Required Producer Notifications for NY State Emergency Grace Periods
Posted on April 18, 2020
New York State Emergency Regulation 62 Notice Requirement for Producers –
You MUST Notify Policyholders of Premium Grace Period Extensions
See below release from NYAHU outlining this requirement and to download a sample notification.
Pursuant to Governor Andrew Cuomo’s Executive Order 202.14, on April 7, 2020 the Department of Financial Services issued Emergency Regulation 62, which states in part that insurers “…shall extend the period for the payment of premiums to the later of the expiration of the applicable contractual grace period and 11:59 p.m. on June 1, 2020 for any individual, small group, or student blanket comprehensive health insurance policy, for any policyholder or contract holder who can demonstrate financial hardship as a result of the COVID-19 pandemic”.
Insurance producers are required to provide notification to policyholders by April 21, 2020, which represents 10 business days from when the regulation was issued. You may access a sample notification here.
Let me know if you have any questions.