Insurance Brokers Are Not Professionals Therefore Do Not Come Under the Time Limitation Applicable to Nonmedical Malpractice

In Chase Scientific Research v. NIA Group (96 NY2d 20), the Court of Appeals reversed the Appellate Division and held that insurance brokers and agents are not professionals and therefore not within the ambit of CPLR 214 (6) regarding the time limitation applicable to nonmedical malpractice claims. As a result, the Court of Appeals concluded that actions against agents and brokers are governed by the limitation periods applicable to negligence actions (CPLR 214 [4]) and breach of contract actions (CPLR 213 [2]). a cause of action for breach of contract accrues and the Statute of Limitations commences to run when the contract is breached (see, Ely-Cruikshank Co. v. Bank of Montreal, 81 NY2d 399). Knowledge of the occurrence of the wrong on the part of plaintiff is not necessary to start the Statute of Limitations running in a breach of contract action (see, Varga v. Credit Suisse, 5 AD2d 289, 292, affd 5 NY2d 865). The allegations of negligence against defendants in the performance of their contractual obligations are governed by the six-year Statute of Limitations (see, CPLR 213 [2]; National Life Ins. Co. v. Hall & Co., 67 NY2d 1021), which began to run from the date plaintiff requested defendants to obtain the additional insurance and defendants' alleged failure to take steps to procure said insurance (see, Kronos, Inc. v. AVX Corp., 81 NY2d 90; Brownstein v. Travelers Cos., 235 AD2d 811; T&N plc v. James & Co., 29 F3d 57 [2d Cir 1994]).