NM INS issued Bulletin 2024-003 with requirement for insurers to provide repairs or replacement value on residential property, and without deduction for depreciation.
Replacement of Residential Property
Repair or replacement for a residential property is subject to all requirements and benefits that pertain to residential property insurance, including coverage protections.
NM INS 13.13.2.7 defines residence and residential property insurance, and NM INS 59A-18-17 requires property repair/replacement without deduction for depreciation.
Does not authorize an insurer to condition payment of the cost to repair or replace to occur within a timeframe, or requires completion in a timeframe to pay cash value.
Within 90 days from bulletin date, insurers must withdraw any previous forms citing a time limit for coverage, and refile new forms excluding any time limit for coverage.
Effectiveness
Within 90 days from bulletin date, May 20, 2024 insurers must take action as indicated
