§ 1503 — Registration

New York § 1503

• Jurisdiction: New York
• Law ISC: Insurance
• Art. 15: Holding Companies

Text

§ 1503. Registration. (a) Every person who becomes a controlled\ninsurer shall, within thirty days thereafter register with the\nsuperintendent and shall amend the registration within thirty days\nfollowing any change in the identity of its holding company or any other\nmaterial change to the information provided in the registration. The\nregistration shall be in such form and shall contain such matters as the\nsuperintendent prescribes. The superintendent may grant reasonable\nextensions of the time to register.\n (b) A holding company that directly or indirectly controls an insurer\nshall adopt a formal enterprise risk management function and shall file\nan enterprise risk report with the superintendent by April thirtieth of\neach year. The report shall, to the best of the holding company's\nknowledge and belief, identify the material risks within the holding\ncompany system that could pose enterprise risk to the insurer.\n (c) (1) An ultimate holding company shall file with the superintendent\nan annual group capital calculation by June thirtieth of each year when\nthis state is the lead state of the holding company system as determined\nin accordance with the procedures within the financial analysis handbook\nadopted by the NAIC, as amended from time to time. When the lead state\nis not this state, an ultimate holding company shall file with the\nsuperintendent the annual group capital calculation as adopted by its\nlead state if the ultimate holding company has filed the annual group\ncapital calculation with the lead state but the lead state is not\nwilling or able to share the annual group capital calculation with the\nsuperintendent.\n (2) When this state is the lead state, the ultimate holding company\nshall complete the annual group capital calculation in accordance with\nthe group capital calculation instructions, which may permit the\nsuperintendent to allow a holding company that is not the ultimate\nholding company to file the annual group capital calculation.\n (3) When this state is the lead state, an ultimate holding company\nshall be exempt from filing an annual group capital calculation if it is\npart of a holding company system that:\n (A) has only one insurer within its system that only writes business\nand is only licensed in its domestic state and assumes no business from\nany other insurer;\n (B) is required to perform a group capital calculation specified by\nthe United States Federal Reserve Board, except that the holding company\nshall not be exempt if the superintendent requests the group capital\ncalculation from the United States Federal Reserve Board under the terms\nof information sharing agreements in effect and the Federal Reserve\nBoard cannot share the calculation with the superintendent;\n (C) has a non-United States group-wide supervisor that is located\nwithin a reciprocal jurisdiction, as described in part one hundred\ntwenty-five of title eleven of the official compilation of codes, rules\nand regulations of this state, that recognizes the United States state\nregulatory approach to group supervision and group capital; or\n (D)(i) provides information to the superintendent, either directly or\nindirectly through the group-wide supervisor, who has determined such\ninformation is satisfactory to allow the superintendent to comply with\nthe NAIC group supervision approach, as detailed in the NAIC financial\nanalysis handbook; and\n (ii) has a non-United States group-wide supervisor that is not in a\nreciprocal jurisdiction that recognizes and accepts, as specified by the\nsuperintendent in a regulation, the group capital calculation as the\nworld-wide group capital assessment for United States holding company\nsystems that operate in that jurisdiction.\n (4) Notwithstanding subparagraphs (C) and (D) of paragraph three of\nthis subsection, when this state is the lead state, the superintendent\nshall require the group capital calculation for United States operations\nof any non-United States-based holding company system where, after any\nnecessary consultation with other supervisors or officials, it is deemed\nappropriate by the superintendent for prudential oversight and solvency\nmonitoring purposes or for ensuring the competitiveness of the insurance\nmarketplace.\n (5) Notwithstanding the exemptions from filing the group capital\ncalculation set forth in paragraph three of this subsection, when this\nstate is the lead state, the superintendent has the discretion to exempt\na holding company from filing an annual group capital calculation or\naccept a limited group capital calculation filing or report in\naccordance with criteria as specified by the superintendent in a\nregulation.\n (6) When this state is the lead state, if the superintendent\ndetermines that a holding company no longer meets one or more of the\nrequirements for an exemption from filing the group capital calculation\nunder this subsection, the holding company shall file the group capital\ncalculation at the next annual filing date unless given an extension by\nthe superintendent based on reasonable grounds shown.\n (d)(1) An ultimate holding company that directly or indirectly\ncontrols an insurer subject to registration and that is scoped into the\nNAIC liquidity stress test framework shall file the results of a\nspecific year's annual liquidity stress test with the superintendent\nwhen this state is the lead state of the holding company system as\ndetermined by the procedures within the financial analysis handbook\nadopted by the NAIC and as amended from time to time.\n (2) When the lead state is not this state, an ultimate holding company\nshall file with the superintendent the results of a specific year's\nliquidity stress test as adopted by its lead state if the ultimate\nholding company has filed the results with the lead state but the lead\nstate is not willing or able to share the results with the\nsuperintendent.\n (3) When this state is the lead state, the performance of, and filing\nof the results from, a specific year's liquidity stress test shall\ncomply with the NAIC liquidity stress test framework.\n (4) When this state is the lead state, any change to the NAIC\nliquidity stress test framework or to the data year for which the scope\ncriteria are to be measured shall be effective on January first of the\nyear following the calendar year when such changes are adopted.\n (5) When this state is the lead state, an insurer meeting at least one\nthreshold of the scope criteria shall be considered scoped into the NAIC\nliquidity stress test framework for the specified data year unless the\nsuperintendent, in consultation with the NAIC financial stability task\nforce, or its successor, determines the insurer shall not be scoped into\nthe NAIC liquidity stress test framework for that data year.\n (6) When this state is the lead state, an insurer that does not\ntrigger at least one threshold of the scope criteria shall be considered\nscoped out of the NAIC liquidity stress test framework for the specified\ndata year, unless the superintendent, in consultation with the NAIC\nfinancial stability task force, or its successor, determines the insurer\nshall be scoped into the NAIC liquidity stress test framework for that\ndata year.\n (7) The superintendent, in consultation with the NAIC financial\nstability task force, or its successor, shall assess the concern of\nwishing to avoid having insurers scoped in and out of the NAIC liquidity\nstress test framework on a frequent basis as part of the determination\nfor an insurer.\n (e) No insurer, insurance producer, or other person shall make,\npublish, disseminate, circulate, issue, or place before the public, or\ncause directly or indirectly to be made, published, disseminated,\ncirculated, issued, or placed before the public, in this state, in any\nnewspaper, magazine, or other publication, or in the form of a notice,\ncircular, pamphlet, letter, or poster, or over any radio or television\nstation or any electronic means of communication available to the\npublic, or in any other way as an advertisement, announcement, or\nstatement containing a representation or statement with regard to the\ngroup capital calculation, group capital ratio, liquidity stress test\nresults, or supporting disclosures for such test, or any component\nderived in the calculation thereof, of any insurer or holding company\nsystem, provided, however, that an insurer may publish, with the\nsuperintendent's prior approval, an announcement in a written\npublication to rebut any materially false statement with respect to the\nforegoing if the insurer is able to demonstrate to the superintendent\nwith substantial proof the falsity of such statement or\ninappropriateness, as the case may be, and if the sole purpose of the\nannouncement is to rebut the materially false statement.\n