Opinion
Argued March 22, 1978
Decided May 2, 1978
Appeal from the Appellate Division of the Supreme Court in the Second Judicial Department, ANN B. DUFFICY, J.
Jack M. Weinstein for appellant.
Thomas Newman, Benjamin Vinar and Paul B. Marrow for respondent.
MEMORANDUM.
Order affirmed, with costs. It is true that the standard fire insurance policy is mandated by statute, not subject to negotiation by the parties. Nevertheless, it has been held that statutory modifications of a standard insurance policy are, generally, not to be applied retroactively to policies already in force on the effective date of the statutory amendments (Mulligan v Travelers Ins. Co., 306 N.Y. 805, affg 280 App. Div. 764). The liberalized policy provisions may not be imposed on the insurer until there is an opportunity to discontinue coverage (see Health Ins. Assn. v Harnett, 44 N.Y.2d 302; Moore v Metropolitan Life Ins. Co., 33 N.Y.2d 304, 312). Since the three-year policy in this case was in force for more than a year before the amendment took effect, the one-year limitation period provided in the policy governs.
The policy's "Liberalization Clause" does not aid plaintiff. That clause deals with extensions of coverage initiated by the insurer, not with statutory modifications of the insurance agreement.
Chief Judge BREITEL and Judges JASEN, GABRIELLI, JONES, WACHTLER, FUCHSBERG and COOKE concur in a memorandum.
Order affirmed.