senate Bill S1092B

2015-2016 Legislative Session

Provides protection to certain retirees from pension de-risking transactions

download bill text pdf

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Archive: Last Bill Status - In Senate Committee Insurance Committee


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Actions

view actions (6)
Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jan 06, 2016 referred to insurance
Jun 11, 2015 print number 1092b
Jun 11, 2015 amend and recommit to insurance
Mar 11, 2015 print number 1092a
Mar 11, 2015 amend (t) and recommit to insurance
Jan 08, 2015 referred to insurance

Co-Sponsors

S1092 - Details

See Assembly Version of this Bill:
A6796
Current Committee:
Senate Insurance
Law Section:
Insurance Law
Laws Affected:
Add §3219-a, Ins L; amd §5205, CPLR
Versions Introduced in Other Legislative Sessions:
2013-2014: S6150
2017-2018: S1358, A7071
2019-2020: S4864, A5818

S1092 - Summary

Provides protection to certain retirees from de-risking pension transactions.

S1092 - Sponsor Memo

S1092 - Bill Text download pdf

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

                                  1092

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                             January 8, 2015
                               ___________

Introduced  by Sens. AVELLA, HOYLMAN, KRUEGER, MARCHIONE, SAVINO -- 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 providing protection
  to certain retirees from pension de-risking transactions

  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 3219-a
to read as follows:
  S  3219-A.  PENSION  DE-RISKING  TRANSACTIONS WITH AN ANNUITY. (A) ANY
ANNUITY ISSUED BY AN INSURANCE COMPANY LICENSED TO DO BUSINESS  IN  THIS
STATE  WHICH  SELLS  AN  ANNUITY INTENDED TO PROVIDE PENSION BENEFITS TO
RETIREES OF ANY COMPANY, CORPORATION, LIMITED LIABILITY COMPANY OR ASSO-
CIATION SHALL INCLUDE THE FOLLOWING PROVISIONS, INCLUDING BUT NOT LIMIT-
ED TO:
  (1) MANDATORY DISCLOSURES, REGULATORY APPROVAL AND AN  OPPORTUNITY  TO
CHALLENGE OR OPT OUT OF ANY PENSION DE-RISKING TRANSACTION THAT ATTEMPTS
TO  TRANSFER  RETIREE BENEFITS FROM A FEDERAL EMPLOYEE RETIREMENT INCOME
SECURITY ACT ("ERISA") PROTECTED PLAN TO A SUBSTITUTE  BENEFIT  PROVIDER
NOT COVERED UNDER ERISA;
  (2) SUPPLEMENTAL PROTECTIONS IN THE FORM OF A THIRD PARTY GUARANTEE OR
REINSURANCE CONTRACT SO AS TO EQUAL THE SCOPE OF COVERAGE OFFERED BY THE
PENSION  BENEFIT GUARANTY CORPORATION ("PBGC") AFTER AN ANNUITY PROVIDER
INSOLVENCY AND SUBSEQUENT DETERMINATION OF  ANY  SHORTFALLS  THAT  MIGHT
ARISE  AFTER  NEW  YORK  LIFE  AND HEALTH INSURANCE GUARANTY ASSOCIATION
("NYLHIGA") CONTRIBUTIONS ARE DETERMINED SO  SELECT  RETIREES  WITHIN  A
PLAN ARE NOT UNFAIRLY DISCRIMINATED AGAINST;
  (3) THE PROVISION OF ADDITIONAL PROTECTIONS INCLUDING, BUT NOT LIMITED
TO,  MANDATORY DISCLOSURES BY THE TRANSFERRING ENTITY AND THE SUBSTITUTE
PENSION BENEFIT PROVIDER, UNIFORM FIDUCIARY STANDARDS  AND  DISCLOSURES,

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02147-01-5

Co-Sponsors

view additional co-sponsors

S1092A - Details

See Assembly Version of this Bill:
A6796
Current Committee:
Senate Insurance
Law Section:
Insurance Law
Laws Affected:
Add §3219-a, Ins L; amd §5205, CPLR
Versions Introduced in Other Legislative Sessions:
2013-2014: S6150
2017-2018: S1358, A7071
2019-2020: S4864, A5818

S1092A - Summary

Provides protection to certain retirees from de-risking pension transactions.

S1092A - Sponsor Memo

S1092A - Bill Text download pdf

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

                                 1092--A

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                             January 8, 2015
                               ___________

Introduced  by Sens. AVELLA, HOYLMAN, KRUEGER, MARCHIONE, SAVINO -- read
  twice and ordered printed, and when printed to  be  committed  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  providing  protection
  to certain retirees from pension de-risking transactions; and to amend
  the  civil  practice  law and rules, in relation to statutorily exempt
  payments

  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 3219-a
to read as follows:
  S  3219-A.  PENSION  DE-RISKING  TRANSACTIONS WITH AN ANNUITY. (A) ANY
INSURER ISSUING AN ALLOCATED OR UNALLOCATED GROUP ANNUITY CONTRACT TO AN
EMPLOYER OR AN EMPLOYEE DEFINED PENSION BENEFIT PLAN  ON  BEHALF  OF  AN
EMPLOYER,  FOR THE PURPOSE OF PROVIDING RETIREMENT BENEFITS TO EMPLOYEES
OR FORMER EMPLOYEES ("RETIREES") OF THE EMPLOYER, WHICH ANNUITY BENEFITS
WILL NO LONGER BE PROTECTED UNDER THE FEDERAL EMPLOYEE RETIREMENT INCOME
SECURITY ACT OF 1974 ("ERISA") AND THE FEDERAL PENSION BENEFIT  GUARANTY
CORPORATION  ("PBGC")  SHALL  PROVIDE  THE  FOLLOWING INFORMATION TO THE
RETIREES PURSUANT TO REGULATIONS ADOPTED BY THE SUPERINTENDENT:
  (1) A CLEAR STATEMENT THAT PAYMENTS TO  ANNUITANTS  UNDER  AN  ANNUITY
CONTRACT  ISSUED  PURSUANT TO THIS SECTION ARE EXEMPT FROM THE CLAIMS OF
CREDITORS;
  (2) A STATEMENT THAT THE RETIREES WILL NO LONGER HAVE PROTECTION UNDER
ERISA AND THE PBGC;
  (3) THE IDENTITY AND CONTACT INFORMATION FOR THE  NEW  YORK  LIFE  AND
HEALTH  INSURANCE GUARANTY ASSOCIATION, OR ANY SUBSTITUTE OR REPLACEMENT
GUARANTY ASSOCIATION THAT PROVIDES COVERAGE TO  ANNUITANTS  RESIDING  IN
NEW YORK IN THE EVENT OF THE INSURER'S FINANCIAL IMPAIRMENT OR INSOLVEN-
CY,  AS  SET  FORTH  ON A PUBLICLY AVAILABLE WEBSITE SUCH AS THE WEBSITE

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02147-03-5

Co-Sponsors

view additional co-sponsors

S1092B (ACTIVE) - Details

See Assembly Version of this Bill:
A6796
Current Committee:
Senate Insurance
Law Section:
Insurance Law
Laws Affected:
Add §3219-a, Ins L; amd §5205, CPLR
Versions Introduced in Other Legislative Sessions:
2013-2014: S6150
2017-2018: S1358, A7071
2019-2020: S4864, A5818

S1092B (ACTIVE) - Summary

Provides protection to certain retirees from de-risking pension transactions.

S1092B (ACTIVE) - Sponsor Memo

S1092B (ACTIVE) - Bill Text download pdf

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

                                 1092--B

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                             January 8, 2015
                               ___________

Introduced by Sens. AVELLA, ADDABBO, HOYLMAN, KRUEGER, MARCHIONE, SAVINO
  -- read twice and ordered printed, and when printed to be committed to
  the  Committee  on  Insurance  --  committee discharged, bill amended,
  ordered reprinted as amended and  recommitted  to  said  committee  --
  committee  discharged,  bill amended, ordered reprinted as amended and
  recommitted to said committee

AN ACT to amend the insurance law, in relation to  providing  protection
  to certain retirees from pension de-risking transactions; and to amend
  the  civil  practice  law and rules, in relation to statutorily exempt
  payments

  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 3219-a
to read as follows:
  S  3219-A.  PENSION  DE-RISKING  TRANSACTIONS WITH AN ANNUITY. (A) FOR
PURPOSES OF THIS SECTION: (1) "EMPLOYER" MEANS  ANY  PERSON  ENGAGED  IN
BUSINESS  IN  THIS  STATE  WHO  HAS  TWO OR MORE EMPLOYEES, BUT DOES NOT
INCLUDE THE STATE OR ANY POLITICAL SUBDIVISION THEREOF;
  (2) "EMPLOYEE PENSION BENEFIT PLAN" MEANS AN "EMPLOYEE PENSION BENEFIT
PLAN", AS DEFINED IN 29 USC 1002(2)(A); AND
  (3)  "PENSION  DE-RISKING  TRANSACTION"  MEANS  ANY  TRANSACTION  THAT
INVOLVES  THE  TRANSFER  OF  PENSION BENEFITS (NOT INCLUDING HEALTH CARE
BENEFITS) FROM A PENSION PLAN PROTECTED UNDER  THE  EMPLOYEE  RETIREMENT
INCOME  SECURITY  ACT ("ERISA") TO A SUBSTITUTE PENSION BENEFIT PROVIDER
SUCH AS AN INSURANCE COMPANY LICENSED AND REGULATED UNDER STATE LAW.
  (B) ANY INSURER ISSUING AN  ALLOCATED  OR  UNALLOCATED  GROUP  ANNUITY
CONTRACT  TO  AN EMPLOYER OR AN EMPLOYEE DEFINED PENSION BENEFIT PLAN ON
BEHALF OF AN EMPLOYER, FOR THE PURPOSE OF PROVIDING RETIREMENT  BENEFITS
TO  EMPLOYEES  OR  FORMER  EMPLOYEES ("RETIREES") OF THE EMPLOYER, WHICH
ANNUITY BENEFITS WILL NO LONGER BE PROTECTED UNDER THE FEDERAL  EMPLOYEE
RETIREMENT INCOME SECURITY ACT OF 1974 ("ERISA") AND THE FEDERAL PENSION

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02147-05-5

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