On November 5, 2012 (effective October 26, 2012), the New York Department of Financial Services issued an Amended Order Regarding Suspension of Certain Insurance and Banking Law Provisions for New York, Bronx, Kings, Richmond, Queens, Nassau, Suffolk, Westchester, Rockland, and Orange Counties (“Designated Counties”), which provides the following, in relevant part:
- A moratorium for thirty days or until further order from the Superintendent (“Moratorium”) prohibiting the termination, cancellation, or non-renewal of any “covered policy” as defined by Insurance Law §§ 3425(a) (including automobile, personal lines, personal liability umbrella), 3426(a) (including commercial risk, professional liability, public entity insurance, and certain excess policies) and policies issued under Articles 53 (Motor Vehicle Insurance Assigned Risk Plans) and 54 (New York Property Insurance Underwriting Association); and
- Automatic policy renewal provisions in “covered polic[ies]” will not be effective during the Moratorium
- Notwithstanding the Moratorium, any insured may voluntarily terminate their policy during the Moratorium
- The Moratorium will not apply to “covered polic[ies]” as defined by Insurance Law § 3426(a) if the headquarters or principal place of operations of the policyholder is not located in any of the Designated Counties
We will advise of further insurance department bulletins and circulars as they are posted.