NY Ins L § 3425 (2021)
2021 New York Laws ISC - Insurance Article 34 - Insurance Contracts-Property/casualty 3425 - Certain Property/casualty Insurance Policies; Cancellation and Renewal Provisions; Agents' Contracts and Brokers' Accounts.

§ 3425. Certain property/casualty insurance policies; cancellation and renewal  provisions;  agents'  contracts and brokers' accounts. (a) This section shall apply to covered  policies  of  insurance  as  defined  in paragraphs one, two and three hereof.  (1) "Covered  policy"  means  a  contract of insurance, referred to in this section as "automobile insurance", issued or issued for delivery in this state, on a risk  located  or  resident  in  this  state,  insuring against  losses  or liabilities arising out of the ownership, operation, or use of a motor vehicle, predominantly used for non-business purposes, when a  natural  person  is  the  named  insured  under  the  policy  of automobile  insurance;  provided,  however, that the use or operation of the motor vehicle by a transportation network driver as a TNC vehicle in accordance with article forty-four-B of  the  vehicle  and  traffic  law shall  not be included in determining whether the motor vehicle is being used predominantly for non-business purposes.  (2) "Covered policy" also means a contract of insurance,  referred  to in  this section as "personal lines insurance", other than a contract of insurance defined in paragraph one hereof, issued or issued for delivery in this state, on a risk located or resident in this state, insuring any of the following contingencies:  (A) loss  of  or  damage  to  real  property  used  predominantly  for residential  purposes  and which consists of not more than four dwelling units, other than hotels and motels;  (B) loss of or damage to personal property in  which  natural  persons have an insurable interest, except personal property used in the conduct of a business; and  (C)  other liabilities for loss of, damage to, or injury to persons or property, not arising from the conduct of a  business,  when  a  natural person is the named insured under the policy.  (3)  A  personal  umbrella  liability  policy  shall  be  considered a "covered policy" under paragraph two, and not  paragraph  one,  of  this subsection.  (4)  A  contract  which  insures  any  of  the foregoing contingencies described in paragraph one or two hereof as well as other  contingencies shall  be  a  covered  policy  if  that  portion  of  the annual premium attributable  to  such  foregoing  contingencies  exceeds  that  portion attributable to other contingencies.  (5) A covered policy shall not include a policy issued pursuant to any plan established under article fifty-three or fifty-four of this chapter or legal services insurance.  (6)  "Renewal"  or  "to  renew"  means the issuance and delivery by an insurer, at the end of the policy period,  of  a  policy  superseding  a policy  previously  issued  and  delivered  by  the same insurer, or the issuance and delivery of a certificate or notice extending the term of a policy beyond its policy period or term;  provided,  however,  that  any policy with a policy period or term of less than one year shall, for the purpose of this section, be considered as if written for a policy period or term of one year, or any policy with no fixed expiration date, shall, for  the  purpose  of  this  section,  be  considered  as if written for successive policy periods or terms of one year.  (7) With respect to personal lines insurance, "required policy period" means a period of three years from the date as of which a covered policy is first issued or is voluntarily renewed.  (8) With respect to automobile  insurance,  "required  policy  period" means  a  period  of one year from the date as of which a covered policy becomes effective after first issuance or voluntary renewal.  (9) With respect to automobile insurance,  "voluntary  renewal"  means the  renewal of a covered policy which has completed the required policy period pursuant to this section.  (10) "Nonpayment of premium" means the failure of the named insured to discharge any obligation in connection with the payment of premiums on a policy  of  insurance  or  any  installment of such premium, whether the premium is payable directly to the insurer or its agent,  or  indirectly under  any  premium  finance plan or extension of credit. Payment to the insurer, or to an agent or broker authorized to  receive  such  payment, shall  be  timely,  if made within fifteen days after the mailing to the insured of a notice of cancellation for nonpayment of premium.  (11) "Administrative suspension" means a  temporary  suspension  of  a driver's  license  pending a hearing, prosecution or investigation or an indefinite suspension of a driver's license because of  the  failure  of the  person  suspended  to  perform  an  act,  which  suspension will be terminated by the performance of the act by the person suspended.  (b) During the first sixty days a covered  policy  is  in  effect,  no notice  of cancellation shall be issued or be effective unless it states or is accompanied by a statement of the specific reason or  reasons  for such cancellation.  (c)  After a covered policy has been in effect for sixty days, or upon the effective date if the policy is a renewal, no notice of cancellation shall be issued to  become  effective  unless  required  pursuant  to  a program   approved   by   the  superintendent  as  necessary  because  a continuation of the present premium volume would  be  hazardous  to  the interests  of policyholders of the insurer, its creditors or the public, or unless it is based on one or more of the following:  (1) With respect to automobile insurance policies:  (A) nonpayment  of  premium,  provided,  however,  that  a  notice  of cancellation on this ground shall inform the insured of the amount due;  (B)  suspension or revocation during the required policy period of the driver's  license  of  the  named  insured  or  any  other  person   who customarily  operates an automobile insured under the policy, other than a suspension issued pursuant to subdivision one of section five  hundred ten-b  of  the  vehicle  and  traffic  law or one or more administrative suspensions arising from the  same  incident  which  has  or  have  been terminated prior to the effective date of cancellation; or  (C) discovery of fraud or material mis-representation in obtaining the policy or in the presentation of a claim thereunder.  (2) With respect to personal lines insurance policies:  (A)  nonpayment  of  premium,  provided,  however,  that  a  notice of cancellation on this ground shall inform the insured of the amount due;  (B) conviction of a crime arising out of acts  increasing  the  hazard insured against;  (C)  discovery of fraud or material misrepresentation in obtaining the policy or in the presentation of a claim thereunder;  (D) discovery of willful or reckless acts or omissions increasing  the hazard insured against;  (E)  physical changes in the property insured occurring after issuance or last annual anniversary date  of  the  policy  which  result  in  the property   becoming   uninsurable   in  accordance  with  the  insurer's objective, uniformly applied underwriting standards  in  effect  at  the time the policy was issued or last voluntarily renewed; or  (F) a determination by the superintendent that the continuation of the policy  would  violate  or  would place the insurer in violation of this chapter.  (3) The provisions of this subsection shall apply to  each  and  every coverage or limit afforded under the policy.  (d)  (1)  Unless  the  insurer,  at least forty-five but not more than sixty days in advance of the end of the policy period, mails or delivers to the named insured, at the address shown  in  the  policy,  a  written notice  of  its intention not to renew a covered policy, or to condition its  renewal  upon change of limits or elimination of any coverages, the named insured shall be entitled to renew the policy upon timely  payment of  the  premium  billed  to  the  insured for the renewal. The specific reason or reasons for nonrenewal or conditioned renewal shall be  stated in  or  shall  accompany the notice. This paragraph shall not apply when the named insured, an agent or broker authorized by the  named  insured, or  an  insurer  of  the  named insured, has mailed or delivered written notice to the insurer that the policy has been replaced or is no  longer desired.  (2)  If an insurer has the right to cancel a policy it may, in lieu of cancellation, condition continuation  of  such  policy  upon  change  of limits  or  elimination  of any coverage not required by law, if written notice of such intention is mailed or delivered to the  insured  at  the address  shown in the policy at least twenty days prior to the effective date of such action.  (3) At its discretion, the insurer may, in lieu of renewing the policy in the form as last  issued,  substitute  at  the  annual  renewal  date another  approved  policy  form  which  contains  at least substantially equivalent value in the aggregate of  benefits,  as  determined  by  the superintendent.  Notice  of  intention  to substitute a different policy form on a renewal shall be made in the same manner as is  prescribed  in paragraph  one  of  this  subsection  for a conditioned renewal but with respect to automobile insurance policies shall not  be  subject  to  the percentage  limitations  contained  in  subsection  (f)  of this section applicable to a conditioned renewal. Notice of intention to substitute a different  policy  form  shall  be  accompanied  by  a  full  and  clear comparison of the differences between the policy form as last issued and the substitute policy form.  (e)  With  respect  to personal lines insurance policies, no notice of nonrenewal or conditional renewal of a covered policy shall be issued to become effective during the required policy period unless  it  is  based upon  a  ground  for  which  the  policy could have been cancelled. With respect to homeowners' policies as defined in section two thousand three hundred fifty-one of this chapter, on properties located in areas served by a market assistance program established by the superintendent for the purpose of facilitating placement of homeowners' insurance,  notices  of cancellation,  nonrenewal  or  conditional  renewal  shall  conform with standards  established  by  the  superintendent  in   regulation.   Such standards   shall  require  that  the  notice  include,  at  a  minimum: notification of the possibility of eligibility for  coverage  through  a market   assistance   program   or   the  New  York  property  insurance underwriting association; information on how to apply;  and  such  other information as required by the superintendent.  (f)  (1)  With  respect  to  automobile  insurance policies, the total number (rounded to the nearest whole number) of notices of intention not to renew a covered policy, and of  notices  of  intention  to  condition renewal  upon reduction of limits or elimination of any coverages, which an insurer may issue shall be limited for  each  calendar  year  to  two percent  of the total number of covered policies of the insurer in force at last year-end in each such insurer's rating territory in use in  this state  which  have  completed  their  required  policy period under this section, except as set forth in subsection (r) of this section. However, the insurer may non-renew or conditionally renew one policy in any  such insurer's  rating  territory  in  use  in  this state, if the applicable  percentage limitation results in less  than  one  policy.  Cancellations made  pursuant  to  subsection  (b)  or  (c)  of  this  section shall be independent of and in addition to the number of notices of intention not to renew or to condition renewal upon reduction of limits or elimination of any coverages not required by law, permitted under this subsection.  (2)   For   every  two  new  automobile  policies  which  the  insurer voluntarily writes  in  each  such  territory,  such  insurer  shall  be permitted  to non-renew or conditionally renew one additional automobile policy in that territory in excess of the two percent limit  established in   paragraph   one   of   this  subsection,  subject  to  a  fair  and nondiscriminatory formula developed by the superintendent,  which  shall consider  the  number  of automobile policies written less cancellations initiated by the insurer within the  first  sixty  days  of  the  policy period.  (3) The superintendent shall revoke the rights of any insurer or group of   insurers   under   paragraph   two   of  this  subsection,  upon  a determination, after a public hearing, that such an insurer or group  of insurers has utilized such rights to the detriment of any class or group of classes within a rating territory.  (g)  Notwithstanding  any  of  the  provisions and limitations of this section, any property/casualty insurance company organized for the  sole and  exclusive  purpose of providing insurance policies to members of an organization, and providing such insurance  policies  on  risks  in  New York,  may  refuse to renew automobile liability policies of persons who fail to meet the requirements contained in the by-laws of  such  company prohibiting  the  sale  of  policies to non-members of the organization, provided that such company shall continue to participate in any assigned risk plans established pursuant to article fifty-three of this chapter.  (h) (1) Proof of mailing of a notice  of  cancellation,  reduction  of limits,   substitution   of   policy  form,  elimination  of  coverages, conditioned renewal or of intention  not  to  renew,  or  proof  of  the mailing  of  the  reasons  therefor, to the named insured at the address shown in the policy, shall be sufficient proof of the giving  of  notice and the giving of reasons required by this section.  (2)  No  notice  of cancellation, reduction of limits, substitution of policy  form,  elimination  of  coverages,  conditioned  renewal  or  of intention not to renew, or notice of the reasons therefor, that fails to include  a  provision  required  by  this  section shall be an effective notice for purposes of this section.  (3) A copy of every  notice  of  cancellation,  reduction  of  limits, substitution  of  policy  form,  elimination  of  coverages, conditioned renewal or of intention not to renew, including the reasons therefor, or a summary of such notice, shall be mailed, delivered or  transmitted  to the  insured's  authorized agent or broker within seven days of the time such notice is mailed to the named insured. Electronic  transmission  or any other means of delivery or transmission of information commonly used by  the  insurer  to  communicate with agents or brokers shall be deemed sufficient for compliance with this paragraph. Failure to mail,  deliver or  transmit  a copy of such notice to the insured's authorized agent or broker pursuant to this paragraph  shall  not  render  any  such  notice ineffective, provided that all of the other requirements of this section are  met  and  shall  not  be  considered failure to include a provision required  by  this  section  for  purposes  of  paragraph  two  of  this subsection.  (i)  No insurer shall refuse to issue or renew a covered policy solely on the ground of the advanced age of the applicant or insured.  (j) (1) Where an insurer or an agent who is authorized by such insurer to accept lines of insurance from licensed agents or brokers notifies  a  licensed  agent  or  broker  that  its  contract  or  account  shall  be terminated:  (A)  with  respect to a personal lines insurance policy required to be continued by this section, the  insurer  shall  offer  to  continue  the policy  for  any  remaining  part  of the required policy period and any statutory extension and the insurer shall offer to continue  the  policy through  the  terminated  agent or broker for at least its next one year policy period which commences within one  year  following  the  date  of mailing  or delivery to the terminated agent or broker of written notice of termination of such contract  or  account,  and  thereafter,  at  the specific  request  of  the  insured,  shall offer to continue the policy through such terminated agent or broker for any remaining  part  of  the required policy period including statutory extension;  (B)  with  respect  to  an automobile insurance policy subject to this section, the  insurer  shall  offer  to  continue  the  policy  for  any remaining  part  of the required policy period and, unless the policy is cancelled or non-renewed in accordance with  the  provisions  of  either subsection  (b),  (c)  or (f) of this section, it shall, at the specific request of the  insured,  offer  to  continue  the  policy  through  the terminated  agent or broker for three successive one year policy periods which commence within the year following the date of mailing or delivery to the terminated agent or broker of written notice  of  termination  of such contract or account;  (C)  with  respect  to all new personal lines and automobile insurance business offered by such terminated agent or broker which is subject  to the  provisions  of  this  section,  the  insurer  shall accept all such business meeting  the  insurer's  then  current  underwriting  standards during  the period of one hundred twenty days next following the date of mailing or delivery to the agent or broker of  written  notification  of such termination;  (D)  the  terminated  agent  or  broker  shall  be entitled to receive commissions on account of all business continued or written pursuant  to this  paragraph  at  the  insurer's  prevailing commission rate for such lines of insurance; and  (E)  the  provisions  of  subparagraph  (B)  hereof  in  relation   to continuation  of  coverage  for three successive one year policy periods are subject to the rights of the insurer pursuant to subsection (b), (c) or (f) of this  section  to  cancel  or  non-renew.  The  provisions  of subparagraph  (D)  hereof  in  relation  to  commissions  shall  not  be mandatory after completion of the three one year policy periods provided for in subparagraph (B) hereof.  (2) This subsection  shall  not  apply  to  an  agent  who  agrees  to represent  exclusively  one  insurer or a group of insurers under common management or an agent or broker whose license has been revoked  by  the superintendent  or  whose  contract  or  account has been terminated for insolvency, abandonment, gross and willful misconduct, or failure to pay over to the insurer moneys due to the insurer after receipt of a written demand therefor.  (k) The superintendent may, after public hearing, promulgate rules and regulations implementing and coordinating the provisions of this section and article fifty-three of this chapter.  (l) (1)  The  superintendent  shall  monitor  the  operation  of  this section.   Every insurer subject to the provisions of this section shall file in the office of the superintendent periodic reports in  such  form as the superintendent may prescribe.  (2) The superintendent shall collect, analyze and compile such reports with  regard  to  the  number  of new insureds, non-renewed insureds and business written by each insurer in each rating territory of  each  such  insurer and, in each case, the class of insureds (including age and sex) affected so that a statistical analysis of the results obtained pursuant to  subsections  (f)  and  (m)  of  this section, and the reasons in the aggregate  for  the  non-renewal  of  policies  shall be provided to the speaker of the assembly, the temporary  president  of  the  senate,  the chair  of  the assembly insurance committee, and the chair of the senate insurance committee on or before June thirtieth, two thousand twenty and every two years thereafter.  (m) (1) Paragraphs eight and nine of subsection  (a),  subsection  (f) and subparagraphs (B) and (E) of paragraph one of subsection (j) of this section  shall  not  apply  to  any  new  covered  policy  of automobile insurance voluntarily written on or after August first, nineteen hundred eighty-five and prior to January first, nineteen hundred eighty-six, and on or after August second, two thousand one and prior to  the  effective date  of  the  property/casualty  insurance  availability act, and on or after June thirtieth, two thousand twenty-three, but  the  legal  rights granted  to insurers or policyholders under such provisions shall not be extinguished or impaired thereby.  (2) In lieu of such provisions, paragraph  seven  of  subsection  (a), subparagraph  (A) of paragraph one of subsection (j) of this section and paragraph three of  this  subsection  shall  apply  to  such  automobile insurance  policies  that  are  newly and voluntarily written to have an effective date on or after August first,  nineteen  hundred  eighty-five and prior to January first, nineteen hundred eighty-six, and on or after August  second,  two thousand one and prior to the effective date of the property/casualty insurance availability  act,  and  on  or  after  June thirtieth, two thousand twenty-three.  (3)  On and after August first, nineteen hundred eighty-five and prior to January first, nineteen hundred eighty-six, and on  or  after  August second,  two  thousand  one  and  prior  to  the  effective  date of the property/casualty insurance availability  act,  and  on  or  after  June thirtieth,  two  thousand  twenty-three,  no  notice  of  nonrenewal  or conditional  renewal  of  such  covered  automobile  insurance  policies referred  to  in  this  subsection  shall  be issued to become effective during the required policy period unless it is based upon a  ground  for which  the  policy  could have been cancelled or unless it is based upon one or more of the following grounds that occurred during the thirty-six month period ending on the last day of the fourth  month  preceding  the month  of the effective date of such notice of nonrenewal or conditional renewal:  (A) Where a named insured and/or  any  other  person  who  customarily operates  an  automobile insured under the policy is convicted of any of the following:  (i) operating a motor vehicle while intoxicated  or  impaired  by  the consumption of alcohol; or  (ii)  operating  a  motor  vehicle while impaired by the use of a drug (within the meaning of section eleven hundred ninety-two of the  vehicle and traffic law); or  (iii)  homicide  or  assault  arising out of the use or operation of a motor vehicle, or criminal negligence in the use or operation of a motor vehicle resulting in the injury or death of another person,  or  use  or operation of a motor vehicle directly or indirectly in the commission of a felony; or  (iv)  operating  a motor vehicle in excess of the speed limit, or in a reckless manner, where injury or death results therefrom; or  (v) operating a motor  vehicle  in  excess  of  the  speed  limit,  or reckless   driving,  or  any  combination  thereof,  on  three  or  more occasions; or  (vi) operating a motor vehicle insured  under  the  policy  without  a valid  license  or  registration  in  effect  (except  when  the  person convicted had possessed  a  valid  license  or  registration  which  had expired  and was subsequently renewed), or during a period of revocation or  suspension thereof, or in violation of the limitations applicable to a license issued pursuant to article twenty-one or article  twenty-one-A of the vehicle and traffic law; or  (vii) operating a motor vehicle while seeking to avoid apprehension or arrest by a law enforcement officer; or  (viii)  filing  or attempting to file a false or fraudulent automobile insurance claim, or knowingly  aiding  or  abetting  in  the  filing  or attempted filing of any such claim; or  (ix) leaving the scene of an incident without reporting; or  (x)  filing a false document with the department of motor vehicles, or using a license or registration obtained by filing a false document with the department of motor vehicles; or  (xi) operating a motor vehicle in a race or speed test; or  (xii) knowingly permitting or  authorizing  an  unlicensed  driver  to operate a motor vehicle insured under the policy.  (B)  Where  a  named  insured or any other person who operates a motor vehicle insured under the policy  is  individually  or  are  aggregately involved  in  three  or  more  vehicle accidents while operating a motor vehicle insured under the policy, resulting in either  personal  injury, or  in property damage in excess of two hundred dollars. For the purpose of this paragraph any of the following  occurrences  involving  a  motor vehicle  operated  by  a named insured or such other person shall not be considered an accident:  (i) such motor vehicle was struck in rear; or  (ii) such motor vehicle was struck while legally parked; or  (iii) only the operator of  another  motor  vehicle  involved  in  the accident  was convicted of a crime, offense or violation contributing to the accident; or  (iv) the named insured or other operator of the motor vehicle  insured under the policy, or the insurer thereof, was reimbursed by or on behalf of  a person responsible for the accident or has a judgment against such person.   Where more than one motor vehicle in a household  is  insured  by  the same  insurer,  the  number  of accidents which would permit conditional renewal or non-renewal shall, as for the aggregate, be increased by  two for  each  additional  motor  vehicle  insured. For the purposes of this paragraph accidents occurring as a result of the use or operation  of  a motor  vehicle  in  response  to  an  emergency,  where the operator was responding to a call of duty as a paid or volunteer member of any police or fire department, first aid squad, or of any law  enforcement  agency; or was performing any other governmental function in a public emergency, shall not be accidents which afford an insurer the right to cancel or to refuse to renew.  (C)  Where  there  is  a  material change in the type of motor vehicle insured which so substantially increases the hazard insured  against  as to render the motor vehicle uninsurable in accordance with the insurer's objective,  uniformly  applied  underwriting  standards in effect at the time the policy was issued or last voluntarily  renewed  and  which  are currently  in  effect;  provided,  however,  that  if  the insured motor vehicle is uninsurable for physical damage coverages only,  the  insurer must offer to renew the policy without the physical damage coverages.  (D)  Where  such  other  objective,  uniformly  applied  standards for cancellation or non-renewal exists, as may be prescribed  by  regulation promulgated by the superintendent.    * (n)  Notice  of  cancellation/real  property  escrow  accounts. With respect to all covered policies for which the insurer submits bills  for real  property  insurance  premiums  directly  to  a  mortgage investing institution, or such other institution or agent as designated in writing by  the  mortgage investing institution, under a real property insurance escrow account, the insurer must send copies of a notice of cancellation for nonpayment of premiums to both (i) the insured mortgagor of the real property and (ii) the mortgage  investing  institution,  or  such  other designated  institution  or  agent.  Failure to send this notice to both parties in paragraph (i) and paragraph (ii) shall render the  notice  of no force and effect.   * NB There are 2 sb§(n)'s   * (n) Withdrawal from writing automobile and homeowners' insurance. In the  event  of  a  determination by the superintendent that an insurer's elimination of premium installment plans, reduction  in  commission,  or any other marketing action was implemented to effectuate a withdrawal or substantial withdrawal from writing automobile insurance:  (1)  an  agent  shall  be permitted to terminate its contract with the insurer, or that portion of the contract authorizing the agent to accept automobile insurance, and the insurer shall be required  to  accept  new business  and  issue  renewals  in  accordance  with  paragraph  one  of subsection (j) of this section;  (2) notwithstanding the provisions of subparagraph  (D)  of  paragraph one  of  subsection  (j)  of  this section, where an agent's contract is terminated  or  a  portion  thereof  is  terminated  pursuant  to   this subsection,  commissions  for  automobile insurance shall be paid at the rate in effect applicable to the agent for the longest  duration  during the  twelve-month  period  immediately  preceding  the  action  which is determined by the superintendent to have been implemented to  effectuate a   withdrawal   or   substantial  withdrawal  from  writing  automobile insurance;  (3) premium payment installment  options  shall  be  maintained  in  a manner  substantially  similar  to  options  offered  by  the automobile insurance plan established  pursuant  to  article  fifty-three  of  this chapter;  (4)  paragraphs  one  and two of this subsection shall not apply to an agent who agrees to  represent  exclusively  one  insurer  or  group  of insurers; and  (5)  with  respect  to  homeowners'  insurance,  in  the event that an insurer intends to materially reduce  the  volume  of  policies  written pursuant  to  paragraph  two  of  subsection  (o)  of  this section, any commissions payable pursuant to an agent contract shall be mandatory for an additional one year period beyond  the  completion  of  the  required policy  period  specified  in  paragraph seven of subsection (a) of this section. The provisions of this paragraph shall not  apply  to  policies cancelled  or  nonrenewed  by  the  insured  or  policies not renewed or cancelled pursuant  to  subparagraph  (A),  (B),  (C),  (D)  or  (E)  of paragraph two of subsection (c) of this section.   * NB There are 2 sb§(n)'s  (o)  (1)  An  insurer  that intends to materially reduce its volume of policies  written,  covered  by  this  section,  shall  submit  to   the superintendent,  at  least  thirty  days in advance of implementing such actions,  a  plan  for  orderly  reduction  that:  (i)   describes   the contemplated  actions;  (ii)  sets  forth  the reasons for such actions; (iii) describes the measures such insurer intends to take  in  order  to minimize  market disruption; and (iv) provides such other information as the superintendent may require.  (2) (A) An  insurer  that  writes  homeowners  insurance  policies  as defined  in  subsection  (a)  of  section  two  thousand  three  hundred fifty-one of this chapter, who intends to materially reduce  its  volume of  such  policies written, shall submit to the superintendent, at least sixty  days  in  advance  of  implementing  such actions, a plan for the orderly reduction of the number of policies written.  Such  plan  shall: (i)  describe  the  contemplated actions; (ii) set forth the reasons for such actions; (iii) describe the measures such insurer intends  to  take in  order  to  minimize  market  disruption; and (iv) provide such other information as the superintendent may require.  (B) The superintendent after receiving such  plan  shall  have  thirty days  in  which to approve it or disapprove it. The superintendent shall approve such plan if  the  applicant  demonstrates  that  such  material reduction  is  accomplished in a manner that minimizes market disruption in areas of material reduction. In the review  of  each  plan  submitted prior  to  the  submission of the report required by subparagraph (E) of this paragraph, the  superintendent  shall  assess  the  impact  of  the planned  withdrawal  in the counties of Nassau and Suffolk; areas within one mile of a saltwater shoreline, canal  or  bay  in  the  counties  of Queens,  Kings, Richmond, Bronx or Westchester; and areas where policies issued by the New York property insurance underwriting association  have increased  by  an  amount deemed significant by the superintendent since January first, nineteen hundred ninety-two. For plans  filed  subsequent to  the  submission  of  the report required by subparagraph (E) of this paragraph, the superintendent shall assess the  impact  of  the  planned withdrawal  on such areas as the superintendent may identify pursuant to subparagraph (E) of this paragraph.   In the  event  that  the  plan  is disapproved, the superintendent shall state the points of objection with such  plan  and  any amendments to such plan that the superintendent may require consistent with the provisions of this section,  including,  but not   limited  to,  amendments  designed  to  accomplish  such  material reduction in a manner that  minimizes  market  disruption.  The  insurer shall  file an amended plan within fifteen days from the date of return. Any intended withdrawal pursuant to the plan is  prohibited  until  such time   as   the  original  or  any  amended  plan  is  approved  by  the superintendent.  (C) The superintendent  shall  promulgate  rules  and  regulations  to establish  standards for the definition of "materially reduce its volume of policies" as used in this paragraph. Such  definition  shall  require that  a  plan  be  filed with the superintendent if the insurer plans to reduce the net number of homeowners insurance  policies  as  defined  in subsection (a) of section twenty-three hundred fifty-one of this chapter by  twenty  percent  or  more, or plans to reduce the net number of such policies it writes by five hundred, whichever is greater, within a  five year  period  of  time;  provided,  however,  that  if an insurer is not otherwise required to file a plan pursuant to this subparagraph, a  plan shall  be  filed  if  the insurer plans to reduce the net number of such policies it has in force in a twelve month period  by  four  percent  or more  or  the  net  number  of  such  policies it writes by one hundred, whichever is greater.   The provisions of  this  subparagraph  shall  not  apply  to  policies cancelled  or  nonrenewed  by  the  insured  or  policies not renewed or cancelled pursuant  to  subparagraph  (A),  (B),  (C),  (D)  or  (E)  of paragraph two of subsection (c) of this section.  (D)  The  superintendent  shall  promulgate  rules  and regulations to establish standards  to  approve  such  an  application  and  to  define "minimizes market disruption."  (E)  The  superintendent  shall conduct a study of market dynamics and homeowners insurance policies written as defined in  subsection  (a)  of section  twenty-three  hundred  fifty-one  of this chapter, cancelled or nonrenewed in geographic regions as he  designates,  including  but  not limited  to  coastal  regions,  urban  regions and rural areas and shall report such findings to  the  governor  and  legislature  on  or  before February fifteenth, nineteen hundred ninety-eight.  (p)  Notwithstanding the provisions and limitations of this section or any other provision of law, the superintendent may, for a stated  period not  to  exceed  three  months  (which the superintendent may thereafter extend another three months), declare  a  moratorium  precluding  policy termination,   or   suspend  or  otherwise  adjust  the  provisions  and limitations of this section, for any area of the  state  that  has  been declared  by the president of the United States or by the governor to be in a state of emergency due to disaster or catastrophe.  (q)(1) Notwithstanding any other provision of this section, a  covered policy  shall  not  be subject to a required policy period if the policy is:  (A) a policy issued to an insured for a seasonal purpose;  (B) a policy issued to cover a specific event  or  particular  project that will be performed in less than one year;  (C)  a new policy where the specific term is made to coincide with the term of an insured's already  existing  covered  policy  with  the  same insurer;  with any insurer, at the insured's written request; or, in the case of a personal umbrella policy, with  different  insurers.  The  new policy  shall  have  the  same  required  policy  period  as that of the existing policy, except where one  policy  is  an  automobile  insurance policy and the other policy is a personal lines insurance policy; or  (D) a new policy issued pursuant to a mass merchandising program where the  specific  term  is  made  to  coincide  with  the term of all other policies in the program.  (2) In regard to a policy subject to  subparagraphs  (A)  and  (B)  of paragraph  one  of this subsection, the insurer shall not be required to give the  notice  of  nonrenewal  or  conditional  renewal  required  by subsection (d) of this section if:  (A) the policy provides coverage for sixty days or less;  (B) the policy contains a prominent and explicit notice of expiration, specifying the date the policy will expire and stating that no notice of nonrenewal will be issued; and  (C)  the  policy  is accompanied by a conspicuous notice in bold type, explaining that the policy provides short-term coverage for  the  policy period as specified on the declarations page.  (3)  Subsection  (f)  of this section shall not apply to an automobile insurance policy subject to subparagraphs (A) and (B) of  paragraph  one of this subsection.  (r)  An  insurer  that has no more than seven hundred fifty automobile insurance policies in-force at last year-end and  intends  to  non-renew all  of  the  policies shall submit to the superintendent a plan for the orderly nonrenewal of the policies. The proposed plan shall  not  become effective without the approval of the superintendent. The plan shall:  (1) describe the contemplated action;  (2) set forth the reasons for the action;  (3)  describe  the  measures  the  insurer  will  take or has taken to minimize market disruption as  set  forth  in  subsection  (o)  of  this section;  (4)  explain  why the action would not be detrimental to the interests of the people of this state; and  (5) provide any other information as the superintendent may require.  (s) With respect to automobile insurance, no insurer shall  refuse  to issue  or  renew  a  covered individually-owned private passenger policy solely on the ground that the motor vehicle to  be  insured  under  such policy shall be used for volunteer firefighting.