New York State seal

May 26, 1993

SUBJECT: INSURANCE

WITHDRAWN

Supplement No. 1 to Circular Letter No. 5 (1993)

TO: ALL AUTHORIZED HEALTH MAINTENANCE ORGANIZATIONS

RE: PAYMENTS REQUIRED BY REGULATION 146 - NEW YORK MARKET STABILIZATION POOLS

Circular Letter No. 5 advised insurers that, in view of litigation presently pending in the United States District Court, HMOs who are plaintiffs in the litigation or who are members of the New York State Health Maintenance Conference, shall make the pool payments required by Regulation 146 to an escrow account in a manner to be directed later. This Supplement provides those instructions.

All HMOs authorized to make payment to an escrow account shall submit a check, payable to "NYMSP Escrow", to:

Albert Hessberg, III, Esq.

Hiscock & Barclay

Suite 1100

One Keycorp Plaza

Albany, NY 12207-3411.

As directed in the Circular Letter, HMOs are obligated to comply with all data filings required by Regulation 146. All reports and forms that are required to be filed with pool payments should be sent to the New York Market Stabilization Pool c/o Alicare, Inc. at the address listed in the Circular Letter.

Very truly yours,

Salvatore R. Curiale

Superintendent of Insurance