April 10, 1984
SUPPLEMENT NO. 1 TO CIRCULAR LETTER NO. 8 (1984)
TO: ALL INSURERS AUTHORIZED TO TRANSACT FIRE, MARINE, CASUALTY OR SURETY INSURANCE IN THIS STATE
RE: RESTRICTION ON SALE OF "RESIDUAL VALUE INSURANCE"
CIRCULAR LETTER Number 8 (1984) was issued on March 29, 1984 to clarify the Department's position with respect to the sale of residual value insurance. Since the issuance of this Circular Letter the Department has given further consideration to its effect upon New York State banks and leasing companies. In order to prevent a sudden negative impact on New York State's economy Circular Letter Number 8 (1984) is amended as follows: The prohibition against writing such new business after April 15, 1984 has been postponed until July 15, 1984. In addition, those policies coming up for renewal prior to July 15, 1984 may be renewed. Furthermore, all present residual value policies can continue until expiration.
Very truly yours,
James p. Corcoran
Superintendent of Insurance