New York Bill Rewards Safe Homeowners
New York homeowners may soon have a new incentive to boost their home safety and their savings. A recently proposed bill, Senate Bill 7827, introduced last month by Senator Jessica Scarcella-Spanton, could reduce fire and homeowners insurance premiums for property owners who complete state-certified residential safety and loss-prevention courses.
This legislative proposal marks a significant move toward rewarding preventative education as a tool for reducing property losses due to fire, theft, burglary, severe weather, and accidents.
What the Bill Proposes
SB 7827 seeks to amend New York’s insurance law by introducing a new subsection (6) to Section 2346, requiring insurers to provide actuarially appropriate premium discounts for a three-year period to homeowners who successfully complete certified safety courses.
Additionally, it proposes the creation of a new section, 2346-b, outlining how courses will be certified and monitored. The Department of Financial Services (DFS), in collaboration with the Office of Fire Prevention and Control, will be responsible for establishing and enforcing curriculum standards and certification requirements.
What Qualifies as a Certified Course?
Under the bill, a “residential home safety and loss prevention course” must meet several key standards:
- Be more than three hours long
- Include instructions on preventing injuries and property loss from fire, theft, accidents, and severe weather (e.g., hurricanes and ice storms)
- Be backed by evidence showing a measurable reduction in residential losses
- Use tamper-proof certificates to validate completion
- Be taught by instructors who meet DFS-approved qualifications
Course providers, whether individuals, businesses, or organizations, must apply for state certification and are subject to ongoing regulatory oversight.
How Homeowners Benefit
If the bill becomes law, eligible homeowners who complete certified safety training would receive insurance discounts for three years. The exact value of the discount will depend on actuarial analysis, ensuring that any reductions align with actual risk reduction.
This means homeowners won’t just be learning how to better protect their property and loved ones. They’ll also be financially rewarded for it.
When Will It Take Effect?
If passed, the bill will become law 180 days after enactment, with immediate authorization for necessary rulemaking. This means course providers, insurers, and state agencies can begin preparing ahead of time to meet the new requirements and opportunities.
Maximize Your Insurance Benefits
As SB 7827 moves forward, DRO is committed to ensuring you get the most out of your homeowner’s insurance through education, protection, and peace of mind. If you’re a homeowner or are planning to become one, now is the perfect time to contact your DRO network agent to review your insurance coverage, understand what protections you have, and ensure your financial future is secure, no matter how the market shifts.
Dayton Ritz + Osborne Insurance proudly serves the Hamptons area. Call today at 631-324-0420 or visit our website.