Proposed Int. No. 685-A
By The Speaker (Council Member Menin) and Council Members Brewer, Restler, Louis, Aldebol, Schulman, Banks, Lee, Thomas-Henry, Epstein, Wilson, Stevens, J. Sanchez, Narcisse and Ariola
A Local Law to amend the New York city charter, in relation to establishing an office of insurance accountability
Be it enacted by the Council as follows:
Section 1. Chapter 64 of the New York city charter is amended by adding a new section 2204 to read as follows:
§ 2204. Office of insurance accountability. a. Definitions. For the purposes of this section, the following terms have the following meanings:
Consumer. The term “consumer” has the same meaning as set forth in subdivision d of section 20-701.
Director. The term “director” means the director of insurance accountability.
Insurance fraud. The term “insurance fraud” has the same meaning as set forth in section 176.05 of the penal law.
Office. The term “office” means the office of insurance accountability.
b. Establishment of office. There shall be in the department of consumer and worker protection an office of insurance accountability. The commissioner shall appoint or designate a director of insurance accountability.
c. Powers and duties. The powers and duties of the office shall apply to any type of consumer insurance except for health insurance and shall include, but not be limited to:
1. Providing, on the office’s website in a simplified and publicly accessible format, information on types of consumer insurance and generalized guidance for consumers on selecting insurance plans;
2. Providing, on the office’s website in a simplified and publicly accessible format, information about the ways in which a consumer can make an insurance-related complaint to the New York state department of financial services;
3. Tracking legal actions alleging deceptive, fraudulent, or other unfair practices by insurance companies that harm consumers who purchase or seek to purchase insurance, and actions alleging insurance fraud or other unlawful practices by persons that harm consumers, including by increasing costs to consumers, who purchase or seek to purchase insurance, and publicizing legal developments that may be relevant to consumers purchasing insurance;
4. Studying and reporting on common issues facing consumers of insurance, in accordance with subdivision d; and
5. Providing recommendations to the mayor, council, comptroller, and relevant state and federal entities regarding legislation and policies to benefit consumers of insurance.
d. Study and report. 1. The office shall conduct studies on consumer insurance and as a part of such studies, may hold public hearings, consult with experts, and perform research, as necessary.
2. No later than 1 year from the effective date of the local law that added this section, the director shall submit to the mayor and the speaker of the council, and shall post on the office’s website, a report detailing common issues faced by insurance consumers and may include factors that contribute to the cost of insurance. Such report shall include a summary of study findings pursuant to paragraph 1 of this subdivision. The report shall also include recommendations for legislation and policies to benefit consumers of insurance.
3. Following publication of the report required by paragraph 2 of this subdivision, the director shall develop and publish a plan for the schedule of additional reports produced by the office, if any. Any such additional reports shall conform to the requirements of subdivision c and this subdivision.
e. Insurance accountability advocate. Within the office there shall be a unit that provides assistance to consumers of insurance. The unit shall be headed by an insurance accountability advocate. Such advocate shall be appointed by and under the supervision of the director. The unit shall contact the New York state department of financial services for the purposes of entering into a memorandum of understanding with such department to provide assistance to consumers of insurance.
§ 2. This local law takes effect 1 year after it becomes law.
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LS #21353
7/8/2026 1:41 PM