A3902

New Jersey A3902 prohibits insurers from using anti-concurrent causation clauses in homeowners insurance policies.

New Jersey A3902 prohibits insurers from excluding coverage for losses or damages caused by insured perils if they occur concurrently or in any sequence with non-insured perils. Such anti-concurrent causation clauses are void and unenforceable. This change aims to prevent insurers from denying claims in situations involving concurrent or sequential covered and non-covered causes of loss, such as water and wind damage from hurricanes. The act takes effect 90 days after enactment and applies to policies delivered, issued, renewed, or approved on or after that date.