In an unexpected twist, Governor Spitzer rejected a long-awaited bill that would no longer allow insurance companies to deny claims based on “late” filing of the claim. He asked the Legislature to make certain improvements and revisions to the bill but did indeed embrace the concept that such a law was necessary in New York.
It is hoped that the Legislature will act to get a revised bill through both houses to the Governor in the near future. “Late notice” has been a huge problem in New York for policyholders who have legitimate claims, but failed to notify their insurers as promptly as possible. All other 49 states in the country have a rule allowing late notice in many circumstances, so New York stands out as the last place that remains a safe haven for insurance companies on this issue.
Evan S. Schwartz
Founder of Schwartz, Conroy & Hack
833-824-5350
[email protected]
