The decision by New York’s Appellate court to lift a stay of execution on the application of Regulation 68, imposed last February, clears the way for the immediate implementation of the new rules.
NY Insurance Superintendent Gregory V. Serio applauded the court’s decision, and called for an end to litigation over the rule changes, which were first due to be implemented last September. “This is not just good news for New York drivers, it is great news for them,” he stated.
A NY State Insurance department bulletin described the change contained in Regulation 68 as instituting “new time frames for accident victims to report a claim and medical providers to submit claims for payment–eliminating existing loopholes that have been exploited as opportunities for fraud and abuse. It reduces the time medical providers have from each treatment to submit claims for payment from 180 days to 45 days while it maintains the amount of time the carrier has to pay on claims.”
Serio indicated that the NYSID plans to take the following steps in implementing Regulation 68:
— Provide guidance to insurers on Regulation 68 and how it should be implemented;
— Undertake an immediate review of all rates filed or approved for new and renewal business in light of the court’s decision to allow Regulation 68 to be implemented;
— Begin consumer outreach to ensure that consumers understand the changes that Regulation 68 requires including coordinating with the Consumer Protection Board and consumer groups;
— and Review companies’ claims operations to assure that they are fully staffed and able to manage the new timeframes contained in the Regulation.
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