Bill Text: NY A05047 | 2023-2024 | General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Provides that the sale of a non-indemnity legal service plan shall not constitute doing an insurance business in this state; makes related provisions.

Spectrum: Partisan Bill (Democrat 14-0)

Status: (Introduced) 2024-01-26 - print number 5047a [A05047 Detail]

Download: New_York-2023-A05047-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          5047

                               2023-2024 Regular Sessions

                   IN ASSEMBLY

                                    February 27, 2023
                                       ___________

        Introduced by M. of A. LAVINE -- read once and referred to the Committee
          on Insurance

        AN  ACT to amend the insurance law, in relation to legal services insur-
          ance

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.    Paragraph  29  of subsection (a) of section 1113 of the
     2  insurance law, as added by chapter 65 of the laws of 1998, is amended to
     3  read as follows:
     4    (29) "Legal  services  insurance"  means  insurance  [providing  legal
     5  services  or  reimbursement  of the cost of legal services] that pays or
     6  reimburses for specified legal services or specified legal expenses,  in
     7  consideration  of a specified payment, regardless of whether the payment
     8  is made by the beneficiaries individually or by a third person on  their
     9  behalf.  "Legal  services  insurance" does not include the furnishing of
    10  legal assistance to members, or their dependents, by an organization, in
    11  which the organization contracts directly with independent attorneys for
    12  the provision of legal services, where the organization pays  the  inde-
    13  pendent attorney only an administrative fee and the independent attorney
    14  receives  no  additional  payment or reimbursement from the organization
    15  for specified legal services or specified legal expenses.
    16    § 2.  This act shall take effect on the thirtieth day after  it  shall
    17  have become a law.



         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD08779-01-3