S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    561
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                (PREFILED)
 
                              January 9, 2019
                                ___________
 
 Introduced by M. of A. CAHILL -- read once and referred to the Committee
   on Insurance
 
 AN  ACT  to  amend  the  insurance law, in relation to permissible group
   annuity contracts
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Subsection  (b)  of  section 4238 of the insurance law is
 amended by adding a new paragraph 12 to read as follows:
   (12) A CONTRACT ISSUED TO AN INSURER ON BEHALF OF SUCH INSURER'S SEPA-
 RATE ACCOUNT, ESTABLISHED:
   (A) TO HOLD THE ASSETS RELATING TO, AND TO FUND OBLIGATIONS UNDER LIFE
 INSURANCE POLICIES ISSUED BY, SUCH INSURER TO BANKS OR CORPORATIONS; OR
   (B) FOR THE BENEFITS OF:
   (I) ANY EMPLOYEE PENSION OR WELFARE BENEFIT PLAN THAT  IS  COVERED  BY
 THE EMPLOYEE RETIREMENT AND INCOME SECURITY ACT (ERISA); OR
   (II)  A  PLAN  DESCRIBED  IN  INTERNAL  REVENUE  CODE SECTIONS 401(A),
 401(K), 403(B), 408(K) OR 408(P); OR
   (III) A GOVERNMENT OR CHURCH PLAN  DEFINED  IN  26  U.S.C.  §  414,  A
 GOVERNMENT  OR  CHURCH  WELFARE BENEFIT PLAN, OR A DEFERRED COMPENSATION
 PLAN OF A STATE OR LOCAL GOVERNMENT OR TAX EXEMPT ORGANIZATION UNDER  26
 U.S.C. § 457; OR
   (IV)  A  NONQUALIFIED DEFERRED COMPENSATION ARRANGEMENT ESTABLISHED OR
 MAINTAINED BY AN EMPLOYER OR PLAN SPONSOR; OR
   (V) ANY OTHER GROUP APPROVED BY  THE  SUPERINTENDENT  UPON  A  FINDING
 THAT: (I) THERE IS A COMMON ENTERPRISE OR ECONOMIC OR SOCIAL AFFINITY OR
 RELATIONSHIP;  (II)  THE  PREMIUMS CHARGED ARE REASONABLE IN RELATION TO
 THE BENEFITS PROVIDED; AND (III) THE ISSUANCE OF THE POLICY WOULD RESULT
 IN ECONOMIES OF ACQUISITION  OR  ADMINISTRATION,  WOULD  BE  ACTUARIALLY
 SOUND, AND WOULD NOT BE CONTRARY TO THE BEST INTEREST OF THE PUBLIC. THE
 SUPERINTENDENT  SHALL  PROMULGATE  REGULATIONS  SETTING  FORTH  ANY SUCH
 GROUPS THAT HAVE BEEN QUALIFIED PURSUANT TO THIS ITEM.
   § 2. This act shall take effect immediately.
              

 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD00082-01-9