Key Takeaways
- New York requires insurers to acknowledge property claims within 15 business days
- Insurers must accept or deny claims within 30 days after completing investigation
- Payment must be made within 10 business days after claim approval
- The Superintendent can impose penalties for unfair claims practices
- New York has specific requirements for independent adjusters
Last updated: January 2026
New York Property Insurance Claims Requirements
New York has specific requirements for handling property insurance claims that protect consumers.
Claims Handling Timelines
Required Timeframes
| Action | Timeframe |
|---|---|
| Acknowledge claim | 15 business days |
| Request additional information | 15 business days |
| Begin investigation | Promptly |
| Accept or deny claim | 30 days after investigation complete |
| Pay claim | 10 business days after approval |
Written Communication Required
Insurers must provide written communication for:
- Claim acknowledgment
- Request for additional documentation
- Claim denial (with specific reasons)
- Settlement offers
- Payment explanations
Unfair Claims Practices
New York prohibits unfair claims settlement practices:
Prohibited Practices
- Misrepresenting policy provisions to claimants
- Failing to acknowledge claims promptly
- Failing to communicate claim decisions promptly
- Denying claims without reasonable investigation
- Offering substantially less than reasonable value
- Delaying payment to force settlement
- Not attempting good faith settlement when liability is clear
- Requiring unnecessary paperwork
Penalties
| Violation | Potential Penalty |
|---|---|
| Per violation | Up to $5,000 |
| Pattern of violations | Up to $1,000 per violation |
| Bad faith | Additional damages |
| Consumer harm | Restitution required |
Independent Adjusters
New York licenses and regulates independent adjusters:
Licensing Requirements
- Must be licensed by DFS
- Examination required
- Continuing education requirements
- Cannot adjust their own claims
Adjuster Types
| Type | Description |
|---|---|
| Staff Adjuster | Employee of insurer |
| Independent Adjuster | Works for multiple insurers |
| Public Adjuster | Represents policyholders |
Public Adjusters
New York regulates public adjusters who represent policyholders:
Requirements
- Separate license required
- Cannot solicit within 24 hours of loss
- Fee limitations apply
- Must provide written contract
- Disclosure of fees required
Fee Limitations
- Cannot charge excessive fees
- Written agreement required
- Clear disclosure of percentage
- Cancellation rights disclosed
Appraisal Process
New York property policies include appraisal provisions:
When Appraisal Applies
- Disagreement on amount of loss
- Either party can demand appraisal
- Each party selects an appraiser
- Appraisers select an umpire
Appraisal Process
- Written demand for appraisal
- Each party selects appraiser within 20 days
- Appraisers attempt to agree
- If no agreement, umpire decides
- Agreement of two of three is binding
Test Your Knowledge
Within how many business days must a New York insurer acknowledge a property insurance claim?
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Test Your Knowledge
How quickly must a New York insurer pay an approved property claim?
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D