DFS Directs New York Insurers to Expedite Tropical Depression Ida-Related Claims
The New York State Department of Financial Services (DFS) has issued a circular letter to New York-regulated insurers to expedite Tropical Depression Ida-related insurance claims.
On September 1, 2021, the remnants of Hurricane Ida passed through downstate New York and delivered historic rainfall, triggering flash floods, power outages and property damage, and posing a threat to public health and safety.
Governor Kathy Hochul responded by declaring a state of emergency in New York state within the counties of Bronx, Dutchess, Kings, Nassau, New York, Orange, Putnam, Queens, Richmond, Rockland, Suffolk, Sullivan, Ulster and Westchester.
In this emergency situation, DFS said it expects all insurers to do their part. Due to the severity of the flooding and extent of damage to homeowners and businesses, it said it is imperative that the insurance industry work toward a fair and speedy resolution of claims.
DFS is expecting insurers to increase their resources to ensure proper treatment of their policyholders and allow claimants to make immediate repairs to damaged property if necessary to protect health or safety. It is also expecting insurers to allow claimants to provide as reasonable proof items such as photographs or video recordings without the need for a physical inspection, material samples if applicable, inventories and receipts for any repairs to or replacement of property.
DFS said insurers are expected to promptly assess claims along with their third-party adjusters, provide affected policyholders with fair and equitable claim settlement treatment, cover claims caused by multiple perils even if not all perils are covered under the applicable policy and make timely payments of claims that arise out of covered perils.
DFS will expedite the issuance of temporary independent insurance adjustor permits as necessary to qualified out-of-state independent insurance adjusters pursuant to New York Insurance Law. Expediting permits will assist New Yorkers by increasing the number of adjusters available to process claims and help get their claims settlements paid and their property repaired faster.
DFS is encouraging insurers to file Temporary Independent Adjustor Applications via the DFS website. Insurers were also reminded to offer other help, including information regarding emergency aid, tips for damage prevention, resources for remediating damage and contacts for FEMA assistance.
Source: New York State Department of Financial Services