New York - Insurance Statutes and Regulation - Comprehensive Insurance Disclosure Act

Print PDF

On December 31, 2021, New York Governor Kathy Hochul signed the New York Comprehensive Insurance Disclosure Act (CIDA) into law. The CIDA substantially increases defendants’ mandatory insurance-related disclosures in New York state court civil litigation. The CIDA immediately drew criticism and was amended on February 24, 2022, to limit the required disclosures and clarify the scope of its application.

The CIDA amends New York’s Civil Practice Law and Rules and provides that any defendant, third-party defendant or defendant on a cross-claim or counter-claim in a New York civil lawsuit must automatically disclose insurance-related information and documents to all parties in an action within 90 days of serving an answer, including:

The CIDA applies only to cases filed on or after December 31, 2021, and does not apply retroactively to earlier-pending lawsuits. A disclosing defendant must provide disclosures at specific stages of the litigation: (i) at the filing of the note of issue; (ii) when entering into any formal settlement negotiations conducted or supervised by the court; (iii) at a voluntary mediation; and (iv) when the case is called for trial. A defendant has an obligation to “make reasonable efforts to ensure that the information remains accurate and complete,” including “for sixty days after any settlement or entry of final judgment in the case inclusive of all appeals.”

A defendant is permitted to produce declarations pages in lieu of full insurance policies with the written consent of the adversary. The CIDA requires dual certifications by defendants and their counsel as to the completeness and accuracy of the information provided. The information concerning insuring agreements is not admissible in evidence at trial by reason of disclosure, and disclosure of insurance information “shall not constitute an admission that an alleged injury or damage is covered by the policy.” Automobile No-Fault actions are exempted from the mandatory insurance disclosures.

The amended CIDA removed prior requirements for a defendant to disclose the identity of persons within the insuring entity to whom a third-party administrator is required to report, the name of other lawsuits that have depleted or may deplete the amount of coverage available under the policies, the amount of any attorneys’ fees that have reduced the face value of the policy, and insurance applications.

The amended CIDA resolves many of the problematic disclosures required by the initial version of the law, but significant and onerous obligations remain. Insureds who are defendants in New York state court civil litigation and their insurers should remain mindful of the disclosure obligations imposed by the CIDA and seek the assistance and advice of knowledgeable defense and insurance coverage counsel.


Nicholas W. Urciuoli

Return to main post: 

May 2022 Insurance Update

Back to Page