2023 New York Laws › ISC - Insurance › Article 41 - Property/casualty Insurance Companies › 4103 - Stock Companies; Financial Requirements.

* §  4103.  Stock  companies;  financial requirements. (a) (1) A stock
property/casualty insurance company organized in the  manner  prescribed
in  subsection  (a)  of  section  one  thousand  two hundred one of this
chapter may be licensed under subsection (e) of section one thousand one
hundred two of this chapter to write one or more kinds of  insurance  as
specified  in  TABLE ONE upon meeting the applicable paid-in capital and
an additional amount of paid-in  surplus  for  each  kind  of  insurance
licensed,  in the aggregate at least equal to the requirements specified
in TABLE ONE and every such company shall thereafter maintain a  minimum
capital  at  least  equal  to the amount specified in this section and a
surplus to policyholders at least equal to the aggregate paid-in capital
specified in TABLE ONE for the kind or kinds of insurance licensed.
TABLE ONE
 
Kind of insurance specified
in the following numbered                      Paid-in        Paid-in
paragraphs of subsection                       Capital        Surplus
(a) of § 1113:
Group A:
 
7                                              $300,000       $150,000
8, 9, 10, 11, or 14 - for each such kind       $100,000       $ 50,000
13 or 15 - for each such kind                  $500,000       $250,000
16                                             $900,000       $450,000
17                                             $400,000       $200,000
Basic additional amount
required  for  any  one
or  more  of  the above
kinds of insurance                             $100,000       $ 50,000
3(i), 3(ii), 6{1} or 12{2} - for each
such kind                                      $100,000       $ 50,000
22                                             $2,000,000     $1,000,000
24                                             $400,000       $200,000
26(B)                                          $200,000       $100,000
26(A), 26(C) or 26(D) -
for each such kind                             $600,000       $300,000
27                                             $300,000       $150,000
28                                             $2,000,000     $1,000,000
30                                             $400,000       $200,000
31                                             $100,000       $ 50,000
32                                             $100,000       $ 50,000
33                                             $100,000       $ 50,000
Group B:
 
4{3} or 20{4} - for each such kind             $500,000       $500,000
Notes to TABLE ONE
{1}  If licensed to write paragraph 4, no additional  paid-in  capital
and surplus is required.
{2}  If  licensed  to  write  paragraph 4 or 20, no additional paid-in
capital and surplus is required.
{3}  If licensed to write paragraph 4, no additional  paid-in  capital
and  surplus  is required for a license to write paragraphs 5, 6, 12, 19
and 20 (inland marine only).
{4}  If licensed to write paragraph 20, no additional paid-in  capital
and surplus is required for a license to write paragraphs 12, 19 and 21.
(2)  A stock property/casualty insurance company licensed to write one
or more of the kinds of insurance as specified in TABLE  ONE,  Group  A,
and  having a minimum capital of one million dollars, may be licensed to
write any other kind of insurance specified in TABLE ONE, Group A,  upon
at  least  having  an  initial  surplus  to  policyholders  equal to the
aggregate of the paid-in capital and paid-in surplus specified in  TABLE
ONE for the kinds of insurance for which it is to be licensed, and shall
thereafter  maintain  a  surplus  to policyholders at least equal to the
aggregate paid-in capital prescribed in  TABLE  ONE  for  the  kinds  of
insurance licensed or one million dollars, whichever is greater.
(3)  A stock property/casualty insurance company licensed to write any
kind of insurance specified in TABLE ONE, Group A, must have  a  minimum
capital  of  one  million  dollars  and  a  surplus  to policyholders as
specified in this paragraph before being licensed to write  either  kind
of  insurance  specified  in  Group  B. If licensed to write the kind or
kinds of insurance specified in TABLE ONE, Group B, it may, in  addition
write  any  one or more kinds of insurance specified in TABLE ONE, Group
A, provided it has a minimum  capital  of  one  million  dollars  and  a
surplus  to  policyholders  as  specified in this paragraph before being
licensed to write any other kind or  kinds  of  insurance  specified  in
TABLE  ONE, Group A. Every such company shall have an initial surplus to
policyholders at least equal to the aggregate of the paid-in capital and
paid-in surplus specified in TABLE ONE for the kinds  of  insurance  for
which  it  is  to be licensed and shall thereafter maintain a surplus to
policyholders at least equal to the aggregate paid-in capital prescribed
in TABLE ONE for the kinds of insurance licensed or one million  dollars
whichever is greater.
(4)   A  stock  property/casualty  insurance  company  licensed  under
subsection (c) of section four thousand one hundred two of this  article
to reinsure risks or write insurance on risks outside the United States,
its   territories   and   possessions,   must   maintain  a  surplus  to
policyholders of at least thirty-five million dollars.
(5) The dollar amounts set forth in paragraphs one (except the  dollar
amounts  set forth for paragraphs (22), (24) and (26)), two and three of
this subsection shall be reduced by fifty percent for a  domestic  stock
property/casualty insurance company initially licensed to do business in
this state prior to July first, nineteen hundred eighty-two.
(b)  No  foreign  stock  property/casualty  insurance company shall be
granted a license to do business in this state unless it has  a  paid-in
capital  and  surplus  at  least  equal,  respectively,  to  the amounts
required by subsection (a) hereof for the  organization  of  a  domestic
company  to write the same kind or kinds of insurance which such foreign
company is to be licensed to write in this state, and every such company
shall  thereafter  maintain  a  minimum  capital  and   a   surplus   to
policyholders  at  least  equal  to  the  amount  required of a domestic
company licensed for the same kind or kinds of insurance.
(c) No  alien  stock  property/casualty  insurance  company  shall  be
granted a license to write any kind of insurance specified in TABLE ONE,
Group  A,  except as permitted by the provisions of notes {1} and {2} to
TABLE ONE, unless it has a trusteed surplus, as defined in  section  one
thousand  three hundred twelve of this chapter, at least equal in amount
to one hundred fifty percent of the paid-in capital set forth  in  TABLE
ONE  for  such  kind  or  kinds  of  insurance, nor to write any kind of
insurance specified in TABLE ONE, Group B, unless it has such a trusteed
surplus at least equal in amount to two hundred percent of  the  paid-in

capital  set  forth  in  TABLE  ONE for such kind or kinds of insurance.
Every such insurer shall thereafter maintain a trusteed surplus at least
equal to the paid-in capital set forth in TABLE ONE  for  such  kind  or
kinds of insurance.
(d)  The  financial  requirements specified in subsections (b) and (c)
hereof shall be reduced by fifty percent for a foreign  or  alien  stock
property/casualty insurance company initially licensed to do business in
this  state  prior  to July first, nineteen hundred eighty-two, but such
reduction shall not apply to such a foreign or  alien  insurer  licensed
under  subsection  (c)  of section four thousand one hundred two of this
article to reinsure risks or write insurance on risks outside the United
States, its territories and possessions. Such reduction shall  also  not
apply  to the financial requirements specified in subsection (a) of this
section  in  order  to  write  paragraph  twenty-two,   twenty-four   or
twenty-six.
 
* SPECIAL NOTE.--Notwithstanding that Chapter 585 of the Laws of 1984:
Bill sections 2, 3, 5, 6, 7, and 9 of such chapter amend provisions of
the former Insurance Law that are not possible to juxtapose at this time
due  to the highly technical nature of such changes and will need future
corrective  legislation  to  implement  such  provisions  into  the  new
Insurance Law as enacted by such Chapter 367 of the Laws of 1984.