Reduces the cost of auto insurance for any automobile equipped with side door airbags.

INSURANCEREFERRED TO INSURANCE S T A T E O F N E W Y O R K ________________________________________________________________________ 432 2 9 2 1 Regular Sessions I N S E N A T E April 22, 2 9 ___________ Introduced by Sen. BRESLIN read twice and ordered printed, and when printed to be committed to the Committee on Insurance AN ACT to amend the insurance law, in relation to reducing the cost of auto insurance for any automobile equipped with side door airbags THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM BLY, DO ENACT AS FOLLOWS: 1 Section 1. Section 2336 of the insurance law is amended by adding a 2 new subsection (i) to read as follows: 3 (I) ANY SCHEDULE OR RATING PLAN FOR NON COMMERCIAL PRIVATE PASSENGER 4 AUTOMOBILE INSURANCE MAY PROVIDE FOR AN APPROPRIATE REDUCTION IN PREMIUM CHARGES FOR PERSONAL INJURY PROTECTION AND MEDICAL PAYMENT COVERAGES 6 WITH RESPECT TO ANY INSURED VEHICLE EQUIPPED WITH A SIDE DOOR INFLATABLE 7 RESTRAINT SYSTEM (AIRBAGS). SUCH DISCOUNT SHALL APPLY TO SIDE DOOR 8 INFLATABLE RESTRAINT SYSTEMS THAT MEET APPLICABLE FEDERAL OR APPROPRIATE 9 EQUIVALENT STANDARDS. WITH RESPECT TO VEHICLES OTHER THAN NON COMMERCIAL 1 PRIVATE PASSENGER AUTOMOBILES, ANY SCHEDULE RATING PLAN MAY INCLUDE AN 11 APPROPRIATE PREMIUM CREDIT, WHICH REFLECTS THE EXISTENCE OF SUCH SIDE 12 DOOR INFLATABLE RESTRAINT SYSTEM. 13 S 2. This act shall take effect immediately. EXPLANATION Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD11218 1 9 BILL NUMBER: S432 TITLE OF BILL : An act to amend the insurance law, in relation to reducing the cost of auto insurance for any automobile equipped with side door airbags PURPOSE OR GENERAL IDEA OF BILL : This bill would allow for premium reductions for non commercial private passenger vehicles equipped with side door inflatable restraint systems (airbags). SUMMARY OF PROVISIONS : Section 1. Amends Section 2336 of the Insurance Law by adding new subsection (i) that would give any schedule or rating plan for non commercial private passenger automobile insurance an appropriate reduction in premium charges for personal injury protection and medical payment coverage's with respect to any insured vehicle equipped with a side door inflatable restraint system (airbags), which meet federal or appropriate equivalent standards. Provides that with respect to vehicles other than non commercial private passenger vehicle, any schedule rating plan may include an appropriate premium credit, which reflects the existence of a side door inflatable restraint system. Section 2. Effective Date JUSTIFICATION : Studies show that side airbags which protect people's heads, reduce driver deaths in drivers side struck cars by an estimated 37 percent. Airbags that protect the chest and abdomen but not the head, while still protecting the passengers, reduce deaths by only 26 percent. New York State law currently provides for premium reductions for vehicles equipped with passenger and driver side airbags. Since there is clearly a reduction in passenger injuries and deaths with vehicles equipped with side door airbags, this legislation aims to address those benefits with appropriate premium reductions. PRIOR LEGISLATIVE HISTORY : 2 8: S.7939 (Referred to Senate Insurance Committee) FISCAL IMPLICATIONS : None. EFFECTIVE DATE : This act shall take effect immediately after it shall have become a law.