DFS proposes a rule requiring prior state approval for any private-passenger auto insurance rate increase, implementing the FY27 budget's insurance overhaul; 60-day comment period, effective Nov. 27, 2026

On Sept. 9 Hochul announced a proposed Department of Financial Services regulation amending the private-passenger auto rate-filing process. Today insurers can take up to two rate increases without prior approval if the cumulative effect stays within 5%; the proposal would require express DFS approval before any upward change and require insurers to notify policyholders about rate decreases taken without prior approval as a result of the FY27 budget reforms, with an explanation. Comment period is 60 days from State Register publication; the law and regulation take effect Nov. 27, 2026. The FY27 budget reforms this implements are the no-fault/car-insurance overhaul at the center of the Uber-funded Citizens for Affordable Rates spending, which remains an active controversy row.