Bill > S05048

This bill amends the New York insurance law to modify regulations surrounding service contract reimbursement insurance policies. Specifically, the bill limits service contract providers to maintaining a maximum of five service contract reimbursement insurance policies that cover their actively offered service contracts. A service contract is typically a type of extended warranty or protection plan that covers the repair or replacement of goods. The bill changes existing language that previously allowed providers to insure "all" of their service contract obligations to now explicitly cap the number of insurance policies at five. If a provider's insurance lapses or is terminated, they will still be required to comply with alternative insurance requirements within 45 days. The change appears designed to provide more regulatory clarity and potentially limit the number of overlapping insurance policies a service contract provider can maintain. The bill will take effect immediately upon passage.

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https://www.nysenate.gov/legislation/bills/2025/S5048