS DEMONSTRATED A
 STRONG  COMMITMENT TO AND INVOLVEMENT IN EFFORTS TO SAFEGUARD THE RIGHTS
 OF THE PUBLIC AND WHO POSSESSES THE KNOWLEDGE AND  EXPERIENCE  NECESSARY
 TO PRACTICE EFFECTIVELY IN INSURANCE PROCEEDINGS.
   (B) A PERSON SHALL NOT BE ELIGIBLE FOR APPOINTMENT AS ADVOCATE IF SUCH
 PERSON OR THE PERSON'S SPOUSE:
   (I)  IS  EMPLOYED  BY  OR PARTICIPATES IN THE MANAGEMENT OF A BUSINESS
 ENTITY OR OTHER ORGANIZATION REGULATED BY THE  DEPARTMENT  OF  FINANCIAL
 SERVICES OR RECEIVING FUNDS FROM THE DEPARTMENT;
   (II)  OWNS  OR CONTROLS, DIRECTLY OR INDIRECTLY, MORE THAN TEN PERCENT
 INTEREST IN A BUSINESS ENTITY OR OTHER  ORGANIZATION  REGULATED  BY  THE
 DEPARTMENT  OF FINANCIAL SERVICES OR RECEIVING FUNDS FROM THE DEPARTMENT
 OF FINANCIAL SERVICES OR THE OFFICE; OR

 A. 537                              7
 
   (III) USES  OR  RECEIVES  A  SUBSTANTIAL  AMOUNT  OF  TANGIBLE  GOODS,
 SERVICES  OR  FUNDS  FROM  THE  DEPARTMENT  OF FINANCIAL SERVICES OR THE
 OFFICE, OTHER THAN COMPENSATION OR REIMBURSEMENT AUTHORIZED BY  LAW  FOR
 THE DEPARTMENT OF FINANCIAL SERVICES OR OFFICE MEMBERSHIP, ATTENDANCE OR
 EXPENSES.
   3. THE ADVOCATE SHALL SERVE FOR A TERM OF TWO YEARS.
   4. IT SHALL BE A GROUND FOR REMOVAL FROM OFFICE IF THE ADVOCATE:
   (A)  DOES  NOT  HAVE  AT  THE  TIME  OF APPOINTMENT THE QUALIFICATIONS
 REQUIRED BY THIS SECTION;
   (B) DOES NOT MAINTAIN DURING SERVICE AS  ADVOCATE  THE  QUALIFICATIONS
 REQUIRED BY THIS SECTION;
   (C) VIOLATES A PROHIBITION ESTABLISHED BY THIS SECTION; OR
   (D)  CANNOT  DISCHARGE THE ADVOCATE'S DUTIES FOR A SUBSTANTIAL PART OF
 THE TERM FOR WHICH THE ADVOCATE IS APPOINTED BECAUSE OF ILLNESS OR DISA-
 BILITY.
   5. THE VALIDITY OF AN ACTION OF THE OFFICE SHALL NOT  BE  AFFECTED  BY
 THE  FACT  THAT  IT  IS  TAKEN WHEN A GROUND FOR REMOVAL OF THE ADVOCATE
 EXISTS.
   6. (A) A PERSON SHALL NOT SERVE AS THE ADVOCATE OR ACT AS THE  GENERAL
 COUNSEL FOR THE OFFICE OF ADVOCATE IF THE PERSON IS REQUIRED TO REGISTER
 AS A LOBBYIST PURSUANT TO ARTICLE ONE-A OF THE LEGISLATIVE LAW.
   (B)  A  PERSON  SERVING AS THE ADVOCATE SHALL NOT, FOR A PERIOD OF TWO
 YEARS AFTER THE DATE THE PERSON CEASES TO BE AN ADVOCATE, REPRESENT  ANY
 PERSON  IN  A PROCEEDING BEFORE THE SUPERINTENDENT OF FINANCIAL SERVICES
 OR THE DEPARTMENT OF FINANCIAL  SERVICES  OR  RECEIVE  COMPENSATION  FOR
 SERVICES  RENDERED  ON  BEHALF OF ANY PERSON REGARDING A CASE BEFORE THE
 DEPARTMENT OF FINANCIAL SERVICES.
   (C) A PERSON SHALL NOT SERVE AS THE ADVOCATE OR BE AN EMPLOYEE OF  THE
 OFFICE  IF  THE  PERSON  IS AN OFFICER, EMPLOYEE OR PAID CONSULTANT OF A
 TRADE ASSOCIATION IN THE FIELD OF INSURANCE.
   (D) A PERSON WHO IS THE SPOUSE OF AN OFFICER, MANAGER OR PAID CONSULT-
 ANT OF A TRADE ASSOCIATION IN THE FIELD OF INSURANCE SHALL NOT SERVE  AS
 THE ADVOCATE AND MAY NOT BE AN OFFICE EMPLOYEE.
   (E) FOR THE PURPOSES OF THIS SECTION, A TRADE ASSOCIATION IS A NONPRO-
 FIT,  COOPERATIVE  AND  VOLUNTARILY  JOINED  ASSOCIATION  OF BUSINESS OR
 PROFESSIONAL COMPETITORS DESIGNED TO ASSIST ITS MEMBERS AND ITS INDUSTRY
 OR PROFESSION IN DEALING WITH MUTUAL BUSINESS OR  PROFESSIONAL  PROBLEMS
 AND IN PROMOTING THEIR COMMON INTEREST.
   §  947.  POWERS  AND DUTIES. 1. THE ADVOCATE, AS EXECUTIVE DIRECTOR OF
 THE OFFICE, SHALL BE CHARGED WITH THE RESPONSIBILITY  OF  ADMINISTERING,
 ENFORCING  AND  CARRYING  OUT  THE PROVISIONS OF THIS ARTICLE, INCLUDING
 PREPARATION OF A BUDGET FOR THE OFFICE, EMPLOYING ALL NECESSARY  PROFES-
 SIONAL,  TECHNICAL  AND  OTHER EMPLOYEES TO CARRY OUT PROVISIONS OF THIS
 ARTICLE, APPROVAL OF EXPENDITURES FOR PROFESSIONAL SERVICES, TRAVEL, PER
 DIEM AND OTHER ACTUAL AND NECESSARY EXPENSES INCURRED  IN  ADMINISTERING
 THE  OFFICE.  THE COMPENSATION OF EMPLOYEES OF THE OFFICE SHALL BE FIXED
 BY THE ADVOCATE WITHIN THE APPROPRIATION PROVIDED THEREFOR.
   2. BY MARCH FIRST OF EACH YEAR, THE OFFICE SHALL FILE WITH THE  GOVER-
 NOR,  TEMPORARY  PRESIDENT  OF  THE SENATE AND SPEAKER OF THE ASSEMBLY A
 COMPLETE AND DETAILED WRITTEN REPORT ACCOUNTING FOR ALL  FUNDS  RECEIVED
 AND DISBURSED BY THE OFFICE DURING THE PRECEDING FISCAL YEAR.
   3.  ALL MONEY PAID TO THE OFFICE UNDER THIS ARTICLE SHALL BE DEPOSITED
 IN THE STATE TREASURY.
   4. THE OFFICE MAY ASSESS THE IMPACT OF INSURER PRACTICES AND  PROPOSED
 AND  IN-FORCE  INSURANCE  RATES,  RULES AND REGULATIONS ON NONCOMMERCIAL
 AUTOMOBILE INSURANCE CONSUMERS IN THE STATE; IN ITS OWN  NAME,  ADVOCATE

 A. 537                              8
 
 ON  BEHALF  OF  POSITIONS  THAT  ARE  MOST ADVANTAGEOUS TO A SUBSTANTIAL
 NUMBER OF INSURANCE CONSUMERS AS DETERMINED BY THE ADVOCATE; AND DO  ALL
 THINGS  NECESSARY  AND  PROPER  FOR  THESE  PURPOSES, INCLUDING ENGAGING
 ATTORNEYS,  AND  EXPERTS IN ACTUARIAL SCIENCE, ECONOMICS, ACCOUNTING, OR
 ANY OTHER DISCIPLINE WHICH MAY BE APPROPRIATE.
   5. THE ADVOCATE:
   (A) MAY DISSEMINATE MATERIALS AND INFORMATION TO  CONSUMERS  REGARDING
 CONSUMERS RIGHTS, THE DEPARTMENT OF FINANCIAL SERVICES' ROLE IN REGULAT-
 ING  INSURANCE,  RELEVANT LAWS, RULES, AND REGULATIONS, AND WHAT AVENUES
 ARE AVAILABLE FOR CONSUMERS TO PURSUE THEIR RIGHTS;
   (B) MAY COORDINATE WITH OTHER GROUPS, AGENCIES, OR ADVOCATES IN STUDY-
 ING CURRENT MARKET TRENDS OR OTHER RELEVANT ISSUES;
   (C) MAY HOLD REGULAR FORUMS TO EDUCATE CONSUMERS ABOUT  MOTOR  VEHICLE
 INSURANCE  RELATED  MATTERS AND THE REGULATORY PROCESS, OPPORTUNITIES TO
 LOWER PREMIUM COSTS, AND OTHER MATTERS AFFECTING CONSUMERS;
   (D) MAY RECOMMEND LEGISLATION TO THE LEGISLATURE THAT, IN THE JUDGMENT
 OF THE ADVOCATE, WOULD AFFECT POSITIVELY THE INTERESTS OF  NONCOMMERCIAL
 MOTOR VEHICLE INSURANCE CONSUMERS;
   (E) MAY TESTIFY ON BEHALF OF CONSUMERS AT PUBLIC HEARINGS CONDUCTED BY
 THE DEPARTMENT OF FINANCIAL SERVICES OR OTHER ENTITIES;
   (F)  MAY  REPRESENT THE INTERESTS OF CONSUMERS OF THE STATE BEFORE THE
 DEPARTMENT OF FINANCIAL SERVICES;
   (G) MAY ADVISE CONSUMERS IN PURSUING THEIR RIGHTS UNDER  ANY  RELEVANT
 LAW, RULE, OR REGULATION;
   (H)  MAY ASSIST CONSUMERS IN FILING A COMPLAINT WITH THE DEPARTMENT OF
 FINANCIAL SERVICES OR OTHER ENTITIES;
   (I) MAY INITIATE OR INTERVENE AS, OR OTHERWISE APPEAR IN ANY  JUDICIAL
 PROCEEDING  INVOLVING  OR ARISING OUT OF ANY ACTION TAKEN BY AN ADMINIS-
 TRATIVE AGENCY IN A PROCEEDING IN WHICH THE ADVOCATE PREVIOUSLY APPEARED
 UNDER THE AUTHORITY GRANTED BY THIS ARTICLE;
   (J) MAY APPEAR OR INTERVENE BEFORE  THE  SUPERINTENDENT  OF  FINANCIAL
 SERVICES  OR DEPARTMENT OF FINANCIAL SERVICES AS A PARTY OR OTHERWISE ON
 BEHALF OF INSURANCE CONSUMERS AS A CLASS IN  MATTERS  INVOLVING  INSURER
 PRACTICES AND PROPOSED AND IN-FORCE RATES, RULES AND REGULATIONS AFFECT-
 ING NONCOMMERCIAL AUTOMOBILE INSURANCE;
   (K)  IS  ENTITLED TO ACCESS ANY RECORDS OF THE DEPARTMENT OF FINANCIAL
 SERVICES THAT ARE AVAILABLE TO ANY PARTY  IN  A  PROCEEDING  BEFORE  THE
 SUPERINTENDENT OF FINANCIAL SERVICES OR DEPARTMENT OF FINANCIAL SERVICES
 UNDER THE AUTHORITY GRANTED BY THIS ARTICLE;
   (L)  IS ENTITLED TO OBTAIN DISCOVERY OF ANY NON-PRIVILEGED MATTER THAT
 IS RELEVANT TO THE SUBJECT MATTER INVOLVED IN A PROCEEDING OR SUBMISSION
 BEFORE THE SUPERINTENDENT OF FINANCIAL SERVICES OR DEPARTMENT OF  FINAN-
 CIAL  SERVICES  WHERE THE ADVOCATE IS A PARTY TO THAT ACTION, AS AUTHOR-
 IZED BY THIS ARTICLE; AND
   (M) MAY APPEAR OR INTERVENE AS A  PARTY  OR  OTHERWISE  ON  BEHALF  OF
 NONCOMMERCIAL  MOTOR  VEHICLE  INSURANCE  CONSUMERS  AS  A  CLASS IN ALL
 PROCEEDINGS AND ACTIONS RELATED TO MOTOR VEHICLE INSURANCE IN WHICH  THE
 ADVOCATE DETERMINES THAT SUCH CONSUMERS NEED REPRESENTATION, EXCEPT THAT
 THE  ADVOCATE  SHALL  NOT INTERVENE IN ANY ENFORCEMENT OR PARENS PATRIAE
 PROCEEDING BROUGHT BY THE ATTORNEY GENERAL; AND
   (N) MAY CONDUCT ANY INQUIRY, HEARING, INVESTIGATION, SURVEY  OR  STUDY
 WHICH  THE  ADVOCATE  DEEMS  NECESSARY  TO  EFFECTIVELY  CARRY  OUT  THE
 PROVISIONS OF THIS ARTICLE.
   6. (A)  THE  OFFICE  SHALL  PREPARE  INFORMATION  OF  PUBLIC  INTEREST
 DESCRIBING THE FUNCTIONS OF THE OFFICE. THE OFFICE SHALL MAKE THE INFOR-

 A. 537                              9
 
 MATION  AVAILABLE  TO  THE PUBLIC, LAWMAKERS AND APPROPRIATE STATE AGEN-
 CIES.
   (B)  THE  OFFICE  SHALL  PREPARE  AND  MAINTAIN  A  WRITTEN  PLAN THAT
 DESCRIBES HOW EACH PERSON WHO DOES NOT SPEAK  ENGLISH  CAN  BE  PROVIDED
 REASONABLE ACCESS TO THE OFFICE'S PROGRAMS.
   (C) THE OFFICE SHALL PREPARE AND DISTRIBUTE PUBLIC EDUCATION MATERIALS
 FOR CONSUMERS, LEGISLATORS AND REGULATORS.
   (D) THE OFFICE MAY PARTICIPATE IN TRADE ASSOCIATIONS.
   7. THE OFFICE SHALL BE SUBJECT TO ARTICLES SIX AND SIX-A OF THE PUBLIC
 OFFICERS LAW; PROVIDED, HOWEVER, THAT DOCUMENTS, RECORDS, FILES, REPORTS
 OR  OTHER  INFORMATION CONCERNING CONFIDENTIAL MATTERS OF THE OFFICE, AS
 DEFINED AND DESCRIBED IN REGULATIONS  PROMULGATED  BY  THE  OFFICE,  ARE
 SPECIFICALLY  EXEMPTED  FROM DISCLOSURE PURSUANT TO SECTION EIGHTY-SEVEN
 OF THE PUBLIC OFFICERS LAW.
   § 7. This act shall take effect immediately.