§ 1717 — Registration

New York § 1717

• Jurisdiction: New York
• Law ISC: Insurance
• Art. 17: Subsidiaries of Domestic Life Insurance Companies and Certain Other Entities

Text

§ 1717. Registration. (a) A parent corporation shall register with the\nsuperintendent within thirty days of becoming subject to registration\nand shall amend the registration within thirty days following any\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 parent corporation, other than a parent corporation required to\nregister as a controlled insurer pursuant to section one thousand five\nhundred three of this chapter, shall adopt a formal enterprise risk\nmanagement function and shall file an enterprise risk report with the\nsuperintendent by April thirtieth of each year. The report shall, to the\nbest of the parent corporation's knowledge and belief, identify the\nmaterial risks within any subsidiary that could pose enterprise risk to\nthe parent corporation.\n (c) (1) A parent corporation, other than a parent corporation required\nto register as a controlled insurer pursuant to section one thousand\nfive hundred three of this chapter, shall file with the superintendent\nan annual group capital calculation by June thirtieth of each year when\nthis state is the lead state as determined in accordance with the\nprocedures within the financial analysis handbook adopted by the NAIC,\nas amended from time to time.\n (2) When the lead state is not this state, a parent corporation shall\nfile with the superintendent the annual group capital calculation as\nadopted by its lead state if the parent corporation has filed the annual\ngroup capital 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 (3) When this state is the lead state, the parent corporation shall\ncomplete the annual group capital calculation in accordance with the\ngroup capital calculation instructions, which may permit the\nsuperintendent to allow a subsidiary to file the annual group capital\ncalculation.\n (4) When this state is the lead state, a parent corporation shall be\nexempt from filing an annual group capital calculation if it:\n (A) has only one insurer subsidiary that only writes business and is\nonly licensed in its domestic state and assumes no business from any\nother insurer;\n (B) is required to perform a group capital calculation specified by\nthe United States Federal Reserve Board, except that the parent\ncorporation shall not be exempt if the superintendent requests the group\ncapital calculation from the United States Federal Reserve Board under\nthe terms of information sharing agreements in effect and the Federal\nReserve Board 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 systems that\noperate in that jurisdiction.\n (5) Notwithstanding subparagraphs (C) and (D) of paragraph four 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 system where, after any necessary\nconsultation 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 (6) Notwithstanding the exemptions from filing the group capital\ncalculation set forth in paragraph four of this subsection, when this\nstate is the lead state, the superintendent has the discretion to exempt\na parent corporation from filing an annual group capital calculation or\naccept a limited annual group capital calculation filing or report in\naccordance with criteria as specified by the superintendent in a\nregulation.\n (7) When this state is the lead state, if the superintendent\ndetermines that a parent corporation no longer meets one or more of the\nrequirements for an exemption from filing the group capital calculation\nunder this subsection, the parent corporation shall file the group\ncapital calculation at the next annual filing date unless given an\nextension by the superintendent based on reasonable grounds shown.\n (d)(1) A parent corporation, other than a parent corporation required\nto register as a controlled insurer pursuant to section one thousand\nfive hundred three of this chapter, that has a subsidiary that is scoped\ninto the NAIC liquidity stress test framework shall file the results of\na specific year's liquidity stress test with the superintendent when\nthis state is the lead state as determined by the procedures within the\nfinancial analysis handbook adopted by the NAIC and as amended from time\nto time.\n (2) When the lead state is not this state, a parent corporation shall\nfile with the superintendent the results of a specific year's liquidity\nstress test as adopted by its lead state if the parent corporation has\nfiled the results with the lead state but the lead state is not willing\nor able to share the results with the superintendent.\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 the lead state is this 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 a\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 parent corporation or\nsubsidiary thereof, provided, however, that a parent corporation may\npublish, with the superintendent's prior approval, announcements in a\nwritten publication to rebut any materially false statement with respect\nto the foregoing if the insurer is able to demonstrate to the\nsuperintendent with substantial proof the falsity of such statement or\nthe inappropriateness, as the case may be, and if the sole purpose of\nthe announcement is to rebut the materially false statement.\n