Bill > A09231

This bill establishes the New York State Catastrophe Fund Authority, a public entity designed to address property insurance challenges in the state. The bill creates a comprehensive framework for a state-managed fund that will provide reimbursement to insurance carriers for catastrophic losses from natural disasters like windstorms, earthquakes, and ice storms. The authority will be governed by a 20-member board appointed by various state officials and will have the power to issue revenue bonds, collect premiums from insurers, and levy emergency assessments. Insurers will be required to enter into reimbursement contracts and pay actuarially determined premiums based on their property exposure. The fund aims to maintain a viable insurance market by providing a financial backstop for insurers facing significant losses, with coverage levels ranging from 50-90%. Additionally, the bill establishes an advisory council to develop prevention and mitigation standards for natural disasters and appropriates $10 million to initiate the fund's operations. The authority will also work to coordinate with other state and federal insurance programs and can invest in various financial instruments to maximize the fund's capacity.

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https://www.nysenate.gov/legislation/bills/2025/A9231