New York business groups urge Hochul to veto wrongful death statute expansion

A coalition of groups in the New York business sector sent a letter to Gov. Kathy Hochul to veto a bill that would significantly expand the state’s wrongful death statute.

Both houses of the New York state Legislature passed a version of the bill this year, referred to by supporters as the Grieving Families Act, with broad support for the third straight session this year. Hochul has twice vetoed the legislation citing concerns about impacts on things like insurance premiums, hospitals and municipalities.

The most recent changes would allow family members who lost loved ones to claim emotional damages. The current law only allows courts to consider future earning potential, which advocates said is unfair to people who have lost young or elderly family members.

The letter, signed by the Business Council of New York State, American Property Casualty Insurance Association, Buffalo Niagara Manufacturing Alliance, Capital Region Chamber of Commerce, the Manufacturers Alliance of New York State, state Center for Assisted Living and 29 others, says the current proposal fails to address the issues laid out in Hochul’s previous veto memos.

“A recent actuarial analysis indicates that both the public and private sectors can anticipate the same devastating economic impacts as all previous iterations of the bill. This will further raise the cost of goods and services for consumers and our small businesses in a year where, as The New York Times editorial board reminds us, ‘the high cost of living’ is ‘the defining issue in this year’s election,” the letter reads.

Advocates for the legislation have pointed to data from the National Association of Insurance Commissioners showing premiums and incurred losses have actually dropped significantly in Illinois since that state enacted similar legislation, while the number of insurers offering medical malpractice coverage have increased.

“Insurance premiums are already higher in New York than almost any other state in the country, a recent report from the New York Civil Justice Institute finds,” the letter reads. “If signed into law, this legislation would deter business retention and creation, make it harder to retain and recruit medical professionals, and strain our local governments’ limited budgets.”

The legislation has not yet been delivered to the governor. Once the bill is delivered, the governor will have 10 days, excluding Sundays, to either approve or veto the measure.