A07915 Summary:
| BILL NO | A07915 |
| SAME AS | No Same As |
| SPONSOR | Rosenthal L |
| COSPNSR | |
| MLTSPNSR | |
| Add §3462, Ins L | |
| Prohibits insurers from requiring a property owner to disclose the presence of tenants receiving rental assistance. | |
A07915 Memo:
Go to topNEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
TITLE OF BILL: An act to amend the insurance law, in relation to prohibiting insurers from requiring a property owner to disclose the presence of tenants receiving rental assistance PURPOSE: This legislation would prohibit insurance companies from requesting information on the use of rental subsidies in a particular building. SUMMARY OF SPECIFIC PROVISIONS: - Section one amends the insurance law by adding a new section 3462. Section two establishes the effective date. JUSTIFICATION: Protections against source of income discrimination have been enacted by both the state and federal government to ensure tenants are not turned away simply because they use a housing voucher. However, no such laws exist to prohibit insurance companies from denying coverage on buildings that provide apartments to voucher holders. A July 2023 article in the Gothamist detailed how many insurers include questions on their applications about the number of units in a building that receive federal Section 8 or other rental subsidies. Insurance companies claim this information is used to help calculate the risk of insuring a building. However, insurance companies use this information to often deny coverage entirely, or in other cases, impose exorbitant premiums. The higher cost of insuring the building hurts landlords that take housing vouchers and tenants struggling to find a place to live. Source of income discrimination is illegal, but insurance companies have been able to skirt these laws, harming tenants and building owners look- ing to provide affordable housing. This legislation would prohibit insurance companies from including questions on applications about the number of units in a building that are occupied by those receiving rental subsidies. LEGISLATIVE HISTORY: New bill. FISCAL IMPLICATIONS: None to the State. EFFECTIVE DATE: Immediately.