Santa Fe – Today, the Senate passed the Home Insurance Increase Notice and Appeals Act. House Bill 311, sponsored by Rep. Doreen Gallegos (D-Las Cruces), would require the Office of the Superintendent of Insurance to notify residents affected by changes in certain codes 90 days in advance of an Insurance Service Office review. This would provide a window for New Mexicans to reach out to local government officials or their insurance carriers to properly plan for the future.
“This last year the furor from my community in southern New Mexico over skyrocketing home insurance costs – due to the downgrading of County fire stations – was palpable. I heard everyone’s concerns and introduced this bill. This legislation was crafted with input from the Office of Superintendent of Insurance, Insurance company representatives, and the OSI data rating company. When this bill is signed into law, insurance companies will have 90 days to notify every single person that would be an affected policyholder of the downgrade and potential premium increase,” said Rep. Doreen Gallegos (D-Las Cruces). “This is a common-sense change that I know will help improve the lives of hard-working New Mexicans.”
Additionally, House Bill 311 would require organizations that publish information regarding the effectiveness of community fire protection or building code information, including public protection classifications, community grading, building code effectiveness classifications or fire suppression rating schedules for use by residential property insurers in this state, to provide notice of any unfavorable change in a community's classification to the Office of Superintendent of Insurance.
House Bill 311 now heads to the Governor for consideration.