|Assembly Actions - Lowercase
Senate Actions - UPPERCASE
|Jun 12, 2012||referred to insurance|
delivered to assembly
|May 23, 2012||advanced to third reading|
|May 22, 2012||2nd report cal.|
|May 21, 2012||1st report cal.844|
|May 02, 2012||referred to insurance|
senate Bill S7310
Archive: Last Bill Status - Passed Senate
- In Committee
- On Floor Calendar
- Passed Senate
- Passed Assembly
- Delivered to Governor
- Signed/Vetoed by Governor
S7310 - Details
- See Assembly Version of this Bill:
- Current Committee:
- Law Section:
- Insurance Law
- Laws Affected:
- Amd §1110, Ins L
S7310 - Summary
Relates to admitted assets for annuity risk where a single premium annuity contract has been purchased.
S7310 - Sponsor Memo
BILL NUMBER:S7310 TITLE OF BILL: An act to amend the insurance law, in relation to admitted assets for annuity risk where a single premium annuity contract has been purchased PURPOSE: To allow charities that issue charitable gift annuities (CGAs) to reduce the amount of required reserves by purchasing an annuity contract from a New York admitted insurer. SUMMARY OF PROVISIONS: Amends section 1110(b) of the insurance law to specifically provide that CGA reserves may be reduced with the purchase of a single premium life annuity contract from a life insurance company authorized to do business in New York State. JUSTIFICATION: This legislation amends the insurance law to allow charities that issue charitable gift annuities to reduce the amount of required reserves by purchasing an annuity contract from a New York admitted insurer. This change would encourage CGA issuers to include commercial annuities among the available tools for risk management. Enabling prudent management of CGA risk benefits New York charities that incur obligations to their donors with CGAs.
S7310 - Bill Text download pdf
S T A T E O F N E W Y O R K ________________________________________________________________________ 7310 I N S E N A T E May 2, 2012 ___________ Introduced by Sen. SEWARD -- read twice and ordered printed, and when printed to be committed to the Committee on Insurance AN ACT to amend the insurance law, in relation to admitted assets for annuity risk where a single premium annuity contract has been purchased THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subsection (b) of section 1110 of the insurance law, as amended by chapter 419 of the laws of 2001, is amended to read as follows: (b) Every such domestic corporation or association shall maintain admitted assets at least equal to the greater of (i) the sum of its reserves on its outstanding agreements, calculated in accordance with section four thousand two hundred seventeen of this chapter, and a surplus of ten per centum of such reserves, or (ii) the amount of one hundred thousand dollars. In determining such reserves a deduction shall be made for all or any portion of an annuity risk which is reinsured by a life insurance company authorized to do business in this state OR FOR ALL OR ANY PORTION OF AN ANNUITY RISK WHERE SUCH CORPORATION OR ASSOCI- ATION HAS PURCHASED A SINGLE PREMIUM ANNUITY CONTRACT FROM A LIFE INSUR- ANCE COMPANY AUTHORIZED TO DO BUSINESS IN THIS STATE TO FUND SUCH RISK. The required admitted assets shall be invested in accordance with the prudent investor standard as defined in section 11-2.3 of the estates, powers and trusts law and shall not be subject to the investment limita- tions set forth in this chapter. Such assets shall be segregated as separate and distinct funds, independent of all other funds of such corporation or association, and shall not be applied to pay its debts and obligations or for any purpose except the aforesaid annuity bene- fits. S 2. This act shall take effect immediately. EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD15567-02-2
Open Legislation comments facilitate discussion of New York State legislation. All comments are subject to moderation. Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity or hate speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Comment moderation is generally performed Monday through Friday.
By contributing or voting you agree to the Terms of Participation and verify you are over 13.