N.Y. Insurance Law § 2356: Premium change explanations

§ 2356. Premium change explanations. (a) An insurer shall include a

notice accompanying the premium bill that includes the amount of the

premium increase from the prior policy period and a written explanation

for the premium increase, including the primary rating factors causing

the increase, for a covered policy as defined in paragraph one and in

subparagraph (A) of paragraph two of subsection (a) of section three

thousand four hundred twenty-five of this chapter, where the total

policy premium increase is in excess of ten percent, exclusive of any

premium increase due to insured value added.

(b) (1) Except when an insurer provides an explanation pursuant to

subsection (a) of this section, an insurer shall include a prominent

notice accompanying the premium bill, for a policy covering a motor

vehicle or a policy covering loss of or damage to real property used

predominantly for residential purposes, that states the following:

"Policyholders receiving an increase to their premiums at renewal may

request a written explanation, including the primary rating factors

causing the increase, by contacting their insurers in writing." An

insurer shall include its contact information with the prominent notice.

(2) Upon a policyholder's written request at policy renewal, an

insurer shall provide a written explanation for the increased premiums,

including the primary rating factors causing the increase, for a policy

covering a motor vehicle or a policy covering loss of or damage to real

property used predominantly for residential purposes. An insurer shall

provide the written explanation to the policyholder, including the

primary rating factors causing the increase, within twenty days from

receipt of the policyholder's written request.

(c) For the purpose of this section, primary rating factors shall

include factors that resulted in a premium rate increase, such as:

(1) individual claims history;

(2) changes made to the policy, including the policyholder adding or

replacing a vehicle, family members being added to the policy, or a

change in address;

(3) anticipated losses in the rating territory that would require a

need for an increased premium; and

(4) increased costs associated with claims, including the increased

cost of vehicle repairs, claims processing, or medical costs.

(d) If an insurer offering a private passenger automobile insurance

policy reduces premium rates due to the reforms of the state fiscal year

two thousand twenty-six -- two thousand twenty-seven budget, such

insurer shall provide notice to the policyholder of this rate reduction

and indicate that the reduction was due to the reforms of the state

fiscal year two thousand twenty-six -- two thousand twenty-seven budget.