STATE OF NEW YORK ________________________________________________________________________ 3559 2025-2026 Regular Sessions IN ASSEMBLY January 28, 2025 ___________ Introduced by M. of A. SIMPSON, BENDETT, DeSTEFANO, GIBBS -- read once and referred to the Committee on Insurance AN ACT to amend the navigation law, in relation to requiring certain policies of insurance for public vessels which carry passengers The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 50 of the navigation law, as amended by chapter 672 2 of the laws of 1962, is amended to read as follows: 3 § 50. Owners to notify inspector and apply for inspection. It shall be 4 the duty of the owner of a public vessel which [he intends] they intend 5 to operate on the navigable waters of the state to notify the inspector 6 of such intention at least one month before it is desired to place the 7 vessel in operation and to request an inspection of such vessel. Upon 8 receipt of such notification the inspector shall enter the application 9 on the records of [his] their office. A temporary permit to operate such 10 vessel pending inspection may be issued by the inspector, if [he finds] 11 they find through documentary evidence that such vessel is properly 12 equipped and manned for the safety of life and property. No public 13 vessel shall be used or operated without a certificate of inspection or 14 a temporary permit as [herein] provided in this section. No certificate 15 of inspection or temporary permit shall be issued unless the owner of a 16 public vessel produces proof of insurance to the inspector in accordance 17 with section fifty-one of this part. 18 § 2. The navigation law is amended by adding two new sections 51 and 19 52 to read as follows: 20 § 51. Liability insurance on public vessels. 1. Every public vessel 21 certified to carry passengers which is operated on the navigable waters 22 of the state, except vessels which navigate on waters which the United 23 States exercises active control, shall be covered by a corporate surety 24 bond or a policy of protection and indemnity insurance, issued by an 25 insurer authorized to issue policies in this state pursuant to the EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD03747-01-5
A. 3559 2 1 insurance law. Public vessels certified by the office of parks, recre- 2 ation and historic preservation to carry passengers shall provide cover- 3 age of at least one million dollars per occurrence for injury to or 4 death of any person arising out of the negligent operation of said 5 public vessel. 6 Every such bond or insurance policy shall contain a provision for a 7 continuing liability thereunder, notwithstanding any recovery thereon, 8 and shall be in full force and effect whenever the public vessel is 9 underway. 10 2. No policy or contract shall be issued or delivered in this state 11 pursuant to this section unless it contains in substance the provisions 12 of section three hundred twenty of the insurance law. 13 3. Proof of bond or insurance required by this section shall be 14 produced and displayed by the owner or operator of such public vessel 15 upon the request of any person having authority to enforce the 16 provisions of this chapter. The failure to produce such proof upon the 17 request of any such person shall not be an offense but shall be presump- 18 tive evidence that the public vessel is being operated without having 19 such bond or insurance in force and effect. 20 4. No owner of a public vessel shall operate or permit the same to be 21 operated upon the navigable waters of this state without having in full 22 force and effect the liability insurance coverage required by this 23 section, and no person shall operate a public vessel upon the navigable 24 waters of this state with knowledge that such insurance is not in full 25 force and effect. 26 5. Operation of a public vessel in violation of the requirements of 27 this section shall be punishable as a misdemeanor in accordance with 28 section seventy-three-b of this article. 29 § 52. Self-insurers. The commissioner may, in their discretion, upon 30 the application of an owner of a public vessel to have such public 31 vessel certified, issue a certificate of self-insurance when they are 32 reasonably satisfied that such person is possessed and will continue to 33 be possessed of the financial ability to respond to judgments obtained 34 against such person, arising out of the ownership, maintenance, use or 35 operation of any such person's public vessel. Upon due notice and hear- 36 ing, the commissioner may, in their discretion and upon reasonable 37 grounds, cancel a certificate of self-insurance. 38 § 3. This act shall take effect on the ninetieth day after it shall 39 have become a law.