Perry Co-Sponsors, and Helps Pass Legislation to Create Homeowners Bill of Rights

Assemblyman N. Nick Perry is pleased to announce that legislation he co-sponsored to create a Homeowners Bill of Rights passed the Assembly (A.2287-A).

The Homeowners Bill of Rights would require insurers to provide homeowners with a disclosure notice detailing their property and casualty coverage in the event of a disaster. Specifically, the disclosure notice would include information on:

  • coverage or limitations on coverage for certain catastrophic losses;
  • claims investigations and proceedings;
  • the rights of the insured under the law;
  • provisions that could be modified or changed in accordance with the law following a disaster; and
  • any other information deemed necessary by the state Superintendent of Financial Services.

“Every homeowner has the right to know what kind of insurance they have and what kind of coverage they might need if a natural disaster strikes,” said Assemblyman Perry “Unfortunately, many homeowners are not fully informed about the details of their coverage, leaving them unprepared for potential catastrophic damage to their homes. The Assembly’s legislation would require insurance companies to provide consumers with easy-to-understand notices so they are better prepared.”

Additionally, if a homeowner’s policy does not include coverage for certain catastrophic losses, the insurer would be required to provide them with information pertaining to other available coverage options. The legislation would also require the disclosure of a consumer’s flood zone and direct the state Department of Financial Services to develop a Consumer Guide on Insuring Against Catastrophic Loss.

“Following recent disasters like Superstorm Sandy many homeowners, including those in Canarsie have been shocked to find their insurance claims denied or their settlements substantially less than the cost of the damages to their homes,” said Assemblyman Perry. “In times of crisis, when assistance is needed most, no one should be denied the coverage they thought they had, simply because they lacked adequate information about their policies.”