The Office of General Counsel issued the following informal opinion on, December 24, 2002, representing the position of the New York State Insurance Department.

Re: Fair Claim Settlement

Question Presented

On first party property claims on homeowner, business owner policies, and special multi-peril policies, are there written legal requirements that regulate the following: the length of time in which the insurer must send an adjuster; the length of time from adjustment of a claim until an offer of settlement of such claim is made; length of time from when a claim is settled until a claim check is issued?


Yes, 11 NYCRR Part 216 (2002), Regulation 64 regulates claims settlement practices.


No facts were provided.


11 NYCRR Part 216 (2002), Regulation 64 controls claims settlement practices. A copy of Regulation 64 is enclosed. While the inquirer should review the entire regulation, the inquirer’s attention should be drawn to the following sections: 216.4, Failure to acknowledge pertinent communications, subsections (a),(b) and (d); 216.5, Standards for prompt investigation of claims, subsection (a); and 216.6, Standards for prompt, fair and equitable settlements, subsection (c).

For further information you may contact Senior Attorney Susan A. Dess at the New York City Office.