S T A T E   O F   N E W   Y O R K
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                                  6326

                       2013-2014 Regular Sessions

                          I N  A S S E M B L Y

                             March 25, 2013
                               ___________

Introduced  by M. of A. QUART -- Multi-Sponsored by -- M. of A. GUNTHER,
  HOOPER, ROBINSON -- read once and referred to the Committee on  Insur-
  ance

AN ACT to amend the insurance law, in relation to the redomestication of
  insurance companies

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Section 7120 of the insurance law, as amended by chapter 48
of the laws of 2009, is amended to read as follows:
  S 7120. Redomestication of [foreign] insurance  companies.  (a)  Defi-
nitions.  In this section:
  (1) "Redomestication"  means  the transfer to this state of the corpo-
rate domicile of an authorized foreign company OR THE TRANSFER FROM THIS
STATE OF THE CORPORATE DOMICILE OF A DOMESTIC COMPANY, as  provided  for
in this section.
  (2) "Transferring  company"  means  any  authorized  [foreign] company
seeking redomestication.
  (b) A transferring company TRANSFERRING TO THIS STATE shall:
  (1) file with  the  superintendent  a  certificate  in  such  form  as
prescribed  by  the  superintendent  signed by the insurance supervisory
official of the state  where  such  transferring  company  is  domiciled
approving the proposed redomestication and confirming that upon redomes-
tication the transferring company shall no longer be subject as a domes-
tic company to the requirements of its current state of domicile;
  (2)  comply with the applicable requirements of this chapter regarding
the organization and licensing of a domestic company of the same type;
  (3) demonstrate to the satisfaction of the  superintendent  that  upon
redomestication, the transferring company will be in compliance with the
requirements  of this chapter and any regulations promulgated thereunder
applicable to a domestic company of the same type;

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08120-01-3

              

A. 6326                             2

  (4) submit to the superintendent all documents and  filings  necessary
to comply with paragraphs two and three of this subsection; and
  (5)  submit new policy forms to the superintendent for use after redo-
mestication, if so ordered by the superintendent, or use existing policy
forms with appropriate endorsements if allowed by, and under such condi-
tions as approved by, the superintendent.
  (c) A TRANSFERRING COMPANY TRANSFERRING FROM THIS STATE:
  (1) UPON THE APPROVAL OF THE SUPERINTENDENT, TRANSFER ITS DOMICILE  TO
ANY  OTHER  STATE  IN  WHICH  IT IS ADMITTED TO TRANSACT THE BUSINESS OF
INSURANCE, AND UPON SUCH A TRANSFER IT SHALL  CEASE  TO  BE  A  DOMESTIC
COMPANY,  AND  SHALL  BE  AUTHORIZED  IN  THIS STATE, IF QUALIFIED, AS A
FOREIGN INSURER.  THE SUPERINTENDENT SHALL APPROVE THE  TRANSFER  UNLESS
HE  OR SHE DETERMINES THE TRANSFER IS NOT IN THE INTEREST OF THE POLICY-
HOLDERS OF THIS STATE; AND
  (2) MAY CONTINUE ISSUING POLICY FORMS APPROVED BEFORE  REDOMESTICATION
PURSUANT  TO SECTION THREE THOUSAND TWO HUNDRED ONE OF THIS CHAPTER WITH
SUCH ENDORSEMENT, IF ANY, AS THE SUPERINTENDENT DETERMINES IS NEEDED  TO
REFLECT THE REDOMESTICATION.
  (D) After the transferring company has complied with the provisions of
this  section,  the  superintendent  may, in accordance with section one
thousand one hundred two of this chapter issue  a  new  license  to  the
transferring  company  to  reflect  the change in its state of corporate
domicile. The duration of its license shall be governed by  section  one
thousand  one  hundred  three of this chapter. Upon issuance of such new
license the redomestication shall become effective and the  transferring
company   shall   be  a  domestic  company  OR  A  FOREIGN  COMPANY,  AS
APPROPRIATE.
  [(d)] (E) Simultaneous with the redomestication taking effect:
  (1) all materials and documents that were submitted to the superinten-
dent by the transferring company pursuant to the  requirements  of  this
section  shall  be  filed in the office of the superintendent SUBJECT TO
SUBSECTION (H) OF THIS SECTION; and
  (2) FOR A TRANSFERRING COMPANY TRANSFERRING TO THIS STATE, the  super-
intendent shall, in accordance with section one thousand two hundred one
or  other  applicable  provisions of this chapter issue to the company a
certified copy of its new declaration and charter and a  certificate  of
incorporation.  The  new  charter  of  the  company  may provide for the
continuation of the corporate existence of the transferring company  and
in  such  case  the  original  date of incorporation of the transferring
company shall be the date of incorporation of the new domestic company.
  [(e)] (F) All  outstanding  insurance  policies  and  contracts  shall
remain  in full force and effect with no change and need not be endorsed
as to the new name of the company, if any, or its  new  location  unless
ordered by the superintendent.
  [(f)]  (G)  All  agents'  appointments  and licenses, rates, and other
items that the superintendent allows, existing at the time of redomesti-
cation, shall continue in full  force  and  effect  in  accordance  with
applicable provisions of this chapter.
  (H) THE SUPERINTENDENT SHALL KEEP THE CONTENTS OF ANY REPORT OR INFOR-
MATION THE SUPERINTENDENT REQUIRES PURSUANT TO THIS SECTION, AND THAT IS
NOT OTHERWISE REQUIRED TO BE SET FORTH IN A PUBLICLY AVAILABLE REPORT OR
FILING, CONFIDENTIAL IN ACCORDANCE WITH THE PROVISIONS OF SUBSECTION (C)
OF SECTION ONE THOUSAND FIVE HUNDRED FOUR OF THIS CHAPTER.
  S 2. This act shall take effect immediately.