§ 7602 — Definitions

New York § 7602

• Jurisdiction: New York
• Law ISC: Insurance
• Art. 76: Property/casualty Security Funds

Text

§ 7602. Definitions. In this article, unless the context or subject\nmatter otherwise requires:\n (a) "Fund" means either the property/casualty insurance security fund\nor the public motor vehicle liability security fund.\n (b) "Fund year" means the calendar year.\n (c) "Insurer" means any insurer (other than an insolvent insurer, or a\nmunicipal reciprocal insurer which issues policies not covered by the\nproperty/casualty insurance security fund, or a risk retention group as\ndefined in article fifty-nine of this chapter, or a provider of service\ncontracts pursuant to article seventy-nine of this chapter) authorized\nto transact the kinds of business specified in paragraphs four through\nfourteen, sixteen, seventeen, nineteen through twenty-one of subsection\n(a) of section one thousand one hundred thirteen of this chapter.\n (d) "Policy" means a policy issued by an insurer authorized to do\nbusiness in this state, including a policy or surety bond filed pursuant\nto article six or seven of the vehicle and traffic law, insuring against\nlegal liability arising out of the ownership, operation or maintenance\nof motor vehicles, including surety bonds or insurance policies issued\nto meet the requirements of section three hundred seventy of the vehicle\nand traffic law.\n (e) "Net direct written premiums" means direct gross premiums written\non policies subject to this article, insuring:\n (1) property or risks located or resident in this state,\n (2) legal liability arising out of the ownership, operation or\nmaintenance of motor vehicles which are principally garaged in this\nstate, less return premiums thereon and dividends paid to policyholders\non such direct business.\nFor the purposes of this article premiums written by any authorized\ninsurer on policies issued to self insurers, whether or not designated\nas reinsurance contracts, shall be deemed "net direct written premiums".\n (f) "Motor vehicle accident" means either an accident occurring within\nor without this state arising out of the ownership, operation or\nmaintenance of a motor vehicle which is principally garaged in this\nstate or an accident occurring within this state arising out of the\nownership, operation or maintenance of a motor vehicle which is not\nprincipally garaged in this state.\n (g) "Allowed claim" means a claim that has been allowed by the\nsuperintendent in a proceeding under article seventy-four of this\nchapter or, if such claim exceeds twenty-five thousand dollars, has been\nallowed by the court in a proceeding under article seventy-four of this\nchapter, and which is based upon:\n (1) a policy insuring property or risks located or resident in this\nstate, or\n (2) a policy issued in this state to a resident of this state insuring\nproperty or risks, located or resident outside this state but within the\nUnited States, its possessions and territories, and Canada, provided\nthat, with respect to policies covered under this paragraph:\n (A) irrespective of the amount of claim that has been allowed, no\nperson shall recover any amount from this fund until such person has\nexhausted all rights of recovery from any security fund, guaranty\nassociation, or the equivalent in the jurisdiction where such property\nor risks are located or resident; and, thereafter, such person's\nrecovery from this fund, when combined with amounts recovered or\nrecoverable from any other security fund, guaranty association, or the\nequivalent in such jurisdiction, shall not exceed the maximum limit\navailable to a qualified claimant for a recovery solely from such other\nsecurity fund, guaranty association, or the equivalent; and\n (B) the aggregate limit for all claims arising out of any one policy,\nexcluding claims with respect to property or risks located or resident\nin this state, shall not exceed the lesser of the aggregate limit of the\npolicy or five million dollars.\n (h) "Injured party claim" means a claim of a person, other than a\npolicyholder or assured, who suffered an injury to his person or\nproperty arising out of an insured incident within the coverage of the\npolicy.\n (i) "Policyholder claim" means a claim of a policyholder or assured\nwithin the coverage of the policy, wherein such person suffered loss or\ndamage under the coverage of the policy or where such person has paid an\ninjured party claim, subject to allowance of such policyholder claim in\na proceeding under article seventy-four of this chapter.\n (j) "Commissioner" means the commissioner of taxation and finance of\nthis state.\n