New York State Seal
STATE OF NEW YORK
INSURANCE DEPARTMENT
25 BEAVER STREET
NEW YORK, NEW YORK 10004

The Office of General Counsel issued the following informal opinion on January 25, 2002, representing the position of the New York State Insurance Department.

RE: N.Y. Comp. Codes R. & Regs. tit. 11,§§ 420.0-420.24 (2001) (Regulation 169) and Charitable Annuity Societies.

Question Presented:

Are charitable annuity societies subject to the requirements of N.Y. Comp. Codes R. & Regs. tit. 11, §§ 420.0-420.24 (2001)?

Conclusion:

No. Pursuant to N.Y. Comp. Codes R. & Regs. tit. 11, §§ 420.1(a) and 420.3(p)(1)(2001), charitable annuity societies are not subject to the requirements of N.Y. Comp. Codes R. & Regs. tit. 11, §§ 420.0-420.24 (2001).

Facts:

No specific facts were provided relative to the above question.

Analysis:

The inquirer asked whether charitable annuity societies are subject to the requirements of N.Y. Comp. Codes R. & Regs. tit. 11, §§ 420.0-420.24 (2001).

N.Y. Comp. Codes R. & Regs. tit. 11, § 420.1(a) (2001) provides as follows:

(a) Purpose. This part governs the treatment of nonpublic personal information about individuals (defined in this part as consumers or customers) in this State by all licensees of the Insurance Department. This Part:

(1) Requires a licensee to provide notice to individuals about its privacy policies and practices;

(2) Describes the conditions under which a licensee may disclose nonpublic personal health information and nonpublic personal financial information about individuals to nonaffiliated third parties;

(3) Provides methods for individuals to prevent a licensee from disclosing that information; and

(4) Provides a method for individuals to prevent a licensee from disclosing nonpublic personal health information by not affirmatively consenting to such disclosure, subject to the exceptions in section 420.17(b) of this Part.

N.Y. Comp. Codes R. & Regs. tit. 11, § 420.3(p)(1)(2001) defines the term "licensee" as follows:

(p)(1) [A] person licensed, or required to be licensed, or authorized, or required to be authorized, or registered, or required to be registered pursuant to the Insurance Law of this State; a health maintenance organization holding, or required to hold, a certificate of authority pursuant to Article 44 of the Public Health Law; or an unauthorized insurer in regard to the excess line business conducted pursuant to section 2118 of the Insurance Law and Part 27 of this Title (Regulation 41); but shall not include a registered service contract provider, charitable annuity society, or a licensed viatical settlement company or viatical settlement broker.

Accordingly, since charitable annuity societies are expressly exempted from the definition of licensee by N.Y. Comp. Codes R. & Regs. tit. 11, § 420.3(p)(1)(2001), they are not subject to the requirements of N.Y. Comp. Codes R. & Regs. tit. 11, §§ 420.0-420.24 (2001).

For further information, you may contact Attorney Pascale Joasil at the New York City office.