S T A T E   O F   N E W   Y O R K
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                                 6710--A
    Cal. No. 475

                            I N  S E N A T E

                             March 12, 2012
                               ___________

Introduced  by Sen. SEWARD -- (at request of the Department of Financial
  Services) -- read twice and ordered printed, and when  printed  to  be
  committed  to the Committee on Insurance -- recommitted to the Commit-
  tee on Banks in accordance with Senate Rule  6,  sec.  8  --  reported
  favorably  from  said  committee,  ordered to first and second report,
  ordered to a third reading, amended and ordered  reprinted,  retaining
  its place in the order of third reading

AN ACT to amend the insurance law, in relation to risk-based capital for
  property/casualty  insurers;  to  amend the financial services law, in
  relation to annual  reports  of  the  superintendent;  and  to  repeal
  certain  provisions  of the insurance law and the banking law relating
  to annual reporting requirements of the  superintendent  of  financial
  services

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

  Section 1.   Paragraph 1 of subsection (d)  of  section  1324  of  the
insurance  law,  as added by chapter 631 of the laws of 2007, is amended
to read as follows:
  (1) "Company action level event" means, with  respect  to  a  domestic
insurer:
  (A)  The  filing  by  the insurer of an RBC report indicating that the
insurer's total adjusted capital is greater than or equal to its regula-
tory action level RBC but less than its company action level RBC;
  (B) The notification by  the  superintendent  to  the  insurer  of  an
adjusted  RBC report that indicates the occurrence of an event described
in subparagraph (A) of this paragraph, provided  the  insurer  does  not
challenge  the adjusted RBC report under subsection (h) of this section;
[or]
  (C) If, under subsection (h) of this section, the  insurer  challenges
an  adjusted  RBC  report  that  indicates  the  occurrence  of an event
described in subparagraph (A) of this paragraph, the notification by the
superintendent to the insurer that the superintendent has, after a hear-
ing, rejected the insurer's challenge[.]; OR

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

                                                           LBD14841-03-2

S. 6710--A                          2

  (D) THE FILING BY THE INSURER OF AN RBC  REPORT  INDICATING  THAT  THE
INSURER  HAS TOTAL ADJUSTED CAPITAL THAT IS GREATER THAN OR EQUAL TO ITS
COMPANY ACTION LEVEL RBC, BUT LESS THAN THE PRODUCT OF THREE POINT  ZERO
AND  ITS AUTHORIZED CONTROL LEVEL RBC, AND WITH A COMBINED RATIO GREATER
THAN  ONE  HUNDRED  TWENTY  PERCENT AS DETERMINED IN ACCORDANCE WITH THE
TREND TEST CALCULATION IN THE RBC INSTRUCTIONS.
  S 2. Section 206 of the insurance law is REPEALED.
  S 3. Section 43 of the banking law is REPEALED.
  S 4. The financial services law is amended by adding a new section 207
to read as follows:
  S 207. ANNUAL REPORT OF THE SUPERINTENDENT.   (A)  THE  SUPERINTENDENT
SHALL SUBMIT A REPORT ANNUALLY TO THE GOVERNOR AND TO THE LEGISLATURE ON
OR  BEFORE  THE  FIFTEENTH  DAY  OF  JUNE.  THE REPORT SHALL CONTAIN THE
FOLLOWING ITEMS, WITH RESPECT TO THE PRECEDING CALENDAR YEAR:
  (1) A GENERAL REVIEW OF THE INSURANCE BUSINESS, BANKING BUSINESS,  AND
FINANCIAL  PRODUCT OR SERVICE BUSINESS UTILIZING THE MOST CURRENT INFOR-
MATION AVAILABLE;
  (2) A CONSOLIDATED STATEMENT OF CONDITION SHOWING THE COMBINED  ASSETS
AND  LIABILITIES  OF  ALL  BANKING  ORGANIZATIONS COMPRISING EACH OF THE
FOLLOWING CLASSES:  (A) BANKS AND TRUST COMPANIES; AND (B) PRIVATE BANK-
ERS. EACH SUCH CONSOLIDATED  STATEMENT  SHALL  COMBINE  THE  INFORMATION
CONTAINED IN THE LAST PERIODICAL REPORTS OF CONDITION RECEIVED FROM SUCH
BANKING ORGANIZATIONS AS OF A DATE DURING THE YEAR FOR WHICH SUCH REPORT
OF THE SUPERINTENDENT IS RENDERED;
  (3)  A CONSOLIDATED STATEMENT OF CONDITION SHOWING THE COMBINED ASSETS
AND LIABILITIES OF ALL BANKING  ORGANIZATIONS  COMPRISING  EACH  OF  THE
FOLLOWING  CLASSES:   (A) SAVINGS BANKS; (B) SAFE DEPOSIT COMPANIES; (C)
SAVINGS AND LOAN ASSOCIATIONS; (D) CREDIT  UNIONS;  AND  (E)  INVESTMENT
COMPANIES.  EACH  SUCH CONSOLIDATED STATEMENT SHALL COMBINE THE INFORMA-
TION CONTAINED IN THE LAST PERIODICAL REPORTS OF CONDITION MADE  TO  THE
SUPERINTENDENT  AS OF A DATE DURING THE YEAR FOR WHICH THE REPORT OF THE
SUPERINTENDENT IS RENDERED, EXCEPT THAT WITH RESPECT  TO  THOSE  CLASSES
MAKING  REPORTS TO THE SUPERINTENDENT AS OF THE FIRST DAY OF THE FOLLOW-
ING YEAR, SUCH CONSOLIDATED STATEMENTS  SHALL  COMBINE  THE  INFORMATION
CONTAINED IN SUCH REPORTS;
  (4)  A CONSOLIDATED STATEMENT OF CONDITION SHOWING THE COMBINED ASSETS
AND LIABILITIES OF ALL LICENSED LENDERS. EACH SUCH  CONSOLIDATED  STATE-
MENT  SHALL  COMBINE THE INFORMATION CONTAINED IN THE REPORTS TO BE MADE
ON OR BEFORE THE FIRST DAY OF APRIL OF THE YEAR FOLLOWING THE  YEAR  FOR
WHICH THE REPORT OF THE SUPERINTENDENT IS RENDERED;
  (5)  A STATEMENT OF CONDITION OF EACH BANKING ORGANIZATION REQUIRED BY
THE BANKING LAW TO MAKE PERIODICAL REPORTS OF CONDITION  TO  THE  SUPER-
INTENDENT. SUCH STATEMENT SHALL INCLUDE THE INFORMATION CONTAINED IN THE
LAST  PERIODICAL  REPORT OF CONDITION MADE TO THE SUPERINTENDENT AS OF A
DATE DURING THE YEAR FOR WHICH SUCH  REPORT  OF  THE  SUPERINTENDENT  IS
RENDERED,  EXCEPT  THAT  IN  THE  CASE  OF  BANKING ORGANIZATIONS MAKING
REPORTS TO THE SUPERINTENDENT AS OF THE FIRST DAY OF THE FOLLOWING YEAR,
EACH SUCH STATEMENT SHALL INCLUDE  THE  INFORMATION  CONTAINED  IN  SUCH
REPORTS.    NOTWITHSTANDING  ANY  OTHER PROVISION OF THIS SUBSECTION, IN
LIEU OF MAKING A STATEMENT OF THE  CONDITION  OF  EACH  COVERED  BANKING
ORGANIZATION,  THE SUPERINTENDENT MAY MAKE SUCH INFORMATION AVAILABLE BY
ANY OTHER MEANS THAT PROVIDES FOR DIRECT PUBLIC ACCESS  OR  AVAILABILITY
TO SUCH REQUIRED REPORTS OF CONDITION;
  (6)  A  STATEMENT OF ALL BANKING ORGANIZATIONS, FOREIGN BANKING CORPO-
RATIONS AND LICENSED LENDERS AUTHORIZED OR LICENSED BY  THE  SUPERINTEN-
DENT  TO  DO  BUSINESS DURING THE YEAR FOR WHICH THE REPORT IS RENDERED,

S. 6710--A                          3

WITH THEIR NAMES AND LOCATIONS AND THE DATES ON WHICH THEIR CERTIFICATES
WERE APPROVED BY THE SUPERINTENDENT, AND SUCH OTHER INFORMATION  AS  THE
SUPERINTENDENT DEEMS APPROPRIATE;
  (7)  A  STATEMENT OF THE BANKING ORGANIZATIONS, FOREIGN BANKING CORPO-
RATIONS WHOSE BUSINESS HAS BEEN CLOSED EITHER VOLUNTARILY OR INVOLUNTAR-
ILY DURING THE YEAR FOR WHICH THE REPORT IS RENDERED, WITH THE AMOUNT OF
THEIR RESOURCES AND OF THEIR DEPOSITS  AND  OTHER  LIABILITIES  AS  LAST
REPORTED BY THEM;
  (8)  A  STATEMENT  OF ANY UNCLAIMED AMOUNTS HELD BY THE SUPERINTENDENT
PURSUANT TO THE REQUIREMENTS OF THE BANKING LAW AS TRUSTEE FOR THE CRED-
ITORS, DEPOSITORS, STOCKHOLDERS OR SHAREHOLDERS OF EACH  BANKING  ORGAN-
IZATION THE BUSINESS AND AFFAIRS OF WHICH SHALL HAVE BEEN FINALLY LIQUI-
DATED;  THE AMOUNT OF INTEREST RECEIVED DURING THE PRECEDING FISCAL YEAR
UPON ALL SUCH UNCLAIMED AMOUNTS HELD  BY  THE  SUPERINTENDENT;  AND  THE
AMOUNT  OF  ABANDONED FUNDS PAID OVER BY THE SUPERINTENDENT TO THE STATE
COMPTROLLER PURSUANT TO THE REQUIREMENTS OF THE BANKING LAW;
  (9) A TABLE SHOWING  THE  NUMBER  AND  KINDS  OF  AUTHORIZED  INSURERS
ACCORDING  TO  CLASSES OF BUSINESS, AND THEIR TOTAL ASSETS, LIABILITIES,
PREMIUMS WRITTEN, AND INSURANCE IN FORCE, AS SHOWN BY THE ANNUAL  STATE-
MENTS FILED WITH THE SUPERINTENDENT BY SUCH INSURERS;
  (10) LISTS OF: (A) INSURERS ORGANIZED, ADMITTED, MERGED, WITHDRAWN, OR
PLACED  IN  LIQUIDATION,  CONSERVATION,  OR REHABILITATION, (B) DOMESTIC
INSURERS THAT HAVE AMENDED THEIR CHARTERS OR HAVE INCREASED OR DECREASED
THEIR CAPITAL STOCK, TOGETHER WITH A STATEMENT OF  THE  EXTENT  THEREOF;
AND (C) DOMESTIC INSURERS THAT HAVE CHANGED THEIR CORPORATE NAMES;
  (11)  A  LIST OF DEPARTMENT REPORTS FILED ON EXAMINATION OF AUTHORIZED
INSURERS;
  (12)   A   STATEMENT   OF   THE   EXPENSES   OF   ADMINISTERING    THE
PROPERTY/CASUALTY  INSURANCE  SECURITY FUND AND THE PUBLIC MOTOR VEHICLE
LIABILITY SECURITY FUND PURSUANT TO ARTICLE SEVENTY-SIX OF THE INSURANCE
LAW;
  (13) TABLES RELATIVE TO INSURER LIQUIDATION, CONSERVATION OR REHABILI-
TATION PROCEEDINGS BY THE DEPARTMENT  FOR  PRIOR  YEARS,  INCLUDING  THE
PRECEDING CALENDAR YEAR;
  (14)  ANY  AMENDMENTS  TO THE BANKING LAW, THE INSURANCE LAW, AND THIS
CHAPTER, AND  ANY  AMENDMENTS  TO  REGULATIONS  PROMULGATED  THEREUNDER,
DURING  THE  YEAR FOR WHICH SUCH REPORT IS RENDERED; A SUMMARY OF INSUR-
ANCE CIRCULAR LETTERS AND BANKING INTERPRETATIONS ISSUED DURING THE YEAR
FOR WHICH SUCH REPORT IS RENDERED; AND SUCH OTHER  MATTERS  RELATING  TO
THE  BANKING ORGANIZATIONS, CORPORATIONS, PARTNERSHIPS, INSURERS, INSUR-
ANCE PRODUCERS, OR OTHER ENTITIES OR PERSONS LICENSED, AUTHORIZED TO  DO
BUSINESS,  CERTIFIED, OR REGISTERED UNDER THE BANKING LAW, THE INSURANCE
LAW, OR THIS CHAPTER, INCLUDING PUBLIC STATEMENTS,  RECOMMENDATIONS  AND
DECISIONS  OF  THE  SUPERINTENDENT,  OCCURRING DURING THE YEAR FOR WHICH
SUCH REPORT IS RENDERED, WHICH, IN THE JUDGMENT OF  THE  SUPERINTENDENT,
MAY BE OF HISTORICAL OR REGULATORY SIGNIFICANCE;
  (15)  LEGISLATIVE RECOMMENDATIONS THAT THE SUPERINTENDENT DEEMS NECES-
SARY OR DESIRABLE; AND
  (16) A SUMMARY OF THE DEPARTMENT'S RECEIPTS AND  EXPENSES  DURING  THE
PRECEDING FISCAL YEAR, INCLUDING ANY EXPENSES OF LIQUIDATION PAID OUT OF
AMOUNTS APPROPRIATED BY THE LEGISLATURE, THE AMOUNTS APPROPRIATED BY THE
LEGISLATURE FOR THE EXPENSES OF THE DEPARTMENT DURING SUCH YEAR, AND THE
AMOUNT,  IF ANY, FOR WHICH THE TREASURY OF THE STATE SHALL NOT HAVE BEEN
REIMBURSED AT THE DATE OF SUCH REPORT.
  (B) THE SUPERINTENDENT MAY, IN ADDITION  TO  THE  ABOVE  REQUIREMENTS,
INCLUDE  IN  SUCH  REPORT ANY OTHER MATTER OR DATA CONCERNING INSURANCE,

S. 6710--A                          4

BANKING, FINANCIAL PRODUCTS OR SERVICES OR THE  SUPERINTENDENT'S  DUTIES
UNDER  THE INSURANCE LAW, THE BANKING LAW, OR THIS CHAPTER, WHICH IN THE
SUPERINTENDENT'S JUDGMENT, IS OF GENERAL INTEREST OR IMPORT.
  S 5. This act shall take effect immediately.