§ 2618. Standards for prompt investigation and settlement of claims.\n(a) (1) For the purpose of this section, "natural disaster" means the\noccurrence of widespread catastrophic or severe damage, injury, or loss\nof life or property resulting from any natural cause, including fire,\nflood, earthquake, hurricane, tornado, high water, landslide, mudslide,\nwind, storm, wave action, and ice storm.\n (2) This section shall apply to every insurer who writes policies that\ncover loss of or damage to real property, personal property or other\nliabilities for loss of, damage to, or injury to persons or property\nwhen:\n (A) a local state of emergency is declared pursuant to section\ntwenty-four of the executive law, when the governor declares a disaster\nemergency pursuant to section twenty-eight of the executive law, or when\nthe President issues a major disaster or emergency declaration pursuant\nto the Robert T. Stafford Disaster Relief and Emergency Assistance Act\n(P.L. 93-288);\n (B) the disaster is a natural disaster or a disaster caused by an act\nof terrorism; and\n (C) the claims are a result of such disaster.\n (3) An insurer shall acknowledge the receipt of all claims in writing\nto the claimant or the claimant's authorized representative in\naccordance with regulations promulgated by the superintendent;\n (4) If the insurer wishes its investigation to include an inspection\nof damaged or destroyed property, the inspection, whether performed by\nthe insurer, an independent adjuster, or other representative of the\ninsurer, shall occur in accordance with regulations promulgated by the\nsuperintendent. Furthermore, where necessary to protect health and\nsafety, immediate repairs to windows, exterior walls, exterior doors,\nroofs, heating systems, water systems and electrical systems may be made\nand alternative proof of loss such as photographs, video recordings,\ninventories and all receipts for repairs or replacement property shall\nsatisfy policy requirements;\n (5) A claim filed with an agent of an insurer shall be deemed to have\nbeen filed with the insurer unless, consistent with law or contract, the\nagent notifies the person filing the claim that the agent is not\nauthorized to receive notices of claim; and\n (6) An insurer shall furnish to such claimant, or the claimant's\nauthorized representative, a notification of all items, statements and\nforms, if any, which the insurer reasonably believes will be required of\nthe claimant in order to investigate such claim in accordance with\nregulations promulgated by the superintendent.\n (b)(1) An insurer shall, within fifteen business days of receipt of a\nproperly executed proof of loss and receipt of all items, statements and\nforms requested under this section from the claimant, or the claimant's\nauthorized representative, advise the claimant in writing whether the\ninsurer has accepted or rejected the non-commercial claim. When the\ninsurer suspects that the non-commercial claim involves arson, the\nforegoing fifteen business days shall be read as thirty business days.\n (2) An insurer shall be granted a one-time extension of fifteen\nbusiness days to determine whether a non-commercial claim should be\naccepted or rejected. If the insurer elects to utilize this extension,\nit shall so notify the claimant, or the claimant's authorized\nrepresentative, in writing. Such notification shall include the reasons\nadditional time is needed for the investigation.\n (3) (i) If the insurer needs more time to determine whether the\nnon-commercial claim should be accepted or rejected because the insurer\nis prohibited from accessing the property to investigate the claim, the\ninsurer shall be granted one additional extension of fifteen business\ndays. If the insurer elects to utilize this extension, it shall so\nnotify the claimant, or the claimant's authorized representative, in\nwriting, setting forth the reasons additional time is needed for the\ninvestigation.\n
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