N.Y. Weighs NYPIUA Offering Surety Bonds

New York is considering having its residual market property insurance association offer surety bonds.

Superintendent of Insurance Eric R. Dinallo said he will hold a public hearing on Dec. 14 to determine whether he will require the New York Property Insurance Underwriting Association (NYPIUA) to provide a market for surety bonds.

Dinallo said this effort is being undertaken, in part, to assist small businesses, including those that are women- or minority-owned, in improving their participation in the state’s procurement process. Some small businesses, including ones owned by women or minorities, have difficulty in obtaining the appropriate surety coverage needed to compete for bids for government contracts, according to officials.

“This effort can assist all small business and can help attain the goals of New York State’s Minority and Women Business Enterprise (MWBE) Executive Leadership Council, which is seeking to improve the participation of MWBE businesses in the state’s procurement process,” said Dinallo.