Sec. 67.5. Standards for inspections

(a) An insurer shall use authorized representatives that conduct inspections required or permitted pursuant to this Part in accordance with the provisions of this section. An insurer’s authorized representative shall conduct the inspection at a time and place reasonably convenient to the named insured. A reasonably convenient time shall include, in addition to customary business hours, sufficient early morning, evening and weekend hours.

(1) If the insured automobile is located within this state, then a reasonably convenient place shall be:

(i) ten miles or less from the place where the automobile is principally garaged when the place is within the counties of Westchester, Nassau or Suffolk, or any city with a population of 100,000 or more; or

(ii) twenty-five miles or less from the place where the automobile is principally garaged when the place is in all other parts of this State.

(2) If the insured automobile is located outside this State, then a reasonably convenient place shall be 50 miles or less from the location of the automobile.

(b) Any inspection authorization forms that the insurer issues to the named insured for presentation to the insurer’s authorized representative shall not contain the vehicle identification number (VIN) of the automobile to be inspected.

(c) The inspection shall be recorded on the prescribed Automobile Insurance Inspection Report (NYS APD form A) contained in section 67.12 of this Part.

(d)

(1) During an inspection, an insurer’s authorized representative shall take:

(i) a minimum of two color photographs, clearly showing the front, back, left and right sides of the automobile;

(ii) a color photograph showing a close-up (using a special camera attachment if necessary) of the Environmental Protection Agency (EPA) sticker and the VIN number, which shall be of sufficient clarity that the information contained on the EPA sticker and the VIN number are legible; and

(iii) additional photographs showing any damaged areas of the automobile.

(2) If the EPA sticker is missing, obscured or otherwise illegible, then the insurer’s authorized representative shall document on the inspection report that the EPA sticker is missing, obscured or otherwise illegible.

(3) The insurer’s authorized representative may take photographs required by this section using film or digital media.

(e)

(1) The inspection report and all applicable photographs shall be retained by the insurer in the named insured's policy record in a durable medium in accordance with Part 243 of this Title (Regulation 152), except as provided in subdivision (i) of this section.

(2) If the insurer’s authorized representative completes the inspection report electronically, then the inspection information shall be rendered into an electronic image of the inspection report and maintained in a durable medium. The electronic image of the inspection report shall capture and show the electronic signatures of the insurer’s authorized representative and the named insured or the person who presents the automobile for inspection if other than the named insured.

(3) The insurer’s authorized representative shall give a printed copy of the inspection report to the person who presents the automobile for inspection. If the person who presents the automobile for inspection is not the named insured, then the insurer or the insurer’s authorized representative shall mail, deliver or transmit to the named insured a copy of the inspection report within seven calendar days of completion of the inspection. The insurer or the insurer’s authorized representative shall not be required to supply the named insured with copies of inspection photographs but nothing in this Part shall preclude the insurer or the insurer’s authorized representative from voluntarily providing the named insured with such copies.

(f) The inspection report and all applicable photographs shall:

(1) confirm the existence and physical condition of the insured automobile at the time of inspection;

(2) record odometer mileage and all major factory and dealer installed options, accessories and equipment permanently installed on or within the insured automobile;

(3) document any previous damage to the interior and exterior of the insured automobile;

(4) be made part of the named insured’s policy record; and

(5) be utilized by the insurer in the settlement of a private passenger automobile physical damage insurance claim.

(g) There shall be no charge to the named insured for the cost of the inspection or applicable inspection photographs.

(h) The competency and trustworthiness of the insurer’s authorized representative in the conduct of the inspections provided for in this Part shall be the responsibility of the insurer.

(i) An authorized representative shall:

(1) verify the accuracy, completeness and signature of the inspector for each inspection report in writing;

(2) utilize sequentially numbered inspection reports;

(3) maintain a secure system of internal controls over the storage, retrieval and data integrity of inspection reports and all applicable photographs;

(4) provide an optional service to the insurer, which may be on an additional fee basis, whereby the authorized representative retains the inspection reports and all applicable photographs in a durable medium. In such a case, the authorized representative shall:

(i) maintain the inspection reports and all applicable photographs in accordance with Part 243 of this Title, and in such a manner as to facilitate rapid retrieval; and

(ii) upon the insurer’s request, mail, deliver or otherwise transmit the inspection reports and all applicable photographs to the insurer so that the insurer receives those reports within two calendar days of such request.