Assemblyman Goldfeder (second from l.) this week praised a Senate colleague for sponsoring Goldfeder’s legislation that would establish the New York Flood Insurance Association. Photo Courtesy of Assemblyman Goldfeder’s Office.
A veteran Republican state senator last week sponsored legislation recently introduced in the Assembly that would establish a joint underwriting association aimed at protecting families faced with rising flood premiums.
Sen. James Seward (R-Oneonta), chairman of the Standing Committee on Insurance, introduced his bill, the Senate companion to Assemblyman Phil Goldfeder’s (D-Ozone Park) bill that would help create the New York Flood Insurance Association.
The legislation proposed by Goldfeder amends state insurance law to create the NFIA as a choice for consumers when flood insurance is unaffordable or difficult to obtain. The association includes provisions to help keep costs low for both policyholders and insurers, and would serve to combat many of the issues homeowners have faced after major flooding events, Goldfeder said. Following Superstorm Sandy, families found their insurance claims contested by providers, with some even experiencing allegedly fraudulent practices on the part of insurance adjusters.
Under the proposed law, NFIA membership would be comprised of state-approved insurers and would be governed by the Superintendent of the State Department of Financial Services and a board of 13 directors. According to the plan, any homeowner or renter who has made a reasonable effort to find coverage on the private market could be eligible to apply to the NFIA for coverage of up to $1.5 million for property and contents.
Goldfeder, who is a member of the Assembly Committee on Insurance, was buoyed this week by the 15-term senator’s sponsorship.
“It’s an honor to have the support of such a great advocate for better insurance company practices like Sen. James Seward,” Goldfeder said. “The New York Flood Insurance Association will finally rid us of the dysfunctional FEMA National Flood Insurance Program and give our families the protection they deserve against rising insurance premiums and unfair provider practices. I look forward to working with Sen. Seward and with all my colleagues in the Legislature to see to it that we make this association a reality.”
Seward, who also is Senate Assistant Majority Leader on Conference Operations, represents the upstate 51st District, which was hit especially hard in 2011 by Hurricane Irene.
By Michael V. Cusenza michael@theforumnewsgroup.com
