Bill > A05081

This bill modifies existing insurance law to clarify rules about inducements and rebates in insurance sales. Specifically, the bill allows insurance companies, brokers, and their representatives to offer services as part of selling or renewing an insurance policy, as long as these services are provided in a non-discriminatory manner to all similarly situated customers. The key provision is that such services will not be considered an illegal inducement or rebate unless the state superintendent of insurance determines, after a formal hearing, that the services were the sole reason for purchasing the insurance policy and that the policy would not have been bought without those services. The bill maintains existing restrictions on providing monetary or valuable non-policy considerations (like gifts or cash) to encourage insurance purchases, but creates more flexibility for ancillary services that might be bundled with insurance policies. The amendment aims to provide clearer guidelines for insurance providers about what types of additional services they can offer without running afoul of anti-rebating regulations.

Business and Industry

https://www.nysenate.gov/legislation/bills/2025/A5081