N.Y. ISC Law § 1112 — New York Code / Act ISC / Article 11 / Section 1112
Reciprocal provisions as to taxes, license fees, deposits, and other requirements
Status: in_force

§ 1112. Reciprocal provisions as to taxes, license fees, deposits, and\nother requirements. (a) (1) If, by the laws, or the action of any public\nofficial, of any other state, any insurer organized or domiciled in this\nstate, or its duly authorized agents, shall be, required to deposit\nsecurities in such other state to protect policyholders or for any other\npurpose, or shall be required to pay taxes, fines, penalties, fees for\nlicenses or certificates of authority or any other sum for the privilege\nof doing business in such other state, or shall be subjected to any\nrestrictions, obligations, conditions or penalties, imposed for such\nprivilege, and such requirements are greater than those required of\nsimilar insurers organized or domiciled in such other state by the laws\nof this state for the privilege of doing business herein, then all\nsimilar insurers organized or domiciled in such other state and their\nduly authorized agents in this state shall make like deposits for like\npurposes with the superintendent, and pay him for taxes, fines,\npenalties, fees for licenses or certificates of authority or for any\nother requirement for the privilege of doing business in this state, an\namount determined in the manner prescribed by such other state, and\nshall be subjected to such greater requirements imposed by such other\nstate upon similar insurers of this state and their duly authorized\nagents.\n  (2) (i) For the amount due under this subsection for the calendar year\nnineteen hundred eighty-nine, an initial payment shall be made by each\ninsurer subject to this subsection of an amount equal to the lesser of\n(a) ninety percent of the amount finally determined to be due under this\nsubsection for the calendar year nineteen hundred eighty-seven or (b)\neighty percent of the amount finally determined to be due under this\nsubsection for the calendar year nineteen hundred eighty-nine. Such\ninitial payment shall be made on or before March fifteenth, nineteen\nhundred ninety.\n  (ii) For the amount due under this subsection for calendar years after\nnineteen hundred eighty-nine, an estimated payment shall be due and\npayable on or before the fifteenth day of December. This payment shall\nbe equal to the lesser of (a) ninety percent of the amount finally\ndetermined to be due under this subsection for the second preceding\ncalendar year or (b) eighty percent of the amount finally determined to\nbe due under this subsection for the calendar year.\n  (iii) If any insurer fails to pay all or any part of the initial\npayment or estimated payment due pursuant to subparagraph (i) or (ii) of\nthis paragraph, it shall be deemed to have made an underpayment. There\nshall be added to the amount due pursuant to paragraph one of this\nsubsection, an amount at the rate set for underpayments by the\ncommissioner of taxation and finance pursuant to section one thousand\nninety-six of the tax law, minus four percentage points, or if no rate\nis set, at the rate of six percent per annum upon the amount of the\nunderpayment for the period of the underpayment. In computing the amount\nof any interest required to be paid, such interest shall not be\ncompounded. The amount of the underpayment shall be, with respect to the\ninitial payment or any estimated payment, the excess of the amount\nrequired to be paid over the amount, if any, paid on or before the last\nday prescribed for such payment. If the superintendent demands payment\nof the initial payment or any estimated payment, and if such amount is\npaid within ten days after the date of such demand, interest on the\namount so paid shall not be imposed for the period after the date of\nsuch demand. No portion of the interest imposed pursuant to this\nsubparagraph may be waived.\n  (iv) Notwithstanding the provisions of section sixteen of the state\nfinance law, interest shall be allowed and paid at the rate set for\noverpayments by the commissioner of taxation and finance pursuant to\nsection one thousand ninety-six of the tax law, or if no rate is set, at\nthe rate of six percent per annum upon any overpayment, from the date\npayment was due to a date (to be determined by the superintendent)\npreceding the date of a refund check by not more than thirty days. In\nthe case of a payment which is made after the last date prescribed for\npayment of such payment, no interest shall be allowed or paid for any\nday before the date on which the payment was made. In computing the\namount of interest required to be paid, such interest shall not be\ncompounded. No interest shall be allowed or paid if the amount thereof\nis less than one dollar.\n  (v) If the period for which the amount is imposed pursuant to\nparagraph one of this subsection is less than twelve months, every\ninsurer shall make estimated payments in accordance with regulations of\nthe superintendent.\n  (b) If the superintendent finds that by the laws or official acts of\nany foreign country, insurers organized in this state are arbitrarily\ndenied the privilege of doing business in such foreign country, or are\nsubjected to unreasonable requirements therein, he may revoke the\nlicenses of all insurers of such country doing business in this state,\nand may refuse to issue licenses to every insurer of such country\nthereafter applying for a license to do business in this state, or in\nlieu thereof, he may impose like requirements upon every insurer of such\ncountry, until he shall find that such arbitrary denial or unreasonable\nrequirements no longer apply.\n  (c) If, by the existing or future laws of any other state, any broker\nresident within this state and duly licensed as such under this chapter\nmay not be licensed as a broker in such other state, then no broker\nresident in such other state shall be licensed as a broker within this\nstate, anything in this chapter to the contrary notwithstanding. If a\nlicense fee exceeding forty dollars per annum is imposed by any other\nstate for issuing a license to a broker resident within this state, or\nthe amount of commissions which may be paid to such broker on premiums\non risks located in any other state shall be limited under the laws of\nsuch state, then, all brokers resident in such other state shall upon\nbeing licensed in this state pay a like fee in lieu of that prescribed\nby this chapter, and insurance companies authorized to transact business\nin this state shall not pay to any such nonresident broker any\ncommissions on premiums on risks located in this state exceeding those\nwhich the laws of such other state permit brokers of this state to\nreceive on premiums on risks located in such other state.\n  * (d) (1) Should the insurance department, commissioner, director, or\nother similar insurance regulatory official of any other state or\nterritory of the United States impose any sanctions, fines, penalties,\nfinancial or deposit requirements, prohibitions, restrictions,\nregulatory requirements, or other obligations of any kind upon any\ninsurance company organized or chartered in this state and licensed to\ntransact business in such other state or territory, because of the\nfailure of the New York insurance department to obtain, maintain, or\nreceive accreditation certification or any similar form of approval,\ncompliance, or acceptance from, by, or as a member of the National\nAssociation of Insurance Commissioners, or any committee, task force,\nworking group, or advisory committee thereof, or because of the failure\nof the department to comply with any directive, financial annual\nstatement requirement, model act or regulation, market conduct or\nfinancial examination report or requirement, or any report of any kind\nof the National Association of Insurance Commissioners, or any\ncommittee, task force, working group, or advisory committee thereof, the\nsuperintendent shall without exception or exclusion, impose upon any and\nall insurance companies organized or chartered in such other state or\nterritory and licensed to do business in this state the same sanctions,\nfines, penalties, financial or deposit requirements, prohibitions,\nrestrictions, regulatory requirements, or other obligations imposed upon\nthe insurance companies of this state.\n  (2) To the extent that it would be detrimental to the adequate and\nproper regulation of insurance in this state to use existing employees\nor resources of the department in order to comply in a timely manner\nwith paragraph (1) of this subsection, the superintendent may engage\nsuch other qualified persons and services as may be necessary. The\nsuperintendent shall recover all of the costs of such compliance in the\nmanner prescribed in section 313 of the insurance law.\n  * NB Expired March 31, 1995\n  * (e) The provisions of this section shall not apply to insurance\ncompanies organized or domiciled in a state or country whose laws do not\nimpose retaliatory taxes or other charges or which grant, on a\nreciprocal basis, exemptions therefrom to insurance companies organized\nor domiciled in this state.\n  * NB Expired March 31, 1995, relettering expired on such date is\nactually (d) from 367/84 on such date\n