NY Ins L § 1312 (2021)
2021 New York Laws ISC - Insurance Article 13 - Assets and Deposits 1312 - Trusteed Surplus of Alien Insurers; Impairment.

§  1312.  Trusteed  surplus of alien insurers; impairment.  (a) (1) In addition to other requirements of this chapter  every  authorized  alien insurer  shall, not later than the first day of March in each year, file with the superintendent a statement (herein called a  "trusteed  surplus statement"), on a form prescribed by him, showing at last year-end:  (A)  all  its general state deposits, meaning assets within the United States deposited with officers of any state in trust for the security of all its policyholders, or policyholders and creditors, within the United States;  (B) all its special state deposits, meaning assets within  the  United States deposited with officers of any state in trust for the security of its  policyholders,  or  policyholders  and  creditors,  in a particular state;  (C) all its trusteed assets, meaning assets within the  United  States held by a trustee or trustees for the security of all its policyholders, or policyholders and creditors, within the United States;  (D)  if  a  life  insurance company, the amount of its policy loans to policyholders within the United States, not exceeding the amount of  the legal reserve required on each such policy;  (E)  all its reserves and other liabilities arising out of policies or obligations issued, assumed or incurred in the United States; and  (F) such  further  information  as  may  be  necessary  to  apply  the provisions of this section.  (2)  In determining the net amount of the insurer's liabilities in the United States, a deduction may be made: (i) for  reinsurance  on  losses with  authorized  insurers,  less  unpaid  reinsurance  premiums, with a schedule showing by companies the amount deducted, and (ii) for unearned premiums on agents' balances  or  uncollected  premiums  not  more  than ninety  days  past due. Any liability on an asset not considered in such statement may be applied against such asset.  (3) No credit shall be allowed in such statement for any special state deposit  held  for  the   exclusive   benefit   of   policyholders,   or policyholders and creditors, of any particular state except as an offset against the liabilities of such alien insurer in such state.  (4) The accrued interest at date of statement on assets deposited with states  and  trustees  shall  be  allowed  in such statement, where such interest is collected by the states or trustees.  (b) (1) Such trusteed surplus statement shall be signed  and  verified by  the  United  States  manager,  attorney-in-fact, or a duly empowered assistant United States manager, of the  alien  insurer.  The  items  of securities  and other property held under trust deeds shall be certified to by the United States trustee or trustees. The superintendent  may  at any  time  require a further statement of the same kind and of such date as he may determine.  (2) Every report on examination of the  United  States  branch  of  an alien  insurer shall include a trusteed surplus statement as of the date of examination in addition to the general  statement  of  the  financial condition of such United States branch.  (c)  (1)  The  aggregate value of the insurer's general state deposits and trusteed assets  less  the  aggregate  net  amount  of  all  of  its liabilities   and  reserves  in  the  United  States  as  determined  in accordance with this section shall be known as its "trusteed surplus" in the United States. Whenever it appears to the  superintendent  from  any such statement or any report that an alien insurer's trusteed surplus is reduced  below  the  greater  of the minimum capital required of, or the minimum surplus  to  policyholders  required  to  be  maintained  by,  a domestic  insurer  licensed  to transact the same kinds of insurance, he shall determine the amount of such impairment  and  order  the  insurer,  through  its  United  States  manager  or  attorney,  to  eliminate such impairment within such period as he designates,  not  more  than  ninety days  from  service of the order. He may also by order revoke or suspend such  insurer's  license or prohibit it from issuing new policies in the United States while such impairment exists.  (2) If at the expiration of such designated period  such  insurer  has not   satisfied   the  superintendent  that  such  impairment  has  been eliminated, the superintendent may proceed against such insurer pursuant to the provisions of article seventy-four of this chapter as an  insurer whose  condition is such that its further transaction of business in the United States will be hazardous to its policyholders, its  creditors  or the public in the United States.