reglab/statecodes huggingface dataset:
2023 New York Laws › ISC - Insurance › Article 61 - Reciprocal Insurers and Lloyds Underwriters › 6116 - Lloyds Underwriters.

§  6116.  Lloyds  underwriters.  (a)  Any existing Lloyds underwriters
heretofore organized under any law of this state and authorized to do an
insurance business herein, which has exercised  its  powers  of  issuing
insurance policies continuously during each of the two years immediately
prior  to  January  first, nineteen hundred forty, may, by maintaining a
minimum surplus at least equal to the amount maintained prior to January
first, nineteen hundred forty, continue to do an insurance  business  in
this state of the kind or kinds which it was authorized to do on January
first,  nineteen hundred forty, and shall be entitled to exercise all of
the powers granted by its existing charter or articles of association.
(b) Except as  the  context  otherwise  requires,  every  such  Lloyds
underwriters  shall  be subject to all of the provisions of this chapter
which are applicable to reciprocal insurers.
(c) No Lloyds underwriters shall hereafter be organized in this  state
and  no  foreign or alien Lloyds underwriters shall be licensed to do an
insurance business in this state.
(d) This section shall not alter or abridge any rights of the New York
insurance exchange as set forth in article sixty-two of this chapter.
2023 New York Laws › ISC - Insurance › Article 62 - New York Insurance Exchange › 6201 - New York Insurance Exchange.

§   6201.   New  York  insurance  exchange.  (a)  Notwithstanding  the
provisions of section six thousand one hundred sixteen of this  chapter,
the  New  York  insurance  exchange, shall be continued, subject to such
regulations as may be promulgated by the superintendent.
(b) The purposes of the exchange shall be:
(1) to provide a facility for the underwriting of:
(A) reinsurance of all kinds of insurance;
(B) direct insurance of all kinds on risks  located  entirely  outside
the United States;
(C)  direct  insurance  of  all  kinds  on risks located in the United
States other than in this state, provided that such risk  qualifies  for
placement  pursuant  to the excess and surplus lines requirements of the
jurisdiction in which the risk is located; the superintendent may permit
the exchange or its syndicates, or both, to take such steps  as  may  be
necessary  to  qualify  as  an  excess and surplus lines insurer in such
jurisdiction;
(D) risks which shall have been submitted to and certified  as  having
been  rejected by a committee representative of insurers licensed by the
superintendent under article sixty-three of  this  chapter,  subject  to
conditions imposed by the superintendent pursuant to regulation; and
(2)  to  manage the facility authorized by this article, in accordance
with regulations promulgated by the superintendent.
2023 New York Laws › ISC - Insurance › Article 62 - New York Insurance Exchange › 6202 - Constitution and By-Laws.

§  6202.  Constitution  and  by-laws.  (a) The exchange shall function
under its constitution and by-laws which it may amend  pursuant  to  the
terms thereof.
(b)  Notwithstanding the authority granted to the exchange pursuant to
the provisions of the constitution and by-laws to amend, replace or  add
provisions,  the constitution and by-laws shall at all times provide for
but not be limited to:
(1) the election of no less than six nor more than thirteen  governors
at  least one-third of whom shall not be members of the exchange and who
shall be public representatives;
(2) the location of the principal offices  of  the  exchange  and  its
members  to  be  within this state for the purpose of the transaction of
the types of  business  described  in  subsection  (b)  of  section  six
thousand two hundred one of this article;
(3) the submission by members and all applicants for membership on the
exchange of such financial information required by the superintendent;
(4) the establishment by the exchange of a security fund in a form and
amount approved by the superintendent;
(5) the voting power of members who are underwriting syndicates;
(6)  the voting power and other rights granted under the provisions of
the not-for-profit corporation law to participate  in  the  conduct  and
management  of  the  affairs  of  the  exchange  by  brokers, agents and
intermediaries transacting business on the exchange, each of whom  shall
be considered "members" only under the provisions of such law; and
(7)  the  rights and duties of exchange members, which may include but
shall not be limited to the manner  and  form  of  conducting  business,
financial  stability,  dues,  membership fees, mandatory arbitration and
all other matters necessary  or  appropriate  to  conduct  any  business
permitted by this article.
(c) Any amendments to the constitution and by-laws shall be subject to
the approval of the superintendent.
(d)  At  least  two-thirds  of  the governors shall be citizens of the
United States.
(e) For the purposes of this section, a principal office shall be  one
where   officers   and  qualified  personnel  who  are  engaged  in  the
administration, underwriting, claims, policyholders' service, marketing,
accounting, record-keeping and all supportive services shall be located.
2023 New York Laws › ISC - Insurance › Article 62 - New York Insurance Exchange › 6203 - Miscellaneous.

§  6203.  Miscellaneous. (a) The New York insurance exchange shall not
be subject to any state or local  taxes  or  fees  measured  by  income,
premiums  or  gross receipts, except that for purposes of taxation under
section one thousand five hundred ten of the tax  law,  direct  premiums
written,  procured  or  received  by  a  member  or  members through the
exchange on risks  located  in  this  state  shall  be  deemed  written,
procured  or  received  by  the exchange and the premium tax due on said
premium shall be reported and paid by the exchange.
(b) The exchange shall reimburse the superintendent for  any  expenses
incurred  by  him  relating  to  the  regulation of the exchange and its
members.
(c) This  chapter  and  regulations  thereunder  shall  apply  to  the
exchange,  its members, and the insurance or reinsurance written through
the exchange, except as may be exempted by the  superintendent  pursuant
to  regulation;  provided  that  no  such  exemption  shall  be unfairly
discriminatory or detrimental to the solvency of licensed insurers.
(d) The superintendent may establish  limitations  on  investments  in
members of the exchange. The investment in any member by brokers, agents
and  intermediaries  transacting  business  on  the  exchange,  and  the
investment in any such broker, agent  or  intermediary  by  any  member,
directly or indirectly, all as defined by regulation, shall in each case
be  limited in the aggregate to less than twenty percent (or such lesser
amount as determined by the superintendent) of the total  investment  in
such member, broker, agent or intermediary.
(e)  For  purposes  of paragraph nine of subsection (a) of section one
thousand three hundred one  of  this  chapter,  reinsurance  written  by
members  of  the  exchange  shall  be  deemed to have been written by an
insurer authorized to transact insurance in this state.
(f) The performance of the contractual obligations of the exchange  or
its  members  entered  into pursuant to section six thousand two hundred
one of this article shall not be covered by any of the  New  York  state
security or guaranty funds.
2023 New York Laws › ISC - Insurance › Article 63 - Special Risks; Filing Exemption › 6301 - Special Risks; Filing Exemption.

§  6301.  Special  risks;  filing  exemption.  (a) Notwithstanding any
provision  of  this  chapter,  the  superintendent  shall,  pursuant  to
regulations  promulgated  by  the  superintendent, permit exemption from
filing requirements only with respect to rates and policy  forms,  where
applicable,  for  any  of the kinds of insurance specified in subsection
(b) of this section.
(b) An exemption pursuant to subsection (a) hereof shall be  permitted
in  relation  to  the  kinds  of  insurance set forth in paragraphs four
through  fourteen,  sixteen,  seventeen,  nineteen  through  twenty-two,
twenty-seven  and twenty-nine, of subsection (a) of section one thousand
one  hundred  thirteen  of  this  chapter  and  such  insurance  as  the
superintendent deems to be substantially similar to one of the foregoing
kinds,  except  no  exemption  may  be  permitted  for: (1) coverage for
personal  lines  to  natural  persons  for  non-business  purposes;  (2)
insurance  specified  in  subsection  (b)  of section two thousand three
hundred five of this chapter, except medical malpractice  insurance,  or
section  two  thousand  three  hundred twenty-eight of this chapter; (3)
insurance required to satisfy any financial  responsibility  requirement
of  this  state;  or (4) a policy written on a group basis. However, any
risk pursuant to paragraph one, two or three of such subsection of  such
section  of  this  chapter  or personal lines risk (except motor vehicle
insurance coverage to natural persons for non-business  purposes)  shall
be  exempt  pursuant  to  subsection (a) hereof if it is included by the
superintendent on the list maintained by the superintendent pursuant  to
subsection  (a)  of  section  six  thousand  three hundred three of this
article.
(c) An exemption granted pursuant to this section shall apply only  to
authorized  insurers  complying  with this chapter, except that it shall
not apply to insurers subject to article sixty-six of this chapter.  The
exemption  shall  not  be  an  exemption for joint underwriting or joint
reinsurance transactions pursuant to section two thousand three  hundred
seventeen of this chapter.
(d)  Nothing  in  this article shall exempt any insurer, or any policy
issued pursuant to  this  article,  from  any  applicable  provision  or
standard  in  this chapter, regulations promulgated thereunder, or other
requirements of state law.
(e) In this article, "medical malpractice insurance" has  the  meaning
set forth in subsection (b) of section five thousand five hundred one of
this chapter.
2023 New York Laws › ISC - Insurance › Article 63 - Special Risks; Filing Exemption › 6302 - Special License.

§  6302.  Special  license.  (a) An authorized insurer, as a condition
precedent to the obtaining of such exemption,  shall  obtain  a  special
license from the superintendent.
(b)  Before  such  special  license  shall  be  issued  or renewed the
prospective licensee shall file in the office of the  superintendent  an
application  in  such form and supplements thereto as the superintendent
prescribes. Such license shall be subject  to  annual  renewal  with  an
annual fee of two thousand dollars.
(c) Such license may only be issued to:
(1)  an  authorized  insurer  that maintains at all times a surplus to
policyholders of at least two hundred percent of the authorized  control
level as set forth in article thirteen of this chapter, except that with
respect to a policy issued pursuant to paragraph three of subsection (a)
of  section  six  thousand  three  hundred  three  of  this  article, an
authorized  insurer  that  maintains  at  all   times   a   surplus   to
policyholders  of  at  least two hundred fifty percent of the authorized
control level as set forth in article thirteen of this chapter; or
(2) a United States branch that maintains  at  all  times  a  trusteed
surplus  of at least two hundred percent of the authorized control level
as set forth in article thirteen  of  this  chapter,  except  that  with
respect to a policy issued pursuant to paragraph three of subsection (a)
of  section  six  thousand three hundred three of this article, a United
States branch that maintains at all times a trusteed surplus of at least
two hundred fifty percent of the authorized control level as  set  forth
in article thirteen of this chapter; or
(3)  until  June  thirtieth,  two  thousand  twenty-five,  a  domestic
property/casualty insurance  company  that  maintains  at  all  times  a
surplus  to  policyholders  of  at  least  twice  the minimum surplus to
policyholders required to be maintained for the kinds of insurance  that
it is authorized to write in this state, or an insurer licensed pursuant
to  article  sixty-one  of  this  chapter  as  a reciprocal insurer that
maintains at all times a  surplus  to  policyholders  of  at  least  the
minimum surplus to policyholders required to be maintained for the kinds
of insurance that it is authorized to write in this state, provided that
the  domestic property/casualty insurance company or reciprocal insurer:
(A) has total direct premiums  comprised  of  at  least  ninety  percent
medical  malpractice  insurance;  (B) assumes reinsurance premiums in an
amount that is less than five percent of total direct premiums  written;
and  (C)  writes  ninety  percent  of  its total direct premiums in this
state.
(d) The superintendent may revoke, suspend, or refuse  to  renew  such
license  if,  after  notice and a hearing, the superintendent finds that
such action will protect the best interests of the people of this state.
2023 New York Laws › ISC - Insurance › Article 63 - Special Risks; Filing Exemption › 6304 - Special Regulations.

§  6304. Special regulations. The superintendent, by regulation, shall
  provide for the implementation of the  provisions  of  this  article  by
  establishing  methods,  procedures  and  reports  for  licensing and for
  facilitating, monitoring and verifying compliance with this article.
2023 New York Laws › ISC - Insurance › Article 64 - Title Insurance Corporations › 6401 - Definitions.

§  6401. Definitions. In this article, the following definitions apply
except as otherwise specified:
(a) "Title insurance corporation" means a corporation  exercising  any
of  the  powers  described  in paragraph one or two of subsection (b) of
section six thousand four hundred three of this article.
(b) "Title insurance policy" means any policy or contract insuring  or
guaranteeing  the  owners  of  real property and chattels real and other
persons interested therein, or having liens  thereon,  against  loss  by
reason of encumbrances thereon and defective titles.
2023 New York Laws › ISC - Insurance › Article 64 - Title Insurance Corporations › 6404 - Assets; Title Plant; Valuation.

§  6404.  Assets; title plant; valuation. In determining the financial
condition of any corporation doing  business  under  this  article,  the
superintendent  shall  allow  as admitted assets only such assets as are
prescribed by section one thousand three hundred one of this chapter and
as are not excluded by section one thousand three hundred  two  of  this
chapter, except as follows:
(a)  The  superintendent  may  allow  as  an  admitted  asset  of such
corporation its title plant or plants  covering  real  property  located
within or without the state of New York, at its fair value as determined
by  him;  provided,  however,  that  with  respect to any title plant or
plants  acquired   after   December   thirty-first,   nineteen   hundred
fifty-four,  such value shall be reduced by not less than ten percent of
the amount thereof on December thirty-first of the third year  following
the acquisition of such title plant or plants, and be further reduced by
ten  percent of said original amount on the thirty-first day of December
of each succeeding calendar year, and provided further that in no  event
shall  the  aggregate  amount  allowed  for  any  title  plant or plants
acquired  after  December  thirty-first,  nineteen  hundred  sixty-nine,
exceed five percent of the total admitted assets of such corporation.
(b)  The  superintendent  shall  allow as admitted assets premiums and
fees for title examination and insurance and for abstracts and searches,
not more than ninety days past due. Such  premiums  and  fees  shall  be
deemed  to be due when the services for which such premiums and fees are
chargeable shall have  been  performed,  except  that  with  respect  to
abstracts  and  searches,  not later than the closing of the transaction
for which the services were rendered, and with respect  to  examinations
on a closed title basis premiums and fees shall be deemed due when title
is closed.
2023 New York Laws › ISC - Insurance › Article 64 - Title Insurance Corporations › 6407 - Restrictions on Dividends.

§  6407. Restrictions on dividends. (a) No title insurance corporation
shall declare or pay any  cash  or  property  dividend  on  its  capital
shares,  or  declare or distribute a stock dividend except out of earned
surplus,  meaning,  for  the  purpose  of  this  section,  surplus   not
attributable  to  contributions  made  to surplus within five years next
preceding or to  appreciation  in  value  of  investments  not  sold  or
otherwise disposed of.
(b)  No  such  corporation  shall  declare or pay any cash or property
dividend  to  shareholders  which,  together  with  all  such  dividends
declared  or paid by it during the next preceding twelve months, exceeds
ten percent  of  its  then  outstanding  capital  shares  unless,  after
deducting  such  dividends,  it  has a surplus to policyholders at least
equal to fifty percent of its reinsurance reserve or a surplus at  least
equal  to  fifty percent of the minimum capital required of such insurer
to transact the business of title insurance, whichever shall be greater.
For the purpose of this section,  "surplus"  means  the  amount  of  the
insurer's  admitted  assets  in  excess  of  (i) all of its liabilities,
including its reinsurance reserve,  and  (ii)  its  outstanding  capital
shares.
(c) No such corporation shall declare or distribute any stock dividend
which  shall  reduce surplus to an amount less than fifty percent of its
then outstanding capital shares.
2023 New York Laws › ISC - Insurance › Article 64 - Title Insurance Corporations › 6408 - Prohibition on Engaging in Certain Business Activities.

§ 6408. Prohibition on engaging in certain business activities. (a) No
person,  firm,  association or corporation shall engage in business as a
title insurance corporation except pursuant to the  provisions  of  this
article.  This  prohibition  shall  not  prevent the making, issuing, or
furnishing of any abstract, search, examination, survey  or  certificate
of  title  without  guarantee or insurance thereof, nor the doing of any
business specified in paragraphs three, four, five and six of subsection
(b) of section six thousand four hundred three of this article.
(b) Except as in this article provided, no  corporation  organized  or
doing  business  under  this  article  shall  engage  in the business of
selling  certificates  or  participations  in  obligations  secured   by
mortgages.
(c)  Except  as  provided  in this article or in article sixty-five of
this chapter, no person, firm, association or corporation shall, in this
state, engage, or make any public proposal to engage, in the business of
guaranteeing mortgages of real or personal property, or of  selling  any
guaranteed mortgage or interest therein.
(d)  Notwithstanding  any other provisions of this article, no person,
firm, association or  corporation  organized  or  qualified  under  this
article  shall  in  this  state  hereafter  engage,  or  make any public
proposal to engage, in the business of selling any mortgage, certificate
of  participation  or  interest  in  any  mortgage  or   mortgages,   or
certificate secured by the deposit of any cash, mortgage or mortgages or
other securities, coupled with any agreement to repurchase.
2023 New York Laws › ISC - Insurance › Article 64 - Title Insurance Corporations › 6410 - Merger.

§  6410.  Merger.  The  merger  of  two or more corporations organized
pursuant to section six thousand four hundred two  of  this  article  or
organized  under  the  laws  of  this state for the purpose set forth in
section six thousand four hundred three of this article, unless it be  a
merger  governed  by  section  six  thousand four hundred eleven of this
article, shall be governed by those provisions of article seventy-one of
this chapter which relate to the merger of two or  more  domestic  stock
insurance  corporations  and  which are not inconsistent with any of the
provisions of this article, except that:
(a) the proposed charter of the surviving company  shall  provide  for
not less than thirteen nor more than thirty directors;
(b)  in  addition  to delivery in person or by mail, the notice of the
shareholders meeting provided for in subsection  (a)  of  section  seven
thousand  one  hundred  four  of  this chapter shall be published for at
least two successive weeks in one of  the  newspapers  in  each  of  the
counties  of  this  state  in  which either of the constituent companies
shall have its principal place of business;
(c) in lieu of the provisions of section seven  thousand  one  hundred
nineteen of this chapter, if any shareholder not voting in favor of such
agreement  of  merger  shall,  at  such  meeting  or  within twenty days
thereafter, object to such merger and demand payment for his shares,  he
may,  at  any  time  within  sixty  days after such merger, apply to the
supreme court at any special term thereof, held in the district in which
the county is situated, in which the surviving company has its principal
place of business, upon at least eight days' notice to said company  for
the  appointment  of  three persons to appraise the value of his shares,
and the court shall appoint such appraisers and designate the  time  and
place  of  their  first meeting, with such directions in regard to their
proceedings as shall be deemed proper.  The court may fill any vacancies
in the board of appraisers occurring by refusal or neglect to hold  such
office.  The  appraisers shall meet at the time and place designated and
after being duly sworn, shall honestly and  faithfully  discharge  their
duties  and  estimate  and certify the value of such shares, and deliver
one copy to such company and another to such shareholder,  if  demanded;
the charges and expenses of the appraisers shall be paid by the company.
When  the company shall have paid the appraised value of such shares, as
directed  by  the  court,  said  shares  shall  be  canceled  and   such
shareholder  shall  cease to have any interest in such shares and in the
company property, and such shares may be held and  disposed  of  by  the
company for its own benefit; and
(d)  the  sum  of the capital stock of the surviving company shall not
exceed the limit permitted to either constituent company at the time  of
merger.
2023 New York Laws › ISC - Insurance › Article 64 - Title Insurance Corporations › 6411 - Merger of Parent Corporation and Wholly-Owned Subsidiary.

§  6411. Merger of parent corporation and wholly-owned subsidiary. (a)
Notwithstanding the provisions of section six thousand four hundred  ten
of  this  article  and  article  fifteen of this chapter, and any rights
conferred  therein  or  obligations  imposed  thereby,  any  corporation
organized  under  section six thousand four hundred two of this article,
or organized under the laws of this state for the purposes set forth  in
section  six thousand four hundred three of this article, owning all the
shares of any title insurance corporation may file in the office of  the
superintendent a certificate of such ownership in its name and under its
corporate  seal,  signed  by  its  president or a vice president and its
secretary or treasurer and setting forth a duly certified  copy  of  the
resolution  of  its  board of directors to merge such other corporation,
and to assume all of its obligations,  and  the  date  of  the  adoption
thereof.  A  duplicate  or  certified  copy of such certificate with the
approval required by subsection (b) hereof endorsed thereon  or  annexed
thereto  shall be filed in the office of the clerk of the county wherein
the principal office of the parent  corporation  is  located.  Upon  the
filing  of  such  certificate,  all  of  the  estate,  property, rights,
privileges and franchises of such other corporation shall vest in and be
held and enjoyed by the parent corporation as  fully  and  entirely  and
without change or diminution as the same were before held and enjoyed by
such  other  corporation,  and  be  managed and controlled by the parent
corporation, and, in its  name,  but  subject  to  all  liabilities  and
obligations  of  such  other corporation and the rights of all creditors
thereof which the parent corporation shall be deemed to have assumed and
become liable for in the same manner as if it had itself  incurred  such
liabilities  and obligations.   The parent corporation shall not thereby
acquire power to engage in  any  business  or  to  exercise  any  right,
privilege  or  franchise of a kind which it could not lawfully engage in
or exercise under the provisions of the law by or pursuant to which such
parent corporation is organized.
(b) Such merger shall  not  become  effective  unless  and  until  the
superintendent  shall  give his approval thereto. Such approval shall be
endorsed upon or annexed to the certificate of merger before filing  and
the certificate filed as required by subsection (a) hereof.
2023 New York Laws › ISC - Insurance › Article 65 - Mortgage Guaranty Insurance Companies › 6504 - Required Approvals; Prohibitions.

§  6504.  Required approvals; prohibitions. (a) Every mortgage insurer
shall file with the superintendent for his approval in  accordance  with
article  twenty-three  of  this  chapter  its  premium  rates,  forms of
policies, certificates,  applications  and  other  forms  pertaining  to
mortgage  guaranty  insurance.  The  premium  rate  charged for mortgage
guaranty insurance shall not be deemed to be interest for  the  purposes
of section 5-501 of the general obligations law.
(b) No mortgage insurer shall pay:
(1)  to any person who is acting as agent, representative, attorney or
employee of the owner, mortgagee of the prospective owner, or  mortgagee
of  the  real  property  or  any  interest  therein,  either directly or
indirectly, any consideration as an inducement for or as compensation on
any mortgage guaranty insurance business; or
(2) any compensation to any person for transacting  insurance  for  or
with  it  based  in whole or in part upon a commission basis unless such
person is licensed pursuant to this chapter.
(c) In connection with the placement or renewal of  any  insurance,  a
mortgage  insurer  shall  not  permit any compensation to be paid to, or
received by: any insured lender; any officer, director, or  employee  of
the  insured;  any  member  of  their immediate family; any corporation,
partnership, trust, or trade  association  in  which  an  insured  is  a
member;  or  other  entity  in  which  an  insured  or any such officer,
director, or employee or any member of  their  immediate  family  has  a
financial interest; or any designee, trustee, nominee, or other agent or
representative of any of the foregoing.
(d)  The  superintendent  may,  after a hearing, suspend or revoke the
license of any mortgage insurer which, after  ten  days  written  notice
from  the  superintendent requiring it to cease and desist, continues to
pay any consideration in willful violation of this article.
2023 New York Laws › ISC - Insurance › Article 65 - Mortgage Guaranty Insurance Companies › 6505 - Licensing of Agents.

§  6505. Licensing of agents. The standards in subsections (d) through
  (k), (m) and (o) of section two  thousand  one  hundred  three  of  this
  chapter  shall  apply to the licensing of agents for a mortgage insurer.
  Such license may be limited to  mortgage  guaranty  insurance.  In  such
  event,  the  superintendent  may,  in  his discretion, provide a special
  examination for such license.
2023 New York Laws › ISC - Insurance › Article 65 - Mortgage Guaranty Insurance Companies › 6506 - Advertising.

§  6506.  Advertising.  No  regulated  mortgage investor, any of whose
  authorized real estate  securities  are  insured  by  mortgage  guaranty
  insurance  pursuant  to  this article may state in any form of report or
  advertising that the real estate loans  of  the  investor  are  "insured
  loans"  unless the report or any form of advertising also clearly states
  that the loans are insured by private insurers and  the  names  of  such
  insurers  are  given.  A regulated mortgage investor also shall not make
  any such statement unless such insurance is by a company  authorized  to
  transact mortgage guaranty insurance business in this state.
2023 New York Laws › ISC - Insurance › Article 66 - Co-Operative Property/casualty Insurance Companies › 6601 - Scope of Article; Other Provisions.

§  6601.  Scope  of article; other provisions. (a) All insurers formed
pursuant to chapter seven hundred thirty-nine of the  laws  of  eighteen
hundred  fifty-seven,  chapter five hundred seventy-three of the laws of
eighteen hundred eighty-six, or the laws of  which  the  last  mentioned
chapter  was a consolidation, article nine of chapter six hundred ninety
of the laws of eighteen hundred ninety-two, and  chapter  three  hundred
twenty-eight  of the laws of nineteen hundred ten, the same constituting
article nine of former chapter twenty-eight of the consolidated laws  as
in  effect  immediately before January first, nineteen hundred forty and
article XI-B of the former insurance law as in effect immediately before
the effective date of this chapter, are hereby  continued  in  existence
and,  together  with  all  insurers  organized  or  licensed  under this
article, are made subject to the provisions of this article and  not  to
any  other  provisions  of this chapter except as provided in subsection
(b) hereof.
(b) Except as otherwise specifically provided  in  this  article,  the
provisions  of  this  chapter insofar as they are applicable to domestic
mutual property/casualty insurance companies, shall, unless the  context
otherwise  requires,  apply  to co-operative property/casualty insurance
companies.
2023 New York Laws › ISC - Insurance › Article 66 - Co-Operative Property/casualty Insurance Companies › 6602 - Classification of Insurers; Foreign and Alien Insurers.

§  6602.  Classification  of insurers; foreign and alien insurers. (a)
Cooperative property/casualty insurance  companies  operating  under  or
subject  to  this  article  shall be either advance premium co-operative
property/casualty  insurance  companies   or   assessment   co-operative
property/casualty insurance companies.
(b) (1) "Advance   premium   corporation"  means  an  advance  premium
co-operative property/casualty insurance company which charges  premiums
in advance on the basis of applicable provisions of article twenty-three
of  this  chapter  and  which  maintains  unearned  premium  reserves as
required by section one thousand three hundred five of this chapter  and
loss  and loss expense reserves as required by section four thousand one
hundred seventeen of this chapter.
(2) "Assessment  corporation"   means   an   assessment   co-operative
property/casualty  insurance  company  which  levies  upon  its  members
regular assessments, the amount of which is  determined  by  giving  due
cognizance,  along  with  other relative factors, either to the incurred
liabilities of such insurer, or to its estimated liabilities  likely  to
become  incurred  before the next regular assessment, or both, and which
maintains unearned premium reserves as required by section one  thousand
three hundred five of this chapter and loss and loss expense reserves as
required by section four thousand one hundred seventeen of this chapter.
(c)  No  insurer  operating under or subject to the provisions of this
article shall do a part of its business on the advance premium plan  and
another  part on the assessment plan; but this shall not be construed to
affect  the  contingent  liability  of  members   of   advance   premium
corporations  nor  to  affect  the  liability  of  members of assessment
corporations for extraordinary assessments, as hereinafter provided.
(d) No foreign or alien insurer or  insurance  organization  shall  be
licensed or permitted to do in this state any kind or kinds of insurance
business  specified  in  this  article on the assessment plan, or on any
mutual plan, other than as a mutual property/casualty insurance  company
or as a reciprocal insurer as elsewhere provided in this chapter.
2023 New York Laws › ISC - Insurance › Article 66 - Co-Operative Property/casualty Insurance Companies › 6606 - Reinsurance.

§  6606. Reinsurance. (a) (1) Subject to the provisions of section six
thousand  six  hundred   ten   of   this   article,   any   co-operative
property/casualty insurance company shall have the power, whether or not
expressed  in its charter, to accept reinsurance of the kind or kinds of
insurance it is licensed to do directly, and to cede reinsurance subject
to applicable provisions of section one thousand three hundred eight  of
this chapter.
(2)  Unless  otherwise  permitted by the superintendent, an assessment
corporation may assume reinsurance only from other authorized assessment
corporations but may cede reinsurance to any other licensed  insurer  if
such  insurer  is authorized to reinsure such kind or kinds of insurance
in this state or to an accredited reinsurer, as  defined  in  subsection
(a) of section one hundred seven of this chapter.
(3)  Any  co-operative  property/casualty insurance company may assume
reinsurance  on  property  located  wholly  or  partially  without   the
territory  in  which  it  is  licensed  to  do a direct writing business
provided, however,  that  an  assessment  corporation  may  only  assume
reinsurance  on  property  located  in  the  state  of New York with the
exception of  the  counties  of  New  York,  Kings,  Queens,  Bronx  and
Richmond.
(b)  Every  assessment  corporation doing business as a direct writer,
which assumes reinsurance, may, in levying assessments on  its  members,
assess ceding insurer members as a separate group on the basis of actual
or estimated experience in that classification.
2023 New York Laws › ISC - Insurance › Article 66 - Co-Operative Property/casualty Insurance Companies › 6608 - Extension of Territory.

§   6608.   Extension  of  territory.  (a)  The  superintendent,  upon
application by any advance  premium  corporation  may  issue  a  license
pursuant to section one thousand one hundred two of this chapter to such
corporation  to do the business in counties additional to those in which
it is then authorized or in the entire state if such corporation  is  in
possession of a surplus to policyholders of one hundred thousand dollars
or more, and is maintaining full unearned premium reserves in accordance
with section one thousand three hundred five of this chapter.
(b)   The   superintendent,   upon   application   by  any  assessment
corporation, may issue a license pursuant to section  one  thousand  one
hundred  two  of  this  chapter  to  such  corporation to do business in
adjoining counties additional to those in which it is then authorized or
in the entire state with the exception of  the  counties  of  New  York,
Kings,  Queens, Bronx and Richmond, if such corporation is in possession
of a surplus to policyholders of one hundred thousand dollars  or  more,
and  is  maintaining  full  unearned premium reserves in accordance with
section one thousand three hundred five of this chapter.
(c) Every license  issued  by  the  superintendent  pursuant  to  this
section shall include the county in which the corporation to which it is
issued maintains its principal office.
(d)  Applications  made to the superintendent pursuant to this section
shall be in such form as he may by regulation require.
2023 New York Laws › ISC - Insurance › Article 66 - Co-Operative Property/casualty Insurance Companies › 6609 - Policy Forms.

§  6609.  Policy  forms.  (a)  (1)  Every form of policy issued by any
co-operative property/casualty insurance company shall indicate in words
prominently displayed at the top of the first page, and in type of which
the face shall not be smaller than twelve point,  that  such  policy  is
issued on the co-operative plan.
(2)  Each  form  of  policy  issued  by  such a corporation shall also
include on the page following that  concluding  the  policy  proper  and
under  appropriate  caption all provisions of the corporation's by-laws,
whether required or permitted, relative to meetings of members, election
of  directors,  rights  and  obligations   of   members,   extraordinary
assessments, and contingent liability.
(b)  No  policy  form  shall be delivered or issued for delivery by an
assessment corporation unless it  has  been  filed  by  said  assessment
corporation with the superintendent and he has approved it.
(c) The standard fire insurance policy, insofar as required for use by
domestic  mutual  property/casualty insurance companies by section three
thousand four hundred four of this chapter, shall also be  required  for
use by all co-operative property/casualty insurance companies, with such
modifications  therein  as  shall  be  permitted  by  regulation  of the
superintendent.
(d) Two or more advance premium corporations or two or more assessment
corporations may issue a combination policy, as provided for in  section
three   thousand   four   hundred   four  of  this  chapter,  with  such
modifications  permitted  by  regulation  of  the  superintendent,  upon
property located in territory wherein all the participating corporations
named in such policy are licensed to do business.
2023 New York Laws › ISC - Insurance › Article 66 - Co-Operative Property/casualty Insurance Companies › 6611 - Records.

§   6611.   Records.  (a)  (1)  Every  co-operative  property/casualty
insurance company shall keep and maintain books of account  and  records
in  such  manner as will show fully and truly the condition, affairs and
business  of  such  corporation  and  facilitate  the  preparation   and
verification of its annual statements.
(2) Such records shall be available for inspection by any policyholder
of the corporation during ordinary business hours.
(3)   The  secretary  shall  maintain  a  minute  book  recording  the
proceedings of all meetings of the corporation, its board  of  directors
and the principal committees thereof.
(4)  (A)  The  books  of account shall include a cash book and general
ledger together with the necessary supplemental and  subsidiary  records
including  a  loss  register showing all losses of which the corporation
has had notice and the disposition or settlement thereof and a record of
its investments.
(B) All cash and checks collected including  policy  and  survey  fees
shall be reported as income.
(C) All checks issued shall be signed either by two officers or by one
officer  upon  the written order of another officer, except as otherwise
provided by resolution of the corporation's board of directors or in its
by-laws for handling of miscellaneous expenses.
(D) Checkbook stubs, bank statements and  cancelled  checks  shall  be
kept on file for at least seven years.
(b)  The records of a co-operative property/casualty insurance company
shall also include a policy register in  such  form  as  will  show  all
policies  issued  in  consecutive numerical order in one or more series,
and a register of gross premiums or assessments in force and reinsurance
premiums in force summarized by terms and expirations and  supported  by
monthly  or  quarterly tabulations of the premiums written and cancelled
during such periods.
(c) The records of an assessment corporation  shall  also  include  an
assessment  register  which  may  be  combined with the policy register,
showing the rates and amount charged and dates  of  collections,  and  a
loan or note record showing all such transactions.
2023 New York Laws › ISC - Insurance › Article 66 - Co-Operative Property/casualty Insurance Companies › 6612 - Rebating and Discrimination; Accounts and Statistics; Assessment Corporations.

§   6612.   Rebating  and  discrimination;  accounts  and  statistics;
  assessment corporations. Notwithstanding anything  to  the  contrary  in
  this  chapter,  the  provisions  of  sections two thousand three hundred
  twenty-four and two thousand three hundred twenty-five of  this  chapter
  are applicable to assessment corporations.
2023 New York Laws › ISC - Insurance › Article 66 - Co-Operative Property/casualty Insurance Companies › 6613 - Limitation of Expenses; Co-Operative Property/casualty Insurance Companies.

§   6613.   Limitation  of  expenses;  co-operative  property/casualty
insurance companies. (a) The expenses of management of any  co-operative
property/casualty insurance company shall not exceed in any one calendar
year forty-two and one-half percent of its net premiums written for such
year. The term "net premiums written" means direct premiums written plus
reinsurance  assumed  less return premiums and reinsurance ceded. In the
event expenses incurred in making a new system upgrade  result  in  this
subsection's  management expenses limit being exceeded, then the insurer
shall inform the superintendent sixty days in  advance  of  the  expense
limit  being  exceeded.  Subject  to approval by the superintendent, the
limit shall be temporarily raised to the amount necessary  to  encompass
the  aforestated new system upgrade, provided that in no event shall the
limit be raised more than five percentage points and  shall  not  be  in
effect  for  more than three years, and provided further that an insurer
may  submit  to  the  superintendent,  for  the  superintendent's  prior
approval,  a written request to temporarily raise the limit for up to an
additional three years, for a total  of  no  more  than  six  years.  An
insurer shall submit such written request to the superintendent at least
sixty  days  but  not  more  than  one  hundred  twenty  days before the
expiration of the initial period during which the limit was raised.  The
insurer shall not increase premiums solely as a result of the management
expenses  cap  limit  being exceeded. For purposes of this subsection, a
new system upgrade is defined as  the  acquisition  of  electronic  data
processing   apparatus   and   related  equipment  constituting  a  data
processing, record  keeping  or  accounting  system  and  operating  and
non-operating software.
(b)  Management  expenses  shall  include  all  the  expenses  of such
company, except expenses incurred in the investigation,  adjustment  and
settlement  of  claims, taxes, fees, expenses of examination, and taxes,
repairs, and expenses on real estate.
(c) This section shall not apply to any assessment  corporation  which
is limited to the business permitted under subsection (a) of section six
thousand   six   hundred   five   of   this  article.  Furthermore,  the
superintendent may grant an annual exemption from  compliance  with  the
provisions  of  subsection  (a)  of  this  section  to  any co-operative
property/casualty  insurance  company  which,  in  the  next   preceding
calendar  year,  had  net  premiums  written  of less than three million
dollars. A written application for such an exemption must  be  submitted
by  the  first  day  of  June  in  the  year  for which the exemption is
requested and shall contain such information as is deemed  necessary  by
the superintendent.
2023 New York Laws › ISC - Insurance › Article 66 - Co-Operative Property/casualty Insurance Companies › 6614 - Contingent Liability of Members; Advance Premium Corporations.

§ 6614. Contingent liability of members; advance premium corporations.
(a)  Any  advance premium corporation may limit the contingent liability
of a member thereof to not less than once the amount of, and in addition
to, the premium which would be charged for insurance for one year or the
advance premium stated in the policy, whichever is the lesser.
(b) The contingent  liability  of  a  member  of  an  advance  premium
corporation  shall  be  subject  to  enforcement  and  collection by the
corporation for the purpose of removing any impairment in  the  reserves
required  by this article. Such contingent liability shall apply only to
such  impairments  which  occur  during  the  member's   tenure   as   a
policyholder.
(c)  No  assessment  premised upon the contingent liability of members
shall be made by any  such  corporation  until  after  approval  by  the
superintendent  and  shall,  subject  in  all  cases  to  the limitation
contained in the contracts thereby affected, as to the maximum amount of
such contingent liability, be in  each  case  an  amount  equal  to  the
member's proportionate share of such impairment.
2023 New York Laws › ISC - Insurance › Article 66 - Co-Operative Property/casualty Insurance Companies › 6615 - Annual Assessments; Borrowed Money.

§  6615.  Annual assessments; borrowed money. (a) (1) Every assessment
corporation may, if so directed  by  its  board  of  directors  levy  an
assessment  upon all of its members. Such assessment shall be sufficient
to provide for the payment of losses, expenses, and  other  obligations,
incurred,  or likely to be incurred during the fiscal year for which the
assessment is levied.
(2) If issuing policies on but one class of property, such  assessment
shall  be in proportion to the several amounts of insurance held by each
member.
(3) If issuing policies on more than one class of property,  rates  of
assessment  shall  be  in proportion to the several amounts of insurance
held by each member and on the basis of classifications adopted  by  its
board  of  directors  to  express the relative hazards of the properties
insured.
(b) (1) Every such corporation may borrow money, except by means of  a
mortgage, to pay incurred losses and expenses; but in the calculation of
its  next  assessment following the time, or times, at which such a loan
or loans were effected, due provision shall be made for the  liquidation
of such loan or loans.
(2)  An  assessment  corporation may borrow money for a period of more
than one year with the written approval of the superintendent and  under
such conditions as he may prescribe.
(c)  (1) Every such corporation may levy annual assessments in advance
sufficient to discharge its estimated losses, expenses, and other  valid
obligations  for  which  it  may reasonably be expected to become liable
during the period prior to the end of its fiscal year.
(2) At any time after the institution of such assessments, new members
may be admitted to any such corporation upon paying such fees and  other
sums as may be provided for by the corporation's by-laws and upon paying
their proportionate shares of the last preceding assessment.
(d)  On  and  after  the  effective  date  of any change from the post
assessment basis to the advance assessment basis  as  permitted  herein,
every  assessment corporation may collect advance assessments, as herein
provided, from each person applying for or renewing a policy or policies
and only those persons who were  admitted  as  new  members  during  the
period prior to such effective date and subsequent to the levying of the
final  post  assessment  shall  be  assessed on a pro rata basis for the
losses, expenses, and  other  valid  obligations  incurred  during  such
period.