Bill > A07305

This bill, known as the "Statewide Transparency and Mandated Prosecution for Insurance Fraud (STAMP) Out Fraud Act", introduces comprehensive measures to combat insurance fraud in New York State. The bill requires insurance companies and other entities to report suspected fraudulent transactions to the superintendent within 30 days, mandates that the superintendent investigate credible reports and either prosecute or refer cases to appropriate agencies within 60 days, and establishes a multi-agency "Insurable NY Fraud Task Force" to enhance fraud detection and prevention. The legislation increases penalties for insurance fraud by upgrading offenses from misdemeanors to felonies, with severity based on the monetary value of the fraudulent act, and introduces an additional penalty of up to five years imprisonment and a minimum $50,000 fine for fraud involving active litigation. Moreover, the bill requires state agencies to submit quarterly and annual reports detailing fraud investigations, challenges, and recommendations, and mandates the development of technological tools like artificial intelligence and data analytics to improve fraud detection. A notable component is a public education campaign to raise awareness about the economic and societal costs of insurance fraud, using messaging like "insurance fraud costs every New Yorker" across various media platforms.

Business and Industry

https://www.nysenate.gov/legislation/bills/2025/A7305