NY Ins L § 4224 (2021)
2021 New York Laws ISC - Insurance Article 42 - Life Insurance Companies and Accident and Health Insurance Companies and Legal Services Insurance Companies 4224 - Life, Accident and Health Insurance; Discrimination and Rebating; Prohibited Inducements and Interdependent Sales.

§  4224.  Life,  accident  and  health  insurance;  discrimination and rebating; prohibited inducements and interdependent sales. (a)  No  life insurance  company  doing  business  in  this  state  and no savings and insurance bank shall:  (1) make or permit any unfair discrimination  between  individuals  of the  same  class  and  of  equal  expectation  of life, in the amount or payment or return of premiums, or rates charged  for  policies  of  life insurance  or  annuity  contracts, or in the dividends or other benefits payable thereon, or in any of the terms and conditions thereof;  (2) refuse to insure, refuse  to  continue  to  insure  or  limit  the amount, extent or kind of coverage available to an individual, or charge a different rate for the same coverage solely because of the physical or mental  disability,  impairment or disease, or prior history thereof, of the insured or potential insured, except where the  refusal,  limitation or  rate  differential is permitted by law or regulation and is based on sound actuarial  principles  or  is  related  to  actual  or  reasonably anticipated  experience,  in  which  case  the  insurer,  subject to the limitations contained in  section  twenty-six  hundred  eleven  of  this chapter,  shall  notify the insured or potential insured of the right to receive, or to designate a medical professional to receive, the specific reason or reasons for such refusal, limitation or rate differential;  (3) knowingly permit, and no agent thereof and no  licensed  insurance broker  shall  offer  to  make  or make, any policy of life insurance or annuity contract or agreement as to such policy or contract  other  than as plainly expressed in the policy or contract.  (b) No insurer doing in this state the business of accident and health insurance,  as specified in paragraph three of subsection (a) of section one thousand one hundred thirteen of this chapter,  and  no  officer  or agent  of such insurer and no licensed insurance broker, and no employee or other representative of such insurer, agent or broker shall:  (1) make or permit any unfair discrimination  between  individuals  of the  same class in the amount of premiums, policy fees, or rates charged for any policy of accident and health  insurance,  or  in  the  benefits payable  thereon, or in any of the terms or conditions of such policies, or in any other manner whatsoever;  (2) refuse to insure, refuse  to  continue  to  insure  or  limit  the amount, extent or kind of coverage available to an individual, or charge a different rate for the same coverage solely because of the physical or mental  disability,  impairment or disease, or prior history thereof, of the insured or potential insured, except where the  refusal,  limitation or  rate  differential is permitted by law or regulation and is based on sound actuarial  principles  or  is  related  to  actual  or  reasonably anticipated  experience,  in  which  case  the  insurer,  subject to the limitations contained in  section  twenty-six  hundred  eleven  of  this chapter  shall  notify  the insured or potential insured of the right to receive, or to designate a medical professional to receive, the specific reason or reasons for such refusal, limitation or rate differential;  (3) knowingly permit or offer to make or make, any policy of  accident and health insurance, other than as plainly expressed in the policy.  (c)  Except  as  permitted  by  section  three  thousand  two  hundred thirty-nine of this chapter or subsection (f) of this section,  no  such life  insurance  company  and  no such savings and insurance bank and no officer, agent, solicitor or representative thereof and no such  insurer doing in this state the business of accident and health insurance and no officer,  agent,  solicitor  or  representative thereof, and no licensed insurance broker and no employee or other  representative  of  any  such insurer,  agent  or  broker,  shall pay, allow or give, or offer to pay, allow or give, directly or indirectly, as an inducement to any person to  insure, or shall give, sell or purchase,  or  offer  to  give,  sell  or purchase,  as such inducement, or interdependent with any policy of life insurance  or  annuity  contract  or  policy  of  accident  and   health insurance,  any  stocks, bonds, or other securities, or any dividends or profits accruing or to accrue thereon, or any valuable consideration  or inducement  whatever not specified in such policy or contract other than any valuable consideration, including but not limited to merchandise  or periodical  subscriptions,  not  exceeding twenty-five dollars in value; nor shall any person in this state knowingly receive as such inducement, any rebate of premium or policy fee or any special favor or advantage in the dividends or  other  benefits  to  accrue  on  any  such  policy  or contract,  or  knowingly  receive  any  paid  employment or contract for services of any  kind,  or  any  valuable  consideration  or  inducement whatever which is not specified in such policy or contract.  (d)  (1)  No  insurer  authorized  to  do  one or more of the kinds of insurance  business  specified  in  paragraph  one,  two  or  three   of subsection  (a)  of  section  one  thousand one hundred thirteen of this chapter or authorized to do the kind of insurance business specified  in section  three  thousand  two  hundred  twenty-two of this chapter shall directly or indirectly, or by any of its agents or  representatives,  or by any broker or brokers, participate in any plan to offer or effect any kind  or kinds of such insurance business in this state as an inducement to, or interdependent with, the purchase by the  public  of  any  goods, securities,   commodities,   housing,   services   or  subscriptions  to periodicals, except as provided  by  subsection  (e)  of  section  three thousand  four  hundred thirty-six, paragraph three of subsection (b) of section  four  thousand  two  hundred  sixteen  of  this   article,   by subparagraph  (E)  of  paragraph  one  of subsection (c) of section four thousand two hundred thirty-five of this article or by article forty-six of the public health law.  (2) This  subsection  shall  not  prohibit  payment  plans  which  are otherwise in compliance with this subsection and this chapter.  (e)  This section shall not prohibit the giving by any company, in its discretion,  of  medical  examinations  and  diagnoses  and  of  nursing services to all or any part of its policyholders, under reasonable rules and regulations.  (f)  (1)  This  subsection shall apply only with respect to a group or blanket accident and  health  insurance  policy  issued  by  an  insurer licensed to write accident and health insurance in this state or a group contract   issued   by  a  corporation  organized  pursuant  to  article forty-three of  this  chapter,  or  a  health  maintenance  organization certified pursuant to article forty-four of the public health law.  (2)  Notwithstanding  subsection (c) of this section, a licensed agent or insurance broker may  develop,  implement,  and  administer  wellness programs  established  in  accordance  with  section  three thousand two hundred thirty-nine of this chapter without charging a service  fee  or, in  the  case  of a licensed insurance broker, for a reduced service fee pursuant to a written memorandum made in accordance with subsection  (c) of  section  two  thousand one hundred nineteen of this chapter, if such programs are  provided  in  a  fair  and  nondiscriminatory  manner  and incidental  to  a  group  or  blanket  policy  or  contract  sold by the insurance agent or insurance broker.