Bill > A04462

This bill requires insurance companies participating in the assigned risk plan (a program that provides auto insurance to high-risk drivers who cannot obtain coverage in the standard market) to conduct comprehensive reviews of their assigned policyholders' risk profiles every two years. During these reviews, insurers must determine if these policyholders are now eligible for standard motor vehicle insurance coverage in the voluntary market. If a policyholder is deemed eligible, the insurer must offer them coverage upon policy renewal. The bill mandates that insurers send written notices to policyholders at least 30 days before conducting these reviews, informing them of their right to seek voluntary market coverage at any time. Additionally, insurers must notify policyholders within 10 days of determining their eligibility for voluntary market coverage. The bill also empowers the state insurance superintendent to review these eligibility determinations to ensure they are based on sound underwriting principles and that eligible policyholders are being appropriately transitioned to standard insurance coverage. Policyholders are given the right to file complaints with the superintendent if they believe an insurer is not complying with these requirements.