N.Y. Insurance Law § 1111: Compulsory insurance; bonds of surety companies; certificates of qualification

§ 1111. Compulsory insurance; bonds of surety companies; certificates

of qualification. (a) Whenever by any law of this state any policy or

contract of insurance is required, or is acceptable in lieu of any other

requirement imposed by such law, the superintendent may, upon written

request containing such information as he deems necessary, issue to any

person a certificate of qualification, stating the qualification of any

insurer authorized to do such business in this state if he finds that,

as shown by the insurer's last filed annual statement or last filed

report on examination, whichever is later, the insurer is solvent,

responsible and otherwise qualified to make policies or contracts of the

kind required. No insurer authorized to do business in this state shall

issue or make any policy or contract of insurance or surety bond to

owners or operators of motor vehicles as required by the provisions of

the vehicle and traffic law of this state, unless the superintendent

shall have certified to the commissioner of motor vehicles that such

insurer is qualified to issue such policy or contract, in the manner

specified herein.

(b) (1) Whenever by any law of this state a bond, undertaking,

recognizance, guaranty or like obligation is required, permitted,

authorized or allowed, or the performance of any act, duty or

obligation, or the refraining from any act, is required, permitted,

authorized or allowed to be secured or guaranteed, such bond or like

obligation, or such security or guaranty, may be executed by any

insurance company authorized to do in this state the business of

executing such instruments and empowered by its charter to execute them.

The insurer's execution of such instrument by its officer,

attorney-in-fact or other authorized representative shall be accepted

as, and in all respects shall be, a full compliance with every law or

other requirement, now or hereafter in force, that any such obligation

be given or accepted or that it be executed by one or more sureties, or

that such sureties be residents, householders or freeholders, or possess

any other qualifications.

(2) The superintendent may on written application issue to any company

his certificate of qualification stating the company's capital and

surplus as shown by its last annual statement or its last filed report

on examination, whichever is later, and that such capital and surplus

complies with the requirements of this chapter. The certificate shall

further indicate the limitation upon the amount of a single risk which

such company is authorized to assume.

(c) The superintendent may refuse to issue any certificate pursuant to

subsection (a) or (b) hereof if in his judgment refusal will best

promote the interests of the people of this state. Such certificate, or

a copy certified by the superintendent, shall be conclusive evidence, as

of its date and thereafter until revoked, of either the insurer's

qualification to issue the policy, contract of insurance or surety bond,

if issued pursuant to subsection (a) hereof, or the company's

qualification, and its sufficiency under any law of this state as surety

or guarantor, and of the propriety of accepting and approving it as

such, if issued pursuant to subsection (b) hereof, and this

certification shall be in lieu of any justification required of the

insurer by any law of this state or any requirement pursuant thereto.

(d) If after notice to and hearing of any insurer the superintendent

finds the insurer is no longer entitled to obtain a certificate, he may

revoke it by filing an order of revocation in his office. He shall

thereupon serve a copy of such order on the insurer and shall give

notice of the revocation to any state official or board to whom the

certificate was issued. The superintendent may publish notice of such

revocation in such newspapers of general circulation in this state as he

may deem proper in the public interest. No insurer and no officer,

attorney-in-fact or other representative thereof shall, after receiving

notice of revocation, make or execute, or hold itself out as authorized

to make or execute, in this state, any policy, contract of insurance,

bond or like obligation, or security or guaranty specified in subsection

(a) or (b) hereof, as long as such revocation continues in effect.