Assembly Bill A1005

Signed By Governor

2009-2010 Legislative Session

Revises the standards relating to incorporation of stock/mutual insurance companies in New York state

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Archive: Last Bill Status - Signed by Governor

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

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Date of Action	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Aug 11, 2009	signed chap.293
Jul 31, 2009	delivered to governor
Jul 16, 2009	returned to assembly passed senate 3rd reading cal.178 substituted for s3635b
Jun 01, 2009	referred to insurance delivered to senate passed assembly
May 28, 2009	advanced to third reading cal.643
May 27, 2009	reported
May 19, 2009	print number 1005c
May 19, 2009	amend and recommit to insurance
Apr 07, 2009	print number 1005b
Apr 07, 2009	amend and recommit to insurance
Mar 02, 2009	print number 1005a
Mar 02, 2009	amend and recommit to insurance
Jan 07, 2009	referred to insurance

Votes

- Jul 16, 2009 - Floor Vote
  A1005
  
  Aye
  
  58
  
  Nay
  
  0
  
  Absent
  
  0
  
  Excused
  
  4
  
  Abstained
  
  0
  - - Floor Vote: Jul 16, 2009
      
      aye (58)
      
      Adams
      
      Addabbo Jr.
      
      Alesi
      
      Aubertine
      
      Bonacic
      
      Breslin
      
      DeFrancisco
      
      Dilan
      
      Duane
      
      Espada
      
      Farley
      
      Flanagan
      
      Foley
      
      Fuschillo
      
      Golden
      
      Griffo
      
      Hannon
      
      Hassell-Thompson
      
      Huntley
      
      Johnson
      
      Klein
      
      Krueger
      
      LaValle
      
      Lanza
      
      Larkin
      
      Leibell
      
      Libous
      
      Little
      
      Marcellino
      
      Maziarz
      
      McDonald
      
      Monserrate
      
      Montgomery
      
      Morahan
      
      Nozzolio
      
      Onorato
      
      Oppenheimer
      
      Padavan
      
      Parker
      
      Perkins
      
      Ranzenhofer
      
      Robach
      
      Saland
      
      Sampson
      
      Savino
      
      Schneiderman
      
      Serrano
      
      Seward
      
      Skelos
      
      Smith
      
      Stachowski
      
      Stavisky
      
      Stewart-Cousins
      
      Thompson
      
      Valesky
      
      Volker
      
      Winner
      
      Young
      
      excused (4)
      
      Diaz
      
      Johnson
      
      Kruger
      
      Squadron

Bill Amendments

Original

C (Active)

2009-A1005 - Details

2009-A1005 - Summary

Relates to the incorporation of stock and mutual insurance companies.

2009-A1005 - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  1005

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                               (PREFILED)

                             January 7, 2009
                               ___________

Introduced  by  M.  of  A.  BING -- Multi-Sponsored by -- M. of A. COOK,
  JAFFEE, MAGEE, REILLY -- read once and referred to  the  Committee  on
  Insurance

AN ACT to amend the insurance law, in relation to revising the standards
  relating to the incorporation of stock or mutual insurance companies

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Paragraph 3 of subsection (a) of section 1201 of the insur-
ance law is amended to read as follows:
  (3) The proposed incorporators shall publish in such newspaper,  twice
a  week  for  three  successive  weeks or once a week for six successive
weeks, a notice of intention to form such  a  corporation,  stating  its
proposed  name,  the  kinds  of insurance business to be transacted, the
names and CITY AND STATE OF residence [addresses] of the proposed incor-
porators, the location of its principal office in this state, and, if  a
stock corporation, the amount of its proposed initial capital.
  S 2. Item (vi) of subparagraph (B) of paragraph 5 of subsection (a) of
section 1201 of the insurance law, as amended by chapter 532 of the laws
of 2003, is amended to read as follows:
  (vi)  the  times  and  manner  of electing directors and officers, the
manner of filling vacancies, and provision that each director  shall  be
at least eighteen years of age and that at all times a majority shall be
citizens  and  residents  of  the United States, and that [not less than
two] AT LEAST ONE shall be [residents] A RESIDENT of this state;
  S 3. Item (vii) of subparagraph (B) of paragraph 5 of  subsection  (a)
of section 1201 of the insurance law is amended to read as follows:
  (vii)  the  names  and  [post  office]  CITY  AND  STATE  OF residence
[addresses] of the directors, who shall serve  until  the  first  annual
meeting of such corporation;
  S 4. This act shall take effect immediately.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.

                                                           LBD03063-01-9

2009-A1005A - Details

2009-A1005A - Summary

Relates to the incorporation of stock and mutual insurance companies.

2009-A1005A - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 1005--A

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                               (PREFILED)

                             January 7, 2009
                               ___________

Introduced  by  M.  of  A.  BING -- Multi-Sponsored by -- M. of A. COOK,
  JAFFEE, MAGEE, REILLY -- read once and referred to  the  Committee  on
  Insurance  -- committee discharged, bill amended, ordered reprinted as
  amended and recommitted to said committee

AN ACT to amend the insurance law, in relation to revising the standards
  relating to the incorporation of stock or mutual insurance companies

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Paragraph 3 of subsection (a) of section 1201 of the insur-
ance law is amended to read as follows:
  (3)  The proposed incorporators shall publish in such newspaper, twice
a week for three successive weeks or once  a  week  for  six  successive
weeks,  a  notice  of  intention to form such a corporation, stating its
proposed name, the kinds of insurance business  to  be  transacted,  the
names and CITY AND STATE OF residence [addresses] of the proposed incor-
porators,  the location of its principal office in this state, and, if a
stock corporation, the amount of its proposed initial capital.
  S 2. Item (v), (vi) and (vii) of subparagraph (B) of  paragraph  5  of
subsection (a) of section 1201 of the insurance law, item (v) as amended
by  chapter  552 of the laws of 1996 and item (vi) as amended by chapter
532 of the laws of 2003, are amended to read as follows:
  (v) the number of directors, or that it shall be not less than a stat-
ed minimum nor more than a stated maximum. Except as provided in section
six thousand four hundred two of this chapter the  number  of  directors
shall  not be less than [thirteen, however, a life insurance corporation
with admitted assets of less than one and one-half billion dollars,  may
have  not  less  than  nine directors of which at least four must not be
officers  or  employees  of  the  company  or  any  entity  controlling,
controlled  by, or under common control with the company and who are not
beneficial owners of a controlling interest in the voting stock  of  the
company  or  any  such entity. The charter of such life insurance corpo-
ration that has less than thirteen, but at least nine,  directors  shall
provide that the number of directors shall be increased to not less than

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD03063-03-9

A. 1005--A                          2

thirteen within one year following the end of the calendar year in which
the  corporation  exceeded  one and one-half billion dollars in admitted
assets] SEVEN.  As used in this item, "number of  directors"  means  the
total number of directors which the corporation would have if there were
no vacancies;
  (vi)  the  times  and  manner  of electing directors and officers, the
manner of filling vacancies, and provision that each director  shall  be
at least eighteen years of age and that at all times a majority shall be
citizens and residents of the United States[, and that not less than two
shall be residents of this state];
  (vii)  the  names  and  [post  office]  CITY  AND  STATE  OF residence
[addresses] of the directors, who shall serve  until  the  first  annual
meeting of such corporation;
  S  3.  Paragraph  2 of subsection (a) of section 1202 of the insurance
law, as amended by chapter 802 of the laws of 1985, is amended  to  read
as follows:
  (2)  If  not  otherwise  fixed under this article, the number shall be
[thirteen] SEVEN but it may be increased or[, subject  to  item  (v)  of
subparagraph  (B)  of  paragraph  five  of subsection (a) of section one
thousand two hundred one of this article,] decreased by amendment of the
by-laws, or by action of the board, subject  to  the  following  limita-
tions:  (i)  if  the  board  is authorized by the by-laws to increase or
decrease the number of directors, the amendment shall require  the  vote
of  a majority of the entire board; [and] (ii) no decrease shall shorten
the term of any incumbent director; AND (III) NO DECREASE  SHALL  REDUCE
THE NUMBER OF DIRECTORS TO FEWER THAN SEVEN.
  S  4.  Subsections  (b)  and (c) of section 1209 of the insurance law,
subsection (b) as amended by chapter 26 of the laws of 2001, are amended
to read as follows:
  (b) Such corporation shall have not less than [thirteen] SEVEN  direc-
tors[,  provided,  however,  a life insurance corporation satisfying the
requirements of item (v)  of  subparagraph  (B)  of  paragraph  five  of
subsection  (a)  of section one thousand two hundred one of this article
shall have not less than nine directors, and such officers as  shall  be
provided  for  in  its  charter  or  by-laws].  The directors, except as
provided in section four thousand two hundred ten of this chapter, shall
be elected at the annual meetings of the members, and all except four of
the directors of such corporation, elected after the organization of the
corporation is completed and it has been  licensed  to  issue  insurance
policies,  must  be  members  of  the  corporation or officers of member
corporations. At any time after the first annual meeting, the  directors
may be divided into not exceeding three groups as nearly equal as possi-
ble,  and thereafter the directors in one group only or their successors
shall be elected annually as provided  in  the  by-laws.  The  board  of
directors  of such corporation shall hold regular meetings at least four
times in each calendar year. At least one of such meetings shall be held
within this state and the other meetings may be held elsewhere.
  (c) The board of directors of such corporation shall elect such  offi-
cers as are provided for in the by-laws. At least [two of the] ONE prin-
cipal [officers] OFFICER shall be [directors] A DIRECTOR, but the number
of  officers and salaried employees who are directors shall at all times
be less than a quorum of the board of directors, as  prescribed  in  the
charter or by-laws.
  S 5. This act shall take effect immediately.

2009-A1005B - Details

2009-A1005B - Summary

Relates to the incorporation of stock and mutual insurance companies.

2009-A1005B - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 1005--B

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                               (PREFILED)

                             January 7, 2009
                               ___________

Introduced  by  M.  of  A.  BING -- Multi-Sponsored by -- M. of A. COOK,
  JAFFEE, MAGEE, REILLY -- read once and referred to  the  Committee  on
  Insurance  -- committee discharged, bill amended, ordered reprinted as
  amended and recommitted to said committee -- again reported from  said
  committee  with amendments, ordered reprinted as amended and recommit-
  ted to said committee

AN ACT to amend the insurance law, in relation to revising the standards
  relating to the incorporation of stock or mutual insurance companies

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Paragraph 3 of subsection (a) of section 1201 of the insur-
ance law is amended to read as follows:
  (3)  The proposed incorporators shall publish in such newspaper, twice
a week for three successive weeks or once  a  week  for  six  successive
weeks,  a  notice  of  intention to form such a corporation, stating its
proposed name, the kinds of insurance business  to  be  transacted,  the
names and CITY AND STATE OF residence [addresses] of the proposed incor-
porators,  the location of its principal office in this state, and, if a
stock corporation, the amount of its proposed initial capital.
  S 2. Items (v), (vi) and (vii) of subparagraph (B) of paragraph  5  of
subsection (a) of section 1201 of the insurance law, item (v) as amended
by  chapter  552 of the laws of 1996 and item (vi) as amended by chapter
532 of the laws of 2003, are amended to read as follows:
  (v) the number of directors, or that it shall be not less than a stat-
ed minimum nor more than a stated maximum. Except as provided in section
six thousand four hundred two of this chapter the  number  of  directors
shall  not be less than [thirteen, however, a life insurance corporation
with admitted assets of less than one and one-half billion dollars,  may
have  not  less  than  nine directors of which at least four must not be
officers  or  employees  of  the  company  or  any  entity  controlling,
controlled  by, or under common control with the company and who are not
beneficial owners of a controlling interest in the voting stock  of  the
company  or  any  such entity. The charter of such life insurance corpo-

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD03063-04-9

A. 1005--B                          2

ration that has less than thirteen, but at least nine,  directors  shall
provide that the number of directors shall be increased to not less than
thirteen within one year following the end of the calendar year in which
the  corporation  exceeded  one and one-half billion dollars in admitted
assets] SEVEN.  As used in this item, "number of  directors"  means  the
total number of directors which the corporation would have if there were
no vacancies;
  (vi)  the  times  and  manner  of electing directors and officers, the
manner of filling vacancies, and provision that each director  shall  be
at least eighteen years of age and that at all times a majority shall be
citizens and residents of the United States[, and that not less than two
shall be residents of this state];
  (vii)  the  names  and  [post  office]  CITY  AND  STATE  OF residence
[addresses] of the directors, who shall serve  until  the  first  annual
meeting of such corporation;
  S  3.  Paragraph  2 of subsection (a) of section 1202 of the insurance
law, as amended by chapter 802 of the laws of 1985, is amended  to  read
as follows:
  (2)  If  not  otherwise  fixed under this article, the number shall be
[thirteen] SEVEN but it may be increased or[, subject  to  item  (v)  of
subparagraph  (B)  of  paragraph  five  of subsection (a) of section one
thousand two hundred one of this article,] decreased by amendment of the
by-laws, or by action of the board, subject  to  the  following  limita-
tions:  (i)  if  the  board  is authorized by the by-laws to increase or
decrease the number of directors, the amendment shall require  the  vote
of  a majority of the entire board; [and] (ii) no decrease shall shorten
the term of any incumbent director; AND (III) NO DECREASE  SHALL  REDUCE
THE NUMBER OF DIRECTORS TO FEWER THAN SEVEN.
  S  4.  Subsections  (b)  and (c) of section 1209 of the insurance law,
subsection (b) as amended by chapter 26 of the laws of 2001, are amended
to read as follows:
  (b) Such corporation shall have not less than [thirteen] SEVEN  direc-
tors[,  provided,  however,  a life insurance corporation satisfying the
requirements of item (v)  of  subparagraph  (B)  of  paragraph  five  of
subsection  (a)  of section one thousand two hundred one of this article
shall have not less than nine directors, and such officers as  shall  be
provided  for  in  its  charter  or  by-laws].  The directors, except as
provided in section four thousand two hundred ten of this chapter, shall
be elected at the annual meetings of the members, and all except four of
the directors of such corporation, elected after the organization of the
corporation is completed and it has been  licensed  to  issue  insurance
policies,  must  be  members  of  the  corporation or officers of member
corporations. At any time after the first annual meeting, the  directors
may be divided into not exceeding three groups as nearly equal as possi-
ble,  and thereafter the directors in one group only or their successors
shall be elected annually as provided  in  the  by-laws.  The  board  of
directors  of such corporation shall hold regular meetings at least four
times in each calendar year. At least one of such meetings shall be held
within this state and the other meetings may be held elsewhere.
  (c) The board of directors of such corporation shall elect such  offi-
cers as are provided for in the by-laws. At least [two of the] ONE prin-
cipal [officers] OFFICER shall be [directors] A DIRECTOR, but the number
of  officers and salaried employees who are directors shall at all times
be less than a quorum of the board of directors, as  prescribed  in  the
charter or by-laws.
  S 5. This act shall take effect immediately.

2009-A1005C (ACTIVE) - Details

2009-A1005C (ACTIVE) - Summary

Relates to the incorporation of stock and mutual insurance companies.

2009-A1005C (ACTIVE) - Sponsor Memo

                                BILL NUMBER:A1005C

TITLE OF BILL:  An act to amend the insurance law, in relation to revis-
ing the standards relating to the incorporation of stock or mutual
insurance companies

PURPOSE OR GENERAL IDEA OF BILL: The purpose of this bill is to revise
the standards relating to the incorporation of stock and/or mutual
insurance companies in New York so that the minimum board size can be
reduced to seven, from the current minimum size of thirteen for large
companies and nine for small companies for both mutual and stock compa-
nies; the NYS residency requirement is reduced from two to one director;
the incorporators of an insurance corporation need only list their city
and state of residence in newspapers and the company charter; and mutual
insurers can reduce the requirement for at least two principal officers
as members of the board to at least one principal officer.

SUMMARY OF SPECIFIC PROVISIONS: This bill would amend §1201(a)(3) of the
insurance law to remove the requirement that the proposed incorporators
of a New York insurance corporation must publish in a newspaper their
residence address and require, instead, that they need only publish
their city and state of residence. Section 1201 (a)(5)(B)(v), (vi) &
(vii) of the insurance law would be amended to:  reduce the minimum size
of the Board of Directors for insurance corporations in New York to
seven; to reduce the New York State residency requirement for insurance
corporations in New York from two to one director; and to require that

only the city and state of residence of the incorporators of an insur-
ance corporation must be contained in the corporate charter. This bill
would also amend §1202(a)(2) of the insurance law to make consistent the
reduced minimum board size of seven and clarify the rules for increasing
or decreasing the number of board members on insurance corporations in
New York. Lastly, §1209(b) &(c) of the insurance law is being amended to
authorize a minimum board size of seven for mutual insurance corpo-
rations in New York and to reduce the requisite number of principal
officers (inside directors) required for such corporations from the
current two to one.

JUSTIFICATION: The requirement that the incorporators of a new insurance
corporation in New York must publicize their home addresses has been a
potential impediment to the formation of new companies in the state. It
is understandable that these individuals would be uncomfortable with
disclosing their home addresses in the newspaper and that information is
not essential for the public to know.  Publication of the city and state
of residence would seem sufficient for this purpose.

Likewise, there seems to be no rationale for requiring that at least two
of the board members must be New York state residents or that the mini-
mum board size must be thirteen, especially when the average board size
in corporate America is approximately ten. Many insurers in New York are
now global enterprises and, given the increased demands for improved
corporate governance being placed upon financial services corporations,
it does not seem necessary to require that two directors must be state

residents or that they must have an overly-large board of directors.
The primary consideration for selecting members of a company's Board of
Directors should be to identify individuals with superior intelligence
and high values who have an understanding of the business at hand,
regardless of their location or size.

EXISTING LAW: Section 1201 (a)(3) and (5) of the insurance law currently
require that the proposed incorporators of an insurance corporation in
New York must publish their resident addresses in the newspaper and in
the company charter. Sections 1201 (a)(5)(B)(v), 1202(a)(2), and 1209(b)
of the insurance law require that the minimum size of insurance corpo-
ration boards of directors in New York must be thirteen, unless the
corporation meets a small company threshold, in which case the minimum
board size will be nine. Section 1201 (a)(5)(B)(vi) of the insurance law
currently requires that at least two of the members of the boards of
directors of insurance corporations in New York must be New York State
residents. Lastly, § 1209(b) of the insurance law requires that mutual
insurance corporations in New York must have at least two principal
officers (inside directors) on their Board of Directors.

LEGISLATIVE HISTORY:  2007-08: A8767 Referred to Insurance/S.2085-A
Passed Senate.

FISCAL IMPLICATIONS: None

EFFECTIVE DATE: This act will take effect immediately.

2009-A1005C (ACTIVE) - Bill Text download pdf

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 1005--C

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                               (PREFILED)

                             January 7, 2009
                               ___________

Introduced  by  M.  of  A.  BING -- Multi-Sponsored by -- M. of A. COOK,
  JAFFEE, MAGEE, REILLY -- read once and referred to  the  Committee  on
  Insurance  -- committee discharged, bill amended, ordered reprinted as
  amended and recommitted to said committee -- again reported from  said
  committee  with amendments, ordered reprinted as amended and recommit-
  ted to said committee --  again  reported  from  said  committee  with
  amendments,  ordered  reprinted  as  amended  and  recommitted to said
  committee

AN ACT to amend the insurance law, in relation to revising the standards
  relating to the incorporation of stock or mutual insurance companies

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Paragraph 3 of subsection (a) of section 1201 of the insur-
ance law is amended to read as follows:
  (3)  The proposed incorporators shall publish in such newspaper, twice
a week for three successive weeks or once  a  week  for  six  successive
weeks,  a  notice  of  intention to form such a corporation, stating its
proposed name, the kinds of insurance business  to  be  transacted,  the
names and CITY AND STATE OF residence [addresses] of the proposed incor-
porators,  the location of its principal office in this state, and, if a
stock corporation, the amount of its proposed initial capital.
  S 2. Items (v), (vi) and (vii) of subparagraph (B) of paragraph  5  of
subsection (a) of section 1201 of the insurance law, item (v) as amended
by  chapter  552 of the laws of 1996 and item (vi) as amended by chapter
532 of the laws of 2003, are amended to read as follows:
  (v) the number of directors, or that it shall be not less than a stat-
ed minimum nor more than a stated maximum. Except as provided in section
six thousand four hundred two of this chapter the  number  of  directors
shall  not be less than [thirteen, however, a life insurance corporation
with admitted assets of less than one and one-half billion dollars,  may

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.

                                                           LBD03063-05-9

A. 1005--C                          2

have  not  less  than  nine directors of which at least four must not be
officers  or  employees  of  the  company  or  any  entity  controlling,
controlled  by, or under common control with the company and who are not
beneficial  owners  of a controlling interest in the voting stock of the
company or any such entity. The charter of such  life  insurance  corpo-
ration  that  has less than thirteen, but at least nine, directors shall
provide that the number of directors shall be increased to not less than
thirteen within one year following the end of the calendar year in which
the corporation exceeded one and one-half billion  dollars  in  admitted
assets]  SEVEN.    As used in this item, "number of directors" means the
total number of directors which the corporation would have if there were
no vacancies;
  (vi) the times and manner of  electing  directors  and  officers,  the
manner  of  filling vacancies, and provision that each director shall be
at least eighteen years of age and that at all times a majority shall be
citizens and residents of the United States,  and  that  not  less  than
[two] ONE shall be [residents] A RESIDENT of this state;
  (vii)  the  names  and  [post  office]  CITY  AND  STATE  OF residence
[addresses] of the directors, who shall serve  until  the  first  annual
meeting of such corporation;
  S  3.  Paragraph  2 of subsection (a) of section 1202 of the insurance
law, as amended by chapter 802 of the laws of 1985, is amended  to  read
as follows:
  (2)  If  not  otherwise  fixed under this article, the number shall be
[thirteen] SEVEN but it may be increased or[, subject  to  item  (v)  of
subparagraph  (B)  of  paragraph  five  of subsection (a) of section one
thousand two hundred one of this article,] decreased by amendment of the
by-laws, or by action of the board, subject  to  the  following  limita-
tions:  (i)  if  the  board  is authorized by the by-laws to increase or
decrease the number of directors, the amendment shall require  the  vote
of  a majority of the entire board; [and] (ii) no decrease shall shorten
the term of any incumbent director; AND (III) NO DECREASE  SHALL  REDUCE
THE NUMBER OF DIRECTORS TO FEWER THAN SEVEN.
  S  4.  Subsections  (b)  and (c) of section 1209 of the insurance law,
subsection (b) as amended by chapter 26 of the laws of 2001, are amended
to read as follows:
  (b) Such corporation shall have not less than [thirteen] SEVEN  direc-
tors[,  provided,  however,  a life insurance corporation satisfying the
requirements of item (v)  of  subparagraph  (B)  of  paragraph  five  of
subsection  (a)  of section one thousand two hundred one of this article
shall have not less than nine directors, and such officers as  shall  be
provided  for  in  its  charter  or  by-laws].  The directors, except as
provided in section four thousand two hundred ten of this chapter, shall
be elected at the annual meetings of the members, and all except four of
the directors of such corporation, elected after the organization of the
corporation is completed and it has been  licensed  to  issue  insurance
policies,  must  be  members  of  the  corporation or officers of member
corporations. At any time after the first annual meeting, the  directors
may be divided into not exceeding three groups as nearly equal as possi-
ble,  and thereafter the directors in one group only or their successors
shall be elected annually as provided  in  the  by-laws.  The  board  of
directors  of such corporation shall hold regular meetings at least four
times in each calendar year. At least one of such meetings shall be held
within this state and the other meetings may be held elsewhere.
  (c) The board of directors of such corporation shall elect such  offi-
cers as are provided for in the by-laws. At least [two of the] ONE prin-

A. 1005--C                          3

cipal [officers] OFFICER shall be [directors] A DIRECTOR, but the number
of  officers and salaried employees who are directors shall at all times
be less than a quorum of the board of directors, as  prescribed  in  the
charter or by-laws.
  S 5. This act shall take effect immediately.

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Assembly Bill A1005

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Jul 16, 2009 - Floor Vote

Floor Vote: Jul 16, 2009

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2009-A1005 - Details

2009-A1005 - Summary

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2009-A1005A - Details

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2009-A1005B - Details

2009-A1005B - Summary

2009-A1005B - Bill Text download pdf

2009-A1005C (ACTIVE) - Details

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Assembly Bill A1005

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Archive: Last Bill Status - Signed by Governor

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Bill Amendments

2009-A1005 - Details

2009-A1005 - Summary

2009-A1005 - Bill Text download pdf

2009-A1005A - Details

2009-A1005A - Summary

2009-A1005A - Bill Text download pdf

2009-A1005B - Details

2009-A1005B - Summary

2009-A1005B - Bill Text download pdf

2009-A1005C (ACTIVE) - Details

2009-A1005C (ACTIVE) - Summary

2009-A1005C (ACTIVE) - Sponsor Memo

2009-A1005C (ACTIVE) - Bill Text download pdf

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