Among other things, it must answer a written request about the other driver's coverage. When an insurer receives a written request from an injured person who has filed a claim, or from another claimant, Insurance Law § 3420(d)(1)(B) requires it, within sixty days of receiving the request, to confirm in writing whether its insured had a liability insurance policy of the covered type in effect with the insurer on the date of the alleged occurrence, and to specify the liability insurance limits of that policy.
Key facts
- According to the New York State Department of Financial Services (DFS), if you are injured in an auto accident or your car is damaged because of someone else's negligence, you may be able to make a claim against that person's auto insurance policy for bodily injury and property damage liability, and you must establish that the other party was at fault.
- DFS says that suing another party is your own personal action and does not involve your insurance company under your policy; your own insurer is not required to provide or pay for a lawyer to handle your claim against another party.
- DFS ranks automobile insurance companies doing business in New York State by the number of consumer complaints upheld against them as a percentage of their total business over a two-year period.
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Which policies does the sixty-day coverage rule apply to?
The rule applies to a liability policy that provides coverage for a claim arising out of the death or bodily injury of any person, where the policy is either subject to Insurance Law § 3425 (other than an excess liability or umbrella policy) or used to satisfy a financial responsibility requirement imposed by law or regulation.
If the request does not include enough identifying information for the insurer, using reasonable diligence, to identify a policy that may be relevant to the claim, the insurer must say so in writing within forty-five days of receiving the request and identify the additional information it needs. It then has forty-five days from receiving that information to provide the written confirmation and the policy limits. Because each of these periods runs from the insurer's receipt, keep a copy of every request and a record of when the insurer received it.
What must the insurer tell you if it denies coverage for an injury?
If an insurer disclaims liability or denies coverage for death or bodily injury under a liability policy issued or delivered in New York, and the death or injury arises out of a motor vehicle accident or any other type of accident occurring within the state, it must give written notice of the disclaimer or denial as soon as is reasonably possible. The notice must go to its own insured and to the injured person or any other claimant.
What claim-handling practices does New York law prohibit?
Insurance Law § 2601 bars insurers doing business in New York from engaging in unfair claim settlement practices. The acts it lists are unfair claim settlement practices when an insurer commits them without just cause and with such frequency as to indicate a general business practice. They include:
- knowingly misrepresenting to claimants pertinent facts or policy provisions relating to coverages at issue;
- failing to acknowledge with reasonable promptness pertinent communications as to claims arising under its policies;
- failing to adopt and implement reasonable standards for the prompt investigation of claims arising under its policies;
- not attempting in good faith to effectuate prompt, fair and equitable settlements of claims submitted in which liability has become reasonably clear, except where there is a reasonable basis, supported by specific information available for review by the department, that the claimant caused the loss to occur by arson;
- failing to promptly disclose coverage as required by Insurance Law § 3420(d) or § 3420(f)(2)(A).
If it is found, after notice and an opportunity to be heard, that an insurer has violated § 2601, each instance of noncompliance may be treated as a separate violation for purposes of a monetary penalty under Insurance Law § 109(b).
How do you file a complaint about an insurance company with DFS?
DFS's online Consumer Complaint application is used to file a complaint with DFS about an insurance company, as well as about banks and other financial services and products. To start a complaint, or to add information to one already filed, DFS directs consumers to the DFS Portal.
What else helps when the other driver's insurer contacts you?
Read any document the insurer sends, including any release, in full before signing it. Whether to give that insurer a recorded statement, and how that differs from your obligations to your own no-fault insurer, is covered in Do You Have to Give the Insurance Company a Recorded Statement After a Car Accident in New York.
Frequently asked questions
Will the insurance company see your DFS complaint?
It may. DFS says it may share a copy of your complaint with the company or individual you are complaining about.
What is an "upheld" complaint in DFS's auto insurer rankings?
Upheld complaints occur when DFS agrees with a consumer that an auto insurer made an inappropriate decision. DFS says complaints typically involve issues like delays in the payment of no-fault claims and nonrenewal of policies.
Is a violation of Insurance Law § 2601 a misdemeanor?
No. Insurance Law § 2601 states that a violation of the section shall not be a misdemeanor.
About William Mattar, P.C.
William Mattar, P.C. was founded in 1990 by William K. Mattar in Williamsville, NY, and focuses on motor vehicle accident cases. The initial case consultation is free.
Related reading from William Mattar
- Do You Have to Give the Insurance Company a Recorded Statement After a Car Accident in New York
- I Keep Getting Calls from Insurance Adjusters. Should I Call Them Back?
- Why You Should Never Accept the Insurance Company's First Settlement Offer After a Long Island Car Accident
- Do I Call My Insurance Company After an Accident if It Is Not My Fault?
- Fighting the Insurance Company After a Car Accident
Sources
- New York Insurance Law § 3420: https://www.nysenate.gov/legislation/laws/ISC/3420
- New York Insurance Law § 2601: https://www.nysenate.gov/legislation/laws/ISC/2601
- NYS Department of Financial Services, Consumer Complaints: https://www.dfs.ny.gov/complaint
- NYS Department of Financial Services, Auto Insurance Information for Consumers: https://www.dfs.ny.gov/consumers/auto_insurance/Auto_resource_center
- NYS Department of Financial Services, Automobile Insurance Complaint Ranking: https://www.dfs.ny.gov/consumers/auto_insurance/auto_insurance_complaint_ranking
Attorney Advertising. This page provides general information about New York law and is not legal advice for any specific situation. Prior results do not guarantee a similar outcome. Last updated November 2026.