NY Ins L § 6704 (2021)
2021 New York Laws ISC - Insurance Article 67 - Nonprofit Property/casualty Insurance Companies 6704 - Licensing of Nonprofit Property/casualty Insurance Companies.

§  6704. Licensing of nonprofit property/casualty insurance companies. (a) No person, firm, corporation or association  as  an  underwriter  or underwriters,  and  no  nonprofit  property/casualty  insurance company, shall do any insurance business in this state, unless authorized  to  do so pursuant to the provisions of this article.  (b) The superintendent may pursuant to this article issue a license to a  nonprofit  property/casualty insurance company that is organized as a charitable corporation as  defined  in  paragraph  (a)  of  section  one hundred  two (Definitions) of the not-for-profit corporation law if such company:  (1) complies with (A)  the  applicable  requirements  of  section  one thousand  one  hundred  two  of  this chapter, and (B) the provisions of article forty-one of this chapter applicable to stock  property/casualty insurance  companies  (other  than  sections  four  thousand one hundred three, four thousand one hundred five  and  four  thousand  one  hundred nineteen)   and,  in  each  case,  the  rules  and  regulations  of  the superintendent promulgated  pursuant  thereto  except  insofar  as  such provisions  of  law,  rules and regulations may be inconsistent with the provisions of this article, and  (2) has an initial surplus to policyholders  at  least  equal  to  the amount  of  applicable  paid-in capital and additional amount of paid-in surplus required by paragraph one of  subsection  (a)  of  section  four thousand  one  hundred  three  of  this  chapter  for  a newly organized domestic stock property/casualty insurance company doing the  same  kind or kinds of insurance business.   Thereafter,  every  such nonprofit property/casualty insurance company shall maintain a surplus to policyholders at least equal to  the  amount of applicable paid-in capital required to be maintained by paragraph one of  subsection  (a)  of  section four thousand one hundred three of this chapter for a domestic stock property/casualty insurance  company  doing the same kind or kinds of insurance business.  (c)   The   superintendent   may   issue  a  license  to  a  nonprofit property/casualty insurance company pursuant to this article that  is  a nonprofit  reciprocal insurer organized pursuant to article sixty-one of this chapter if such company complies with the requirements  of  section one  thousand  one  hundred two of this chapter and article sixty-one of this chapter and, in  each  case,  the  rules  and  regulations  of  the superintendent  promulgated  pursuant  thereto  except  insofar  as such provisions of law, rules and regulations may be  inconsistent  with  the provisions  of this article and except that the provisions of subsection (a) of section six thousand one hundred four of this chapter  shall  not apply with respect to nonprofit organizations that are or seek to become subscribers  of  such  a  nonprofit property/casualty insurance company, provided that  such  a  nonprofit  property/casualty  insurance  company either  (1)  has  an  initial  surplus  to  policyholders and thereafter maintains a surplus to policyholders in  an  amount  acceptable  to  the superintendent  which  amount  shall  be  substantially greater than the initial surplus to policyholders and  surplus  to  policyholders  to  be maintained  by  a  reciprocal  insurer  under  article sixty-one of this chapter, or (2) submits a reinsurance or  other  financial  plan,  which adequately  addresses  the  provisions  of subsection (a) of section six thousand one hundred four of this chapter and which reinsurance or other financial plan is acceptable to the superintendent.  (d) Every license to engage in an insurance  business  issued  by  the superintendent  to  any  nonprofit  property/casualty  insurance company pursuant to the provisions of this article shall specify  the  company's name,  the  location  of  its  principal  office, the name and principal address of its attorney-in-fact, if  any,  and  the  kind  or  kinds  of  insurance  business  specified in terms of subsection (a) of section one thousand one hundred thirteen of this chapter, which it is authorized to engage in in this state.