N.Y. Lawmakers Introduce Bill to Cap Hurricane Deductibles at $1,500

January 10, 2013
New York capitol building

New York legislators have introduced a bill this week that seeks to cap the percentage-based hurricane deductibles for homeowners’ insurance or dwelling fire personal lines policy in New York State at $1,500.

The New York State capitol building

The bill also seeks to establish that such hurricane deductibles shall only be applicable to losses incurred in windstorms with speeds greater than 125 miles per hour.

The bill was introduced by New York State Senator Kenneth P. LaValle and New York State Assemblyman Fred W. Thiele.

The bill (S01760/A01222) proposes that, “The maximum deductible allowed shall not be greater than fifteen-hundred dollars and shall be stated on the policy in numerical terms.”

Additionally, the bill proposes that “a catastrophic windstorm deductible applicable to a homeowner’s insurance policy or dwelling fire personal lines policy shall not be approved by [New York State Department of Financial Services] unless the deductible is applicable only to losses incurred in a hurricane which causes wind speeds of one hundred twenty-five miles or greater per hour to occur within the state.”

The copy of the proposed legislation can be found at the New York State Assembly website.

 

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Latest Comments

  • January 16, 2013 at 4:17 pm
    jim hildebrand says:
    I'm not sure writing to those with so little common sense would understand anything logical. This is obviously a political ploy to make it appear they have the public's intere... read more
  • January 15, 2013 at 2:54 pm
    CHG says:
    And of course everyone who thinks this is a marvelous idea, so beneficial to the consumer, will be shocked, shocked, I tell you, to find out that the price of coverage has to ... read more
  • January 14, 2013 at 9:06 am
    BWM says:
    It might make sense to require insurers to offer an option for a $1,500 deductible, along with an option for a percentage-based deductible, and let the property owner choose w... read more
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