New York Assembly Bill A11298

New York 2025-2026 Regular Session

• Introduced: 5/11/26
• Refer: 5/11/26

Caption

Requires prior approval of certain rates; requires insurers provide written explanations for certain premium increases; and authorizes the refiling of certain rates

Summary

A11298 would expand New York’s insurance rate-review rules to require prior approval for rate filings for commercial property insurance, commercial general liability insurance, and personal residential property insurance. Under the bill, those filings would have to be submitted to the Superintendent of Financial Services and could not take effect unless approved or allowed to become effective after a review period without disapproval. The bill also makes the filings and supporting information publicly available once effective, and it directs the superintendent to provide notice if a filing is disapproved. The bill further requires insurers to give policyholders a written explanation of certain premium increases on the premium bill or declarations page. That explanation must identify the amount of the increase from the prior policy period and describe the primary rating factors and material changes that led to the increase. In addition, the bill creates a new homeowners’ insurance benchmark system: insurers with at least $10 million in average annual gross written homeowners’ premiums over the prior two calendar years would have to refile rates for prior approval if their actual loss ratios fall below a benchmark set by regulation, and if their investment returns exceed a separate benchmark, the superintendent would be required to order a rate reduction. The bill would amend the Insurance Law to add new rate-filing and disclosure requirements and to create a new section governing homeowners’ insurance benchmarks. It would also require the superintendent to study and establish benchmark loss-ratio and investment-return standards within one year of enactment. The practical effect would be to give state regulators more direct control over certain property and liability insurance rates, increase transparency for consumers, and potentially force lower rates for some homeowners’ insurers with favorable loss and investment results. The available context suggests the bill is aimed at consumer protection and insurance affordability, with an emphasis on oversight of premium increases and insurer profitability. Because there are no recorded committee transcripts or votes provided, there is no documented opposition or support in the supplied materials, but the structure of the bill indicates a policy preference for stronger regulation and greater disclosure in the property insurance market. Notable points of contention likely include whether prior approval and benchmark-based rate reductions would help consumers without discouraging insurers from writing business in New York, how the superintendent should set the loss-ratio and investment-return benchmarks, and whether the disclosure requirements are sufficiently detailed to explain premium increases without imposing excessive administrative burden on insurers.

Impact

The bill would amend the Insurance Law to add prior-approval requirements for commercial property insurance, commercial general liability insurance, and personal residential property insurance rate filings, and it would create new disclosure obligations for premium increases. It would also establish a new homeowners’ insurance benchmark framework that could trigger mandatory refiling and rate reductions for larger insurers, thereby increasing the Department of Financial Services’ regulatory authority over property insurance pricing and consumer-facing explanations.

Sentiment

Based on the bill’s text and caption, the measure appears generally consumer-protective and regulatory in nature, with an emphasis on transparency, oversight, and potential premium relief. No committee transcript or vote data were provided, so there is no recorded legislative debate in the supplied materials to indicate formal support or opposition.

Contention

The main likely points of contention are the expanded prior-approval regime for commercial and residential property lines, the requirement that insurers explain premium increases in writing, and the new benchmark loss-ratio and investment-return standards for homeowners’ insurers. Insurers may view these provisions as burdensome or as constraints on rate-setting flexibility, while consumer advocates would likely support them as tools to curb unjustified premium increases and improve transparency.