N.Y. ISC Law § 3449 — New York Code / Act ISC / Article 34 / Section 3449
Wireless communications equipment insurance policies
Status: in_force

§ 3449. Wireless communications equipment insurance policies. (a) In\nthis section:\n  (1) "Policy of wireless communications equipment insurance" means an\ninsurance policy covering the kind of insurance described in paragraph\ntwo of subsection (d) of section two thousand one hundred thirty-one of\nthis chapter.\n  (2) "Wireless communications equipment" shall have the same meaning as\ndescribed in section two thousand one hundred thirty-one of this\nchapter.\n  (3) "Wireless communications equipment protection plan member" means\nany individual who purchased a wireless communications equipment\nprotection plan and such wireless communications protection equipment\nplan has not expired or been terminated.\n  (4) "Wireless communications equipment protection plan" means an\noptional plan offered for sale by a wireless communications equipment\nvendor licensed pursuant to section two thousand one hundred thirty-one\nof this chapter and the plan provides:\n  (A) a policy of wireless communications equipment insurance covering\nthe wireless communications equipment under a group policy subject to\nthis section where the wireless communications equipment vendor is the\ngroup policyholder;\n  (B) a service contract subject to article seventy-nine of this\nchapter, provided that the service contract provider or its affiliate\nrecycles, reuses, or disposes the wireless communications equipment in\naccordance with section 27-2303 of the environmental conservation law,\nas added by chapter seven hundred thirty of the laws of two thousand\nsix; and\n  (C) may include one or more of the following:\n  (i) a wireless communications equipment upgrade program, provided that\nthe program recycles, reuses, or disposes the wireless communications\nequipment in accordance with section 27-2303 of the environmental\nconservation law, as added by chapter seven hundred thirty of the laws\nof two thousand six;\n  (ii) technical support with respect to the wireless communications\nequipment; and\n  (iii) any other services related to the use of the wireless\ncommunications equipment that the superintendent deems to be meaningful\nand appropriate, in accordance with subsection (h) of this section.\n  (5) "Wireless communications equipment vendor" means a retail seller,\nmanufacturer or distributor of the wireless communications equipment or\nthe entity providing the telecommunications service that is licensed\npursuant to section two thousand one hundred thirty-one of this chapter.\n  (b) (1) A group policy of wireless communications equipment insurance,\nand certificates issued thereunder, may be issued only by an authorized\ninsurer.\n  (2) A group policy of wireless communications equipment insurance may\nonly be issued to a wireless communications equipment vendor.\n  (3) A group policy of wireless communications equipment insurance may\nbe offered as part of a wireless communications equipment protection\nplan, provided that the wireless communications equipment vendor at the\nsame time also offers the wireless communication equipment insurance\nfrom the same insurer on a stand-alone basis. The stand-alone wireless\ncommunication equipment insurance coverage may be issued either on a\ngroup or individual basis.\n  (c) Where a group policy of wireless communications equipment\ninsurance is provided as part of a wireless communications equipment\nprotection plan, the premium for the group policy, including\ncertificates, may be paid by the group policyholder from funds\ncontributed:\n  (1) wholly by the group policyholder;\n  (2) wholly by the wireless communications equipment protection plan\nmembers; or\n  (3) jointly by the group policyholder and wireless communications\nequipment protection plan members.\n  (d) For the purposes of this section, a wireless communications\nequipment protection plan member shall be a certificate holder of\nwireless communications insurance and a service contract holder as\ndefined in section seven thousand nine hundred two of this chapter.\n  (e) (1) A group policy of wireless communications equipment insurance,\nand certificates issued thereunder, shall not be subject to the\nprovisions of section three thousand four hundred twenty-five or three\nthousand four hundred twenty-six of this article.\n  (2) An insurer shall not terminate or otherwise change the terms and\nconditions of a group policy of wireless communications equipment\ninsurance, and certificates issued thereunder, whether offered on a\nstand-alone basis or as part of a wireless communications equipment\nprotection plan, except upon providing the policyholder and certificate\nholders with at least sixty days notice. If the insurer changes the\nterms and conditions, then the insurer shall provide the policyholder\nwith a revised policy or endorsement and each certificate holder with a\nrevised certificate or endorsement, an updated brochure or facsimile\nthereof and an explanation of the changes.\n  (3) Notwithstanding paragraph two of this subsection, an insurer may\nterminate a certificate upon fifteen days notice for:\n  (A) nonpayment of premium; or\n  (B) discovery of fraud or material misrepresentation in obtaining the\ncertificate or in the presentation of a claim thereunder.\n  (4) Notwithstanding paragraph two of this subsection, an insurer may\nautomatically terminate a certificate if the certificate holder:\n  (A) ceases to have active telecommunications service with the wireless\ncommunications equipment vendor; or\n  (B) exhausts the aggregate limit of liability, if any, under the\ncertificate and the insurer sends notice of termination to the\ncertificate holder within fifteen business days after exhaustion of the\nlimit. However, if notice is not timely sent, coverage shall continue\nnotwithstanding the aggregate limit of liability until the insurer sends\nnotice of termination to the certificate holder.\n  (5) Notwithstanding paragraph two of this subsection, an insurer may\nterminate a certificate of wireless communications equipment insurance\nupon the termination of a wireless communications equipment protection\nplan by a wireless communications equipment protection plan member when\nthe insurance is provided as part of such a plan program and the\nwireless communications equipment protection plan member had been\nprovided clear and express notice in the plan documents when the plan\nwas initially purchased that the certificate of wireless communications\nequipment insurance will cease upon termination of the wireless\ncommunications equipment protection plan program. The insurer shall give\nthe wireless communications equipment protection plan member the option\nto purchase a policy of wireless communications insurance on a\nstand-alone basis.\n  (6) Notwithstanding the provisions of subparagraph (B) of paragraph\nfour of this subsection, upon the request of a certificate holder, the\ncertificate holder's coverage shall be eligible for reinstatement not\nmore than twelve months following the date of exhaustion of the coverage\nlimit in accordance with the terms of the policy and subject to the\nenrollment criteria then applicable to prospective certificate holders\ngenerally.\n  (7) Where the group policy of a wireless communications equipment\ninsurance, whether offered on a stand-alone basis or as part of a\nwireless communications protection equipment plan, is terminated by the\npolicyholder, the policyholder shall mail or deliver written notice to\neach certificate holder advising the certificate holder of the\ntermination of the group policy and the effective date of termination.\nThe written notice shall be mailed or delivered to the certificate\nholder at least thirty days prior to the termination.\n  (f) Whenever notice is required pursuant to this section, it shall be\nin writing and mailed or delivered to the policyholder at the\npolicyholder's mailing address and to affected certificate holders at\nthe certificate holders' last known mailing addresses on file with the\ninsurer or delivered by electronic means pursuant to section three\nthousand four hundred fifty-eight of this chapter. Every notice of\ntermination shall specify the reason or reasons for termination.\n  (g) (1) Notwithstanding subsection (f) of this section, an insurer\nshall not be required to give notice of termination to the certificate\nholder if the insurer has been advised by either the policyholder or\nanother insurer that substantially similar coverage has been obtained\nfrom the other insurer without lapse of coverage.\n  (2) A policyholder shall not be required to give notice of termination\nto a certificate holder if substantially similar coverage has been\nobtained from another insurer without lapse of coverage.\n  (h) The superintendent may promulgate regulations regarding policies\nof wireless communications equipment insurance, including, but not\nlimited to, regulations governing policy terms and conditions, the\ninclusion of such policies in wireless communications equipment\nprotection plans, treatment of dividends, and may establish other\nreasonable limitations.\n