S T A T E O F N E W Y O R K
________________________________________________________________________
8068--A
I N S E N A T E
June 9, 2016
___________
Introduced by Sen. DeFRANCISCO -- read twice and ordered printed, and
when printed to be committed to the Committee on Rules -- committee
discharged, bill amended, ordered reprinted as amended and recommitted
to said committee
AN ACT to amend the insurance law, in relation to the establishment of a
state insurance company advisory board, a state insurance producer
advisory board, and a state insurance adjuster advisory board
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The insurance law is amended by adding a new section 201 to
read as follows:
S 201. STATE INSURANCE COMPANY ADVISORY BOARD. (A) THERE SHALL BE
WITHIN THE DEPARTMENT A STATE INSURANCE COMPANY ADVISORY BOARD TO WORK
WITH THE SUPERINTENDENT IN PROMOTING THE DEVELOPMENT AND GROWTH OF THE
INSURANCE INDUSTRY IN THE STATE. THERE SHALL BE FIFTEEN MEMBERS OF THE
ADVISORY BOARD WHO SHALL BE APPOINTED BY THE SUPERINTENDENT. THE MEMBER-
SHIP SHALL CONSIST OF: NINE REPRESENTATIVES OF DOMESTIC INSURANCE COMPA-
NIES; AND FIVE REPRESENTATIVES OF FOREIGN INSURANCE COMPANIES THAT, TO
THE EXTENT PRACTICABLE, REFLECT A RANGE OF SIZE AND GEOGRAPHICAL
LOCATION WITHIN THE STATE. THE MEMBERSHIP SHALL ALSO INCLUDE ONE REPRE-
SENTATIVE OF CONSUMERS. THE SUPERINTENDENT SHALL MAKE RULES TO GOVERN
THE METHOD BY WHICH INSURERS MAY NOMINATE PERSONS TO THE BOARD AND THE
PROCESS FOR SELECTING SUCH MEMBERS, PROVIDED THAT THE REPRESENTATIVES OF
CONSUMERS SHALL BE SELECTED BY THE SUPERINTENDENT. THE TERM OF EACH
MEMBER OF SUCH ADVISORY BOARD SHALL BE THREE YEARS, OR UNTIL A SUCCESSOR
IS APPOINTED AND VACANCIES SHALL BE FILLED FOR THE UNEXPIRED TERM ONLY.
THE BOARD SHALL MEET AT LEAST THREE TIMES ANNUALLY PURSUANT TO THE CALL
OF THE SUPERINTENDENT. THE MEMBERS OF THE ADVISORY BOARD SHALL RECEIVE
NO COMPENSATION NOR REIMBURSEMENT FOR EXPENSES. THE ADVISORY BOARD
SHALL:
(1) CONSIDER AND RECOMMEND WAYS TO MAINTAIN AND GROW THE INSURANCE
INDUSTRY OF THE STATE, PARTICULARLY FOCUSING ON THE DOMESTIC INSURANCE
INDUSTRY, INCLUDING BRINGING TO THE SUPERINTENDENT'S ATTENTION ISSUES OF
CONCERN TO THE INSURANCE INDUSTRY;
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD15810-02-6
S. 8068--A 2
(2) CONSIDER AND RECOMMEND WAYS TO ENCOURAGE AND FACILITATE INSURANCE
INSTITUTIONS IN OFFERING A DIVERSITY OF AFFORDABLE INSURANCE AND FINAN-
CIAL PRODUCTS THROUGHOUT THE STATE;
(3) RECOMMEND TO THE SUPERINTENDENT THE ESTABLISHMENT OF SUCH LAWS AS
MAY BE DEEMED NECESSARY, AND THE AMENDMENT OR REPEAL THEREOF, IN FURTH-
ERANCE OF THESE GOALS;
(4) RECOMMEND TO THE SUPERINTENDENT THE PROMULGATION OF ANY GUIDANCE
AND REGULATIONS, NOT INCONSISTENT WITH THE LAW, AS MAY BE DEEMED NECES-
SARY, AND THE AMENDMENT OR REPEAL THEREOF, IN FURTHERANCE OF THESE
GOALS; AND
(5) REPORT WITHIN THIRTY DAYS AFTER RECEIPT, ON ANY PROPOSED REGU-
LATIONS, AMENDMENTS THERETO, OR REPEAL THEREOF, PRIOR TO FINAL ACTION
THEREON BY THE SUPERINTENDENT.
(B) THE ADVISORY BOARD SHALL HAVE NO EXECUTIVE, ADMINISTRATIVE OR
APPOINTIVE POWERS OR DUTIES.
S 2. The insurance law is amended by adding a new section 202 to read
as follows:
S 202. STATE INSURANCE PRODUCER ADVISORY BOARD. (A) THERE SHALL BE
WITHIN THE DEPARTMENT A STATE INSURANCE PRODUCER ADVISORY BOARD TO WORK
WITH THE SUPERINTENDENT IN PROMOTING THE DEVELOPMENT AND GROWTH OF THE
INSURANCE INDUSTRY IN THE STATE AND ADDRESS OTHER ISSUES OF MUTUAL
CONCERN. THERE SHALL BE TEN MEMBERS OF THE ADVISORY BOARD WHO SHALL BE
APPOINTED BY THE SUPERINTENDENT. THE MEMBERSHIP SHALL CONSIST OF: FOUR
INSURANCE PRODUCERS WHOSE PRIMARY BUSINESS FOCUS IS ON LIFE INSURANCE;
FOUR INSURANCE PRODUCERS WHOSE PRIMARY BUSINESS FOCUS IS ON
PROPERTY/CASUALTY INSURANCE; AND TWO INSURANCE PRODUCERS WHOSE PRIMARY
BUSINESS FOCUS IS ON ACCIDENT AND HEALTH INSURANCE. THE SUPERINTENDENT
SHALL MAKE RULES TO GOVERN THE METHOD BY WHICH INSURERS MAY NOMINATE
PERSONS TO THE BOARD AND THE PROCESS FOR SELECTING SUCH MEMBERS. THE
TERM FOR EACH MEMBER OF SUCH ADVISORY BOARD SHALL BE THREE YEARS, OR
UNTIL A SUCCESSOR IS APPOINTED AND VACANCIES SHALL BE FILLED FOR THE
UNEXPIRED TERM ONLY. THE BOARD SHALL MEET AT LEAST THREE TIMES ANNUALLY
PURSUANT TO THE CALL OF THE SUPERINTENDENT. THE MEMBERS OF THE ADVISORY
BOARD SHALL RECEIVE NO COMPENSATION NOR REIMBURSEMENT FOR EXPENSES. THE
ADVISORY BOARD SHALL:
(1) CONSIDER AND RECOMMEND WAYS TO MAINTAIN AND GROW THE INSURANCE
INDUSTRY OF THE STATE, PARTICULARLY FOCUSING ON THE DOMESTIC INSURANCE
INDUSTRY, INCLUDING BRINGING TO THE SUPERINTENDENT'S ATTENTION ISSUES OF
CONCERN TO THE INSURANCE INDUSTRY;
(2) CONSIDER AND RECOMMEND WAYS TO ENCOURAGE AND FACILITATE INSURANCE
INSTITUTIONS IN OFFERING A DIVERSITY OF AFFORDABLE INSURANCE AND FINAN-
CIAL PRODUCTS THROUGHOUT THE STATE;
(3) RECOMMEND TO THE SUPERINTENDENT THE ESTABLISHMENT OF SUCH LAWS AS
MAY BE DEEMED NECESSARY, AND THE AMENDMENT OR REPEAL THEREOF, IN FURTH-
ERANCE OF THESE GOALS;
(4) RECOMMEND TO THE SUPERINTENDENT THE PROMULGATION OF ANY GUIDANCE
AND REGULATIONS, NOT INCONSISTENT WITH THE LAW, AS MAY BE DEEMED NECES-
SARY, AND THE AMENDMENT OR REPEAL THEREOF, IN FURTHERANCE OF THESE
GOALS; AND
(5) REPORT WITHIN THIRTY DAYS AFTER RECEIPT, ON ANY PROPOSED REGU-
LATIONS, AMENDMENTS THERETO, OR REPEAL THEREOF, PRIOR TO FINAL ACTION
THEREON BY THE SUPERINTENDENT.
(B) THE ADVISORY BOARD SHALL HAVE NO EXECUTIVE, ADMINISTRATIVE OR
APPOINTIVE POWERS OR DUTIES.
S 3. The insurance law is amended by adding a new section 203 to read
as follows:
S. 8068--A 3
S 203. STATE INSURANCE ADJUSTER ADVISORY BOARD. (A) THERE SHALL BE
WITHIN THE DEPARTMENT A STATE INSURANCE ADJUSTER ADVISORY BOARD TO WORK
WITH THE SUPERINTENDENT IN PROMOTING THE DEVELOPMENT AND GROWTH OF THE
INSURANCE INDUSTRY IN THE STATE AND ADDRESS OTHER ISSUES OF MUTUAL
CONCERN. THERE SHALL BE NINE MEMBERS OF THE ADVISORY BOARD WHO SHALL BE
APPOINTED BY THE SUPERINTENDENT. THE MEMBERSHIP SHALL CONSIST OF: THREE
PUBLIC INSURANCE ADJUSTERS; THREE INDEPENDENT INSURANCE ADJUSTERS; AND
THREE INSURANCE COMPANY STAFF ADJUSTERS. THE SUPERINTENDENT SHALL MAKE
RULES TO GOVERN THE METHOD BY WHICH INSURERS MAY NOMINATE PERSONS TO THE
BOARD AND THE PROCESS FOR SELECTING SUCH MEMBERS. THE TERM FOR EACH
MEMBER OF SUCH ADVISORY BOARD SHALL BE THREE YEARS, OR UNTIL A SUCCESSOR
IS APPOINTED AND VACANCIES SHALL BE FILLED FOR THE UNEXPIRED TERM ONLY.
THE BOARD SHALL MEET AT LEAST THREE TIMES ANNUALLY PURSUANT TO THE CALL
OF THE SUPERINTENDENT. THE MEMBERS OF THE ADVISORY BOARD SHALL RECEIVE
NO COMPENSATION NOR REIMBURSEMENT FOR EXPENSES. THE ADVISORY BOARD
SHALL:
(1) CONSIDER AND RECOMMEND WAYS TO MAINTAIN AND GROW THE INSURANCE
INDUSTRY OF THE STATE, PARTICULARLY FOCUSING ON THE DOMESTIC INSURANCE
INDUSTRY, INCLUDING BRINGING TO THE SUPERINTENDENT'S ATTENTION ISSUES OF
CONCERN TO THE INSURANCE INDUSTRY;
(2) CONSIDER AND RECOMMEND WAYS TO ENCOURAGE AND FACILITATE INSURANCE
INSTITUTIONS IN OFFERING A DIVERSITY OF AFFORDABLE INSURANCE AND FINAN-
CIAL PRODUCTS THROUGHOUT THE STATE;
(3) RECOMMEND TO THE SUPERINTENDENT THE ESTABLISHMENT OF SUCH LAWS AS
MAY BE DEEMED NECESSARY, AND THE AMENDMENT OR REPEAL THEREOF, IN FURTH-
ERANCE OF THESE GOALS;
(4) RECOMMEND TO THE SUPERINTENDENT THE PROMULGATION OF ANY GUIDANCE
AND REGULATIONS, NOT INCONSISTENT WITH THE LAW, AS MAY BE DEEMED NECES-
SARY, AND THE AMENDMENT OR REPEAL THEREOF, IN FURTHERANCE OF THESE
GOALS; AND
(5) REPORT WITHIN THIRTY DAYS AFTER RECEIPT, ON ANY PROPOSED REGU-
LATIONS, AMENDMENTS THERETO, OR REPEAL THEREOF, PRIOR TO FINAL ACTION
THEREON BY THE SUPERINTENDENT.
(B) THE ADVISORY BOARD SHALL HAVE NO EXECUTIVE, ADMINISTRATIVE OR
APPOINTIVE POWERS OR DUTIES.
S 4. This act shall take effect immediately.