TRENTON, NJ – A proposal in the New Jersey Legislature would require electric utilities to reimburse residents for spoiled food and prescription medicine after extended power outages caused by major storms.
The measure, known as Senate Bill 760, was introduced by Senator Gordon M. Johnson of Bergen County.
Under the bill, electric companies would have to cover the cost of perishable goods that spoil when power remains out for more than 48 hours after the end of a storm or other major event.
Customers seeking reimbursement would need to submit an itemized list and proof of loss—such as receipts, canceled checks, or photos—to their utility provider.
Each utility would also be required to create an online reimbursement system within 90 days of the law taking effect.
Aimed at protecting residents after severe storms
The legislation defines a “major event” as any occurrence beyond a utility’s control—such as hurricanes, snowstorms, floods, or even terrorist attacks—that leads to a sustained service interruption.
The Board of Public Utilities would oversee implementation and establish rules for how claims are filed and processed.
Supporters say the measure would give ratepayers a fair remedy for damages often borne personally after long outages, such as those seen in recent years following hurricanes and nor’easters.
The bill remains under review and awaits action in the 221st legislative session.
Key Points
- Senate Bill 760 would require utilities to reimburse customers for spoiled food and medicine after 48-hour outages
- Customers must submit proof of loss, including receipts or photos
- Utilities would have 90 days to launch an online reimbursement portal after the law’s passage