NEW YORK STATE
INSURANCE DEPARTMENT

FIRST AMENDMENT TO REGULATION 27A
(11 NYCRR 185)

CREDIT LIFE INSURANCE AND CREDIT ACCIDENT AND HEALTH INSURANCE

I, GREGORY V. SERIO, Superintendent of Insurance of the State of New York, pursuant to the authority granted by Sections 201, 301, 3201, 4216 and 4235 of the Insurance Law, do hereby promulgate the following First Amendment to Part 185 of Title 11 of the Official Compilation of Codes, Rules and Regulations of the State of New York (Regulation 27A), to take effect upon publication in the State Register, to read as follows:

MATTER IN BRACKETS IS DELETED
MATTER UNDERLINED IS NEW

Section 185.6(f) is amended to read as follows:

(f) For loans of 63 months or less, except for termination due to age limits, coverage must be written for the full term of the loan. For loans in excess of 63 months, coverage for less than the full term of the loan may be written, provided that, except for termination due to age limits, the [period]term of insurance is 60 months or more.

Section 185.7(k) is amended by adding a new paragraph (3) to read as follows:

(3) In lieu of the use of the rates specified in paragraph (1) of this subdivision an insurer may request to calculate rates for selected vendors in accordance with the provisions of subdivision (j) of this section provided that any experience unit under paragraph (2) of subdivision (i) of this section has:

(i) for credit life insurance, at least $200,000 in prima facie earned premium during the experience period; or

(ii) for credit accident and health insurance, at least $400,000 in prima facie earned premium during the experience period.

I, GREGORY V. SERIO, Superintendent of Insurance of the State of New York,

do hereby certify that the foregoing is the first amendment to Regulation 27A (11 NYCRR 185), promulgated on May 11, 2001, pursuant to the authority granted by Sections 201, 301, 3201, 4216 and 4235 of the Insurance Law, to be effective upon publication in the State Register. Pursuant to the provisions of the State Administrative Procedure Act, prior notice of the proposed regulation was published in the State Register on March 7, 2001. No other publication or prior notice is required by statute.

 

__________________________________________

Gregory V. Serio

Superintendent of Insurance

May 11, 2001