Budget Deadlock: NY Affordable Housing Owners Desperate for Insurance Reform

New York lawmakers debate Gov. Hochul’s proposals to curb skyrocketing insurance costs for affordable housing. Advocates push for a state reinsurance trust.

By: AXL Media

Published: Mar 21, 2026, 7:04 AM EDT

Source: Bisnow

The Governor’s Proposed Fixes

Governor Hochul’s executive budget includes four primary pillars intended to provide relief and clarity:

Mandatory Transparency: Requiring insurers to share data on premiums collected and claims paid with the Department of Financial Services (DFS).

Price Justification: Forcing insurers to provide written explanations for any premium increases exceeding 10%.

Expert Task Force: Convening a group of stakeholders from the insurance and housing sectors to find long-term cost-reduction strategies.

Mitigation Discounts: Requiring insurers to offer lower rates for properties that implement standard safety upgrades, such as water-resistant roofing or advanced sprinkler systems.