S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  4601

                       2011-2012 Regular Sessions

                          I N  A S S E M B L Y

                            February 4, 2011
                               ___________

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

AN ACT to amend the insurance law, in relation to requiring insurers  of
  property  to eliminate from the claims record of an insured, any claim
  of loss made and paid in good faith, which is discovered to  be  false
  and the proceeds of such claim are repaid to the insurer

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The insurance law is amended by adding a new section 3407-b
to read as follows:
  S 3407-B. PROPERTY INSURANCE; CLAIM OF LOSS. THE GOOD FAITH  CLAIM  OF
THE  LOSS  OF  ANY  PROPERTY  WHICH A PERSON HAS INSURED AGAINST LOSS OR
DAMAGE UNDER ANY CONTRACT OF INSURANCE,  ISSUED  OR  DELIVERED  IN  THIS
STATE  OR COVERING PROPERTY LOCATED IN THIS STATE, SHALL BE REMOVED FROM
THE RECORD OF CLAIMS MADE BY THE INSURED, FOR  ALL  PURPOSES,  WHEN  THE
INSURED SUBSEQUENTLY FINDS THAT SUCH PROPERTY WAS NOT LOST AND REPAYS TO
THE INSURER ALL MONEY, IF ANY, PAID PURSUANT TO SUCH CLAIM.
  S  2. This act shall take effect immediately and shall apply to claims
made on, before or after such effective date.





 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08821-01-1