New York State
NEW YORK STATE INSURANCE DEPARTMENT REQUIRES
INSURERS TO FULLY DISCLOSE Y2K READINESS INFORMATION
New York, February 8, 1999
Superintendent of Insurance Neil D. Levin directed insurance companies to make public their Y2K readiness plans. This is the first time that mutual insurers and other nonpublic companies will be disclosing this information to policyholders. The disclosure will be in the form of a supplement to the companies annual financial statements that are filed with the Department. This supplement, modeled on the Securities and Exchange Commissions (SEC) guidelines for publicly traded companies, will be due April 1.
Insurers are expected to disclose their state of readiness, how much it is costing to address Y2K issues, the risks associated with their Y2K issues and their contingency plans.
Superintendent Levin said, "Consumers are concerned about the status of their insurers preparations for the Year 2000 and how they might be impacted. We have been monitoring insurers Y2K compliance efforts and their contingency plans but having the information provided in a public format makes it easy for policyholders to review."
The Department issued Circular Letter 3 of 1999 instructing all insurers how to make full and fair disclosures about Y2K. Copies of the Circular Letter, as well as other Y2K insurance industry information, can be obtained through the Departments website at www.ins.state.ny.us.