N.Y. Insurance Law § 1717: Registration

§ 1717. Registration. (a) A parent corporation shall register with the

superintendent within thirty days of becoming subject to registration

and shall amend the registration within thirty days following any

material change to the information provided in the registration. The

registration shall be in such form and shall contain such matters as the

superintendent prescribes. The superintendent may grant reasonable

extensions of the time to register.

(b) A parent corporation, other than a parent corporation required to

register as a controlled insurer pursuant to section one thousand five

hundred three of this chapter, shall adopt a formal enterprise risk

management function and shall file an enterprise risk report with the

superintendent by April thirtieth of each year. The report shall, to the

best of the parent corporation's knowledge and belief, identify the

material risks within any subsidiary that could pose enterprise risk to

the parent corporation.

(c) (1) A parent corporation, other than a parent corporation required

to register as a controlled insurer pursuant to section one thousand

five hundred three of this chapter, shall file with the superintendent

an annual group capital calculation by June thirtieth of each year when

this state is the lead state as determined in accordance with the

procedures within the financial analysis handbook adopted by the NAIC,

as amended from time to time.

(2) When the lead state is not this state, a parent corporation shall

file with the superintendent the annual group capital calculation as

adopted by its lead state if the parent corporation has filed the annual

group capital calculation with the lead state but the lead state is not

willing or able to share the annual group capital calculation with the

superintendent.

(3) When this state is the lead state, the parent corporation shall

complete the annual group capital calculation in accordance with the

group capital calculation instructions, which may permit the

superintendent to allow a subsidiary to file the annual group capital

calculation.

(4) When this state is the lead state, a parent corporation shall be

exempt from filing an annual group capital calculation if it:

(A) has only one insurer subsidiary that only writes business and is

only licensed in its domestic state and assumes no business from any

other insurer;

(B) is required to perform a group capital calculation specified by

the United States Federal Reserve Board, except that the parent

corporation shall not be exempt if the superintendent requests the group

capital calculation from the United States Federal Reserve Board under

the terms of information sharing agreements in effect and the Federal

Reserve Board cannot share the calculation with the superintendent;

(C) has a non-United States group-wide supervisor that is located

within a reciprocal jurisdiction, as described in part one hundred

twenty-five of title eleven of the official compilation of codes, rules

and regulations of this state, that recognizes the United States state

regulatory approach to group supervision and group capital; or

(D)(i) provides information to the superintendent, either directly or

indirectly through the group-wide supervisor, who has determined such

information is satisfactory to allow the superintendent to comply with

the NAIC group supervision approach, as detailed in the NAIC financial

analysis handbook; and

(ii) has a non-United States group-wide supervisor that is not in a

reciprocal jurisdiction that recognizes and accepts, as specified by the

superintendent in a regulation, the group capital calculation as the

world-wide group capital assessment for United States systems that

operate in that jurisdiction.

(5) Notwithstanding subparagraphs (C) and (D) of paragraph four of

this subsection, when this state is the lead state, the superintendent

shall require the group capital calculation for United States operations

of any non-United States-based system where, after any necessary

consultation with other supervisors or officials, it is deemed

appropriate by the superintendent for prudential oversight and solvency

monitoring purposes or for ensuring the competitiveness of the insurance

marketplace.

(6) Notwithstanding the exemptions from filing the group capital

calculation set forth in paragraph four of this subsection, when this

state is the lead state, the superintendent has the discretion to exempt

a parent corporation from filing an annual group capital calculation or

accept a limited annual group capital calculation filing or report in

accordance with criteria as specified by the superintendent in a

regulation.

(7) When this state is the lead state, if the superintendent

determines that a parent corporation no longer meets one or more of the

requirements for an exemption from filing the group capital calculation

under this subsection, the parent corporation shall file the group

capital calculation at the next annual filing date unless given an

extension by the superintendent based on reasonable grounds shown.

(d)(1) A parent corporation, other than a parent corporation required

to register as a controlled insurer pursuant to section one thousand

five hundred three of this chapter, that has a subsidiary that is scoped

into the NAIC liquidity stress test framework shall file the results of

a specific year's liquidity stress test with the superintendent when

this state is the lead state as determined by the procedures within the

financial analysis handbook adopted by the NAIC and as amended from time

to time.

(2) When the lead state is not this state, a parent corporation shall

file with the superintendent the results of a specific year's liquidity

stress test as adopted by its lead state if the parent corporation has

filed the results with the lead state but the lead state is not willing

or able to share the results with the superintendent.

(3) When this state is the lead state, the performance of, and filing

of the results from, a specific year's liquidity stress test shall

comply with the NAIC liquidity stress test framework.

(4) When the lead state is this state, any change to the NAIC

liquidity stress test framework or to the data year for which the scope

criteria are to be measured shall be effective on January first of the

year following the calendar year when such changes are adopted.

(5) When this state is the lead state, an insurer meeting at least one

threshold of the scope criteria shall be considered scoped into the NAIC

liquidity stress test framework for the specified data year unless the

superintendent, in consultation with the NAIC financial stability task

force, or its successor, determines the insurer shall not be scoped into

the NAIC liquidity stress test framework for that data year.

(6) When this state is the lead state, an insurer that does not

trigger at least one threshold of the scope criteria shall be considered

scoped out of the NAIC liquidity stress test framework for the specified

data year, unless the superintendent, in consultation with the NAIC

financial stability task force, or its successor, determines the insurer

shall be scoped into the NAIC liquidity stress test framework for that

data year.

(7) The superintendent, in consultation with the NAIC financial

stability task force, or its successor, shall assess the concern of

wishing to avoid having insurers scoped in and out of the NAIC liquidity

stress test framework on a frequent basis as part of the determination

for an insurer.

(e) No insurer, insurance producer, or other person shall make,

publish, disseminate, circulate, issue, or place before the public, or

cause directly or indirectly to be made, published, disseminated,

circulated, issued, or placed before the public, in this state, in a

newspaper, magazine, or other publication, or in the form of a notice,

circular, pamphlet, letter, or poster, or over any radio or television

station or any electronic means of communication available to the

public, or in any other way as an advertisement, announcement, or

statement containing a representation or statement with regard to the

group capital calculation, group capital ratio, liquidity stress test

results or supporting disclosures for such test, or any component

derived in the calculation thereof, of any parent corporation or

subsidiary thereof, provided, however, that a parent corporation may

publish, with the superintendent's prior approval, announcements in a

written publication to rebut any materially false statement with respect

to the foregoing if the insurer is able to demonstrate to the

superintendent with substantial proof the falsity of such statement or

the inappropriateness, as the case may be, and if the sole purpose of

the announcement is to rebut the materially false statement.