Assembly Bill A5665

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5665
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 19, 2025
                                ___________
 
 Introduced  by M. of A. STERN -- read once and referred to the Committee
   on Insurance
 
 AN ACT to amend the insurance law, in relation to the redomestication of
   insurance companies
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. Section 7120 of the insurance law, as amended by chapter 48
 of the laws of 2009, is amended to read as follows:
   §  7120.  Redomestication  of [foreign] insurance companies. (a) Defi-
 nitions.  In this section:
   (1) "Redomestication" means the transfer to this state of  the  corpo-
 rate domicile of an authorized foreign company OR THE TRANSFER FROM THIS
 STATE  OF  THE CORPORATE DOMICILE OF A DOMESTIC COMPANY, as provided for
 in this section.
   (2) "Transferring company"  means  any  authorized  [foreign]  company
 seeking redomestication.
   (b) A transferring company TRANSFERRING TO THIS STATE shall:
   (1)  file  with  the  superintendent  a  certificate  in  such form as
 prescribed by the superintendent signed  by  the  insurance  supervisory
 official  of  the  state  where  such  transferring company is domiciled
 approving the proposed redomestication and confirming that upon redomes-
 tication the transferring company shall no longer be subject as a domes-
 tic company to the requirements of its current state of domicile;
   (2) comply with the applicable requirements of this chapter  regarding
 the organization and licensing of a domestic company of the same type;
   (3)  demonstrate  to  the satisfaction of the superintendent that upon
 redomestication, the transferring company will be in compliance with the
 requirements of this chapter and any regulations promulgated  thereunder
 applicable to a domestic company of the same type;
   (4)  submit  to the superintendent all documents and filings necessary
 to comply with paragraphs two and three of this subsection; and

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD04336-01-5
              

 A. 5665                             2
 
   (5) submit new policy forms to the superintendent for use after  redo-
 mestication, if so ordered by the superintendent, or use existing policy
 forms with appropriate endorsements if allowed by, and under such condi-
 tions as approved by, the superintendent.
   (c) A TRANSFERRING COMPANY TRANSFERRING FROM THIS STATE:
   (1)  UPON THE APPROVAL OF THE SUPERINTENDENT, TRANSFER ITS DOMICILE TO
 ANY OTHER STATE IN WHICH IT IS ADMITTED  TO  TRANSACT  THE  BUSINESS  OF
 INSURANCE,  AND  UPON  SUCH  A  TRANSFER IT SHALL CEASE TO BE A DOMESTIC
 COMPANY, AND SHALL BE AUTHORIZED IN  THIS  STATE,  IF  QUALIFIED,  AS  A
 FOREIGN  INSURER.   THE SUPERINTENDENT SHALL APPROVE THE TRANSFER UNLESS
 HE OR SHE DETERMINES THE TRANSFER IS NOT IN THE INTEREST OF THE  POLICY-
 HOLDERS OF THIS STATE; AND
   (2)  MAY CONTINUE ISSUING POLICY FORMS APPROVED BEFORE REDOMESTICATION
 PURSUANT TO SECTION THREE THOUSAND TWO HUNDRED ONE OF THIS CHAPTER  WITH
 SUCH  ENDORSEMENT, IF ANY, AS THE SUPERINTENDENT DETERMINES IS NEEDED TO
 REFLECT THE REDOMESTICATION.
   (D) After the transferring company has complied with the provisions of
 this section, the superintendent may, in  accordance  with  section  one
 thousand  one  hundred  two  of  this chapter issue a new license to the
 transferring company to reflect the change in  its  state  of  corporate
 domicile.  The  duration of its license shall be governed by section one
 thousand one hundred three of this chapter. Upon issuance  of  such  new
 license  the redomestication shall become effective and the transferring
 company  shall  be  a  domestic  company  OR  A  FOREIGN   COMPANY,   AS
 APPROPRIATE.
   [(d)] (E) Simultaneous with the redomestication taking effect:
   (1) all materials and documents that were submitted to the superinten-
 dent  by  the  transferring company pursuant to the requirements of this
 section shall be filed in the office of the  superintendent  SUBJECT  TO
 SUBSECTION (H) OF THIS SECTION; and
   (2)  FOR A TRANSFERRING COMPANY TRANSFERRING TO THIS STATE, the super-
 intendent shall, in accordance with section one thousand two hundred one
 or other applicable provisions of this chapter issue to  the  company  a
 certified  copy  of its new declaration and charter and a certificate of
 incorporation. The new charter  of  the  company  may  provide  for  the
 continuation  of the corporate existence of the transferring company and
 in such case the original date  of  incorporation  of  the  transferring
 company shall be the date of incorporation of the new domestic company.
   [(e)]  (F)  All  outstanding  insurance  policies  and contracts shall
 remain in full force and effect with no change and need not be  endorsed
 as  to  the  new name of the company, if any, or its new location unless
 ordered by the superintendent.
   [(f)] (G) All agents' appointments  and  licenses,  rates,  and  other
 items that the superintendent allows, existing at the time of redomesti-
 cation,  shall  continue  in  full  force  and effect in accordance with
 applicable provisions of this chapter.
   (H) THE SUPERINTENDENT SHALL KEEP THE CONTENTS OF ANY REPORT OR INFOR-
 MATION THE SUPERINTENDENT REQUIRES PURSUANT TO THIS SECTION, AND THAT IS
 NOT OTHERWISE REQUIRED TO BE SET FORTH IN A PUBLICLY AVAILABLE REPORT OR
 FILING, CONFIDENTIAL IN ACCORDANCE WITH THE PROVISIONS OF SUBSECTION (C)
 OF SECTION ONE THOUSAND FIVE HUNDRED FOUR OF THIS CHAPTER.
   § 2. This act shall take effect immediately.