Text of the Fourth Amendment to 11 NYCRR 80-1 (Insurance Regulation 52)

(Matter in brackets is deleted; new matter is underlined)

Section 80-1.5(c) is amended as follows:

(c) For the purposes of Insurance Law section 1505(d)(4), the following transactions between a domestic controlled insurer and any person in its holding company system are deemed to be material transactions:

(1) [Any] any sale, purchase, exchange, loan or extension of credit, or investment involving: [one-half of one percent or]

(i) less than three percent of [the insurer's] a life insurance company's admitted assets at last year-end that, when added to the respective aggregate of any such other sales, purchases, exchanges, unpaid loans, unpaid extensions of credit, or investments made during the preceding 12 months, causes the aggregate to equal or exceed three percent of the[:

(i) one-half of one percent of this insurer's] company's admitted assets at last year-end[, if the insurer is subject to article 42 of the Insurance Law]; [or]

(ii) [one percent of the insurer's admitted assets at last year-end, if the insurer is not subject to article 42 of the Insurance Law;] with respect to an accident and health insurance company or a corporation subject to Insurance Law article 43, less than the lesser of three percent of the company or corporation's admitted assets or 25% of capital and surplus at last year-end, that when added to the respective aggregate of any such other sales, purchases, exchanges, unpaid loans, unpaid extensions of credit, or investments made during the preceding 12 months, causes the aggregate to equal or exceed the lesser of three percent of the company or corporation's admitted assets or 25% of capital and surplus at last year-end; or

(iii) with respect to an insurer other than as specified in subparagraphs (i) and (ii) of this paragraph, less than the lesser of three percent of the insurer's admitted assets or 25% of surplus to policyholders at last year-end, that when added to the respective aggregate of any such other sales, purchases, exchanges, unpaid loans, unpaid extensions of credit, or investments made during the preceding 12 months, causes the aggregate to equal or exceed the lesser of three percent of the insurer's admitted assets or 25% of surplus to policyholders at last year-end;

(2) [Any] any lease of real or personal property that does not provide for the rendering of services on a regular and systematic basis and where the aggregate payments to be made, including any renewal or extension thereof, exceeds:

(i) one percent of the insurer's admitted assets at last year-end, if the insurer is subject to article 42 of the Insurance Law; or

(ii) two percent of the insurer's admitted assets at last year-end, if the insurer is not subject to article 42 of the Insurance (3) any management agreements, service contracts, tax allocation agreements, guarantees, or cost-sharing arrangements.

Section 80-1.8 is repealed.

Section 80-1.9 is renumbered as section 80-1.8.