May 15, 2012
To the Governor and Legislature:
I am pleased to submit to the New York State Legislature a copy of the first Annual Report of the New York State Department of Financial
Services, incorporating the annual reports formerly issued by the Departments of Banking and Insurance, as required by Article 2, Section 206 of
the Insurance Law and Section 43 of the Banking Law.
Although DFS has only been in existence since October 3, 2011, as detailed in this report, we have already begun to implement several initiatives
designed to achieve the Governor’s vision for the new Department.
I am proud of what DFS has been able to accomplish thus far, while both continuing our vital regulatory functions and dealing with the challenges
of the merger.
I can assure you that our initial success has increased our determination to achieve even more in the months ahead to contribute to the
Governor’s efforts to strengthen New York’s economy and create more jobs.
• We will continue to encourage financial services firms to locate more jobs in New York.
• We will further improve our responsiveness to consumers.
• We will expand our oversight into the financial products and services that had formally fallen into regulatory gaps.
• We will continue to focus on our operations and the law to find more ways to improve our efficiency and effectiveness.
• We will work to make our examinations better focused, more relevant and quicker so they are more effective in identifying and dealing
with issues in a timely way.
• We will clear up backlogs in both handling consumer complaints and reviewing industry filings.
In sum, we will strive to make the Department of Financial Services one of the premier regulatory agencies in the nation.
Respectfully submitted,
Benjamin M. Lawsky
Superintendent
4
TABLE OF CONTENTS
OVERVIEW
MAJOR ACCOMPLISHMENTS 6
INSURANCE DIVISION OVERVIEW 19
BANKING DIVISION OVERVIEW 21
FINANCIAL FRAUDS AND CONSUMER PROTECTION DIVISION (FFCPD) OVERVIEW 23
MARKETS DIVISION OVERVIEW 26
REAL ESTATE DIVISION OVERVIEW 27
OFFICE OF GENERAL COUNSEL OVERVIEW 28
ADMINISTRATION OVERVIEW 31
INFORMATION TECHNOLOGY SERVICES OVERVIEW 32
LIQUIDATION BUREAU OVERVIEW 33
INSURANCE COMPANY STATISTICS 41
PROPERTY INSURANCE 41
TABLE 1: NET PREMIUMS WRITTEN AND SURPLUS TO POLICYHOLDERS 41
TABLE 2: UNDERWRITING RESULTS 41
TABLE 3: INVESTMENT INCOME AND CAPITAL GAINS 42
TABLE 4: AGGREGATE UNDERWRITING AND INVESTMENT EXHIBIT 42
TABLE 5: SELECTED ANNUAL STATEMENT DATA PROPERTY/CASUALTY INSURERS 44
TABLE 6: DIRECT PREMIUMS WRITTEN BY PROPERTY/CASUALTY INSURERS 45
TABLE 7: NET PREMIUMS WRITTEN AND SURPLUS TO POLICYHOLDERS FINANCIAL GUARANTY INSURERS 46
TABLE 8: UNDERWRITING RESULTS FINANCIAL GUARANTY INSURERS 47
TABLE 9: INVESTMENT INCOME AND CAPITAL GAINS FINANCIAL GUARANTY INSURERS 47
TABLE 10: AGGREGATE UNDERWRITING AND INVESTMENT EXHIBIT FINANCIAL GUARANTY INSURERS 47
TABLE 11: SELECTED ANNUAL STATEMENT DATA FINANCIAL GUARANTY INSURERS 48
TABLE 12: NET PREMIUMS WRITTEN AND SURPLUS TO POLICYHOLDERS MORTGAGE GUARANTY INSURERS 49
TABLE 13: AGGREGATE UNDERWRITING AND INVESTMENT EXHIBIT MORTGAGE GUARANTY INSURERS 49
TABLE 14: SELECTED ANNUAL STATEMENT DATA MORTGAGE GUARANTY INSURERS 50
TABLE 15: SELECTED ANNUAL STATEMENT DATA TITLE INSURANCE COMPANIES 51
TABLE 16: SELECTED ANNUAL STATEMENT DATA ADVANCE PREMIUM AND ASSESSMENT CORPORATIONS 51
TABLE 17: NUMBER OF FILINGS RECEIVED BY TYPE 52
TABLE 18: MAJOR EFFECTS OF PRINCIPAL RATE & LOSS COST CHANGES BY PROPERTY/CASUALTY RATE SERVICE ORGANIZATIONS 53
TABLE 19: PRIVATE PASSENGER AUTOMOBILE RATE FILINGS 57
TABLE 20: NEW YORK AUTOMOBILE INSURANCE PLAN (NYAIP) EXPERIENCE IN 2009 AND 2010 62
TABLE 21: WORKERS COMPENSATION INSURANCE 67
TABLE 22: PCISF CONTRIBUTIONS 71
TABLE 23: MOTOR VEHICLE ACCIDENT INDEMNITY FUND 72
TABLE 24: INSURANCE ENTITIES SUPERVISED BY THE DEPARTMENT 72
HEALTH INSURANCE 74
TABLE 25: HEALTH INSURANCE: CLASSES OF BUSINESS, ASSETS, LIABILITIES AND PREMIUMS WRITTEN 74
LIFE INSURANCE 75
TABLE 26: ADMITTED ASSETS 75
TABLE 27: BALANCE SHEET 75
TABLE 28: TOTAL LIFE INSURANCE IN FORCE 76
TABLE 29: SOURCES OF INCOME 76
TABLE 30: OPERATING RESULTS 77
TABLE 31: LIFE INSURANCE IN FORCE IN THE STATE OF NEW YORK 77
TABLE 32: ADMITTED ASSETS/INSURANCE IN FORCE 78
TABLE 33: FRATERNAL BENEFIT SOCIETIES 78
TABLE 34: PRIVATE PENSION FUNDS 78
TABLE 35: PUBLIC RETIREMENT SYSTEMS AND PENSION FUNDS 79
TABLE 36: SEGREGATED GIFT ANNUITY FUNDS 79
TABLE 37: COMPANIES REGULATED BY THE DEPARTMENT 79
BANKING STATISTICS 81
TABLE 38: PRINCIPAL BANKING AND LENDING FACILITIES OF NEW YORK STATE 81
TABLE 39: SUMMARY OF STATE SUPERVISED AND LICENSED INSTITUTIONS 82
TABLE 40: CONDITION OF COMMERCIAL BANKS 83
TABLE 41: CONDITION OF SAVINGS BANKS & THRIFTS 89
TABLE 42: CONDITION OF CREDIT UNIONS 91
TABLE 43: CONDITION OF SAFE DEPOSIT COMPANIES 93
TABLE 44: CONDITION OF INVESTMENT COMPANIES 94
TABLE 45: CONDITION OF LICENSED LENDERS 95
TABLE 46: ALL SUPERVISED BANKING INSTITUTIONS AND LICENSED LENDERS 97
TABLE 47: VOLUNTARY AND INVOLUNTARY LIQUIDATIONS 107
TABLE 48: UNCLAIMED DEPOSITS OR DIVIDENDS DEPOSITED WITH SUPERINTENDENT 107
TABLE 49: MERGERS AND ACQUISITIONS 107
TABLE 50: CHARTER CONVERSIONS 108
TABLE 51: STATE TRANSMITTER OF MONEY INSURANCE FUND (STMIF) 109
DEPARTMENT ORGANIZATION AND MAINTENANCE 110
TABLE 52: FORMER INSURANCE DEPARTMENT 2010-11 STATE FISCAL YEAR EXPENDITURES 110
TABLE 53: FORMER BANKING DEPARTMENT 2010-11 STATE FISCAL YEAR EXPENDITURES 111
TABLE 54: ASSESSMENTS AND REIMBURSEMENT OF INSURANCE DEPARTMENT EXPENSES: 112
TABLE 55: ASSESSMENTS AND REIMBURSEMENT OF BANKING DEPARTMENT EXPENSES 113
REGULATORY AND LEGISLATIVE ACTIVITIES 114
MAJOR LITIGATION 114
OVERVIEW
This is the first Annual Report of the New York State Department of Financial Services (DFS). It reviews the Department’s activities in 2011, as
well as developments in the financial services industries regulated by the Department.
In his 2011 State of the State address, Governor Andrew Cuomo announced his plan to merge the New York State Insurance Department and
the Banking Department into a single financial services regulator, DFS.
Governor Cuomo identified a need to modernize and close the gaps in regulation, which he proposed could be accomplished by creating DFS to
oversee the broad array of financial products and services in the market. This consolidation would leverage the combined financial expertise in
both Departments to guard against systemic risk while streamlining regulation and operations. An acknowledgment of an evolving financial
marketplace, Governor Cuomo’s initiative took direct aim at the regulatory gaps that had contributed to the financial crisis.
The Financial Services Law was introduced and passed as part of Governor Cuomo’s 2011 budget. In May 2011, work began to integrate the
Banking and Insurance Departments. On May 16, 2011, Governor Cuomo nominated Benjamin M. Lawsky to serve as New York’s first
Superintendent of Financial Services. Superintendent Lawsky was unanimously confirmed by the Senate on May 24, 2011. The merger became
effective on October 3, 2011.
Superintendent Lawsky has defined three goals for the Department in order to fulfill Governor Cuomo’s mandate,:
• To maintain New York’s position as the world financial capital by modernizing the regulation of financial services and encouraging these
industries to grow and create jobs.
• To guard against systemic risk that leads to financial crises and to
provide to consumers and markets the most effective protection
against fraud.
• To make the Department an example of an efficient, well-run government agency.
The Department is responsible for supervising and regulating the activities of nearly 1,700 insurance companies with assets exceeding $4 trillion
and nearly 1,900 banking and other financial institutions with assets of more than $2.1 trillion. The Department is organized into five divisions:
The Banking and Insurance Divisions each continue to perform the core functions that had been assigned the previous Banking and
Insurance Departments, working to ensure the safety, soundness and solvency of regulated entities and the fair treatment of consumers.
4
The Financial Frauds and Consumer Protection Division (FFCPD) is responsible for protecting and educating consumers and fighting
consumer fraud.
The Real Estate Finance Division is involved with real estate and homeowner issues, as well as such financial services as title insurance and
mortgage insurance.
The Markets Division actively monitors the latest developments and products in the financial services marketplace, so that the Department
can better understand and regulate complex and rapidly changing financial products and services.
Several non-regulatory units in the two former departments have been integrated including administration, information technology and legal
counsel. Due to these and other efforts, DFS has reduced spending by more than 10 percent in just its first year, state fiscal year 2011—2012.
NOTE: This annual report is organized differently than prior reports by the Insurance and Banking Departments. It begins with text describing
the major accomplishments and responsibilities of the Department. The data tables included in prior reports have all been combined in a single
appendix, which follows the text section. In addition, to reduce reproduction costs, data that is posted on the Department website in the
normal course of business, and that has been included in prior reports, is referenced
with a link to its location on the Department website,
www.dfs.ny.gov.
Data in this report are for the most current available year, which in some cases is 2010 and in others 2011. Financial data for the Department is
for fiscal year 2010-2011, during which the Insurance and Banking Departments were still separate entities.
5
MAJOR ACCOMPLISHMENTS
Since its inception, the Department has worked aggressively to protect consumers, prevent systemic risk and encourage financial services to
thrive and create jobs, all while successfully implementing the merger of two large state agencies. The highlights of some of that work are
enumerated below.
Protecting consumers
Mortgage Servicing Reform
The Department sought to protect consumers by correcting abuses in the mortgage servicing industry that contributed to the collapse of the
housing market and the nation’s economic downturn. The Department focused on reforms in the industry by working proactively with
consumer groups and the mortgage industry to find ways to improve various aspects of the mortgage foreclosure process.
The Department took the lead in achieving reforms with eight mortgage servicers, which agreed to a thorough reform program that imposes
new standards and requirements on the servicers, such as discontinuing robo-signing, as well as protecting borrowers who have been subject to
wrongful foreclosure.
The reforms protect consumers by requiring the servicers to employ sufficient staff to properly handle foreclosure volume. For example, there
must be one person—a single point of contact—familiar with each case, so that homeowners do not get the run-around, are treated fairly
without conflicting responses, and have the opportunity to seek loan modifications before they go through a foreclosure.
The eight mortgage servicers that agreed to abide by the new mortgage servicing practices hold more than 1.2 million
loans nationally, with a
total unpaid principal balance of more than $186.1 billion. More than 67,000 of those loans are in New York, with a total unpaid principal
balance of more than $16.8 billion. The Department is working to make these reforms the industry standard going forward.
Protecting Consumers from Costs of Court Delay
In an industry-wide letter to mortgage servicers operating in New York, the Department said servicers should proceed expeditiously to
substitute new counsel in foreclosure cases previously handled by the Steven J. Baum P.C. (Baum) law firm, which closed in November, 2011.
The Department directed that homeowners should not be charged penalties, fees, costs, or interest accrued as the direct result of delays caused
by the Baum firm’s closing and the substitution of counsel.
6
A leading mortgage servicer, Ocwen Financial Corporation, has already signed an agreement with the Department promising to refrain from
charging homeowners for such costs. In an amendment to an agreement reached in September with DFS, Ocwen also agreed not to penalize
homeowners affected by the Baum closing and to adhere to groundbreaking mortgage servicing reforms designed to address troublesome
practices in the servicing industry generally.
Based in Amherst in Erie County, Baum closed after being fined $2 million by the federal government for its foreclosure practices, including
allegations of robo-signing, and after Freddie Mac and Fannie Mae removed the firm from their lists of approved law firms.
The Baum firm represented plaintiffs in an estimated 40% of the foreclosure proceedings in New York in 2010. Servicers across the state now
must hire new counsel, who will have to gather and review case files, and seek court approval of new legal representation. As a result, significant
delays in pending foreclosure cases are expected.
Force-Placed Insurance Investigation
The Department launched a major investigation into force-placed insurance, which is insurance placed by a mortgage lender or servicer, often at
a very high price, when a borrower’s insurance
lapses or does not satisfy the terms of the mortgage loan contract. Consumer advocates,
mortgage bond investors, and federal investigators have alleged that banks and insurers unlawfully place, sell, and reinsure force-placed policies.
Using the Department’s new authority to protect consumers under the insurance, banking, and financial services laws, the Department issued
document requests and subpoenas to mortgage servicers, insurers, and insurance producers as part of an ongoing investigation into force-placed
insurance.
As part of its investigation, the Department will hold public hearings beginning May 17, 2012, in New York City to review whether rates for
force-placed insurance are appropriate or excessive. The hearings will also examine the relationships and payments among insurers, banks,
mortgage servicers and insurance agents and brokers. Fifteen financial services companies have been directed to provide written and oral
testimony at the hearings and answer the Department's questions. The companies include banks, mortgage servicers, insurance agents and
brokers, insurers and reinsurers.
Investigation of Life Insurers’ Claims Practices
As the result of a DFS investigation, insurers are now regularly matching life insurance policies against a reliable death list, rather than simply
waiting for beneficiaries to file claims. The investigation, which is on-going,
has led to tens of millions of dollars being paid to thousands of
beneficiaries.
7
The DFS investigation focused on claims practices by life insurers regarding the use of the U.S. Social Security Administration’s Death Master File
for investigating claims and locating beneficiaries with respect to death benefits under life insurance policies, annuity contracts, and retained asset
accounts. DFS found that many insurers had used the death file to stop annuity payments once a contract holder died, but had not used it to
determine if death benefit payments were owed to beneficiaries under life insurance policies, annuity contracts, or retained asset accounts.
The Department administratively required insurers to perform cross-checks of all life insurance policies, annuity contracts and retained asset
accounts using the latest updated version of the death file, or another database or service at least as comprehensive as the SSA-DMF, to identify
any death benefit payments.
Insurers also were instructed to issue monthly reports to the Department through March 31, 2012, detailing their progress in making payments
based on identifying beneficiaries, though this deadline has been extended. As of April 2012, the investigation has resulted in 32,715 payments to
consumers nationwide totaling $262.2 million, including 7,525 payments totaling $95.9 million to New Yorkers.
Retained Asset Accounts
For many
years, the life insurance industry earned money by holding life insurance payouts of America’s soldiers, veterans, and others in so-
called “retained asset accounts”, instead of paying them out to the beneficiary in a lump sum. By doing so, the insurance companies invested and
earned interest on these funds, until they were withdrawn by survivors.
In many instances, the accounts are not as beneficial to consumers as bank accounts because they are not protected by FDIC insurance, the
interest rates are very low, and the accounts often have limitations on use that do not apply to checks from a bank account.
When this practice was exposed in the summer of 2010, then-Attorney General Cuomo launched an investigation. Now, the Department has in
effect completed the investigation by outlining insurers’ obligations to consumers going forward.
In February 2012, the Department issued Circular Letter No. 4, which governs the use of retained asset accounts. The Letter describes new
procedures concerning the establishment of such accounts, and encourages insurers to implement best practices for existing accounts. Among
other new procedures, insurers should make payment by a single check if a life insurance policy provides for payment of the death benefit in a
lump sum and ensure specific disclosures to beneficiaries where the option of a retained asset account is provided. The new standard applies
unless the purchaser of the policy or the beneficiary specifically asks to receive the money in another form.
New York is the first state in the country to institute this tough pro-consumer policy, which makes a full payment to survivors the new standard
unless individuals expressly choose the option of having a retained asset account.
8
Fairly Reducing Health Insurance Costs
Finding ways to slow the pernicious rise in health care costs and ensuring that New Yorkers have access to affordable, quality health care are
top priorities of the Cuomo Administration. The Department is taking steps to address these issues on multiple fronts.
Implementation of Prior Approval. The Department is working hard to ensure the successful implementation of the new prior approval
law, which was enacted in 2010. Before that law was passed, health insurers could simply file a rate increase with the Insurance Department and
implement it. Now, insurers must seek approval in advance, and the Department has the ability to adjust rates, while carefully considering the
impact of premium increases on consumers against the solvency needs of the insurers. The process also includes the opportunity for public
comment.
In implementing this law, the Department is conscious of the balance that must be struck between keeping health insurance affordable and
making certain that insurers have both the resources to pay claims and incentive to continue to serve the market.
In the two years since prior approval has been in effect, the Department has already saved consumers more than half a billion dollars. Before
prior approval, health insurance premiums were going up an average of 14% a year. In 2011, although
medical costs went up 11%, the
Department held the increase in premiums to 10%. And, for 2012, the Department held the increase to 8% even though medical costs went up
9%.
Greater Transparency on Rate Increases. In October 2011, the Department ordered that all rate applications submitted by health insurers
as part of the prior approval process would be made public to consumers. Initially, some health insurers claimed that their requests for health
insurance premium increases should be confidential. This made it impossible for the public comment aspect of the prior approval process to be
meaningful.
After discussions with the Department, the health insurance industry withdrew its objections to the Department’s order and agreed to make
details of rate increase requests public. This is a huge step toward building transparency, allowing the public to rigorously comment on proposed
rates, and promoting competition. This measure will encourage insurers to hold down their own costs and work with medical providers to hold
down their costs.
Premium Refunds. Under the prior approval law, health insurers must spend at least 82% of premiums on medical claims. Several insurers
missed this minimum, and the Bureau ordered eleven insurance companies to refund $114.5 million to holders
of policies that cover 573,748
people.
9
Affordable Care Act Implementation
DFS worked in conjunction with the Governor’s office, the Department of Health (DOH), other agencies and stakeholders to implement the
federal Affordable Care Act (ACA), which was enacted in March 2010. Specific projects are outlined below.
Health Insurance Exchange. In 2011, the Department worked with DOH and the Governor’s office to introduce a bill to establish a Health
Benefit Exchange as a public authority that would allow consumers to shop for and purchase health insurance coverage. The bill did not pass the
Senate, and in April 2012, Governor Cuomo issued Executive Order No. 42, which established the New York Health Benefit Exchange to be
housed in the Department of Health and operated in conjunction with DFS. New York has received three rounds of Federal grants to help fund
establishment of the Exchange. The Department is working extensively on policy issues, healthcare market reforms, administrative and technical
operations, planning and stakeholder involvement necessary to set up and run the Exchange.
“6 Month Reforms” Legislation. The Department drafted and successfully negotiated a bill to conform New York law to the ACA
insurance reforms that went into effect six months after the enactment of the
ACA. These reforms included restrictions on annual and lifetime
benefits caps, no pre-existing condition exclusions for children, and coverage for dependents to age 26.
New York Bridge Plan (Pre-Existing Condition Insurance Plan). With federal funding under the ACA, the Department established the New
York Bridge Plan, which provides coverage for uninsured people with pre-existing conditions. The Department is working with GHI to
administer the plan. By the end of 2011, the Bridge Plan had enrolled more than 2,500 people. The Department continues to enroll consumers
in this insurance of last resort, helping seriously ill individuals obtain more affordable coverage.
Tropical Storm Disaster Response
Under Governor Cuomo’s direction, disaster response was a first level priority for DFS in its initial months. Flooding of historic proportions
occurred in many areas of New York State in August 2011 and again in September when two tropical storms hit the state and caused severe
damage. The Department assisted thousands of homeowners, renters and business owners, pressed insurers to respond to claims promptly and
fairly, and later worked with the federal government to set national disaster response policy. In responding to losses caused by Tropical Storms
Irene and Lee:
DFS personnel staffed Disaster
Recovery Centers at 24 locations in flood-affected areas and overall nearly 90 members of the agency were
directly involved in recovery efforts.
10
The Department’s Mobile Command Center, a 35-foot vehicle staffed with consumer services professionals and equipped with communications
equipment, was dispatched to help insurance policyholders in both Upstate and Downstate locations.
The Department activated the Insurance Emergency Operations Center (IEOC), a joint Department and industry operation staffed by insurance
company representatives and Department professionals. The IEOC was used to coordinate the efforts of insurance companies and help insurers
process claims more quickly to support policyholders faster and more efficiently.
The Department staffed a special disaster hotline that operated seven days a week and helped nearly 1,100 consumers who called with questions
about homeowners’, renters’ and business insurance.
The Department issued more than 9,200 temporary insurance adjuster licenses. This allowed insurers to bring in adjusters from all over the
United States so that properties could be inspected quickly and policyholder claims processed faster.
Post-disaster data filed with the Department by property/casualty insurance companies indicated that more than 85,000 personal and
commercial claims were filed with insurers, for an estimated value of more than $300 million.
As a consequence of its disaster recovery efforts, DFS helped establish national policy on flood disaster response after discussions with the
Federal Emergency Management
Agency (FEMA), which administers the National Flood Insurance Program (NFIP). For most homeowners and
businesses, NFIP insurance policies are their only protection against flood damage. The policies are sold through property casualty insurers.
The new national policy came in the form of a bulletin issued by FEMA to insurance companies. The bulletin instructed insurers to work with
state regulators in ensuring fairness and promptness in servicing customers with federal flood insurance. FEMA had originally asserted that state
regulators had no role in overseeing claims processing for flood insurance.
Consumer Recoveries
Department investigations into consumer complaints against insurance companies led to the recovery of $28 million for 3,496 consumers in
2011. The Department also instructed insurers to offer to reinstate 70,440 policies which had been improperly cancelled. These offers to
reinstate policies benefitted 14,590 homeowners whose policies were cancelled because an insurer improperly billed consumers for premium
amounts not yet in arrears. Also, insurers were directed to offer to reinstate 751 improperly cancelled personal lines policies and another 900
homeowners’ policies improperly allowed to expire because the insurer failed to send cancellation notices to its policyholders. In addition,
Department investigations into complaints from doctors, hospitals and other medical providers about unpaid claims led to the payment of $33.3
million from insurers to these providers.
11
First Personal Auto Usage Based Insurance Discount Program
The Department approved the first Personal Auto Usage Based Insurance (UBI) Discount program. The UBI program was approved for
Progressive Advanced Insurance Company, effective December 3, 2010 for new policies and February 1, 2011 for renewals. Policyholders who
choose to participate in this new optional rating program can earn a discount based on their individual driving patterns. Under the program, the
insurance company provides a device that is connected to the computer of the insured’s vehicle. The device records and uploads data on the
insured’s driving patterns for a specified period, and if the data collected indicates a discount is warranted, the discount percentage will be
calculated and applied to the policy. The final calculated discount will remain on the vehicle for the life of the policy. No policyholder will see an
increase in premium due to the data collected from this program. The device is returned to the company at the end of the data collection
period.
Additionally, the Department has approved optional miles-driven discount programs that do not use a data collection device. The discount for
such programs is based solely on the annual miles driven for
each policy period, as reported by the policyholder. Both types of programs allow
policyholders to potentially reduce their premiums, especially those who drive infrequently.
Maintaining a Competitive Market for Auto Insurance
Motorists are required to have insurance on their motor vehicles. When they are unable to receive coverage from insurance companies,
motorists are placed in the assigned risk pool, which requires them to pay substantially higher premiums. One sign of the competitiveness of the
auto insurance market is the percentage of drivers in the assigned risk pool, which is known as the New York Automobile Insurance Plan.
The number of vehicles insured in the Plan has remained at historically low levels and has even decreased by 15% at year end 2011, compared to
year end 2010. Less than 1% of New York private passenger registered vehicles are insured in the Plan. It had been as high as 17% less than two
decades ago. The stability in the Plan’s population can be attributed, at least in part, to various Department initiatives, including incentives to
voluntary market insurers that provide coverage to drivers who otherwise would have been placed in the Plan.
Protecting Seniors from Insurance Agents Claiming False Expertise
Seniors in New York are protected by two new regulations to combat misleading practices in the sales of annuities and life insurance to senior
citizens and other consumers. The Department acted in response to cases where seniors have been convinced to buy or replace existing
annuities with new annuities that are not in their best interests. The two emergency regulations:
12
Require that only a suitable annuity, based on a consumer’s financial situation and needs, be recommended to a consumer by an insurer, agent or
broker.
Prohibit insurance agents and brokers from using titles, such as “certified senior advisor”, that suggest they have special expertise on issues
regarding seniors when, in fact, they have no such qualifications.
The first regulation requires agents and brokers to consider the insurance needs and financial objectives of the consumer, based on the facts
disclosed by the consumer, when recommending an annuity contract for purchase or replacement
The second regulation addresses the fact that some agents and brokers use misleading titles, such as “certified elder planning specialist” or a
“certified senior advisor” to gain seniors’ confidence in order to sell them insurance products. Many of these titles are obtained by agents and
brokers by simply paying a fee. In recent years, the media have reported cases of sales to elderly clients, resulting in the loss of seniors’ savings,
by agents or brokers utilizing these misleading titles.
This regulation prohibits the use of these misleading titles and fraudulent marketing practices linked to the use of such titles in the solicitation,
sale, or purchase of,
or advice made in connection with a life insurance policy or annuity contract.
Encouraging the Growth of Industry
Enhancing the New York State Bank Charter
Banks that do business in New York State have the option of choosing a New York State or a federal charter. Although the advent of interstate
banking, with its need for regulatory uniformity, led many large banks to operate nationally, an opportunity now exists to reverse this trend. In
fact, the banking industry has encouraged DFS to aggressively promote the State option. State charter fees are significantly lower than the federal
charter fees and DFS looks to attract more banks by highlighting the advantages of a State charter.
Banks recognize that having the State charter provides greater potential for dialogue with regulators on issues important to the banks. Banks
also recognize the wealth of knowledge DFS has on local consumer issues. The New York State charter allows banks to be supervised by
regulators who are more accessible, flexible and responsive than their federal counterparts due to a greater understanding of their home
markets. By being more closely attuned to local institutions’ needs and markets, state regulators are better able to provide supervisory guidance
and support
during challenging economic periods. State regulators have a strong history of consumer protection, taking an early lead on anti-
predatory lending laws and foreclosure prevention, and reaching landmark settlements with large mortgage bankers.
13
Fostering a strong regulatory landscape
On December 31, 2011, DFS announced that Elmira Savings Bank was the first bank to convert to a New York State charter since the
Department’s inception. Several federal savings banks in New York are in the process of submitting applications for conversion to a State
charter as well.
It is the Department’s goal to cultivate a culture of superior service that will both satisfy the needs of existing State chartered banks while
encouraging others to seriously consider the State option.
The Financial Services Law created the State Bank Charter Advisory Board to assist the Department in encouraging the growth in state
chartered banks. In March 2012, Superintendent Lawsky announced the appointments of nine banking professionals to serve on the advisory
board. The banking professionals represent banks with a range of assets.
Workers’ Compensation Fraud
DFS demonstrated its ongoing commitment to fighting workers’ compensation fraud when 18 individuals in 13 counties were arrested in
December. The arrests were the culmination of a series of investigations led by DFS.
The investigations and subsequent arrests focused on identifying individuals who were collecting workers’ compensation benefits even though
they were ineligible. For example, some of the individuals
improperly obtained benefits while secretly working; others collected compensation
after faking injuries or filing false documentation.
Workers’ compensation fraud affects everyone because all honest New York businesses and taxpayers are forced to shoulder the burden of
higher premiums, unnecessarily driving up the cost of doing business in New York. The Department will continue to make fighting workers’
compensation fraud a priority.
Implementation of Commercial Modernization
14
On August 17, 2011, the Governor signed Chapter 490 of the Laws of 2011, modernizing the regulation of commercial lines insurance. The bill
amended Article 63 of the Insurance Law to add a new “Class Three” to the special risk provisions, commonly referred to as the Free Trade
Zone. Subject to specific conditions listed in the law, forms and rates for policies eligible to be written as Class 3 risks do not need to be filed
with the Department for prior approval. DFS then introduced the regulations required to implement the law.
Under the new measure, insurers are exempt from rate filing and form approval requirements when issuing qualified policies to businesses or
entities, like municipalities, that generate annual commercial risk insurance premiums totaling more than $25,000 for certain kinds of
property/casualty insurance. In addition, policyholders must retain special risk managers to assist in negotiating and purchasing the policies.
Insurers using the exemption must file with the Superintendent a certificate of insurance documenting the terms of the policy within one
business day of binding the insurance coverage. The new law and regulation promise to enhance the ability of insurers to underwrite large
commercial policyholders in New York, increase speed to market for certain insurance products not currently exempted, and eliminate barriers
to economic development in New York.
The Department will monitor the implementation of Chapter 490 and the
amendment to Regulation 86, and will address issues from industry as
they arise.
Modernizing Insurance Policy and Rate Review
In all three insurance bureaus, DFS is implementing numerous improvements to streamline its process for the review of rate, policy, license and
other industry filings. It is anticipated that a more efficient and focused Rate and Form Filing Process would better protect consumers, help
enhance competition in the insurance industry, and reduce unnecessary costs and burdens on regulated entities.
Improvements include:
• Elimination of non-essential, duplicative, time-wasting requirements.
• Standardizing checklists and exhibits to streamline rate filings.
• Accessing rate applications is now possible online.
• Improving requests for information for better, more complete market data.
• Better communication with industry on rate reviews—both the policy and process.
15
• Meeting with insurance companies to go over rate decisions.
• Providing understanding on the criteria used to make the rate decisions.
• Establishing the Fund
As part of an effort to reduce medical malpractice costs, the State has created a fund to pay the health care costs of plaintiffs. Chapter 59 of the
Laws of 2011 amended Article 29-D of the Public Health Law to create the Medical Indemnity Fund (“Fund”). The Fund is designed to pay all
future costs necessary to meet the health care needs of plaintiffs in medical malpractice actions who have received either court-approved
settlements or judgments deeming the plaintiffs’ neurological impairments to be birth-related. The purpose of the Fund is two-fold: 1) to pay or
reimburse costs necessary to meet the health care needs of a “qualified plaintiff” throughout his or her lifetime; and 2) to lower the expenses
associated with medical malpractice litigation throughout the health care system.
Pursuant to statute, the Department of Financial Services is charged with implementing the Fund which became operational on October 1, 2011.
The Department recently engaged a third party administrator to administer the Fund, and is working closely with the
administrator to ensure
that plaintiffs receive needed care. As of December 2011, nine plaintiffs had enrolled in the Fund.
Increasing Competition in the Reinsurance Market
The Department acted to strengthen reinsurance business activity in New York by relaxing the unnecessarily high 100 percent collateral
requirement that had previously been imposed on many large and financially strong alien reinsurers. Twenty property/casualty and life reinsurers
met the Department’s criteria under a new regulation that enables them to write new reinsurance contracts and renew existing contracts under
the new collateral requirement. Under the new regulation, the certified reinsurers post collateral based on a sliding scale, instead of the former
100 percent collateral requirement. This development helps cement New York’s reputation as an innovative and forward-thinking global financial
services center.
On-Going Efforts
A key priority of the Department is to make the examination process less complex and more modern and efficient. A DFS internal working
group has been formed to identify critical issues in the examination process, make recommendations, and outline an action plan. Among other
areas, the working group is looking at improvements that can be made in the following areas:
• Further strengthening the training of examiners.
• Enhancing IT components of exams.
16
• Improving timeliness of report issuance.
• Increasing financial analysts’ involvement in risk-focused surveillance.
• Improving the administrative aspects of the exam process, such as vendor management, contracts, billing hours and invoices.
• Setting new standards for timely response to industry filings.
DFS-regulated entities make numerous filings with the Department, including filings required to sell new products or adjust prices of existing
products. It is essential that the industry receive prompt responses to those filings to be able to conduct business. A timely rejection is often
preferable to long delays with no decision because it allows a business to make adjustments and go forward.
In order to improve response time, the Department is taking various actions, including the creation of a 45-day list documenting all pending
matters without a decision for more than 45 days. The list will be used internally to better monitor departmental responsiveness and to
encourage faster and more efficient decision making. Going forward, the Department is working on developing procedures that will allow it to
provide prompt final determinations or, when that is not possible, to identify problems so they can be discussed with the filing entity.
These efforts have already substantially reduced backlogs of filings waiting for review. As of October, 2011, the Property Bureau had 860 filings
that had been open, on average, for 91 days. By the end of April 2012, Property had 601 filings that had been open, on average, for 47 days.
Over the same time period, the Health Bureau went from 504 filings open on average 96 days to 221 open on average 65 days. And the Life
Bureau cut its backlog from 156 filings open on average 80 days to 114 filings open an average of 33 days.
Enhancing the Banking Development District Program
The Banking Development District (BDD) program is a program designed to encourage the establishment of bank branches in areas across
New York State where there is a demonstrated need for banking services. Banks can play an important role in promoting individual wealth,
homeownership, community development, and neighborhood revitalization. An aim of the program is to enhance access to financial services to
consumers, who may have little or no relationship with the banking industry, and to promote local economic development. Moreover, the
establishment of a bank branch can provide a foundation to stimulate the local
economy by enhancing access to capital for local businesses.
Currently, 70% of the BDDs are located within New York City and there is a demand for more BDDs to be available in Upstate New York. DFS
is aware of this discrepancy and is committed to increasing awareness of the BDD program in Upstate New York.
17
In the third quarter of 2011, DFS participated in a roundtable on BDDs, in which the Department presented its plans and recommendations for
improving the BDD program, including:
• Requiring that BDD branches provide financial education to residents and businesses within their districts and submit their plans to DFS;
• Amending application and renewal forms to require that applicants offer affordable banking products and services;
• Streamlining application and renewal forms for the BDD program.
The Department will continue to work with local government officials, community groups, and consumers to effectively expand the BDD
program further.
Improving Response to Consumer Complaints
DFS has instituted a new process for the resolution of consumer complaints that will result not only in improved efficiency but also enhanced
services for consumers. DFS receives approximately 160,000 calls and 50,000 complaints annually. Given the volume of traffic the consumer
complaint division receives, consumers and regulated entities often experience a delay in receiving needed information. DFS has therefore begun
to examine ways to enhance its use of technology and improve the public’s use of the Department’s website with an eye towards ultimately
reducing the number of calls received in the first place. DFS also recently executed
an agreement with the Department of Taxation and Finance
to provide Call Center Services for DFS. Implementation of this initiative, which will reduce costs, increase efficiency and improve customer
service, began on January 3, 2012.
Legal Modernization
The Department formed a working group to examine whether existing banking and insurance laws need to be updated to provide additional
tools to DFS to regulate more effectively or eliminate burdensome requirements for the industry that do not result in increased protections for
consumers. The Superintendent is reviewing the recommendations of the working group and is considering proposing legislative and/or
regulatory changes based on the recommendations.
18
INSURANCE DIVISION OVERVIEW
In 2011, the Insurance Division regulated nearly 1,700 insurance companies with assets exceeding $4 trillion. The Division includes the Property,
Life and Health Bureaus.
Property Bureau
The Property Bureau regulates more than 800 property/casualty insurance companies licensed in New York writing net premiums totaling more
than $312 billion.
The Property Bureau oversees the financial condition and market conduct of property and casualty insurance companies in order to monitor the
financial solvency of licensees and to maintain an equitable marketplace for policyholders.
The Bureau’s Market Section reviews policy forms and rate filings for all lines of business, including review of workers’ compensation, private
passenger and public automobile and medical malpractice insurance rates. In addition, the Market Section oversees the American Arbitration
Association’s (AAA) administration of conciliation and arbitration of no-fault auto insurance claims disputes and is responsible for overall
supervision of the excess and surplus lines insurance market, as well as purchasing groups organized pursuant to the federal Risk Retention Act.
The Bureau’s Financial Section conducts examinations and analyses, including reviewing and monitoring the financial condition of regulated
entities; reviewing mergers, acquisitions and transactions within holding company systems; reviewing applications for licensing of domestic
and
foreign insurers; reviewing applications for accreditation of foreign and alien reinsurers; reviewing applications to qualify as a certified reinsurer;
and reviewing applications for registration as a service contract provider.
Health Bureau
The Health Bureau regulates health insurers with total assets of $34.5 million and premiums totaling $58.5 million
The Health Bureau has responsibility for all aspects of health insurance regulation, including the premium rates and policy forms; legal aspects of
health insurance, including compliance, drafting regulations and legislation; and reviewing discontinuances of health insurance coverage.
The Bureau also regulates the fiscal solvency of accident and health insurance companies, Article 43 not-for-profit health plans, health
maintenance organizations (HMOs), municipal cooperative health benefits plans and continuing care retirement communities, including review of
financial statements and holding company transactions.
19
The Bureau conducts financial and market conduct examinations to ensure compliance with statutory and financial solvency requirements, as
well as proper treatment of policyholders. The financial examinations focus on high risk areas of an entity’s operations and include corporate
governance, internal controls, current and prospective risk assessment, and review of material transactions.
The Bureau also runs the Healthy NY program, the COBRA program and Brooklyn Healthworks, which provide insurance coverage to
vulnerable small businesses and individuals meeting certain eligibility criteria. In addition, the Bureau oversees the Market Stabilization Pools, the
Healthy NY Stop Loss Funds and the Direct Payment Stop Loss Funds which are risk adjustment mechanisms for individual, small group and
Medicare Supplement coverage.
In addition, the Bureau is responsible for implementing New York’s prior approval legislation and works closely with the Governor’s Office on
implementing federal health care reform.
The Department secured more than $4 million in federal funding to help improve its rate review process, including hiring actuaries, funding
improved data collection, and improving audit capacity to ensure rates are accurately and fairly reviewed.
Life Bureau
The Life Bureau supervises more than 595 regulated entities, including 132 licensed life insurance companies with assets of
more than $1 trillion
and premiums of more than $223 billion.
The 132 life insurers supervised by the bureau include 79 domiciled in New York and 53 foreign domiciled insurers. In addition, the bureau
supervises: 37 fraternal benefit societies; 12 retirement systems, including four private pension funds and eight governmental systems; nine
governmental variable supplements funds; 312 charitable annuity funds; 22 employee welfare funds; 31 life settlement providers (including 24
entities permitted to operate as life settlement providers pending approval or disapproval of their applications for licensure and contract forms);
35 accredited reinsurers and five certified reinsurers.
The Life Bureau regulates financial condition through: the establishment and application of financial standards (risk based capital (RBC), reserves,
accounting, etc.); the periodic examination of insurance companies’ financial activities; the evaluation of reserve adequacy and liquidity and other
risks; the review of life products for self-support and potentially excessive risk; and the analysis of financial statements and actuarial reports and
opinions submitted by regulated entities. Such Bureau processes are performed to verify that statutory and regulatory financial standards are
met and to ensure that insurers can meet their financial and contractual obligations.
The Life Bureau regulates market conduct through:
the establishment of market conduct standards (product provisions, replacements, claims
practices, etc.); the periodic examination of insurance companies’ sales and marketing practices and treatment of policyholders; the investigation
of specific or targeted market activities; and the analysis of market data. These processes are performed to: ensure compliance with statutory
20
and regulatory requirements; ensure that policyholders are treated fairly and equitably by insurers in accordance with prescribed standards of
conduct; and protect the marketplace by preventing and/or limiting practices that constitute unfair trade practices or unfair methods of
competition.
The Life Bureau reviews and approves life insurance policies, annuity contracts, funding agreements, and all other agreements and policy forms
relating thereto submitted by authorized life authorized life insurers and other regulated entities for sale in New York to individual or group
consumers for compliance with applicable laws, rules and regulations. Legal and actuarial reviews are performed to ensure that New York
consumers receive the protection afforded by New York law and regulations and to ensure that such consumers are treated in a fair and
equitable manner by authorized life insurers and other regulated entities.
The Life Bureau regulates the corporate conduct of authorized insurers through: the establishment of corporate standards (corporate
governance, holding company, licensing requirements, etc.); the enforcement of statutory and regulatory corporate governance standards; and
the review and approval of activities including licensing, corporate reorganizations, mergers, acquisitions, demutualizations and holding company
transactions. In so doing, the Bureau verifies that statutory and regulatory requirements are met; ensures
the prudent conduct of insurers; and
protects policyholder interests.
BANKING DIVISION OVERVIEW
Community and Regional Banks
Community and Regional Banks (CRB) is responsible for the prudential regulation of community and regional banks, credit unions and other
depository institutions through annual and periodic target examinations and continuous supervision. CRB staff review the compliance of the
supervised institutions with applicable New York State and Federal laws and regulations. CRB partners with the Federal Deposit Insurance
Corporation (FDIC), the Federal Reserve Bank of New York (FRB), and the National Credit Union Administration (NCUA) in joint supervision.
In 2011, CRB had supervisory oversight of a total of 83 banks and savings institutions, including 52 commercial banks, 20 savings banks, 10
limited-purpose commercial banks and one savings and loan association. CRB also provides regulatory supervision for 20 credit unions with total
assets ranging from $1 million to $1.7 billion, limited purpose trust companies, charitable foundations, bank holding companies, and three New
York State regulated corporations. The aggregate assets of institutions supervised by CRB are more than $231 billion.
During 2011, capital, asset quality and liquidity concerns lessened as the economic environment improved along with the outlook for institutions
supervised by CRB.
No CRB institutions were closed during the year compared with 3 closings in 2010.
21
The nation’s banking system allows banks to choose a state charter or national charter. Weighing the relative advantages of a state charter to a
federal thrift charter, many thrift institutions concluded in late 2011 that the state charter was preferred. The Elmira Savings Bank, FSB, the first
of many federal thrifts to apply to convert to a state charter, became a New York State-chartered stock-form savings bank under the name
Elmira Savings Bank, on December 31, 2011.
Foreign And Wholesale Banks
During 2011, banks from India, China, South America and Europe approached DFS regarding the possibility of opening a branch, agency or
representative office in New York. Furthermore, during 2011, DFS accepted new applications to open foreign branches and representative
offices and has issued licenses to such institutions as Banca Popolare di Vicenza and licensed a second branch of State Bank of India in Jackson
Heights, New York. DFS will issue more new licenses in the coming months.
From the interest our banking community has shown this year, it is clear that a New York presence continues to be an attractive prospect for
foreign banks regardless of global economic concerns.
Licensed Financial Services
The Licensed Financial
Services Division (LFS) supervises budget planners, check cashers, licensed lenders, money transmitters, premium
finance agencies, and sales finance companies. At year end 2011, the Department of Financial Services had regulatory oversight of 47 budget
planners, 177 check cashers, 19 licensed lenders, 73 money transmitters, 58 premium finance agencies, and 99 sales finance companies.
While there has been some improvement in economic conditions in 2011, we continued to witness consolidation in certain industries.
Consumer lending and check cashing were the areas primarily affected by mergers, acquisitions, additional cost cutting and business closures.
Although the number of licensees declined again, the overall levels of service available to New York consumers remained stable, with no adverse
effect noted by consumer groups.
Mortgage Banking
At year end 2011, Mortgage Banking supervised 910 registered mortgage brokers and 156 licensed mortgage bankers operating through 1,208
and 672 branch offices, respectively. Mortgage Banking also has supervisory authority for 21 registered mortgage loan servicers.
The number of regulated companies engaging in mortgage loan origination activities in New York State declined 21% between calendar year end
2010 and 2011. Since the onset of the mortgage meltdown, there has been a continuous decline in the number of
entities regulated by the
Department, dropping more than 50% from the figures reported at year-end 2007.
Although Mortgage Banking experienced a slight increase in mortgage banker applications during 2011, the uptick was fueled primarily by
provisions in Dodd-Frank eliminating the licensing preemption for national banking subsidiaries. In addition, the Department amended Part 39 of
22
the General Regulations to eliminate exemptions previously granted for certain products, including Home Equity Line of Credit and to banking
subsidiaries.
In 2011, Mortgage Banking responded aggressively to the robo-signing crisis by conducting examinations of mortgage loan servicers’ foreclosure
and loss mitigation practices. Mortgage Banking also assisted in drafting agreements with several servicers outlining best practice standards for
such servicers to use in managing its servicing operations and loss mitigation and foreclosure processes.
Mortgage Banking also assisted in returning monies improperly charged to consumers by directing institutions to make consumer restitution
totaling $597,328. Enforcement actions were also taken against several companies for deceptive advertisement, unlicensed activity and failing to
comply with laws and regulations, resulting in penalties of $435,100.
Accounting developments
The Securities and Exchange Commission (SEC) continues to study whether to require or permit U.S. public companies to comply with
International Financial Reporting Standards rather than U.S. Generally Accepted Accounting Principles. A decision is expected in 2012. In 2011
the former Banking Department submitted a comment letter in response to the latest SEC proposal, as also occurred in 2007 and 2009. DFS
and Banking Department comment letters are available on the DFS website.
FINANCIAL FRAUDS AND CONSUMER PROTECTION DIVISION (FFCPD) OVERVIEW
The Department’s Financial Frauds and Consumer Protection Division (FFCPD) is responsible for combating fraud against entities regulated
under the banking and insurance laws, as well as frauds against consumers. The Division also investigates consumer complaints and conducts
performance evaluation activities in the areas of consumer compliance, fair lending and the Community Reinvestment Act.
The FFCPD encompasses a Civil Investigation Unit, a Criminal Investigation Unit (comprising the bureaus handling banking criminal investigations
and insurance and financial frauds); the Consumer Assistance Unit (“CAU”), which includes the Holocaust Claims Processing Office; a Consumer
Examinations Unit and a Consumer Education and Outreach Unit.
As required by the Financial Services Law, the FFCPD submitted an Annual Report on its activities in 2011 on March 15, 2012. The complete
report can be found on the DFS website at http://www.dfs.ny.gov/reportpub/annualrep.htm
Following are highlights from that report:
23
Civil Investigations
The Civil Investigation Unit includes a staff of attorneys investigating civil financial fraud, consumer law, banking law and insurance law violations,
a unit conducting investigations of licensed insurance producers, and a staff of attorneys who bring disciplinary proceedings against insurance
producers for violations of the insurance law. Some of the Unit’s investigations, activities and initiatives since the FFCPD began its work on
October 3, 2011, are mentioned earlier in this Report. Those investigations and initiatives include securing agreements from eight mortgage
servicers to reform their servicing and foreclosure processes; the force-placed insurance investigation; the investigation, together with the Life
Bureau, of life insurers’ claims practices; and assisting in the Department’s issuance in February 2012 of a Circular Letter (No. 4) governing the
use of retained asset accounts.
The Civil Investigations Unit also consists of disciplinary attorneys and examiners who oversee the activities of licensed individuals and entities
who conduct insurance business in New York State. The goals of the Unit are to protect the public and ensure that licensees act in accordance
with applicable insurance laws and Department regulations. The Unit is conducting an ongoing investigation into the improper sale of annuities
and variable life contracts by companies not authorized to conduct business in New York that has already led to disciplinary action against more
than 50 agents and fines of more than $1.7 million
Criminal Investigations
The FFCPD combined the responsibilities of the Insurance Fraud Bureau from the Insurance Department and the Criminal Investigations Bureau
from the Banking Department. As currently constituted, the Criminal Investigations Unit (“CIU”) conducts specialized investigations into
criminal conduct involving the financial services industry and works cooperatively with law enforcement and regulatory agencies at the federal,
state, county and local levels.
Banking: The Department conducts criminal investigations into possible violations of the federal Bank Secrecy Act, federal and state anti-money
laundering laws and related regulations, and possible violations of the federal Office of Foreign Asset Control laws and related regulations. As a
result of multi-year, multi-agency investigations, three foreign banking institutions entered into Deferred Prosecution Agreements and paid
penalties in excess of $1.2 billion. Throughout New York State, the CIU participates in numerous federal, state, county and local mortgage fraud
investigations. Since its inception in April 2007, the CIU has participated in a numerous investigations which have culminated in charges against
over 160 persons and involved in excess of $ 369 million.
The Criminal Investigations Unit conducted 112 investigations which led to 33 convictions in 2011. A total of 83 new cases were opened for
investigation and Mortgage Fraud Unit investigations resulted in 23 arrests stemming from cases involving more than $33 million in losses to
victimized homeowners and financial institutions.
Insurance: The CIU recorded 703 arrests during 2011, with arrests for health care fraud (private health care, no-fault and disability) totaling
210. A focus on workers’ compensation fraud increased arrests by 24.4 % in 2011. The number of convictions obtained by prosecutors in CIU
24
cases totaled 401 for the year. In addition, the CIU received 23,422 reports of suspected fraud in 2011; no-fault fraud accounted for 11,974 or
51%. Court-ordered restitution totaled $34 million for the year. Currently the CIU has 1,919 cases open for investigation statewide.
The top priority currently is the no-fault initiative, focusing on investigations involving staged/caused accidents and fraudulent billing by medical
mills. Referrals alleging no-fault fraud have accounted for more than 50 percent of all fraud referrals since 2007.
Every insurance company writing at least 3,000 private or commercial automobile, workers’ compensation and accident and health insurance
policies in New York State are required to file a Fraud Prevention Plan with the DFS and establish a Special Investigations Unit (SIU).
Department Examiners review these Plans for compliance with Department Regulation 95. Approval of the Plans is required.
Consumer Assistance Unit (CAU)
The Division’s Consumer Assistance Unit (CAU) is responsible for receiving, investigating and resolving consumer complaints. Individual units
focus on insurance and banking related matters.
The Insurance CAU received and opened 43,719 new cases in 2011; the Unit processed and closed 43,367 cases in 2011. The Unit responded to
35,177 e-mails and 102,887 telephone calls.
As a result of the Unit’s work, consumers received refunds from insurers, as well as reinstatement of lapsed coverage, payment for denied
medical claims, or coverage of disaster-related claims that had been previously denied. The Unit was successful in gaining $28 million in
recoveries for 3,496 consumers. The Department instructed insurers to offer to reinstate 70,440 policies.
The Banking CAU received a total of 3,370 written complaints of which 2,190 (65 percent) were mortgage related and 59,190 telephone
inquiries of which 13,446 (23 percent) were mortgage related. CAU recovered a total of $83,320 in restitution for consumers, of which $51,307
(62 percent) was mortgage related. Staff responding to consumer complaints and questions through the Department’s toll- free number can take
calls in English, Spanish, Russian and Cantonese.
Consumer Examinations Unit
The Consumer Examination Unit (CEU) is responsible for performing consumer compliance, fair lending and Community Reinvestment Act
(CRA) examinations. In 2011, CEU conducted 23 CRA, 28 consumer compliance, and 41 fair lending examinations. As a result of consumer
compliance examinations in 2011, CEU uncovered depository institutions overcharging consumers for service charges on dormant accounts and
check return items and objectionable practices in overdraft programs. This resulted in restitution totaling $16,000 to aggrieved consumers. As a
result of fair lending examinations in 2011 involving mortgage bankers and brokers, CEU uncovered comingled fees, and fees charged to
consumers that were not itemized on the final Good Faith Estimate. CEU is seeking refunds for aggrieved consumers.
25
Community Development
In 2011, the Community Development Unit (CDU) continued to address significant consumer issues. The Department partnered with the
Manhattan Borough President’s Office in initiating the Bank on Manhattan project, which seeks to promote banking services for the unbanked
through the development of a low-cost checking account. The Department hosted the first Annual Banking Development District (BDD)
meeting with all of the participating banks, to discuss and address some of the issues discussed in the Department’s report on the BDD Program.
The meeting resulted in greater understanding of the renewal recommendation process and understanding of the new financial education
requirement. The Department participated in two public hearings on BDD, the first hearing focused on clarifying the goals of the BDD program
and the criteria by which a BDD branch’s effectiveness is to be measured and the second hearing focused on discussing the steps involved in
establishing a new BDD branch.
Holocaust Claims
The Holocaust Claims Processing Office (HCPO) was created in 1997 to help Holocaust victims and their heirs recover assets deposited in
banks, unpaid proceeds of insurance policies issued by European insurers, and artworks that were lost, looted or sold under duress. The Office
accepts claims for Holocaust-era looted assets from anywhere in the world and charges no fees for its services. From its inception through
December 2011, HCPO has responded to more than 13,000 inquiries and received claims from 4,912 individuals from 45 states, the District of
Columbia and 39 countries. HCPO has successfully closed the cases of 2,125 individuals in which either an offer was accepted, the claims
process to which the claim was submitted issued a final determination, the assets claimed had been previously compensated via a postwar
restitution or compensation proceeding, or otherwise handled appropriately (i.e. in accordance with the original account holders’ wishes). The
claims of 2,787 individuals remain open.
The combined total of offers extended to HCPO claimants for bank, insurance, and other asset losses amounts to $158,292,370 and a total of
56 cultural objects have been restituted.
The HCPO annual report is available at http://www.dfs.ny.gov/reportpub/annualrep.htm
MARKETS DIVISION OVERVIEW
The Markets Division is a combination of the former Research and Technical Assistance Division of the Banking Department and the Capital
Markets Bureau of the Insurance Department. The combined group functions as a service provider for the entirety of DFS, offering specialists in
all aspects of capital markets including fixed income, equities, derivatives, swaps, modeling, futures, and commodities. The Markets Division also
offers expertise in conducting other technical examinations through its specialist teams in the arenas of: Information Technology, Fiduciary and
security operations, and Internal Control and Audit.
26
The Division likewise provides research, surveillance, accounting, enterprise risk and BSA/AML expertise in support of the Department’s
mission.
While Markets is a service arm to the other operating divisions within DFS, it also owns several relationships where it has primary supervisory
responsibility. These include the financial guarantors and several state-wide retirement systems.
Department training function also resides within this division. The training unit arranges, schedules and conducts training programs throughout
the year. Training is responsible for the Examiner training program and for continuing education of examiners ensuring that DFS maintains an
effective work force.
Since the formation of DFS, the Markets Division has jointly worked with the Banking and Insurance Divisions on examinations and training, and
the group continues to work on synthesizing examination processes and identifying commonalities and synergies where they exist.
REAL ESTATE DIVISION OVERVIEW
In October of 2011, Governor Cuomo announced the formation of a Real Estate Finance Division within the New York State Department of
Financial Services. The announcement was in direct response to the disastrous real estate market collapse that negatively affected almost every
New York State resident. It was observed that as a result of lax regulation, illegal and unethical marketplace manipulations took place where
mortgage fraud, consumer abuse, and excessive capital market risks were allowed to proliferate without transparency, proper disclosure or
meaningful oversight.
As a result, the Real Estate Finance Division is responsible for regulating all real estate and homeowner issues, ranging from mortgage origination
and servicing to title and mortgage insurance to the foreclosure crisis.
Foreclosure Relief Unit
In the 2012 State of the State address, Governor Cuomo announced the formation of the foreclosure Relief Unit. DFS was directed to use
resources available to assist homeowners already in foreclosure and those at risk of foreclosure. The Foreclosure Relief Unit (FRU) within DFS
deals exclusively with providing assistance.
In order to reach homeowners hardest hit by foreclosure DFS has sent its mobile command center, 36-foot long vehicle, to visit communities
statewide that have been disproportionately hit with foreclosures. DFS specialists assess where homeowners are in the pre-foreclosure or
foreclosure process and provide homeowners information about specific loan modifications available under federal law. The FRU also take
27
complaints from homeowners who believe they were subjected to lender or mortgage servicer abuses so these cases can be investigated by the
Department.
To date, the FRU has visited sites in the counties of Suffolk, Nassau, Rockland and Sullivan as well as Middletown, Schenectady, Brooklyn and the
Bronx.
In addition to the citizen outreach component under the Foreclosure Relief Unit, the Real Estate Finance Division is working with lenders as well
as the courts to improve upon the current foreclosure process. It was decided that DFS can most directly contribute to the relief effort by
affecting a regulatory scheme that would require greater lender involvement and accountability in the loss mitigation process envisioned by
applicable federal relief programs.
OFFICE OF GENERAL COUNSEL OVERVIEW
The Office of General Counsel (OGC) provides legal advice to the Superintendent of Financial Services and other Department officials regarding
the construction, application and enforcement of the Banking, Insurance, and Financial Services Laws and associated regulations, including
providing informal advice, written opinions and interpretive letters to Department staff, as well as members of the public. OGC supports the
Department’s administrative operations, such as drafting contracts, Requests For Proposals and other Department procurement documents and
ensuring the legal sufficiency
of all contract documents; reviewing applications made by regulated entities for incorporation and licensing, charter
and by-law amendments, mergers, and name approvals; managing the receipt of subpoenas served on the Department and substituted service of
legal process on insurers and licensed branches and agencies of foreign banking corporations; providing advice regarding the State ethics laws;
and managing and responding to Freedom of Information Law requests made to the Department.
OGC also plays a prominent role in carrying out the Department’s legislative responsibilities, including the drafting of proposed legislation and
commenting to the Governor’s Counsel’s office on bills affecting the Department. In 2011, for example, OGC helped to draft a variety of
banking and insurance-related laws, requiring insurers to cover orally administered anticancer treatment no less favorably than intravenous or
injected chemotherapy treatments, expanding coverage for the screening, diagnosis, and treatment of autism spectrum disorder and promoting
early autism intervention services, prohibiting health insurers and HMOs from requiring that policyholders purchase prescription drugs from
mail order pharmacies, and conforming provisions of the Insurance Law to recently enacted federal laws, such as the Dodd-Frank Wall Street
Reform and Consumer Protection Act and the Affordable Care Act.
In 2011, OGC also was involved in legislation providing for the expedited treatment of wildcard applications (applications by state chartered
banks to engage in activities permissible for federally-chartered banking institutions), clarifying the authority of the superintendent with respect
to credit exposures derived from derivative transactions and deleting references to credit ratings agencies.
28
OGC also drafts or reviews drafts of all Departmental regulations, and oversees the Department’s rulemaking process. This past year, OGC
has played a primary role in promulgating a variety of regulations to protect consumers, seniors and retirees, including rules that establish
minimum standards for internal appeal procedures for long-term care insurance and nursing home and home care insurance; ban placement
agents from the New York State Common Retirement Fund; require insurers and producers who make recommendations to consumers about
the purchase or replacement of annuity contracts to ensure that the recommendations are suitable based on the consumer’s personal and
financial information; and prohibit insurance producers from using certifications or professional designations to mislead senior citizens in
purchasing life insurance and annuities. OGC also drafted regulations governing bank compliance with the ATM Safety Act and administering the
newly created State Charter Advisory Board, for which the Superintendent serves as Chairman.
As part of its ongoing industry oversight role, OGC also published various bulletins providing guidance on a wide range of topics, including the
applicability of New York’s unfair claim settlement practices regulation to policies issued through the National Flood Insurance Program;
enterprise risk management; medical loss ratio
standards applicable to health insurance policies; and premium rate adjustment notices. When
industry participants violate the Department’s rules, OGC has played an important role in administrative enforcement proceedings, including
representing the Department in all such matters, providing hearing officers, and advising the Superintendent in his determinations whether to
adopt the reports and recommendations that follow from such administrative adjudications.
Finally, on the litigation front, the Department, with assistance from OGC, won significant victories in its efforts to require insurance brokers
and agents to disclose their role in insurance transactions as it relates to their compensation, to limit the ability of insurers to obtain a credit
against their retaliatory tax obligations, and to bar convicted felons from employment in the mortgage banking industry.
Circular Letters
For a list of all Insurance Circular Letters issued in 2011 visit http://www.dfs.ny.gov/insurance/circltr/2012.htm
Legislative Summaries
For a description of changes to the Insurance and Banking Laws in 2011 visit http://www.dfs.ny.gov/legal/leg_summ/2011_summary.htm
Legislative Recommendations
The Department has recommended that the following legislation be passed:
29
Out-of-Network Health Care
The purpose of this bill is to provide enhanced protections to health insurance consumers regarding coverage for out-of-network health
care services.
Prepaid Cards Used at ATMs or to Buy Merchandise
The purpose of this bill is to amend the Financial Services Law and repeal the gift certificate provision in the general business law to
address significant regulatory gaps that apply to general purpose prepaid access devices and strengthen consumer protections. Prepaid
access devices are cards purchased by consumers to use at ATMs and to use in purchasing certain merchandise. They are used as
substitutes for cash, bank accounts and other payment devices, such as credit and debit cards.
Branching
The changes made by this bill streamline branching processes for banking institutions operating under the Banking Law. Changes are also
made in a number of cases to conform to changes made in federal law by the Dodd-Frank Act. These changes are necessary to insure
that New York law remains consistent with federal law and state laws across the country.
Licensed Lender
This bill will modernize the articles of the Banking Law covering "licensed financial services" providers, including licensed lenders, licensed
cashers of
checks, sales finance companies, premium finance agencies, budget planners and money transmitters.
Insurance Clean-Up
This bill would amend Insurance Law § 1324 to set forth a property/casualty risk-based capital (RBC) trend test. This test became an
accreditation standard as of January 1, 2012 and is necessary for the Department to maintain its accreditation status with the National
Association of Insurance Commissioners. Accredited state insurance departments must undergo a comprehensive review every five years
by an independent review team to ensure they continue to meet baseline standards. The accreditation standards require that state
departments have adequate statutory and administrative authority to regulate an insurer's corporate and financial affairs, and that they
have the necessary resources to carry out that authority. The RBC trend test also will help the Department better monitor the financial
health of property/casualty insurers. The bill also combines the separate annual reports required to be submitted by the former
Superintendents of Insurance and Banking and eliminates certain obsolete provisions.
Merger Clean-Up
The purpose of this bill is to amend various laws to reflect the consolidation of the Banking and Insurance Departments into the
Department of Financial Services, pursuant to Part A of Chapter
62 of the Laws of 2011, the Financial Services Law. These changes are
non-substantive in nature and reflect the merger of Banking and Insurance Departments. The changes will assist readers and facilitate
legal research.
30
ADMINISTRATION OVERVIEW
Overview
As a result of the October 3, 2011 merger of the New York State Banking and Insurance Departments, the Administration Bureau has a number
of significant initiatives underway to support the activities of the DFS. They include development of a revised assessment methodology,
development and, where appropriate, negotiation of revised Department policies governing all manner of work life, and revisions to records
retention policies. Another major challenge is the consolidation of the two separate New York City locations into a single office. Below is brief
description of the four major work areas.
Budget & Procurement
The Budget & Procurement office is responsible to provide support services to the Department in accordance with New York State Finance
Law and applicable rules and regulations. Office responsibilities include budget development and execution, payroll management in accordance
with State laws and control agency guidance, procurements ranging from straight purchases to complex contract purchases, and records
management of both official documents pertaining to regulated entities as well as the overall management of Department of Financial Services
records.
Revenue and Billing
The Taxes & Accounts Unit has broad responsibility for the payment of expenses and the billing, collection and accounting
of revenue, in
particular the assessment on the Banking and Insurance industries for the Department's operating expenses. Revenues collected by the bureau
are over $1 billion annually. The bureau processes between 80,000 – 100,000 checks in accounting for this revenue each year. Of these funds,
the Department collects and distributes $46 million to fire districts throughout New York State and another $115 million in motor vehicle law
enforcement fees are distributed to the Division of Criminal Justice Services and the New York State Police.
Human Resources Management
Human Resources Management is responsible for supporting the Department as follows:
• Recruiting and retaining a talented and qualified workforce to meet program needs and accomplish the agency’s mission.
• Preparing classification proposals to support the Department’s organizational and staffing goals and objectives.
• Administering the Bank and Insurance Examiner/Trainee and Actuary decentralized Civil Service examinations.
31
• Managing the Department’s probation and performance evaluation programs.
• Administering the Attendance and Leave program for the Department, ensuring compliance with all applicable laws, rules and regulations.
• Assisting and advising management on ways to effectively resolve employee issues and problems.
• Providing day-to-day administration of collective bargaining agreements.
• Providing training and staff development opportunities to ensure a well trained and proficient workforce, including restructuring of
examiner traineeship programs to meet current and future needs.
Office Services
Office Services is responsible for all issues related to building management, ranging from security access to liaison with the landlord for repairs
and leasing issues. Mail, both incoming and outgoing is processed by Office Services, including issuing large mailings (e.g., certified mail). In
addition, Office Services is involved in emergency management, space planning and moves, contract administration of maintenance contracts such
as those for the security system, copiers, pre-action system in data center, HVAC, cleaning contract, and audio visual equipment.
INFORMATION TECHNOLOGY SERVICES OVERVIEW
As a result of the October 3, 2011 merger of the New York State Banking and Insurance Departments, Information Technology Services has
combined the forces of the formerly separate agencies into a single work
unit.
ITS has successfully combined the internet websites of the Insurance and Banking Departments. This accomplishment involved the conversion of
more than 15,000 pages of web site content and has resulted in a comprehensive DFS website
Working with Human Resources, ITS developed a single leave and accrual tracking system (DFS LATS) and along with the Consumer Services
Bureau, expanded the on-line complaint filing application to include all DFS regulated entities.
Additionally, ITS has deployed a new version of External Appeals processing within our Consumer Services on-line real-time system. This new
version has improved the speed and performance of the application as well as the user interface.
32
LIQUIDATION BUREAU OVERVIEW
The New York Liquidation Bureau (NYLB) is the office that carries out the duties of the New York Superintendent of Financial Services in his
capacity as receiver of impaired or insolvent insurance companies under New York Insurance Law Article 74.
The NYLB receives no funding from the State budget; rather, its costs are paid from the assets of the estates under receivership, as well as
expense reimbursements from the New York Property/Casualty Insurance Security Fund and the Public Motor Vehicle Liability Security Fund,
established under Insurance Law Article 76, and the Workers’ Compensation Security Fund, established under New York Workers’
Compensation Law Article 6-A, which are paid from assessments on industry.
For each Estate, the Superintendent is appointed Receiver by the Supreme Court of the State of New York. Thereafter, the Receivership Court
approves the actions of the Receiver and, by extension, the NYLB.
Acting on behalf of the Receiver, the NYLB maximizes the assets and resolves the liabilities of the Estates. The goal is to rehabilitate the
companies and put them back into operation or, if that is not possible, liquidate them in order to distribute their assets to policyholders and
creditors. In addition, the NYLB performs claims-handling and certain payment functions relating to the Security Funds. The Security Funds pay
eligible claims remaining unpaid if an insolvent insurer does not have sufficient assets to meet its obligations to policyholders.
As of December 31, 2011, the Bureau was managing 74 insurance company proceedings. During 2011, twelve new proceedings were
commenced, of which four were domestic liquidation proceedings (Atlantic Mutual Insurance Company, Centennial Insurance Company,
Madison Insurance Company, Inc., and Washington Title Insurance Company); seven were shell liquidation proceedings (Aspen U.S. Insurance
Company, Atlantic American Health Insurance Company, Austin Liberty Insurance Company, Axel Insurance Company of New York, Majestic
Insurance Company of New York, MBL Property & Casualty Insurance Company, and National Heritage Title Insurance Company, Inc.); and one
was a conservation proceeding (Highlands Insurance Company (UK) Ltd.).
During 2011, fourteen receivership proceedings were completed, of which two were domestic liquidation proceedings (Horizon Healthcare of
New York, Inc. and MML Assurance, Inc.); seven were shell liquidation proceedings (Adirondack Insurance Company of New York, Benson &
James Insurance Company Inc., Denali Casualty Company, Denali National Surety Company, E Title Insurance, Inc., Old Tower Insurance
Company, and PMI Mortgage Insurance Co. of New York); three were ancillary receivership proceedings (Far West Insurance Company,
Integrity Insurance Company and Mission Insurance Company) and two were conservation proceedings (Alpine Insurance Company and
Protective National Insurance Company of Omaha).
As of December 31, 2011:
The 74 insurance company proceedings were classified as follows:
33
35
Domestic Estates in Liquidation
4
Domestic Estates in Rehabilitation
8
Conservation Estates
20
Ancillary Receivership Estates
7
Shell Estates in Liquidation
The 35 domestic Estates in liquidation, the eight conservation Estates, and Aspen U.S. Insurance Company, the single Shell Estate that
was funded, had combined assets, liabilities and insolvencies as follows:
Total Assets
$1,724,596,871
Total Liabilities
$6,454,357,184
Total Insolvency
($4,729,760,313)
The four domestic estates in rehabilitation had combined assets, liabilities and insolvencies as follows:
Total Assets
$932,088,614
Total Liabilities
$2,938,698,391
Total Insolvency
($2,006,609,777)
The Bureau received the following amounts from the Security Funds in 2011: $85,995,003 for loss payments, $32,920,870 for related expenses
and $361,551 for return premiums. Of these amounts, the Bureau received from the P/C Fund $36,604,154 for loss payments, $22,326,456 for
related expenses; and $361,551 for return premiums. The Bureau received from the PMV Fund $4,044,385 for loss payments and $1,504,198
for related expenses and from the WC Fund $45,346,464 for loss payments and $9,090,216 for related expenses.
During 2011, the Bureau processed reimbursements to the Security Funds totaling $143,843,150 in the form of dividends and early access
payments, of which $64,212,795 was paid by domestic estates and $79,630,355 was received from ancillary receiverships. Of these amounts, the
P/C Fund received $77,379,944 from 22 estates, the PMV Fund received $12,058,990 from five estates and the WC Fund received $54,404,216
from 16 estates.
A. Domestic Estates in Liquidation and Shell Estates in Liquidation
Liquidations
Commenced:
Atlantic Mutual Insurance Company
Centennial Insurance Company
Madison Insurance Company, Inc.
34
Washington Title Insurance Company
Continued:
American Agents Insurance Company
American Consumer Insurance Company
American Fidelity Fire Insurance Company
Capital Mutual Insurance Company
Colonial Cooperative Insurance Company
Colonial Indemnity Insurance Company
Consolidated Mutual Insurance Company
Contractors Casualty and Surety Company
Cosmopolitan Mutual Insurance Company
First Central Insurance Company
Galaxy Insurance Company
Group Council Mutual Insurance Company
Health Partners of New York, LLC
Home Mutual Insurance Company of Binghamton, New York
Horizon Insurance Company
Ideal Mutual Insurance Company
Insurance Corporation of New York
Long Island Insurance Company
MDNY Healthcare, Inc.
Midland Insurance Company
Midland Property and Casualty Insurance Company
Nassau Insurance Company
New York Merchant Bakers Insurance Company
New York Surety Company
Realm National Insurance Company
Titledge Insurance Company of New York, Inc.
Transtate Insurance Company
Union Indemnity Insurance Company of New York
United Community Insurance Company
U. S. Capital Insurance Company
Whiting National Insurance Company
Completed:
Horizon Healthcare of New York, Inc.
MML Assurance, Inc.
35
Shell Estates - The shell Estates are insurance companies that began the process of formation under the Insurance Law but did not complete it
by obtaining a license to commence doing business. Most Shell Estates do not have assets, but in some unusual cases they do.
Commenced:
Aspen U.S. Insurance Company
Atlantic American Health Insurance Company
Austin Liberty Insurance Company
Axel Insurance Company of New York
Majestic Insurance Company of New York
MBL Property & Casualty Insurance Company
National Heritage Title Insurance Company, Inc.
Completed:
Adirondack Insurance Company of New York
Benson & James Insurance Company Inc.
Denali Casualty Company
Denali National Surety Company
E Title Insurance, Inc.
Old Tower Insurance Company
PMI Mortgage Insurance Co. of New York
B. Domestic Estates in Rehabilitations
Commenced:
None
Continued:
Executive Life Insurance Company of New York
Frontier Insurance Company
Lion Insurance Company
Professional Liability Insurance Company of America
Converted:
Atlantic Mutual Insurance Company
Centennial Insurance Company
C. Ancillary Receiverships - In the case of the insolvency of a New York-licensed foreign (i.e., not domiciled in New York) insurer, the
Superintendent must apply to the Receivership Court to establish an ancillary receivership, enabling the Ancillary Receiver to trigger the Security
Funds to pay allowed covered claims remaining unpaid by reason of an insurer’s inability to meet its insurance policy obligations. Ancillary
receiverships maintain no assets, except statutory or other deposits in the State of New York, and are established to pay eligible Security Fund
36
claims for receiverships that are domiciled in other states. The Security Funds that pay eligible claims in an ancillary receivership submit a claim
for reimbursement to the domestic liquidator.
Commenced:
None
Continued:
Acceleration National Insurance Company
American Druggists’ Insurance Company
American Mutual Insurance Company of Boston
American Mutual Liability Insurance Company
Amwest Surety Insurance Company
Commercial Compensation Casualty Company
Credit General Insurance Company
Eagle Insurance Company
Fremont Indemnity Company
Frontier Pacific Insurance Company
Legion Insurance Company
LMI Insurance Company
Newark Insurance Company
Phico Insurance Company
Reliance Insurance Company
Security Indemnity Insurance Company
Shelby Insurance Company
The Home Insurance Company
Transit Casualty Company
Villanova Insurance Company
Completed:
Far West Insurance Company
Integrity Insurance Company
Mission Insurance Company
D. Conservations - Prior to the enactment of the Nonadmitted and Reinsurance Reform Act of 2010 (NRRA), which is set forth in Title V
of the Dodd-Frank Wall Street Reform and Consumer Protection Act, unauthorized foreign or alien excess lines insurers were required to
establish and maintain trust funds under 11 NYCRR Part 27 (Regulation 41) in order to write excess lines insurance in New York. If such an
insurer became insolvent the Superintendent had to apply to the Receivership Court to establish a conservation proceeding, appointing a
Conservator of the assets of that trust fund for the benefit of all U.S. policyholders. The NRRA has modified the trust fund requirements going
forward, in particular by eliminating the requirement for foreign insurers. However, alien insurers still must maintain trust funds under other
applicable requirements, and trust funds that were established prior to the effective date of the NRRA will continue to exist unless terminated in
37
accordance with the terms of the trust instruments. In the event that an insurer with a Regulation 41 trust fund becomes insolvent, the
Superintendent will continue to establish a conservation proceeding to administer the assets of the trust in accordance with the trust agreement
for the benefit of U.S. policyholders.
Commenced:
Highlands Insurance Company (UK) Ltd.
Continued:
Folksam International Insurance Company (UK) Ltd.
HIH Casualty and General Insurance, Ltd.
Legion Indemnity Insurance Company
Northumberland General Insurance Company
Pacific and General Insurance Company
Reliance Insurance Company of Illinois
United Capitol Insurance Company
Completed:
Alpine Insurance Company
Protective National Insurance Company of Omaha
E. Fraternal Benefit Societies - As of December 31, 2011, the Bureau was managing 34 fraternal benefit society liquidation proceedings.
During the year, five proceedings were commenced and three proceedings were terminated. In 2011, a distribution of assets was made to 17
members of First New Sandez Society, Inc. in the amount of $202,181. The remaining assets of the 34 fraternal benefit societies total $728,104.
Commenced:
Association of Mordecai Becher, Lieb Appel and Rubin Fleischer
Cong. Ahavas Achim Anshei Tamashauer Petrokow
First Boberka Sick and Benevolent Society and Congregation
Friends of Zion of Harlem
L.A.L. Benevolent Society, Inc.
Continued:
Adolph Ullman's Aid Society
B'nai Abraham Family Circle Inc.
Century Lodge Incorporated
Chevra Neir Tomid Anshei Lubashow, Inc.
Choiniker Ind. Aid Association
Congregation Anshe Kesser of Corona
38
Congregation Cherba Anshi Sholem Kowdenow
First Brodyer B'nai Brith Congregation
First United Podhayzer Congregation
Five Boro Benevolent Association, Inc.
Freedom Benevolent Society, Inc.
Homler Progressive Society, Inc.
Independent Meseritzer Young Men's Society
Independent Novoselitzer Bessarabian K.U.V.
Independent Radautz Bukowinaer Benevolent Association, Inc.
Independent Stryjer Benevolent Society
Independent Zydaczower Kranken Unterstitzungs Verein
Itky Arrinton Keshinower Ladies S. & B. Society
Jagielnicer Benevolent and Aid Association, Inc.
Janover Kowner Guberna Benevolent Association, Inc
Kalarasher Bessarabian Progressive Association
Leadyer Benevolent Society
Lieder Sisters Benevolent Society
Locatcher Young Men's Benevolent Association, Inc.
New Peoples Synagogue
Order of Lions, Inc.
Progressive Horodenker Benevolent Society, Inc.
Progressive Mishnitzer Young Mens
Progressive Musical Benevolent Society, Inc.
Completed:
First Independent Storoznetzer Bucoviner Sick Benevolent Association
First New Sandez Society, Inc.
First Worker Benevolent Society, Inc.
E. Fraternal Benefit Societies - As of December 31, 2011, the Bureau was managing 34 fraternal benefit society liquidation proceedings.
During the year, five proceedings were commenced and three proceedings were terminated. In 2011, a distribution of assets was made
to 17 members of First New Sandez Society, Inc. in the amount of $202,181. The remaining assets of the 34 fraternal benefit societies
total $728,104.
Commenced:
Association of Mordecai Becher, Lieb Appel and Rubin Fleischer
Cong. Ahavas Achim Anshei Tamashauer Petrokow
First Boberka Sick and Benevolent Society and Congregation
Friends of Zion of Harlem
L.A.L. Benevolent Society, Inc.
39
Continued:
Adolph Ullman's Aid Society
B'nai Abraham Family Circle Inc.
Century Lodge Incorporated
Chevra Neir Tomid Anshei Lubashow, Inc.
Choiniker Ind. Aid Association
Congregation Anshe Kesser of Corona
Congregation Cherba Anshi Sholem Kowdenow
First Brodyer B'nai Brith Congregation
First United Podhayzer Congregation
Five Boro Benevolent Association, Inc.
Freedom Benevolent Society, Inc.
Homler Progressive Society, Inc.
Independent Meseritzer Young Men's Society
Independent Novoselitzer Bessarabian K.U.V.
Independent Radautz Bukowinaer Benevolent Association, Inc.
Independent Stryjer Benevolent Society
Independent Zydaczower Kranken Unterstitzungs Verein
Itky Arrinton Keshinower Ladies S. & B. Society
Jagielnicer Benevolent and Aid Association, Inc.
Janover Kowner Guberna Benevolent Association, Inc
Kalarasher Bessarabian Progressive Association
Leadyer Benevolent Society
Lieder Sisters Benevolent Society
Locatcher Young Men's Benevolent Association, Inc
New Peoples Synagogue
Order of Lions, Inc.
Progressive Horodenker Benevolent Society, Inc.
Progressive Mishnitzer Young Mens
Progressive Musical Benevolent Society, Inc.
Completed:
First Independent Storoznetzer Bucoviner Sick Benevolent Association
First New Sandez Society, Inc.
First Worker Benevolent Society, Inc.
40
ANNEX
INSURANCE COMPANY STATISTICS
PROPERTY INSURANCE
TABLE 1: NET PREMIUMS WRITTEN AND SURPLUS TO POLICYHOLDERS
Property/Casualty Insurers Licensed in New York State
2010 (dollar amounts in millions)
Stock Companies
Mutual Companies
No. of
Companies
Net
Premiums
Written
Surplus/Policy-
holders at end
of year
Ratio of
Premiums to
Surplus
No. of
Companies
Net
Premiums
Written
Surplus/Policy-
holders at end
of year
Ratio of
Premiums to
Surplus
Year
2010
746
237,965
326,786
0.7
72
75,733
126,895
0.6
Aggregate writings (Billions): 313.7
% in Stock
: 75.9%
TABLE 2: UNDERWRITING RESULTS
Property/Casualty Insurers Licensed in New York State
2010 (dollar amounts in millions)
Stock Companies Mutual Companies
Amount
$11,114.3
Amount
Number of Number of
Companies Companies
Underwriting Gains 312 23 $1,293.2
Underwriting Losses 325 11,582.7 49 3,634.1
No Gain Or Loss 109 0.0 0 0.0
Detail may not add up to exact totals due to rounding.
41
Net Underwriting Gain or Loss
Stock
Mutual
-$0.5 Billion -$2.3 Billion
TABLE 3: INVESTMENT INCOME AND CAPITAL GAINS
Property/Casualty Insurers Licensed in New York State
2010 (dollar amounts in millions)
Stock Companies
Mutual Companies
Net Investment Income
$34,750.6
$5,932.9
Realized Capital Gains 2,967.7 952.5
Unrealized Capital Gains 1,780.3 5,891.4
Net Gain From Investments $39,498.6 $12,776.7
TABLE 4: AGGREGATE UNDERWRITING AND INVESTMENT EXHIBIT
Property/Casualty Insurers Licensed in New York State
2009 and 2010 (dollar amounts in millions)
Stock Companies Mutual Companies
2010 2009 2010 2009
Net Gain or Loss From:
Underwriting -$468.4 $5,502.1 -$2,340.9 -$1,951.0
Investments (Excludes Unrealized Capital Gains) 37,718.3 29,074.0 6,885.3 5,112.4
Other Income -513.7 337.5 206.1 74.7
Net Gain or Loss $36,736.1 $34,913.6 $4,750.6 $3,236.0
42
Less:
Dividends to Policyholders 639.8 656.3 914.5 897.1
Federal Income Taxes Incurred 5,814.9 6,942.0 -175.1 46.2
Net Income $30,281.5 $27,315.3 $4,011.2 $2,292.7
Surplus Changes Other Than Net Income:
Dividends to Stockholders
• Cash
-$33,959.6 -$17,476.6 $0.0 $0.0
• Stock
-49.4 -15.7 0.0 0.0
US Branches – Net Remittance to/from Home Office 4.5 -75.5 0.0 0.0
Total Dividends and Remittance -$34,004.5 -$17,567.8 $0.0 $0.0
Unrealized Capital Gains/Losses 1,780.3 11,071.0 5,891.4 6,843.4
Cumulative Effect of Changes in Accounting Principles -2.9 330.6 -2.7 -163.2
Miscellaneous Items -2,586.4 1,123.2 -68.2 -199.9
Contributions to Surplus 3,161.0 4,444.4 5.7 -3.9
Total Other Sources -$31,652.4 -$598.7 $5,826.2 $6,476.4
Net Increase or Decrease In Surplus -$1,370.9 $26,716.6 $9,837.4 $8,771.1
Aggregate. Dividends to Policyholders (Billions)
2010 2009
$1.6 $1.6
Aggregate Dividends to Stockholders
2010 2009
$34.0 $17.5
Aggregate Contribution to Surplus
2010 2009
$3.2 $4.4
43
TABLE 5: SELECTED ANNUAL STATEMENT DATA PROPERTY/CASUALTY INSURERS
Licensed in New York State 2007 – 2010
2010 2009 2008 2007
Stock Companies
Number of Insurers 746 748 739 731
Net Premiums Written
$237,965
$237,999
$244,995
$247,563
Admitted Assets
892,494
885,679
851,704
880,157
Unearned Premium & Loss Reserves 473,590 469,684 467,399 464,519
Other Liabilities
92,118
92,007
95,625
100,489
Capital 3,986 3,949 3,889 3,879
Surplus to Policyholders
326,786
323,988
288,680
318,287
Mutual Companies
Number of Insurers 72 72 71 72
Net Premiums Written $75,733 $73,382 $68,654 $69,930
Admitted Assets 256,394 242,421 218,571 236,563
Unearned Premium & Loss Reserves
101,209
97,908
89,399
87,507
Other Liabilities 28,290 27,166 22,043 29,050
Surplus to Policyholders 126,895 117,347 105,503 120,006
Aggregate % Changes 2007 – 2010
Net Premiums Written
Admitted Assets
Unearned Premium & Loss Reserves
Other Liabilities
Surplus To Policyholders
-1.2%
2.9%
4.1%
-7.0%
3.5%
44
TABLE 6: DIRECT PREMIUMS WRITTEN BY PROPERTY/CASUALTY INSURERS
2006-2010
1
(dollar amounts in millions)
Percentage Change
Property/Casualty Lines 2006 2007 2008 2009 2010 2006-2010 2009-2010
All Premiums Written
$33,674
$34,332
$33,894
$32,885
$33,014
-2%
0.4%
Private Passenger Auto 9,994 9,794 9,789 9,948 10,147 2% 2%
Bodily Injury and Property Damage Liability
6,705
6,452
6,409
6,588
6,771
1%
2.8%
Comprehensive and Collision
3,289
3,343
3,380
3,360
3,376
3%
0.5%
Commercial Auto
2,045
1,975
1,921
1,796
1,748
-15%
-2.7%
General (Other) Liability 4,387 4,306 4,488 4,155 4,138 -6% -0.4%
Commercial Multi-Peril
3,074
3,072
3,058
3,026
2,986
-3%
-1.3%
Workers' Compensation
4,133
4,228
3,501
3,423
3,623
-12%
5.8%
Homeowners' Multi-Peril 3,615 3,908 4,079 4,219 4,336 20% 2.8%
Medical Malpractice
1,267
1,394
1,346
1,336
1,380
9%
3/3%
Inland Marine
841
912
951
954
962
14%
0.9%
Ocean Marine
598
522
513
450
440
-26%
-2.1%
Fidelity and Surety
459
534
540
484
463
1%
-4.3%
Accident and Health
329
302
252
260
277
-16%
6.4%
Fire 490 503 521 550 546 11% -0.7%
Product Liability
175
190
126
131
126
-28%
-3.9%
Financial Guaranty
2
1,164
1,439
1,843
1,030
804
-31%
-22.0%
Mortgage Guaranty 207 246 229 209 195 -6% -6.5%
Allied Lines
334
307
330
331
324
-3%
-2.2%
Aircraft 114 205 -49 115 14 -88% -88.2%
45
Boiler and Machinery
80
70
70
74
72
-11%
-2.7%
Credit
62
131
117
100
115
86%
15.6%
Burglary and Theft
27
16
19
18
19
-30%
2.4%
All Other
3
280
277
251
277
301
7%
8.4%
1
New York State business of all NYS licensed companies. Includes federal employee health benefits program premium.
2
Includes monoline and non-monoline Insurers.
3
Includes Farmowners Multi-Peril, Multi-Peril Crop, Federal Flood, Earthquake, and Aggregate Write-Insurance.
NOTE: Detail may not add to totals due to rounding.
TABLE 7: NET PREMIUMS WRITTEN AND SURPLUS TO POLICYHOLDERS FINANCIAL GUARANTY INSURERS
2010 (dollar amounts in millions)
Net Premiums Surplus to Ratio of
Written Policyholders Premiums
(during year) (end of year) to Surplus
1,368.4 6,083.0 0.22
Num
ber of Financial Guaranty Insurers
Domestic Foreign
11 4
46
TABLE 8: UNDERWRITING RESULTS FINANCIAL GUARANTY INSURERS
2010 (dollar amounts in millions)
Number of
Companies
Amount
Underwriting gains
6
$584.2
Underwriting losses
8
$2,986.4
TABLE 9: INVESTMENT INCOME AND CAPITAL GAINS FINANCIAL GUARANTY INSURERS
2007-2010 (dollar amounts in millions)
2010 2009 2008 2007
Net investment income $1,008.2 $1,278.5 $1,680.9 $1,598.7
Realized capital gains -647.7 -2,972.8 -4,722.5 -705.2
Unrealized capital gains -86.9 -178.9 -1,149.6 -43.8
Net gain from investments $273.6 -$1,873.3 -$4,191.2 $849.7
TABLE 10: AGGREGATE UNDERWRITING AND INVESTMENT EXHIBIT FINANCIAL GUARANTY INSURERS
2007-2010 (dollar amounts in millions)
2010 2009 2008 2007
Net Gain or Loss From:
Underwriting -$2,402.2 -$2,042.5 -$11,186.6 -$1,418.7
Investments (excludes unrealized capital gains) 360.5 -1,694.4 -3041.6 893.5
Other Income 418.3 108.4 -181.3 -47.7
47
Net Gain or Loss
-$1,623.4
-3,628.6
-14,409.6
-$572.9
Less:
Dividends to Policyholders 0.0 0.0 0.0 0.0
Federal Income Taxes Incurred 168.8 -638.2 -1666.7 376.3
Net Income
-$1,792.2
-$2,990.3
-$12,742.8
-$949.2
Surplus Changes Other Than Net Income:
Dividends To Stockholders
•
Cash
-120.0
-1,299.7
-437.6
-777.1
• Stock
-12.5 0.0 -13.1 -1.5
Total Dividends and Remittance -$132.5 -$1,299.7 -$450.7 -$778.6
Unrealized Capital Gains -86.9 -178.9 -1149.6 -43.8
Cumulative Effect of Changes In Accounting Principles
0.0
0.0
0.0
0.0
Miscellaneous Items 1,949.7 5,630.1 -302.0 190.4
Contributions to Surplus -1,599.9 2,018.0 6,936.9 333.7
Total Other Sources $130.3 $6,169.5 $5,034.7 -$298.3
Net Increase Or Decrease In Surplus -$1,661.9 $3,179.2 -$7,708.2 -$1,247.5
TABLE 11: SELECTED ANNUAL STATEMENT DATA FINANCIAL GUARANTY INSURERS
2007-2010 (dollar amounts in millions)
2010 2009 2008 2007
Number of Companies
15
15
18
15
Exposure
$2,450,692.6
$2,788,029.8
$2,980,072.8
$3,293,226.9
Net premiums written
1,368.4
1,864.2
3,168.2
2,982.1
Admitted assets 36,476.4 38,735.1 44,379.0 38,650.5
Unearned premium & loss reserves
18,135.8
18,196.7
24,459.1
15,355.1
Other liabilities 12,257.7 12,922.4 15,358.3 10,972.6
Capital 1,069.3 1,061.5 1,068.1 249.2
Surplus to policyholders 6,083.0 7,616.0 4,561.6 12,322.8
48
TABLE 12: NET PREMIUMS WRITTEN AND SURPLUS TO POLICYHOLDERS MORTGAGE GUARANTY INSURERS
2010 (dollar amounts in millions)
Net Premiums Surplus to Ratio of
Written Policyholders Premiums
(during year) (end of year) to Surplus
3,624.5 7,463.9 0.49
Number of Companies
Domestic Foreign
2 29
TABLE 13: AGGREGATE UNDERWRITING AND INVESTMENT EXHIBIT MORTGAGE GUARANTY INSURERS
2007-2010 (dollar amounts in millions)
2010 2009 2008 2007
Net Gain Or Loss From:
Underwriting
-$3,113.7
-$3,520.0
-$5,162.4
-$1,319.6
Investments (Excludes Unrealized Capital Gains)
941.3
1,079.0
1,016.1
1,295.8
Other Income 11.5 13.0 5.6 13.9
Net Gain Or Loss -$2,160.9 -$2,428.0 -$4,140.7 -$9.8
Less:
Dividends to Policyholders
0.0
0.0
0.0
0.0
Federal Income Taxes Incurred -193.0 -396.1 -117.5 98.4
Net Income -$1,967.8 -$2,031.9 -$4,023.2 -$108.3
Surplus Changes Other Than Net Income:
Dividends to Stockholders
•
Cash
-12.0 -69.3 -213.4 -1,563.8
49
• Stock
0.0
0.0
0.0
0.0
Total Dividends -$12.0 -$69.3 -$213.4 -$1,563.8
Unrealized Capital Gains -90.8 -136.2 -1,044.7 -666.2
Cumulative Effect of Changes in Accounting Principles
0.0
0.0
107.1
0.0
Miscellaneous Items 2,325.3 2,844.6 4,357.7 1,780.7
Contributions to Surplus 876.5 608.7 2,079.9 142.0
Total Other Sources
3,098.9
3,247.9
5,286.7
-307.3
Net Increase or Decrease in Surplus $1,131.1 $1,216.0 $1,263.5 -$415.5
TABLE 14: SELECTED ANNUAL STATEMENT DATA MORTGAGE GUARANTY INSURERS
2007-2010 (dollar amounts in millions)
2010 2009 2008 2007
Number of companies
31
31
28
27
Net premiums written
$3,624.5
$3,824.3
$4,661.7
$4,605.0
Admitted Assets
24,344.9
25,885.1
26,359.5
24,170.6
Unearned premium & loss reserves 15,132.9 16,294.0 15,570.9 10,605.5
Other liabilities
1,748.1
3,264.6
5,715.0
9,970.6
Capital
85.4
80.9
71.8
70.5
Surplus
7,463.9
6,326.5
5,073.6
3,594.6
50
TABLE 15: SELECTED ANNUAL STATEMENT DATA TITLE INSURANCE COMPANIES
2007-2010 (dollar amounts in millions)
2010 2009 2008 2007
Number of Companies 24 25 29 30
Net premiums written
$9,050.8
$7,665.4
$6,661.4
$8,742.3
Admitted assets
8,170.4
7,069.7
5,690.0
6,489.8
Liabilities
5,399.1
4,501.3
4,020.8
4,515.5
Capital
315.2
273.9
109.4
111.0
Surplus
2,771.3
2,568.4
1,669.2
1,974.3
Number of Companies
Domestic
Foreign
6
18
TABLE 16: SELECTED ANNUAL STATEMENT DATA ADVANCE PREMIUM AND ASSESSMENT CORPORATIONS
2010 (dollar amounts in millions)
Advance Assessment
Total Premium Corporations
Corporations
Number of companies
41
17
24
Total assets
$2,553.9
$2,192.5
$361.4
Net premiums written
935.2
815.3
119.9
Surplus funds
1,242.3
1,025.2
217.1
51
TABLE 17: NUMBER OF FILINGS RECEIVED BY TYPE
2011
Type of Insurance Rates Rules Forms Totals
01.0 Property 140 200 194 534
02.1 Crop 1 0 4 5
02.3 Flood 0 0 2 2
03.0 Personal Farmowners 5 4 10 19
04.0 Homeowners 172 145 210 527
05.0 CMP Liability and Non-Liability 229 299 273 801
05.1 CMP Non-Liability Portion Only 28 33 42 103
05.2 CMP Liability Portion Only 18 28 18 64
06.0 Mortgage Guaranty 21 11 10 42
08.0 Ocean Marine 1 0 0 1
09.0 Inland Marine 91 116 254 461
10.0 Financial Guaranty 0 0 1 1
11.0 Med Mal-Claims Made and Occurrence 60 54 49 163
11.1 Med Mal-Occurrence Only 12 2 3 17
11.2 Med Mal-Claims Made Only 12 3 8 23
12.0 Earthquake 1 0 1 2
16.0 Workers Compensation 111 136 145 392
17.0 Other Liability-Occ/Claims Made 212 352 373 937
17.1 Other Liability-Occ Only 109 188 296 593
17.2 Other Liability-Claims Made Only 56 60 104 220
18.0 Product Liability 0 0 0
19.0 Personal Auto 390
366 164 920
19.1/21.4 Private Passenger Auto 1 0 0 1
20.0 Commercial Auto 185 167 239 591
21.4 Mobile Homes under Transport 0 0 0
22.0 Aircraft 12 15 23 50
23.0 Fidelity 17 19 46 82
52
23.0/24.0 Fidelity and Surety 2 1 2 5
24.0 Surety 38 31 3 72
26.0 Burglary and Theft 30 39 41 110
27.0 Boiler & Machinery or Equipment Breakdown 16 19 27 62
28.1 Credit - Credit Default 4 6 14 24
28.2 Credit-Personal Property 6 4 7 17
30.0 Homeowner/ Auto Combinations 0 0 0
30.1 Dwelling Property/Personal Liability 4 7 10 21
31.0 Dwelling Fire/Personal Liability 0 0 0
33.0 Other Lines of Business 15 22 17 54
34.0 Title 1 0 0 1
35.0 Interline Filings 9 37 115 161
Total 2009 2364 2705 7078
TABLE 18: MAJOR EFFECTS OF PRINCIPAL RATE & LOSS COST CHANGES BY PROPERTY/CASUALTY RATE SERVICE
ORGANIZATIONS
Filed In 2011
Automobile
Percent Changes
in Average
Insurance Services Office, Inc. State-Wide Rates
Commercial Automobile
Loss Costs Revised
Commercial Cars
Single Limit Liability
-7.9
Personal Injury Protection
-15.7
Liability Subtotal
-8.3
Comprehensive
-3.3
Collision
-15.0
Physical Damage Subtotal
-12.4
Total Commercial Cars
-8.8
Garages
Single Limit Liability
0.0
Personal Injury Protection
+10.2
Liability Subtotal
+0.8
53
Physical Damage - Garage Dealers
Comprehensive
0.0
Collision
0.0
Physical Damage - Garage Keepers
Comprehensive
0.0
Collision
0.0
Physical Damage - Garage Dealers and Keepers Subtotal
0.0
Total Garages
+0.4
Private Passenger Types
Single Limit Liability
+6.5
Personal Injury Protection
-6.3
Liability Subtotal
+5.5
Comprehensive
+1.8
Collision
-0.8
Physical Damage Subtotal
-0.2
Total Private Passenger Types
+3.9
Total All Coverages
-5.8
Total Liability
-5.6
Total Physical Damage
-6.8
effective June 1, 2012
Automobile Insurance Plans Service Office
Percent Changes
Commercial Automobile (Including Public Livery) In Average State-
Rates Revised Wide Rates
Taxis
Bodily Injury Liability
0.0
Property Damage Liability
+14.7
Personal Injury Protection
+37.6
Liability Subtotal
+11.1
Medicars and Ambulettes
Bodily Injury Liability
0.0
Property Damage Liability
+18.8
Personal Injury Protection
+40.0
Liability Subtotal
+10.3
54
Limousines and Van Pools
Bodily Injury Liability
0.0
Property Damage Liability
+16.7
Personal Injury Protection
+40.0
Liability Subtotal
+10.0
School and Church Buses
Bodily Injury Liability
0.0
Property Damage Liability
+10.6
Personal Injury Protection
+40.0
Liability Subtotal
+6.3
Other Buses
Bodily Injury Liability
0.0
Property Damage Liability
+13.6
Personal Injury Protection
+40.0
Liability Subtotal
+8.9
Commercial Cars
Bodily Injury Liability
0.0
Property Damage Liability
+10.0
Personal Injury Protection
+33.5
Liability Subtotal
+6.1
Zone Rated Risks
Bodily Injury Liability
0.0
Property Damage Liability
+10.7
Personal Injury Protection
-3.0
Liability Subtotal
+2.4
Garages
Bodily Injury Liability
0.0
Property Damage Liability
+10.5
Personal Injury Protection
+35.7
Liability Subtotal
+8.8
Employer Non-Owned
Bodily Injury Liability
0.0
Property Damage Liability
+10.6
Liability Subtotal
+2.0
Comprehensive & Collision
0.0
55
Total Liability
Total All Coverages
effective February 15, 2012
Automobile Insurance Plans Service Office
Private Passenger Automobile
Rates Revised
Bodily Injury Liability
Property Damage Liability
Personal Injury Protection
Uninsured Motorists
Liability Subtotal
Comprehensive
Collision
Physical Damage Subtotal
Total All Coverages
effective April 15, 2012
Insurance Services Office, Inc.
Liability Other Than Automobile
Insurance Services Office, Inc.
Commercial General Liability Loss Costs
(effective July 1, 2012)
Dwelling Program - Personal Liability Loss Costs
(effective March 1, 2012)
+7.6
+7.5
Percent Changes
in Average
State-Wide Rates
+10.0
+7.0
+13.0
+0.3
+10.5
-10.0
0.0
-2.5
+9.6
Percent Changes
In Average State-
Wide Rates
-5.4%
+5.1%
56
TABLE 19: PRIVATE PASSENGER AUTOMOBILE RATE FILINGS
Effective In 2011
Overall Liability Physical Overall
Renewal Market
Change Change Damage Change
Effective Insurance Company or Insurance Group Share
2
Requested Approved Change Approved
Date (%)
(%) (%) Approved (%) (%)
1/4/11
Old Dominion Insurance. Co.
4
0.2
4.8
6.1
3.3
4.8
1/5/11 Merchants Preferred Insurance. Co.
3
0.3 4.6 2.7 8.2 4.6
1/13/11 GEICO Indemnity Company
3
6.1 2.5 3.5 -0.1 2.5
1/13/11
GEICO Group: GEICO; GGIC
3
17.7
2.6
5.3
-2.1
2.6
1/14/11
Sentry: SIAMC; MIC; PGIC
4
0.0
2.0
12.4
-6.9
2.0
1/15/11
Allstate Insurance. Co.
3
11.4
1.2
1.8
0.0
1.2
1/16/11 Farm Family Casualty Insurance. Co.
3
0.2 5.0 7.5 1.1 5.0
1/20/11
Allmerica Financial Alliance Insurance. Co.
4
0.5
3.0
2.9
3.5
3.0
1/22/11
Travelers: TAP program
3
1.7
3.4
3.9
2.6
3.4
1/24/11
State Farm Fire and Casualty Company
4
1.8
11.8
14.1
0.0
10.5
1/24/11
State Farm Mutual Automobile Insurance. Co.
4
10.3
8.1
12.4
0.0
8.1
1/30/11 Drivers Insurance. Co.
4
0.0 12.6 12.6 12.6 12.6
2/1/11 Progressive: PAIC; PMIC
4
1.0 4.5 5.3 1.8 4.5
2/1/11 Progressive: PCIC; PSIC
4
1.5 2.3 3.1 0.0 2.3
2/1/11
Unitrin Auto and Home Insurance. Co.
3
0.3
1.8
2.9
0.0
1.8
2/6/11
Nationwide Affinity Insurance. Co. of America
4
0.0
0.0
0.0
0.0
0.0
2/7/11 Progressive: PNWIC; PNIC
3
1.9 3.5 5.2 -0.6 3.5
2/8/11 Adirondack Insurance Exchange
3
0.2 -1.5 -1.5 -1.5 -1.5
2/10/11
Liberty: LMFIC; TFLIC
4
5.0
9.9
7.9
-0.1
5.3
2/10/11
Liberty: LMFIC; TFLIC
3
*
5.0
5.1
4.8
5.0
2/26/11
Electric Insurance. Co.
3
0.1
3.0
7.7
-4.3
3.0
3/1/11 Interboro Insurance. Co.
4
0.1 5.0 11.8 -14.3 5.0
3/1/11
Preferred Mutual Insurance. Co.
3
0.6
2.5
6.0
-1.1
2.5
3/1/11 Truck Insurance Exchange
3
0.2 5.0 5.0 5.0 5.0
57
Renewal
Effective
Date
Market
2
Share
(%)
Overall
Change
Requested
(%)
Liability
Change
Approved
(%)
Physical
Damage
Change
Approved (%)
Overall
Change
Approved
(%)
Insurance Company or Insurance Group
3/1/11
Farmers New Century Insurance. Co.
3
0.1
5.0
5.0
5.0
5.0
3/15/11 Peerless Insurance. Co.
4
0.8 11.7 13.3 9.4 11.7
3/18/11
21st Century: 21st IIC; LIC
4
0.1 18.8 11.0 7.5 10.3
3/19/11
Allstate Property/Casualty Insurance. Co.
4
6.5
12.0
17.8
0.0
12.0
4/1/11
Unitrin Advantage Insurance. Co.
4
0.1
8.3
8.7
3.6
8.3
4/1/11 Central Mutual Insurance. Co.
3
0.1 1.5 3.8 -1.2 1.5
4/1/11 State-Wide Insurance. Co.
4
0.3 27.5 23.3 -6.2 17.5
4/1/11
Erie Insurance. Group: EIC; EICoNY
3
0.7 1.1 5.2 -4.9 1.1
4/1/11
New York Central Mutual Fire Insurance. Co.
3
2.3
5.0
8.1
-0.2
5.0
4/1/11
Warner Insurance. Co.
4
0.0
25.0
12.9
3.5
9.7
4/5/11
American Commerce Insurance. Co.
4
0.5
18.5
23.2
3.4
18.5
4/10/11 Adirondack Insurance Exchange
3
* 4.6 9.9 -6.4 4.6
4/16/11 IDS Property Casualty Insurance. Co.
3
0.1 4.8 7.1 0.3 4.8
4/24/11
Main Street: MSAA; NGM
3
0.2
4.9
8.9
-1.6
4.9
4/27/11
National General Insurance. Co.
3
0.1
2.9
6.3
-2.2
2.9
4/30/11
Mercury Casualty Company
4
0.3
14.1
12.3
18.4
14.1
5/1/11 Unitrin Direct Insurance. Co.
4
0.1 24.0 17.7 12.3 16.0
5/1/11 ACA Insurance. Co.
3
0.0 4.6 7.9 0.0 4.6
5/12/11
Allmerica Financial Alliance Insurance. Co.
3
*
0.0
0.0
0.0
0.0
5/13/11
Hartford: HCIC; HUIC; TIC
3
0.4
5.0
8.1
0.0
5.0
5/20/11 Travelers: Legacy
3
1.0 3.7 5.7 -0.3 3.7
6/1/11
AIPSO
4
1.6 26.0 16.0 2.8 15.0
6/1/11 Country-Wide Insurance. Co.
4
1.0 3.5 3.7 0.0 3.5
6/1/11
Essentia Insurance. Co.
4
0.1
5.8
11.0
4.4
5.8
6/1/11
QBE Insurance Corporation
3
0.2
4.7
4.8
0.0
4.7
6/1/11 Ocean Harbor Casualty Insurance. Co.
3
0.0 5.0 5.3 0.0 5.0
6/1/11 Infinity Auto Insurance. Co.
3
0.0 5.0 7.0 0.2 5.0
6/6/11 Response Worldwide Insurance. Co.
3
0.0 4.0 6.1 0.0 4.0
6/11/11
Nationwide: TIC; VAIC
4
0.0
-3.4
-3.0
-7.9
-3.4
6/14/11
Nationwide Mutual Fire Insurance. Co.
3
0.1
4.9
6.1
0.0
4.9
58
Renewal
Effective
Date
Market
2
Share
(%)
Overall
Change
Requested
(%)
Liability
Change
Approved
(%)
Physical
Damage
Change
Approved (%)
Overall
Change
Approved
(%)
Insurance Company or Insurance Group
6/15/11
Tri-State Consumer Insurance. Co.
4
0.2
3.9
4.3
0.2
3.9
6/16/11
Hartford Insurance. Co. of Illinois
3
0.7
5.0
6.7
1.6
5.0
6/16/11
Sentinel Insurance. Co., Ltd.
3
0.5
5.0
7.6
0.0
5.0
6/17/11 21st Century North America Insurance. Co.
4
0.3 0.0 0.2 -0.4 0.0
6/17/11
21st Century Premier Insurance. Co.
4
0.1 0.0 0.0 0.0 0.0
6/17/11
21st Century Indemnity Insurance. Co.
4
*
0.0
0.0
0.0
0.0
6/27/11
Progressive Direct Insurance. Co.
4
0.7
7.7
8.5
0.0
5.7
6/21/11
New South Insurance. Co.
4
1.0
4.0
6.2
-1.3
4.0
6/21/11 Farmington Casualty Company
4
0.2 14.6 16.0 1.0 14.6
6/24/11 Liberty Insurance Corporation
4
0.1 15.5 12.0 1.9 9.4
6/30/11
Nationwide: NMIC; NP&CIC
4
1.2 1.9 1.7 2.3 1.9
6/30/11
Nationwide: NGIC; NICoA
3
1.3
4.8
5.0
4.0
4.8
7/1/11
Central Mutual Insurance. Co.
3
*
2.5
4.4
0.0
2.5
7/1/11 Bankers Standard Insurance. Co.
4
0.2 14.9 15.2 14.7 14.6
7/1/11 21st Century Centennial Insurance. Co.
4
0.1 14.8 14.0 0.0 13.3
7/1/11
Eveready Insurance. Co.
3
0.2
4.9
7.8
1.8
4.9
7/1/11
Utica Group: GAMIC; RFIC; UNAC
3
0.2
2.4
3.8
0.1
2.4
7/13/11
GEICO Indemnity Company
3
*
2.4
3.4
-0.5
2.4
7/13/11 GEICO Group: GEICO; GGIC
3
* 2.3 4.7 -2.1 2.3
7/15/11 Peerless Insurance. Co.
3
* -2.2 -2.2 -2.2 -2.2
7/16/11
Allstate Insurance. Co.
3
*
3.7
5.4
0.0
3.7
7/17/11
Hartford Insurance. Co. of Illinois
4
*
7.6
2.7
-1.1
1.5
8/7/11
Nationwide: TIC; VAIC
3
*
4.8
5.5
0.0
4.8
8/15/11 Metropolitan: MP&CIC; MCIC
3
1.4 5.0 7.8 0.1 5.0
8/15/11 Metropolitan Group Property/Casualty Insurance. Co.
3
0.8 4.9 8.0 -0.1 4.9
8/15/11 Economy Premier Assurance Company
3
0.1 4.6 11.3 -4.8 4.6
8/16/11
Harleysville Insurance. Co. of New York
3
0.0
5.0
6.1
2.4
5.0
8/16/11
Harleysville Worcester Insurance. Co.
3
0.0
5.0
5.9
3.1
5.0
8/19/11 Response Insurance. Co.
3
0.0 5.0 7.1 0.0 5.0
8/22/11 Progressive Preferred Insurance. Co.
4
0.7 8.2 6.9 -1.7 4.8
59
Renewal
Effective
Date
Market
2
Share
(%)
Overall
Change
Requested
(%)
Liability
Change
Approved
(%)
Physical
Damage
Change
Approved (%)
Overall
Change
Approved
(%)
Insurance Company or Insurance Group
8/28/11
Travelers: Quantum Program
4
2.3
6.3
8.5
0.7
5.8
8/30/11
Progressive: PAIC; PMIC
4
*
8.3
9.3
5.8
8.3
8/30/11
American Commerce Insurance. Co.
4
*
19.0
22.1
8.8
19.0
9/1/11
State-Wide Insurance. Co.
4
*
29.3
23.9
-3.7
19.8
9/1/11
AutoOne Insurance. Co.
4
0.4
12.9
14.2
1.2
12.9
9/1/11
A. Central Insurance. Co.
4
0.3
8.0
11.8
-1.3
8.0
9/4/11
Progressive: PCIC; PSIC
4
*
7.6
7.7
6.1
7.3
9/6/11
Adirondack Insurance Exchange
3
*
1.5
1.0
2.7
1.5
10/1/11
Country-Wide Insurance. Co.
4
*
1.5
1.5
0.0
1.5
10/1/11
Amica Mutual Insurance. Co.
3
0.9
5.0
8.3
0.0
5.0
10/7/11
Encompass Home and Auto Insurance. Co.
3
0.1
0.0
0.0
0.0
0.0
10/10/11
GEICO Indemnity Company
4
*
0.0
0.0
0.0
0.0
10/10/11 GEICO Group: GEICO; GGIC
4
* 0.0 0.0 0.0 0.0
10/14/11 Permanent General Assurance Corporation
3
0.0 5.0 5.3 3.0 5.0
10/15/11 State Farm Fire and Casualty Company
4
* 0.5 0.5 0.7 0.5
10/15/11
State Farm Mutual Automobile Insurance. Co.
4
*
0.0
0.0
0.0
0.0
10/15/11
Economy Premier Assurance Company (Pak II Program)
3
0.1
5.0
7.7
-0.1
5.0
10/17/11
21st Century Advantage Insurance. Co.
3
0.2
5.0
6.9
0.0
5.0
10/20/11
Sentinel Insurance. Co., Ltd.
4
*
9.5
14.6
0.0
9.5
10/22/11
Allstate Property/Casualty Insurance. Co.
4
*
9.9
13.9
0.0
9.9
10/24/11
21st Century: 21CSIC; 21CNIC
4
0.0
0.0
0.0
0.0
0.0
11/1/11
Unitrin Advantage Insurance. Co.
4
*
11.6
12.3
2.4
11.6
11/1/11
GEICO Group: GEICO; GGIC; GIIC; GCC
4
0.0
-0.1
-0.1
-0.1
-0.1
11/14/11
Cincinnati Insurance. Co.
4
0.0
0.0
0.0
0.0
0.0
11/21/11 State Farm Fire and Casualty Company
4
* 7.6 9.7 1.4 7.6
11/21/11 State Farm Mutual Automobile Insurance. Co.
4
* 4.2 6.5 0.0 4.2
11/24/11
Permanent General Assurance Corporation
4
*
9.0
9.1
8.5
9.0
11/25/11
National Liability & Fire Insurance. Co.
4
0.0
0.0
0.0
0.0
0.0
11/29/11
Foremost: FSIC; FICGRM
3
0.0
4.9
7.8
-8.0
4.9
12/2/11 IDS Property Casualty Insurance. Co.
4
* 16.7 9.7 10.2 9.9
12/22/11 Esurance Property/Casualty Insurance. Co.
3
0.0 -5.0 -5.1 -5.1 -5.0
60
Renewal
Effective
Date
Market
2
Share
(%)
Overall Liability Physical Overall
Change Change Damage Change
Insurance Company or Insurance Group
Requested
Approved Change
Approved
(%) (%) Approved (%) (%)
12/25/11
3
Unitrin Direct Property & Casualty Company
0.0
5.0
7.6
0.0
5.0
1
Under the flex-rating system currently in effect, rate changes are either prior approval or file and use. Rate filings that include any classification changes
are prior approval.
2
These market shares are based on 2010 Annual Statement premiums.
3
Flex rating
4
Prior approval
* Subsequent filing (either prior approval or flex rating) by this Insurer with renewal date in 2011.
2011 Rate Change Summary Total
Number of Insurer rate filings: 116
Average liability change for Insurers receiving rate changes: 13.0%
Percentage of total liability industry premium affected: 94.3%
Impact on the entire market of the overall average liability rate change: 12.2%
Average physical damage change for Insurers receiving rate changes:
-0.3%
Percentage of total physical damage industry premium affected: 91.7%
Impact on the entire market of the overall average physical damage change -0.3%
Average combined liability and physical damage change for Insurers receiving rate changes: 8.7%
Percentage of total industry premium affected: 93.4%
Impact on the entire market of the overall average liability and physical damage rate change:
8.1%
61
TABLE 20: NEW YORK AUTOMOBILE INSURANCE PLAN (NYAIP) EXPERIENCE IN 2009 AND 2010
TABLE 20-A: EARNED CAR YEARS
Liability And Collision Earned Car Years In The Voluntary And Assigned Risk Market
2001 – 2010
Calendar
Year
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Voluntary
Liability
8,147,522
8,463,417
8,313,121
8,356,929
8,602,031
8,729,798
8,876,002
8,945,404
8,960,961
8,969,997
Percent
Change
From
Previous
Year
22.6
3.9
-1.8
0.5
2.9
1.5
1.7
0.8
0.2
0.1
Assigned
Risk
Liability
343,511
444,437
471,158
370,813
270,485
181,917
130,106
101,224
90,345
93,534
Percent
Change
From
Previous
Year
-71.3
29.4
6.0
-21.3
-27.1
-32.7
-28.5
-22.2
-10.7
3.5
Combined
Liability
8,491,033
8,907,854
8,784,279
8,727,742
8,872,516
8,911,715
9,006,108
9,046,628
9,051,306
9,063,532
Percent
Change
From
Previous
Year
8.3
4.9
-1.4
-0.6
1.7
0.4
1.1
0.4
0.1
0.1
Assigned
Risk
Collision
27,597
47,234
47,981
31,501
18,386
11,930
9,967
5,806
7,260
6,527
Percent
Change
From
Previous
Year
-55.9
71.2
1.6
-34.3
-41.6
-35.1
-16.5
-41.7
25.0
-10.1
TABLE 20-B: RISKS BY SURCHARGE CATEGORY
Distribution of Private Passenger Automobile Assigned Risks Liability and Collision Coverages
by Discount or Surcharge Category, 2008 – 2010
Discount or Surcharge Category 2008 (%) 2009 (%) 2010 (%) 2008 (%) 2009 (%) 2010 (%)
Total, all categories 100.0 100.0 100.0 100.0 100.0 100.0
Total Unsurcharged 53.0 53.6 54.9 51.6 54.0 54.9
3 Years Claim Free (One or less with Plan) (Manual Rates) 30.2 32.9 37.6 28.7 30.0 32.4
Experience Discount
4 Years (One or more with Plan) – 18% Credit 6.0 5.3 5.4 5.7 6.0 6.3
5 Years (Two or more with Plan) – 25% Credit
5.0
3.2
2.4
4.9
3.6
3.1
62
6 Years or more (Three or more w/Plan) – 30% Credit
11.8
12.2
9.4
12.3
14.4
13.0
Total Surcharged 47.0 46.4 45.1 48.4 46.0 45.1
Inexperienced Operator Surcharge 23.8 21.6 18.6 20.3 15.5 11.0
Experience Surcharge
15% 11.1 11.2 12.1 14.2 14.5 16.1
25% 0.4 0.4 0.5 0.4 0.5 0.5
35% 3.2 3.4 3.8 4.8 5.5 6.4
50%
2.6
2.9
3.1
2.2
2.4
2.4
75% 1.6 1.7 1.9 2.2 2.5 3.2
100%-200%
4.4
5.1
5.2
4.3
5.2
5.6
TABLE 20-C: RISKS BY RATING TERRITORY
New York Private Passenger Automobile Exposures
in Earned Car Years by Territory for the Voluntary and Assigned Risk Markets
Territory
01
Bronx Territory
Assigned
3,048
2009
Voluntary
59,125
Total
62,173
Assigned
2,686
2010
Voluntary
60,325
Total
63,010
# Change
In A/R
-362
% Change
In A/R
-11.9
#Change
in Market
838
% Change
In Market
1.3
03
Bronx Suburban Territory
4,141
170,942
175,083
3,986
167,767
171,752
-156
-3.8
-3,331
-1.9
05
Staten Island
2,085
240,081
242,166
2,130
238,894
241,024
45
2.2
-1,141
-0.5
07
Buffalo
2,911
121,972
124,883
3,318
125,962
129,280
407
14.0
4,397
3.5
08
Buffalo Semi-Suburban
1,712
169,873
171,585
1,787
165,922
167,709
75
4.4
-3,875
-2.3
09
Schenectady County
355
110,373
110,728
471
111,194
111,665
116
32.8
937
0.8
11
Rochester
6,497
343,259
349,757
7,333
335,345
342,678
836
12.9
-7,079
-2.0
12
Syracuse
1,264
207,221
208,485
1,451
205,299
206,750
187
14.8
-1,735
-0.8
13
Albany
354
163,762
164,116
402
163,373
163,775
49
13.8
-340
-0.2
14
Niagara Falls
1,152
71,787
72,939
1,140
71,311
72,451
-12
-1.0
-488
-0.7
15
Utica
78
62,115
62,193
112
64,894
65,006
34
43.3
2,813
4.5
16
Saratoga Springs Suburban
23
49,687
49,709
26
49,406
49,432
3
13.2
-277
-0.6
17
Kings County
1,271
366,416
367,687
1,407
368,318
369,725
136
10.7
2,038
0.6
18
Manhattan
1,880
170,192
172,071
1,739
170,657
172,396
-141
-7.5
324
0.2
19
Queens
817
73,187
74,004
833
72,777
73,610
16
2.0
-394
-0.5
20
Hempstead
3,773
430,162
433,936
4,023
403,514
407,538
250
6.6
-26,398
-6.1
21
North Hempstead
1,348
150,458
151,806
1,452
145,994
147,446
105
7.8
-4,360
-2.9
22
Oyster Bay
2,155
329,527
331,682
2,296
344,681
346,977
141
6.5
15,295
4.6
24
Rome
127
22,075
22,202
127
22,054
22,181
0
0.3
-21
-0.1
25
Auburn
13
24,198
24,211
7
24,608
24,615
-7
-49.4
404
1.7
63
Territory
27
Elmira
Assigned
15
2009
Voluntary
47,233
Total
47,248
Assigned
20
2010
Voluntary
47,026
Total
47,047
# Change
In A/R
5
% Change
In A/R
32.3
#Change
in Market
-202
% Change
In Market
-0.4
28
Binghamton
634
110,873
111,507
692
110,910
111,601
58
9.1
94
0.1
29
Gloversville
64
27,742
27,806
84
27,087
27,170
20
30.4
-636
-2.3
30
Saratoga Springs
24
25,115
25,139
27
25,631
25,658
3
12.9
518
2.1
31
Chautauqua County
317
86,892
87,209
365
86,545
86,910
49
15.3
-298
-0.3
32
Newburgh
812
67,478
68,291
883
67,246
68,129
71
8.7
-161
-0.2
33
Poughkeepsie
792
97,436
98,227
773
99,302
100,074
-19
-2.4
1,847
1.9
34
Troy
228
59,957
60,185
268
59,312
59,579
40
17.4
-605
-1.0
35
Amsterdam
26
21,069
21,095
43
21,181
21,223
17
65.6
128
0.6
36
Glens Falls
199
42,335
42,534
220
42,892
43,113
22
11.0
579
1.4
37
Oswego
240
41,048
41,288
199
46,859
47,058
-41
-17.1
5,769
14.0
38
Syracuse Suburban
40
81,464
81,504
41
82,626
82,667
0
1.2
1,163
1.4
39
Rochester Suburban
75
42,473
42,548
82
45,004
45,085
6
8.3
2,537
6.0
40
Corning
7
27,828
27,835
5
28,059
28,063
-2
-28.2
229
0.8
41
Erie County (Balance)
254
109,488
109,742
276
110,904
111,180
22
8.8
1,438
1.3
42
Buffalo Suburban
1,180
159,747
160,927
1,184
157,388
158,571
4
0.3
-2,355
-1.5
43
Niagara Falls Suburban
185
33,051
33,235
165
32,596
32,761
-20
-10.6
-474
-1.4
44
Broome County (Balance)
13
28,336
28,349
16
30,133
30,149
3
24.8
1,800
6.3
46
Putnam County
526
77,349
77,874
506
76,332
76,838
-20
-3.7
-1,036
-1.3
47
Orleans County
61
26,096
26,156
69
26,468
26,536
8
13.6
380
1.5
48
Monroe County (Balance)
33
73,934
73,967
38
73,660
73,698
4
12.6
-269
-0.4
49
Niagara County (Balance)
72
35,663
35,735
68
36,111
36,178
-5
-6.4
443
1.2
51
Ontario County, etc.
827
202,823
203,649
805
204,696
205,502
-21
-2.6
1,853
0.9
52
Fort Plain, Herkimer
108
43,260
43,368
126
43,001
43,127
17
16.2
-241
-0.6
54
Cortland County, etc.
991
208,498
209,489
947
209,771
210,718
-45
-4.5
1,228
0.6
55
Queens Suburban
3,734
555,567
559,301
4,377
552,777
557,154
643
17.2
-2,147
-0.4
56
Saratoga County (Balance)
47
39,170
39,217
43
38,754
38,797
-4
-8.8
-420
-1.1
58
Dutchess County (Balance)
540
113,916
114,456
512
117,738
118,250
-28
-5.2
3,794
3.3
59
Columbia County, etc.
225
83,575
83,800
207
89,787
89,993
-19
-8.2
6,194
7.4
60
Genesee County
143
38,784
38,927
161
39,202
39,363
18
12.3
437
1.1
61
Delaware County, etc.
399
148,856
149,256
351
157,374
157,726
-48
-12.0
8,470
5.7
62
Highland, Kingston
767
86,166
86,934
714
87,047
87,762
-53
-6.9
828
1.0
64
Middletown
1,691
173,318
175,009
1,580
172,479
174,059
-111
-6.5
-950
-0.5
65
Ossining
2,078
186,406
188,484
2,256
182,958
185,214
178
8.6
-3,270
-1.7
67
Clinton County, etc.
4,250
351,302
355,552
4,147
350,370
354,517
-103
-2.4
-1,035
-0.3
68
Rockland County
937
187,509
188,446
910
187,555
188,465
-27
-2.9
19
0.0
71
Saratoga County South
14
45,792
45,806
14
45,594
45,608
0
1.0
-198
-0.4
72
Albany County (Balance)
9
22,792
22,801
11
23,512
23,523
3
30.1
722
3.2
64
Territory
73
Rensselaer County (Balance)
Assigned
87
2009
Voluntary
48,610
Total
48,697
Assigned
82
2010
Voluntary
50,259
Total
50,340
# Change
In A/R
-5
% Change
In A/R
-5.7
#Change
in Market
1,643
% Change
In Market
3.4
74
Jefferson County
314
75,252
75,566
312
77,731
78,044
-2
-0.5
2,478
3.3
75
Suffolk County West
7,914
541,368
549,281
8,272
553,013
561,284
358
4.5
12,003
2.2
76
Suffolk County East
16,461
480,051
496,512
16,723
469,994
486,716
261
1.6
-9,796
-2.0
81
Monticello-Liberty
17
13,521
13,539
24
13,466
13,491
7
37.7
-48
-0.4
82
Sullivan County Central
39
16,517
16,556
46
16,541
16,587
7
18.9
31
0.2
83
Sullivan County (Balance)
145
23,237
23,381
148
23,388
23,537
4
2.6
155
0.7
84
Allegany County, etc.
1,168
188,610
189,778
1,181
190,019
191,200
13
1.1
1,423
0.7
86
Oneida
78
40,534
40,612
87
41,404
41,491
9
11.6
879
2.2
94
Mount Vernon and Yonkers
2,039
108,050
110,089
2,193
107,871
110,064
154
7.5
-25
0.0
95
White Plains
988
38,731
39,720
1,124
39,966
41,090
135
13.7
1,370
3.4
97
New York City Suburban
3,537
239,728
243,264
3,434
238,164
241,598
-103
-2.9
-1,666
-0.7
Entire State
90,345
8,960,961
9,051,306
93,534
8,969,997
9,063,532
3,190
3.5
12,226
0.1
Percentage of Private Passenger Automobiles Insured Through the Automobile Insurance Plan, by Territory, 2004-2010
Territory
01
Bronx Territory
76
Suffolk County East
95
White Plains
07
Buffalo
03
Bronx Suburban Territory
11
Rochester
94
Mount Vernon and Yonkers
14
Niagara Falls
75
Suffolk County West
97
New York City Suburban
32
Newburgh
65
Ossining
67
Clinton County, etc.
19
Queens
08
Buffalo Semi-Suburban
18
Manhattan
20
Hempstead
21
North Hempstead
64
Middletown
05
Staten Island
2004
(%)
Rank
35.8
1
8.7
6
7.0
7
5.7
10
11.4
3
3.2
20
9.5
5
3.4
19
6.0
9
5.6
11
3.1
23
3.9
17
3.2
22
12.7
2
2.4
27
10.5
4
4.8
14
4.1
15
4.0
16
5.3
12
2005
(%)
Rank
26.9
1
7.2
4
5.2
7
4.1
10
8.2
3
2.7
18
6.8
6
2.8
17
4.3
9
4.3
8
2.3
23
3.0
15
2.6
21
8.2
2
2.0
25
7.0
5
3.2
13
3.0
16
3.2
14
3.7
12
2006
(%)
Rank
18.3
1
5.5
2
3.6
7
2.8
10
5.5
3
2.3
11
4.4
5
2.1
15
2.9
9
3.1
8
1.7
22
2.2
13
1.9
19
5.0
4
1.4
23
4.2
6
1.9
17
1.9
18
2.3
12
2.1
14
2007
(%)
Rank
11.8
1
4.5
2
2.7
4
2.3
8
3.7
3
1.9
11
2.6
5
1.8
12
2.1
10
2.2
9
1.3
19
1.6
14
1.5
15
2.3
7
1.2
21
2.5
6
1.3
17
1.4
16
1.7
13
1.3
18
2008
(%)
Rank
7.0
1
3.7
2
2.3
4
2.2
5
2.8
3
1.8
7
2.0
6
1.6
10
1.6
9
1.7
8
1.1
16
1.2
14
1.3
13
1.4
12
1.0
20
1.5
11
1.0
18
1.0
17
1.2
15
0.9
21
2009
(%)
Rank
4.9
1
3.3
2
2.5
3
2.3
5
2.4
4
1.9
6
1.9
7
1.6
8
1.4
10
1.5
9
1.2
12
1.1
14
1.2
11
1.1
13
1.0
16
1.1
15
0.9
20
0.9
18
1.0
17
0.9
21
2010
(%)
Rank
4.3
1
3.4
2
2.7
3
2.6
4
2.3
5
2.1
6
2.0
7
1.6
8
1.5
9
1.4
10
1.3
11
1.2
12
1.2
13
1.1
14
1.1
15
1.0
16
1.0
17
1.0
18
0.9
19
0.9
20
65
Territory
2004
2005
2006
2007
2008
2009
2010
(%)
Rank
(%)
Rank
(%)
Rank
(%)
Rank
(%)
Rank
(%)
Rank
(%)
Rank
62
Highland, Kingston
3.2
21
2.4
22
1.8
20
1.3
20
1.0
19
0.9
19
0.8
21
55
Queens Suburban
6.3
8
3.8
11
2.0
16
1.1
23
0.8
25
0.7
25
0.8
22
33
Poughkeepsie
2.2
28
1.8
28
1.3
26
1.0
26
0.8
22
0.8
22
0.8
23
42
Buffalo Suburban
2.2
29
1.8
27
1.4
25
1.0
25
0.8
23
0.7
23
0.7
24
12
Syracuse
1.7
37
1.3
36
0.9
35
0.8
29
0.7
28
0.6
29
0.7
25
22
Oyster Bay
3.6
18
2.6
20
1.7
21
1.1
22
0.8
24
0.6
26
0.7
26
46
Putnam County
2.6
25
2.0
24
1.4
24
1.0
24
0.8
27
0.7
24
0.7
27
83
Sullivan County (Balance)
2.1
30
1.6
29
1.1
30
0.8
30
0.6
30
0.6
27
0.6
28
28
Binghamton
2.0
32
1.5
31
1.1
31
0.8
31
0.6
31
0.6
32
0.6
29
84
Allegany County, etc.
1.9
35
1.5
32
1.1
29
0.8
27
0.7
29
0.6
28
0.6
30
24
Rome
1.4
43
1.0
44
0.8
40
0.5
39
0.5
37
0.6
31
0.6
31
36
Glens Falls
1.8
36
1.3
37
0.9
36
0.6
35
0.6
33
0.5
37
0.5
32
43
Niagara Falls Suburban
1.5
40
1.2
38
0.8
38
0.6
36
0.5
35
0.6
33
0.5
33
68
Rockland County
3.0
24
2.0
26
1.2
27
0.7
34
0.6
34
0.5
34
0.5
34
34
Troy
2.1
31
1.5
33
0.9
37
0.6
38
0.4
41
0.4
40
0.4
35
54
Cortland County, etc.
1.7
39
1.3
35
1.0
34
0.7
32
0.6
32
0.5
35
0.4
36
58
Dutchess County (Balance)
1.9
34
1.4
34
1.0
33
0.7
33
0.5
36
0.5
36
0.4
37
37
Oswego
2.4
26
1.6
30
1.0
32
0.8
28
0.8
26
0.6
30
0.4
38
09
Schenectady County
1.4
42
1.0
41
0.7
42
0.5
44
0.3
46
0.3
44
0.4
39
31
Chautauqua County
1.0
51
0.8
49
0.5
47
0.4
48
0.3
47
0.4
42
0.4
40
60
Genesee County
1.0
50
0.7
52
0.5
49
0.4
47
0.3
44
0.4
41
0.4
41
74
Jefferson County
1.3
45
1.0
43
0.7
41
0.5
42
0.4
40
0.4
38
0.4
42
51
Ontario County, etc.
1.5
41
1.0
42
0.7
44
0.5
43
0.4
39
0.4
39
0.4
43
17
Kings County
4.8
13
2.7
19
1.1
28
0.6
37
0.5
38
0.3
43
0.4
44
29
Gloversville
0.9
53
0.6
53
0.4
54
0.3
54
0.2
55
0.2
51
0.3
45
52
Fort Plain, Herkimer
1.2
46
0.8
46
0.6
45
0.4
46
0.3
48
0.2
47
0.3
46
82
Sullivan County Central
1.9
33
1.2
40
0.7
43
0.5
41
0.4
42
0.2
48
0.3
47
47
Orleans County
1.0
52
0.6
54
0.4
52
0.3
55
0.2
53
0.2
49
0.3
48
41
Erie County (Balance)
0.8
54
0.7
51
0.4
51
0.3
51
0.2
50
0.2
50
0.2
49
13
Albany
1.2
47
0.8
47
0.5
50
0.3
49
0.2
52
0.2
52
0.2
50
59
Columbia County, etc.
1.3
44
0.8
45
0.6
46
0.4
45
0.3
45
0.3
45
0.2
51
61
Delaware County, etc.
1.7
38
1.2
39
0.8
39
0.5
40
0.4
43
0.3
46
0.2
52
86
Oneida
0.8
55
0.5
56
0.4
57
0.3
52
0.3
49
0.2
54
0.2
53
35
Amsterdam
0.6
58
0.4
59
0.2
61
0.2
59
0.1
62
0.1
59
0.2
54
49
Niagara County (Balance)
0.7
57
0.5
57
0.4
53
0.3
53
0.2
51
0.2
53
0.2
55
39
Rochester Suburban
0.4
62
0.3
60
0.2
60
0.2
60
0.2
56
0.2
56
0.2
56
81
Monticello-Liberty
1.2
48
0.7
50
0.4
55
0.2
57
0.1
59
0.1
57
0.2
57
15
Utica
0.8
56
0.5
55
0.4
56
0.2
56
0.1
57
0.1
58
0.2
58
66
Territory
2004
2005
2006
2007
2008
2009
2010
(%)
Rank
(%)
Rank
(%)
Rank
(%)
Rank
(%)
Rank
(%)
Rank
(%)
Rank
73
Rensselaer County (Balance)
1.2
49
0.8
48
0.5
48
0.3
50
0.2
54
0.2
55
0.2
59
56
Saratoga County (Balance)
0.6
59
0.4
58
0.2
58
0.2
58
0.1
58
0.1
60
0.1
60
30
Saratoga Springs
0.4
63
0.3
62
0.2
62
0.1
63
0.1
61
0.1
61
0.1
61
44
Broome County (Balance)
0.3
67
0.2
66
0.1
64
0.1
65
0.1
64
0.0
66
0.1
62
16
Saratoga Springs Suburban
0.3
66
0.2
65
0.1
65
0.1
67
0.0
69
0.0
64
0.1
63
48
Monroe County (Balance)
0.5
61
0.2
67
0.1
68
0.0
68
0.0
67
0.0
65
0.1
64
38
Syracuse Suburban
0.3
65
0.2
63
0.2
63
0.1
62
0.1
63
0.0
63
0.0
65
72
Albany County (Balance)
0.4
64
0.2
64
0.1
66
0.1
64
0.0
65
0.0
67
0.0
66
27
Elmira
0.1
69
0.1
69
0.0
69
0.0
69
0.0
70
0.0
68
0.0
67
71
Saratoga County South
0.3
68
0.2
68
0.1
67
0.1
66
0.0
68
0.0
69
0.0
68
25
Auburn
0.5
60
0.3
61
0.2
59
0.1
61
0.1
60
0.1
62
0.0
69
40
Corning
0.1
70
0.1
70
0.0
70
0.0
70
0.0
66
0.0
70
0.0
70
Entire State
4.2
3.0
2.0
1.4
1.1
1.0
1.0
TABLE 21: WORKERS COMPENSATION INSURANCE
TABLE 21-A: WORKERS’ COMPENSATION DIVIDEND CLASSIFICATION PLANS
Approved 2011
Plan Types: A = Flat, B = Sliding Scale/ Loss Ratio, C= Safety Group, D= Retention
Company Name
Plan Type
Approval Date
National Casualty Co.
B
1/13/11
The Travelers Indemnity Co.
A
9/26/11
Employers Compensation Insurance Co.
B
12/9/11
67
TABLE 21-B WORKERS’ COMPENSATION LOSS COST HISTORY
New York Compensation Insurance Rating Board
New York State, 2008-2011
Note: Loss costs apply to all workers’ compensation Insurers; approved loss cost multipliers applied to these loss costs appear in the subsequent table.
A loss cost system went into effect on October 1, 2008. Prior to that, rates were filed by the NYCIRB.
1 2 3 4 5 6 7 8 9 10
Effective
Date
Most
Recent
Policy Year
Indication
One Year
Prior
Policy Year
Indication
Legislative
Changes
Wage &
Claim Cost &
Change in
Loss
Adjustment
Expenses
Filed Effect
on Loss
Costs
Approved
Loss Cost
Change
Change in
3
Assessments
Change in
Total
Policyholder
Costs
Frequency
Trend
Factors
10/08
-7.5%
-9.9%
1
+3.5%
1.000
1.000
-6.4%
-6.4%
-3.5%
-9.7%
10/09
+4.2%
+2.5%
+1.6%
1.000
1.008
+5.8%
+4.5%
+0.7%
+5.2%
10/10
+2.9%
+2.9%
+4.5%
1.000
1.004
+7.7%
+7.7%
+0.0%
+7.7%
10/11
+4.2%
+4.9%
+3.3%
1.033
0.992
+10.4%
+9.1%
+1.8%
+11.0%
1 The NYCIRB’s 2008 filing included 2006 policy year and 2007 accident year experience. Column (2) Shows policy year indication and column and Column (3) shows
accident year indication.
2 Catastrophe provision is included.
3 Filed by the NYCIRB for informational purposes only.
Columns (2) – (7) Reflect the Rating Board’s filed loss cost request, and Column (8) Reflects loss cost changes approved by the Department.
TABLE 21-C: WORKERS COMPENSATION EXPENSE CONSTANTS AND LOSS COST MULTIPLIERS
Approved in 2011
NAIC
Group Name
Company Name
Expense
Loss Cost
Renewal
Code
Constant
Multiplier
Effective Date
18767
Church Mutual Insurance Co
$140
1.3610
04/01/11
38300
Samsung Fire & Marine Insurance Co Ltd
$200
1.2430
08/15/11
38318
Starr Ind & Liability Co
$215
1.3080
12/19/11
12304
Accident Fund
Accident Fund General Insurance Co
$250
1.3500
06/02/11
10166
Accident Fund
Accident Fund Insurance Co of America
$250
1.3000
06/02/11
12305
Accident Fund
Accident Fund National Insurance Co
$250
1.2500
06/02/11
29157
Accident Fund
United Wisconsin Insurance Co
$250
1.3000
06/02/11
22667
Ace Ltd Group
Ace Amer Insurance Co
$200
1.1500
10/01/11
20702
Ace Ltd Group
Ace Fire Underwriters Insurance Co
$200
1.2000
10/01/11
20699
Ace Ltd Group
Ace Property & Casualty Insurance Co
$200
1.3330
10/01/11
18279
Ace Ltd Group
Bankers Standard Insurance Co
$200
1.4670
10/01/11
43575
Ace Ltd Group
Indemnity Insurance Co Of North America
$200
1.0350
10/01/11
22713
Ace Ltd Group
Insurance Co of North America
$200
1.2650
10/01/11
68
NAIC
Group Name
Company Name
Expense
Loss Cost
Renewal
Code
Constant
Multiplier
Effective Date
22748
Ace Ltd Group
Pacific Employers Insurance Co
$200
1.4670
10/01/11
10030
Ace Ltd Group
Westchester Fire Insurance Co
$200
1.1500
10/01/11
19984
American Contractors Insurance Group
ACIG Insurance Co
$0
1.2900
12/01/11
26832
American Financial Group
Great American Alliance Insurance Co
$200
1.1900
12/01/11
26344
American Financial Group
Great American Assurance Co
$200
1.1900
12/01/11
16691
American Financial Group
Great American Insurance Co
$200
1.3200
12/01/11
22136
American Financial Group
Great American Insurance Co of NY
$200
1.3200
12/01/11
29963
American National Fin Group
United Farm Family Insurance Co
$200
1.3650
08/08/11
11150
Arch Insurance Group
Arch Insurance Co
$200
1.2390
01/01/12
20044
Berkshire Hathaway Group
Berkshire Hathaway Homestate Insurance Co
$200
1.5100
09/27/11
38865
Berkshire Hathaway Group
California Insurance Co
$0
1.4100
02/15/11
28258
Berkshire Hathaway Group
Continental Ind Co
$0
1.2800
02/15/11
28665
Cincinnati Financial Group
Cincinnati Casualty Co
$225
1.2850
05/15/11
10677
Cincinnati Financial Group
Cincinnati Insurance Co
$225
1.1570
05/15/11
23280
Cincinnati Financial Group
The Cincinnati Indemnity Co
$225
1.3500
05/15/11
15105
Delphi Financial Group
Safety National Casualty Corp
$0
1.1000
07/26/11
11512
Employers Insurance Group
Employers Compensation Insurance Co
$200
1.2900
01/01/12
26263
Erie Insurance Group
Erie Insurance Co
$210
1.2830
03/01/11
16233
Erie Insurance Group
Erie Insurance Co Of NY
$210
1.0520
03/01/11
35585
Erie Insurance Group
Flagship City Insurance Co
$210
1.0910
03/01/11
13935
Federated Mutual Group
Federated Mutual Insurance Co
$200
1.2340
06/01/11
28304
Federated Mutual Group
Federated Serv Insurance Co
$200
1.1690
06/01/11
33278
Florists Mutual Group
Florists Insurance Co
$200
1.2590
12/01/11
13978
Florists Mutual Group
Florists Mutual Insurance Co
$200
1.3250
12/01/11
42390
Guard Insurance Co Group
Amguard Insurance Co
$200
1.3300
10/01/11
14702
Guard Insurance Co Group
Eastguard Insurance Co
$200
1.2600
10/01/11
31470
Guard Insurance Co Group
Norguard Insurance Co
$200
1.4000
10/01/11
41343
Hannover Group
Gerling Amer Insurance Co
$215
1.3090
09/26/11
23582
Harleysville Group
Harleysville Insurance Co
$200
1.4700
05/01/11
33235
Harleysville Group
Harleysville Insurance Co of NY
$200
1.2400
05/01/11
35696
Harleysville Group
Harleysville Preferred Insurance Co
$200
1.1300
05/01/11
26182
Harleysville Group
Harleysville Worcester Insurance Co
$200
1.3200
05/01/11
24066
Liberty Mutual Group
American Fire & Casualty Co
$200
1.0700
04/01/12
21458
Liberty Mutual Group
Employers Insurance of Wausau
$210
1.4180
02/01/12
33588
Liberty Mutual Group
First Liberty Insurance Corp
$210
1.3780
02/01/12
42404
Liberty Mutual Group
Liberty Insurance Corp
$210
1.2190
02/01/12
23035
Liberty Mutual Group
Liberty Mutual Fire Insurance Co
$210
1.3250
02/01/12
23043
Liberty Mutual Group
Liberty Mutual Insurance Co
$210
1.4570
02/01/12
33600
Liberty Mutual Group
LM Insurance Corp
$210
1.1130
02/01/12
24074
Liberty Mutual Group
Ohio Casualty Insurance Co
$200
1.4800
04/01/12
69
NAIC
Group Name
Company Name
Expense
Loss Cost
Renewal
Code
Constant
Multiplier
Effective Date
24082
Liberty Mutual Group
Ohio Security Insurance Co
$200
1.3300
04/01/12
26069
Liberty Mutual Group
Wausau Business Insurance Co
$210
1.1660
02/01/12
26425
Liberty Mutual Group
Wausau General Insurance Co
$210
1.0600
02/01/12
26042
Liberty Mutual Group
Wausau Underwriters Insurance Co
$210
1.2720
02/01/12
44393
Liberty Mutual Group
West American Insurance Co
$200
1.2000
04/01/12
35408
Lightyear Delos Group
Imperium Insurance Co
$200
1.3100
11/01/11
29939
Main Street Amer Group
Main St Amer Assurance Co
$200
1.1940
02/03/11
14788
Main Street Amer Group
NGM Insurance Co
$200
1.2350
11/14/11
21903
Meadowbrook Insurance Group
Procentury Insurance Co
$200
1.2000
05/09/11
23329
Merchants Mutual Group
Merchants Mutual Insurance Co
$200
1.3160
10/01/11
12901
Merchants Mutual Group
Merchants Preferred Insurance Co
$200
1.1850
10/01/11
20362
Mitsui Sumitomo Insurance Group
Mitsui Sumitomo Insurance Co of America
$225
1.2380
01/01/12
22551
Mitsui Sumitomo Insurance Group
Mitsui Sumitomo Insurance USA Inc
$225
1.3760
01/01/12
11991
Nationwide Corp Group
National Casualty Co
$250
1.3000
01/13/11
28223
Nationwide Corp Group
Nationwide Agribusiness Insurance Co
$266
1.2500
01/01/12
12122
New Jersey Manufacturers Group
New Jersey Manufacturers Insurance Co
$220
1.3260
10/01/11
24147
Old Republic Group
Old Republic Insurance Co
$200
1.2400
03/15/11
27740
QBE Insurance Group
North Pointe Insurance Co
$200
1.4080
05/09/11
39217
QBE Insurance Group
QBE Insurance Corp
$200
1.5500
05/09/11
13056
RLI Insurance Group
RLI Insurance Co
$200
1.0870
08/22/11
28460
Sentry Insurance Group
Sentry Casualty Co
$0
1.0680
12/22/11
38997
Sompo Japan Insurance Group
Sompo Japan Fire & Mar Insurance Co Amer
$200
1.1730
03/17/11
11126
Sompo Japan Insurance Group
Sompo Japan Insurance Co of America
$200
1.2480
03/17/11
18376
Tower Group
Hermitage Insurance Co
$200
1.2150
12/01/11
25984
Utica Group
Graphic Arts Mutual Insurance Co
$200
1.0950
11/14/11
12475
Utica Group
Republic-Franklin Insurance Co
$200
1.1680
11/14/11
25976
Utica Group
Utica Mutual Insurance Co
$200
1.3400
11/14/11
10687
Utica Group
Utica National Assurance Co
$200
1.2540
11/14/11
43478
Utica Group
Utica National Insurance Co Of TX
$200
1.0320
11/14/11
38911
WR Berkley Corp Group
Berkley National Insurance Co
$200
1.3000
04/01/11
29580
WR Berkley Corp Group
Berkley Regional Insurance Co
$200
1.5200
04/01/11
26247
Zurich Insurance Group
American Guar & Liability Insurance
$200
1.2600
04/01/11
40142
Zurich Insurance Group
American Zurich Insurance Co
$200
1.1200
04/01/11
34347
Zurich Insurance Group
Colonial American Casualty & Surety Co
$200
1.2600
04/01/11
39306
Zurich Insurance Group
Fidelity & Deposit Co Of MD
$200
1.2600
04/01/11
16535
Zurich Insurance Group
Zurich American Insurance Co
$200
1.4000
04/01/11
27855
Zurich Insurance Group
Zurich American Insurance Co of IL
$200
1.4350
07/27/11
70
TABLE 22: PCISF CONTRIBUTIONS
1988-2010*
Fund Year
1988
Estimated Quarterly
Contributions (in millions)
$15.0
1989
7.5
1990
5.5
1991
25.0
1992
7.5
1993 – 97
0.0
1998
8.3
1999
4.0
2000
18.8
2001 3.4
2002
21.4
2003
23.5
2004 28.1
2005
31.1
2006 38.0
2007 12.5
2008 0.0
2009 0.0
2010 0.0
2011 0.0
* During 1993, settlement was reached with respect to Alliance of American
Insurers et al. v. Chu et al. The 1993 through 2009 fund year net values and
contribution amounts described above reflect the impact of the settlement.
71
TABLE 23: MOTOR VEHICLE ACCIDENT INDEMNITY FUND
Source of Funds
The Corporation is funded through levies on Insurance companies transacting automobile liability Insurance in the State of New York in accordance with
Section 5207 of the Insurance Law. Other sources of funds include fees collected from self-Insurers by the New York State Department of Motor Vehicles
under Sections 316 and 370-4 of the Vehicle and Traffic Law, investment income and subrogation recoveries.
Year End Reserves
2011
2010
Case Outstanding Reserve Tort & Pip
$23,686,621.49
$23,670,652.44
Incurred But Not Reported
$16,926,404.00
$16,926,404.00
Unallocated Loss Adjustments ULAE
$12,083,149.00
$12,083,149.00
Special Reserve for Allocated Expenses
7,000,000.00
7,000,000.00
TABLE 24: INSURANCE ENTITIES SUPERVISED BY THE DEPARTMENT
Type Of Insurer/Reinsurer/Entity
Accredited Reinsurers*
Advance Premium Co-Operatives
Assessment Co-Operatives
Associations, Pools, And Syndicates
Captive Insurers
Financial Guaranty Insurers
Mortgage Guaranty Insurers
Property Insurance Underwriting Association (FAIR Plan)
Property/Casualty Insurers
Title Insurers (Including One Accredited Reinsurer)
United States Branches
Number of
Regulated Entities
92
17
24
13
49
15
31
1
810
24
10
72
* Lloyd’s of London (Lloyd’s), included as an accredited Reinsurer, is comprised of individual underwriting syndicates, each of which must meet the
requirements for recognition as an accredited Reinsurer. As of December 31, 2011, the Department recognized 80 Lloyd’s syndicates as active accredited
Reinsurers. In addition, the Bureau oversaw the operation of 103 risk retention groups in 2011.
73
HEALTH INSURANCE
TABLE 25: HEALTH INSURANCE: CLASSES OF BUSINESS, ASSETS, LIABILITIES AND PREMIUMS WRITTEN
(Dollar Amount in Thousands)
Type of Insurer Asset Liabilities Premiums Written
CCRC* $ 1,160,982 $ 1,336,457 n/a (see note below)
Article 42 Insurer $20,541,354 $ 12,948,570 $ 28,133,629
Article 43 Corp. $ 6,990,504 $ 3,501,024 $17,531,364
HMO** $ 5,638,657 $ 2,166,952 $12,416,201
Muni-Coop.*** $261,403 $ 126,342 $ 438,864
Total $ 34,592,900 $ 20,079,345 $ 58,520,058
* The numbers above are as of 2010, as the 2011 annual statements for CCRCs are not due until May 1.
Additionally, CCRCs do not have premiums. Residents pay a monthly fee to stay at the Community.
** Atlantis Health Plan (NAIC code 52624) has not yet filed its Annual Statement due April 1
st
.
*** Muni-coops do not file their annual statements on a calendar year basis. (Their statements are due 90 days
after the end of their fiscal year.) Although the amounts for the assets and liabilities could be obtained as of
12/31/11, the premiums written could only be obtained as of 6/30/11. Also, it should be noted that the
amounts for these entities include a Muni-coop which did not file its statement yet. (The numbers for this
Muni-coop were obtained from its 3rd quarter filing.)
Health Insurers That Have:
Organized Universal HealthCare Insurance Company Inc.
Admitted
Merged
Withdrawn
Care Improvement Plus of Texas
GHI HMO Select, Inc. merged with ConnectiCare of New York,
Inc.
NONE
Amended Their Charter Commercial Travelers Mutual Insurance Company
Increased or Decreased Capital Stock (with a Statement
MVP Health Insurance Company Received $8.5 million capital
infusion from its Parent.
Atlantis Health Plan Received $13.5 million in additional capital in
connection with the sale of the HMO.
Commercial Travelers Mutual Insurance Company
of The Extent of Changes:
Changed A Corporate Names:
74
LIFE INSURANCE
TABLE 26: ADMITTED ASSETS
Life Insurance Companies Licensed in New York State
Selected Years, 2000-2010 (dollar amounts in billions)
Admitted Assets
2010
2009
2005
2000
Total
$2,516.4
$2,357.3
$2,187.6
$1,652.4
Percent increase from 2000
52.3%
42.7%
32.4%
-
Type of asset
Bonds $1,085.0 $1,029.8 $999.8 $661.6
Stocks
61.8
57.0
59.7
54.1
Mortgage Loans
172.4
176.6
163.1
141.0
Real Estate
10.8
10.9
12.3
16.1
Policy loans/liens
67.7
65.2
56.9
55.1
Short-term holdings
22.5
32.4
11.7
28.1
Other 1,096.2 985.4 884.1 696.4
Note: Detail may not add to totals due to rounding.
TABLE 27: BALANCE SHEET
Life Insurance Companies Licensed in New York State
Selected Years, 2005-2010 (dollar amounts in billions)
2010 2009 2005
Assets $2,516.4 $2,357.3 $2187.6
Liabilities 2,356.0 2,203.3 1,067.5
Capital & Surplus 160.4 154.0 120.1
75
TABLE 28: TOTAL LIFE INSURANCE IN FORCE
Life Insurance Companies Licensed in New York State
Selected Years, 2000-2010 (dollar amounts in billions)
Class of Business
2010
2009
2005
2000
Total insurance in force
$14,200.0
$14,027.7
$11,684.5
$8,852.3
Percent increase from 2000
60.4%
58.5%
32.0%
-
Ordinary
$7,713.9
$7,546.6
$6,340.3
$4,803.8
Group
6,449.4
6,440.4
5,274.9
3,977.5
Credit
31.1
35.0
63.0
63.9
Industrial 5.6 5.7 6.3 7.1
TABLE 29: SOURCES OF INCOME
Life Insurance Companies Licensed in New York State
Selected Years, 2005-2010 (dollar amounts in millions)
2010 2009 2005
Source of Percent Percent Percent
Amount Amount Amount
Income of Total of Total of Total
Group life
$13,710.6
4.3%
$13,841.9
4.3%
$18,071.4
6.0%
Group annuities 69,918.2 22.1 68,555.9 21.4 68,973.0 22.7
Group A & H
30,012.7
9.5
29,249.6
9.1
24,721.8
8.2
Ordinary life
24,132.1
7.6
41,174.7
12.8
43,212.4
14.2
Individual annuities
51,921.0
16.4
60,537.6
18.9
52,054.9
17.2
Individual A & H
12,522.8
4.0
12,242.5
3.8
5,662.6
1.9
Credit life 216.7 0.1 226.8 0.1 327.5 0.1
Industrial life
Total Premiums
Supplementary contracts
-924.3
$201,510.0
-0.3
41.7
$225,870.8
0.0
58.0
0.0
$213,081.6 63.6% 70.4% 70.3%
916.1 0.3 844.2 0.3 432.1 0.1
Net investment income
78,248.0
24.7
76,721.7
23.9
79,022.3
26.1
Other income 36,131.3 11.4 17,383.8 5.4 10,760.2 3.5
Total
$316,805.2
100.0%
$320,820.5
100.0%
$303,296.2
100.0%
Note: Detail may not add to totals due to rounding.
76
TABLE 30: OPERATING RESULTS
Life Insurance Companies Licensed in New York State
Selected Years, 2005-2010 (dollar amounts in millions)
2010 2009 2005
Total premiums $223,265.5 $225,138.4 $211,347.3
Investment income 78,248.0 76,721.7 79,022.3
Supplementary contracts 916.1 844.2 432.1
Other income 14,375.6 18,116.1 12,494.5
Total income $316,805.2 $320,820.5 $303,296.2
Net gain from operations $18,419.7 $23,720.2 $16,674.9
Net income $13,212.4 $9,503.9 $19,668.7
Note: Detail may not add to totals due to rounding.
TABLE 31: LIFE INSURANCE IN FORCE IN THE STATE OF NEW YORK
Life Insurance Companies Licensed in New York State
Selected Years, 2000-2010 (dollar amounts in billions)
Insurance In Force 2010 2009 2005 2000
Total $1,828.8 $1,813.1 $1,662.9 $1,190.0
Percent increase from 2000 53.7% 52.4% 39.7% -
Class of business
Ordinary $1,234.8 $1,198.2 $1,007.8 $694.8
Group 588.9 609.2 647.6 488.2
Credit 4.6 5.2 7.0 6.2
Industrial 0.5 0.5 0.6 0.8
77
TABLE 32: ADMITTED ASSETS/INSURANCE IN FORCE
Domestic Life Insurance Companies
Selected Years, 2000-2010 (dollar amounts in billions)
Domestic Life Insurers 2010 2009 2005 2000
Admitted assets $1,008.2 $934.3 $815.4 $585.7
Percent increase from 2000 72.1% 59.5% 39.2% -
Insurance in force $6,520.9 $6,593.2 $4,972.6 $3,345.2
Percent increase from 2000 94.9% 97.1% 48.6% -
TABLE 33: FRATERNAL BENEFIT SOCIETIES
Selected Years, 2000-2010 (dollar amounts in billions)
Fraternal Benefit Societies 2010 2009 2005 2000
Admitted assets $90.7 $84.3 $76.0 $55.9
Insurance in force $347.1 $335.8 $296.6 $255.9
TABLE 34: PRIVATE PENSION FUNDS
Regulated by NYS Department of Financial Services
Selected Years, 2000-2010 (in millions)
Private Pension Funds 2010 2009 2005 2000
Fair value of assets
a
$202,258 $184,619 $195,084 $162,044
Payments to annuitants and beneficiaries $22,736 $15,528 $13,922 $10,803
a
Prior to 2007, assets were Total Admitted Assets, when the annual statement was prepared on a statutory basis.
78
TABLE 35: PUBLIC RETIREMENT SYSTEMS AND PENSION FUNDS
Regulated by NYS Department of Financial Services
Selected Years, 2000-2010 (dollar amounts in millions)
Public Retirement Systems & Pension Funds 2010 2009 2005 2000
Fair value of assets* $301,007 $262,859 $304,141 $322,561
Payments to annuitants and beneficiaries $22,076 $21,018 $16,402 $10,964
*Prior to 2007, assets were Total Admitted Assets, when the annual statement was prepared on a statutory basis.
TABLE 36: SEGREGATED GIFT ANNUITY FUNDS
Selected Years, 2000-2010 (dollar amounts in millions)
Segregated Gift Annuity Funds
Total admitted assets
2010
$2,176.7
2009
$2009.7
2005
$1,861.5
2000
$956.0
Annual payments to annuitants $195.5 $196.3 $163.7 $83.9
TABLE 37: COMPANIES REGULATED BY THE DEPARTMENT
December 31, 2011
Life – New York 79
Life – Other States 53
Accredited Reinsurers 35
Fraternals – New York 3
Fraternals – Other States 33
Fraternals – Canadian, U.S. Branch 1
79
Charitable Annuities 312
Retirement Systems 21
Life Settlement Providers 31
Welfare Funds 22
Certified Reinsurers 5
Total 595
80
BANKING STATISTICS
TABLE 38: PRINCIPAL BANKING AND LENDING FACILITIES OF NEW YORK STATE
as of December 31, 2011 (Dollars In Thousands)
Number of Institutions
Assets
New York
State
In NYC Outside NYC
New York
State
In NYC Outside NYC
All Institutions*
779
299
480
2,810,638,205
2,504,427,785
306,210,420
Commercial Banks**
131
60
71
665,213,096
498,296,558
166,916,538
Savings Banks
46
17
29
94,305,580
69,117,894
25,187,686
Savings and Loan Associations
14
2
12
21,451,404
17,117,872
4,333,532
Credit Unions
428
81
347
57,864,456
5,920,239
51,944,217
Safe Deposit Companies
2
-
2
446
-
446
Investment Companies (Article XII)
7
6
1
59,123,985
59,121,004
2,981
Licensed Lenders
19
1
18
57,825,884
864
57,825,020
Foreign Branches
116
116
-
1,730,328,072
1,730,328,072
-
Foreign Agencies
16
16
-
124,525,281
124,525,281
-
State Charter*
258
169
89
2,440,495,419
2,271,121,172
169,374,247
Commercial Banks**
85
47
38
575,592,213
482,136,642
93,455,571
Savings Banks
21
7
14
70,197,187
55,865,710
14,331,477
Savings and Loan Associations
1
-
1
40,794
-
40,794
Credit Unions
20
5
15
6,095,018
2,377,060
3,717,958
Safe Deposit Companies
2
-
2
446
-
446
Investment Companies (Article XII)
7
6
1
59,123,985
59,121,004
2,981
Licensed Lenders
19
1
18
57,825,884
864
57,825,020
Foreign Branches
88
88
-
1,547,522,833
1,547,522,833
-
Foreign Agencies
15
15
-
124,097,058
124,097,058
-
Federal Charter*
521
130
391
370,142,786
233,306,613
136,836,173
Commercial Banks**
46
13
33
89,620,883
16,159,916
73,460,967
Savings Banks
25
10
15
24,108,393
13,252,184
10,856,209
Savings and Loan Associations
13
2
11
21,410,610
17,117,872
4,292,738
Credit Unions
408
76
332
51,769,438
3,543,179
48,226,259
Safe Deposit Companies
-
-
-
-
-
-
81
Investment Companies (Article XII)
-
-
-
-
-
-
Licensed Lenders
-
-
-
-
-
-
Foreign Branches
28
28
-
182,805,239
182,805,239
-
Foreign Agencies
1
1
-
428,223
428,223
-
* Total consolidated assets distributed by headquarters location.
** Banks, trust companies, limited purpose trust companies, and private bankers.
TABLE 39: SUMMARY OF STATE SUPERVISED AND LICENSED INSTITUTIONS
As of December 31, 2011
Type of Institution
Number of
Institutions
Number of
Domestic
Offices
Commercial Banks
48
268
Trust Companies
25
1,207
Limited Purpose Trust Companies
12
13
Private Bankers
1
9
Savings Banks
21
538
Savings and Loan Associations
1
2
Credit Unions
20
52
Safe Deposit Companies
2
2
Investment Companies (Article XII)
7
9
Licensed Lenders
19
121
Foreign Branches
88
102
Foreign Agencies
15
15
Holding Companies - One Bank
31
31
Holding Companies - Multi Bank
9
9
Mutual Holding Companies
1
1
Foreign Representative Offices
36
36
Sales Finance Companies
99
135
Premium Finance Agencies
58
94
Check Cashers
177
668
Money Transmitters
73
344
Budget Planners
47
64
Mortgage Bankers
156
828
82
Mortgage Brokers
910
1,208
Mortgage Loan Servicers
21
30
Common Trust Funds
60
60
NYS Regulated Corporations
3
3
Charitable Foundations
3
3
Total
2,448
5,520
TABLE 40: CONDITION OF COMMERCIAL BANKS
Including Trust Companies, Limited Purpose Trust Companies and Private Bankers
as of December 31, 2011 (Dollars in Thousands)
Assets
Cash and
Due from
Banks
Total
Securities
Federal
Funds Sold
and Repos
Loans and
Leases Net
Premises
and
Equipment
Other
Assets
Total Assets
Commercial Banks
Adirondack Bank
26,474
196,667
1,839
329,367
6,449
19,917
580,713
Alden State Bank
4,489
62,660
414
150,562
1,712
10,126
229,963
Alma Bank
95,217
171,278
3,212
460,692
5,168
9,760
745,327
Alpine Capital Bank
72,686
41,117
-
126,363
1,103
2,045
243,314
Amerasia Bank
13,685
5,591
-
238,520
7,545
2,958
268,299
American Community Bank
5,410
6,466
15,400
121,086
1,260
6,983
156,605
Bank Leumi USA
873,074
711,495
-
3,826,689
16,176
252,949
5,680,383
Bank of Akron
6,304
55,441
-
148,273
4,580
8,809
223,407
Bank of Cattaraugus
1,487
3,832
-
7,533
342
849
14,043
Bank of Holland
4,362
11,192
2,759
52,347
2,789
1,538
74,987
Berkshire Bank Municipal Bank
2,107
34,297
6,968
-
-
107
43,479
BPD Bank
21,980
72,089
21,000
237,735
799
30,932
384,535
Catskill Hudson Bank
18,392
158,194
-
169,859
1,260
3,962
351,667
Cattaraugus County Bank
15,099
52,019
6,375
97,848
5,648
9,385
186,374
CheckSpring Bank
5,638
7,354
41
46,975
825
2,543
63,376
Citizens Bank of Cape Vincent
2,848
16,046
-
28,622
1,092
709
49,317
Country Bank
44,875
101,752
-
306,647
699
14,230
468,203
Emigrant Mercantile Bank
3,638
-
-
-
-
159
3,797
Empire State Bank
8,682
18,756
-
127,706
2,032
4,103
161,279
First American International Bank
47,672
44,311
1,531
393,327
13,911
32,057
532,809
Flushing Commercial Bank
291,899
18,526
344,500
-
23
843
655,791
Genesee Regional Bank
40,071
70,460
750
168,537
919
2,600
283,337
83
Assets
Cash and
Due from
Banks
Total
Securities
Federal
Funds Sold
and Repos
Loans and
Leases Net
Premises
and
Equipment
Other
Assets
Total Assets
Global Bank
10,717
34,483
-
72,342
321
1,312
119,175
Gold Coast Bank
30,119
45,171
933
83,075
1,652
839
161,789
Gotham Bank of New York
44,283
206,004
-
179,243
562
3,156
433,248
Greene County Commercial Bank
1,239
152,141
21
-
-
821
154,222
Hanover Community Bank
7,963
6,918
3,787
38,407
3,442
722
61,239
Interaudi Bank
396,571
419,551
-
436,290
3,733
20,988
1,277,133
New York Commercial Bank
203,271
432,942
2,349
1,581,958
25,940
338,823
2,585,283
NewBank
37,699
635
-
97,196
1,510
4,229
141,269
PathFinder Commercial Bank
11,534
42,006
-
-
-
655
54,195
PCSB Commercial Bank
1,432
26,087
2,080
-
-
95
29,694
Pioneer Commercial Bank
6,632
37,120
2,034
-
-
172
45,958
Provident Municipal Bank
7,200
219,949
239,738
-
-
2,628
469,515
Riverside Bank
16,187
10,808
1,714
151,937
1,013
4,696
186,355
Savoy Bank
5,023
8,544
10,500
53,283
1,067
517
78,934
Shinhan Bank America
62,308
125,998
-
735,834
14,024
20,716
958,880
Signature Bank
135,748
7,002,514
-
7,156,589
26,229
345,041
14,666,121
State Bank of Chittenango
77
148,774
-
-
-
779
149,630
The Berkshire Bank
100,987
412,736
-
299,301
3,284
37,701
854,009
Tioga State Bank
5,347
120,847
-
239,689
5,431
14,025
385,339
United International Bank
27,334
20,876
-
133,988
1,537
8,135
191,870
United Orient Bank
6,051
1,704
1,000
82,087
167
1,732
92,741
USNY Bank
10,286
-
-
96,343
722
2,191
109,542
Victory State Bank
49,839
108,501
-
80,696
2,225
2,403
243,664
Westchester Bank, The
32,628
57,094
210
167,351
1,795
3,220
262,298
Woori America Bank
168,479
71,964
2,000
677,830
5,125
13,981
939,379
WSB Municipal Bank
9,266
27,282
-
-
-
168
36,716
Trust Companies
Amalgamated Bank
569,600
1,287,759
-
2,112,029
42,701
157,966
4,170,055
Banco Popular North America
224,235
1,905,750
-
5,540,576
63,011
871,773
8,605,345
Bank of Millbrook
9,368
56,334
1,369
107,423
3,436
6,629
184,559
Bank of Richmondville
9,724
35,419
1,138
74,204
1,186
1,184
122,855
Bank of Tokyo-Mitsubishi UFJ Trust Company
594,758
195
-
360,675
-
8,031
963,659
Bank of Utica
13,229
798,632
-
52,581
410
13,206
878,058
Chemung Canal Trust Company
52,902
288,515
-
787,651
24,749
59,737
1,213,554
Deutsche Bank Trust Company Americas
22,540,000
5,468,000
149,000
17,456,000
53,000
5,514,000
51,180,000
Fiduciary Trust Company International
589,713
261,289
-
175,115
6,193
101,757
1,134,067
Five Star Bank
54,999
650,815
-
1,463,926
31,024
128,589
2,329,353
Habib American Bank
184,546
26,738
-
466,808
3,728
10,380
692,200
84
Assets
Cash and
Due from
Banks
Total
Securities
Federal
Funds Sold
and Repos
Loans and
Leases Net
Premises
and
Equipment
Other
Assets
Total Assets
Israel Discount Bank of New York
608,497
4,714,269
-
3,758,511
32,785
374,138
9,488,200
Manufacturers and Traders Trust Company
1,492,292
7,766,758
176,850
58,550,292
559,767
8,341,123
76,887,082
Mitsubishi UFJ Trust & Banking Corporation (USA)
248,896
925
-
207
863
19,390
270,281
Mizuho Corporate Bank (USA)
106,372
267,981
-
2,817,813
-
179,128
3,371,294
Mizuho Trust & Banking Co. (USA)
814,180
-
-
-
5,801
14,077
834,058
Orange County Trust Company
12,868
286,772
-
288,019
13,133
32,109
632,901
Solvay Bank
25,475
215,369
130
365,697
5,406
8,366
620,443
State Bank of Long Island
117,586
274,447
-
1,137,809
4,879
67,836
1,602,557
Steuben Trust Company
17,120
133,659
-
218,782
6,561
14,572
390,694
The Adirondack Trust Company
131,949
249,205
-
463,093
23,953
40,863
909,063
The Bank of Castile
17,169
314,245
-
614,577
12,786
17,302
976,079
The Bank of New York Mellon
121,318,000
83,779,000
626,000
26,737,000
1,208,000
22,537,000
256,205,000
Goldman Sachs Bank USA
40,861,000
37,334,000
4,689,000
11,969,000
-
8,937,000
103,790,000
Tompkins Trust Company
21,236
618,357
58,214
788,136
14,329
64,748
1,565,020
Limited Purpose Trust Companies
American Stock Transfer & Trust Company, LLC
3,441
46,910
610,817
661,168
Anthos Trust Company, LLC
76
5,040
19
5,135
Continental Stock Transfer & Trust Company
1,675
1,725
588
2,322
6,310
Genesee Valley Trust Company
4,169
-
55
12,516
16,740
Law Debenture Trust Company of New York
4,390
38
1,093
5,521
Market Street Trust Company
158
3,103
1,907
593
5,761
New York Life Trust Company
1
13,617
2,828
16,446
OFI Trust Company
6,031
2,003
8,034
Bank of Nova Scotia Trust Company of New York
9,922
7,262
271
17,455
The Depository Trust Company
2,881,832
205,302
185,284
116,306
210,824
3,599,548
The Northern Trust Company of New York
208
5,871
2,028
743
8,850
The Warehouse Trust Company LLC
26,518
54
8,364
34,936
Private Bankers
Brown Brothers Harriman & Co.
2,698,863
1,178,719
1,920,510
30,922
306,651
6,135,665
Total
199,261,276
159,761,295
6,558,140
157,628,561
2,490,620
49,927,257
575,627,149
Liabilities And Equity
Total
Deposits
Federal
Funds
Bought and
Sold
Trading
Liabilities
& Other
Borrowed
Money
Subordinat
ed Notes
and
Debenture
s
All Other
Assets
Total
Liabilities
Total
Equity
Capital
Total
Liabilities
and Capital
85
Liabilities And Equity
Total
Deposits
Federal
Funds
Bought and
Sold
Trading
Liabilities
& Other
Borrowed
Money
Subordinat
ed Notes
and
Debenture
s
All Other
Assets
Total
Liabilities
Total
Equity
Capital
Total
Liabilities
and Capital
Commercial Banks
Adirondack Bank
477,221
34,169
20,000
-
4,842
536,232
44,481
580,713
Alden State Bank
196,817
2,600
-
-
258
199,675
30,288
229,963
Alma Bank
638,738
-
6,000
-
5,936
650,674
94,653
745,327
Alpine Capital Bank
203,479
-
500
4,500
1,694
210,173
33,141
243,314
Amerasia Bank
242,553
-
-
-
607
243,160
25,139
268,299
American Community Bank
129,438
-
6,500
-
708
136,646
19,959
156,605
Bank Leumi USA
4,855,432
15,000
87,215
90,000
115,811
5,163,458
516,925
5,680,383
Bank of Akron
188,844
-
7,600
-
3,265
199,709
23,698
223,407
Bank of Cattaraugus
12,668
-
-
-
10
12,678
1,365
14,043
Bank of Holland
64,776
-
3,000
-
370
68,146
6,841
74,987
Berkshire Bank Municipal Bank
29,388
-
-
-
163
29,551
13,928
43,479
BPD Bank
286,093
-
30,000
-
1,766
317,859
66,676
384,535
Catskill Hudson Bank
315,584
-
3,150
1,800
1,341
321,875
29,792
351,667
Cattaraugus County Bank
165,928
-
1,879
-
3,086
170,893
15,481
186,374
CheckSpring Bank
54,658
-
47
-
605
55,310
8,066
63,376
Citizens Bank of Cape Vincent
43,665
-
-
-
297
43,962
5,355
49,317
Country Bank
411,357
19,000
-
-
2,313
432,670
35,533
468,203
Emigrant Mercantile Bank
500
-
-
-
31
531
3,266
3,797
Empire State Bank
139,802
-
6,504
-
694
147,000
14,279
161,279
First American International Bank
452,520
-
15,350
-
5,692
473,562
59,247
532,809
Flushing Commercial Bank
590,987
-
-
-
2,023
593,010
62,781
655,791
Genesee Regional Bank
236,949
7,608
10,000
-
1,063
255,620
27,717
283,337
Global Bank
105,130
-
-
-
305
105,435
13,740
119,175
Gold Coast Bank
143,782
-
-
-
403
144,185
17,604
161,789
Gotham Bank of New York
369,455
30,000
-
-
1,599
401,054
32,194
433,248
Greene County Commercial Bank
126,556
-
10,739
-
655
137,950
16,272
154,222
Hanover Community Bank
54,222
-
2,000
-
825
57,047
4,192
61,239
Interaudi Bank
1,017,576
10,000
141,071
-
5,436
1,174,083
103,050
1,277,133
New York Commercial Bank
1,896,652
-
129,763
-
3,369
2,029,784
555,499
2,585,283
NewBank
122,713
-
-
-
3,227
125,940
15,329
141,269
PathFinder Commercial Bank
46,235
-
52
-
915
47,202
6,993
54,195
PCSB Commercial Bank
21,989
-
-
-
156
22,145
7,549
29,694
Pioneer Commercial Bank
41,214
-
-
-
15
41,229
4,729
45,958
Provident Municipal Bank
401,516
-
-
-
8,912
410,428
59,087
469,515
Riverside Bank
163,813
-
-
-
1,224
165,037
21,318
186,355
Savoy Bank
69,765
-
-
-
1,069
70,834
8,100
78,934
86
Liabilities And Equity
Total
Deposits
Federal
Funds
Bought and
Sold
Trading
Liabilities
& Other
Borrowed
Money
Subordinat
ed Notes
and
Debenture
s
All Other
Assets
Total
Liabilities
Total
Equity
Capital
Total
Liabilities
and Capital
Shinhan Bank America
853,286
-
-
-
8,196
861,482
97,398
958,880
Signature Bank
11,754,636
750,800
675,010
-
77,559
13,258,005
1,408,116
14,666,121
State Bank of Chittenango
118,878
-
-
-
16,143
135,021
14,609
149,630
The Berkshire Bank
659,623
50,000
6,139
-
6,074
721,836
132,173
854,009
Tioga State Bank
303,839
12,679
26,067
-
3,793
346,378
38,961
385,339
United International Bank
160,060
-
9,511
-
2,473
172,044
19,826
191,870
United Orient Bank
77,802
-
4,000
-
574
82,376
10,365
92,741
USNY Bank
96,997
1,500
-
-
361
98,858
10,684
109,542
Victory State Bank
215,711
-
-
-
1,263
216,974
26,690
243,664
Westchester Bank
215,216
-
-
-
1,946
217,162
45,136
262,298
Woori America Bank
822,611
-
-
-
7,919
830,530
108,849
939,379
WSB Municipal Bank
29,075
-
-
-
3,397
32,472
4,244
36,716
Trust Companies
Amalgamated Bank
2,655,347
455,145
749,866
-
37,622
3,897,980
272,075
4,170,055
Banco Popular North America
6,167,740
655,758
38,473
-
112,749
6,974,720
1,630,625
8,605,345
Bank of Millbrook
160,730
-
2,236
162,966
21,593
184,559
Bank of Richmondville
106,895
-
-
-
841
107,736
15,119
122,855
Bank of Tokyo-Mitsubishi UFJ Trust Company
-
-
38,855
-
142,881
181,736
781,923
963,659
Bank of Utica
728,701
-
8,700
-
10,576
747,977
130,081
878,058
Chemung Canal Trust Company
1,000,403
37,107
43,344
-
11,238
1,092,092
121,462
1,213,554
Deutsche Bank Trust Company Americas
34,143,000
6,130,000
455,000
-
1,877,000
42,605,000
8,575,000
51,180,000
Fiduciary Trust Company International
851,661
-
641
-
39,435
891,737
242,330
1,134,067
Five Star Bank
1,941,739
47,898
102,800
-
13,964
2,106,401
222,952
2,329,353
Habib American Bank
613,842
-
5,000
-
4,727
623,569
68,631
692,200
Israel Discount Bank of New York
6,711,772
1,747,599
149,118
75,000
121,298
8,804,787
683,413
9,488,200
Manufacturers and Traders Trust Company
60,064,171
2,132,059
1,927,394
1,871,088
1,162,140
67,156,852
9,730,230
76,887,082
Mitsubishi UFJ Trust & Banking Corporation
(U.S.A.)
53,080 - - - 2,484 55,564 214,717 270,281
Mizuho Corporate Bank (USA)
1,560,347
-
561,044
-
187,238
2,308,629
1,062,665
3,371,294
Mizuho Trust & Banking Co. USA
768,566
-
-
-
14,063
782,629
51,429
834,058
Orange County Trust Company
447,765
-
82,800
-
10,185
540,750
92,151
632,901
Solvay Bank
557,673
-
-
-
3,858
561,531
58,912
620,443
State Bank of Long Island
1,380,703
-
31,000
-
15,882
1,427,585
174,972
1,602,557
Steuben Trust Company
314,441
-
29,250
-
6,028
349,719
40,975
390,694
The Adirondack Trust Company
791,512
4,027
14
-
12,814
808,367
100,696
909,063
The Bank of Castile
834,145
32,839
25,000
-
8,124
900,108
75,971
976,079
87
-
-
Liabilities And Equity
Total
Deposits
Federal
Funds
Bought and
Sold
Trading
Liabilities
& Other
Borrowed
Money
Subordinat
ed Notes
and
Debenture
s
All Other
Assets
Total
Liabilities
Total
Equity
Capital
Total
Liabilities
and Capital
The Bank of New York Mellon
213,640,000
3,176,000
9,160,000
3,505,000
8,465,000
237,946,000
18,259,000
256,205,000
Goldman Sachs Bank USA
44,764,000
15,275,000
16,952,000
-
7,544,000
84,535,000
19,255,000
103,790,000
Tompkins Trust Company
1,153,833
126,755
130,293
-
40,463
1,451,344
113,676
1,565,020
-
Limited Purpose Trust Companies
American Stock Transfer & Trust Company,
LLC
2,000 8,157 10,157 651,011 661,168
Anthos Trust Company, LLC
-
5,135
5,135
Continental Stock Transfer & Trust Company
1,669
1,669
4,641
6,310
Genesee Valley Trust Company
591
591
16,149
16,740
Law Debenture Trust Company of New York
1,484
1,484
4,037
5,521
Market Street Trust Company
652
1,324
1,976
3,785
5,761
New York Life Trust Company
2,870
2,870
13,576
16,446
OFI Trust Company
1,217
1,217
6,817
8,034
Bank of Nova Scotia Trust Company of New
York
1,925 1,925 15,530 17,455
The Depository Trust Company
336,448
2,952,583
3,289,031
310,517
3,599,548
The Northern Trust Company of New York
1,789
1,789
7,061
8,850
The Warehouse Trust Company LLC
15,730
15,730
19,206
34,936
-
Private Bankers
Brown Brothers Harriman & Co.
4,730,459
377,863
614
412,984
5,521,920
613,745
6,135,665
Total 415,768,274 30,753,543 32,409,652 5,548,002 23,559,552 508,039,023 67,588,126 575,627,149
88
TABLE 41: CONDITION OF SAVINGS BANKS & THRIFTS
as of December 31, 2011 (Dollars in Thousands)
Assets
Cash and
Due from
Banks
Total
Securities &
Trading Assets
Federal
Funds Sold
and Repos
Loans and
Leases Net
Premises
and
Equipment
Other
Assets
Total
Assets
Savings Banks
Apple Bank For Savings
454,309
2,480,622
-
4,392,401
25,898
229,015
7,582,245
Elmira Savings Bank
47,456
91,157
740
345,564
5,392
33,088
523,397
Emigrant Bank
715,288
2,577,557
227,526
3,577,151
85,445
782,626
7,965,593
Emigrant Savings Bank-Brooklyn/Queens
17,704
395,199
100,000
270,522
1,400
8,301
793,126
Emigrant Savings Bank-Long Island
14,868
190,363
115,000
222,580
2,250
4,885
549,946
Emigrant Savings Bank-Manhattan
31,851
675,124
180,000
344,930
2,361
11,010
1,245,276
Emigrant Savings Bank-Bronx/Westchester
28,915
513,944
190,000
285,896
8,135
12,145
1,039,035
First Central Savings Bank
130,905
39,134
-
417,206
1,324
17,231
605,800
Fulton Savings Bank
21,156
124,934
-
230,151
1,160
19,822
397,223
New York Community Bank
1,178,194
4,103,759
649,904
28,577,778
224,919
4,734,166
39,468,720
Oneida Savings Bank
22,668
251,515
17,661
286,083
21,327
64,801
664,055
Pathfinder Bank
12,021
99,670
-
300,790
10,697
19,476
442,654
Pioneer Savings Bank
100,202
72,070
2,070
539,502
11,903
42,066
767,813
Putnam County Savings Bank
126,564
334,317
6,080
473,284
3,970
12,200
956,415
Rhinebeck Savings Bank
13,936
118,369
-
383,412
19,200
32,149
567,066
Ridgewood Savings Bank
85,990
2,085,344
-
2,339,742
17,142
275,796
4,804,014
Rondout Savings Bank
16,321
41,102
-
163,892
4,659
9,425
235,399
Sawyer Savings Bank
5,486
61,113
-
115,807
926
5,183
188,515
The North Country Savings Bank
15,909
5,467
-
193,678
6,289
11,059
232,402
Ulster Savings Bank
28,958
47,912
-
570,660
12,245
54,816
714,591
Watertown Savings Bank
42,240
103,545
-
254,250
17,505
36,362
453,902
Savings & Loans
Medina Savings and Loan Association
15,393
129
525
22,812
912
1,023
40,794
Total
3,126,334
14,412,346
1,489,506
44,308,091
485,059
6,416,645
70,237,981
Liabilities And Equity
Total
Deposits
Federal Funds
Bought and
Repos
Other
Borrowed
Money
All Other
Liabilities
Total
Liabilities
Total
Equity
Capital
Total
Liabilities
and Capital
Savings Banks
Apple Bank for Savings
6,688,271
-
43,756
139,857
6,871,884
710,361
7,582,245
Elmira Savings Bank
382,041
28,000
42,019
6,722
458,782
64,615
523,397
Emigrant Bank
6,007,714
588,500
275,953
50,326
6,922,493
1,043,100
7,965,593
89
Liabilities And Equity
Total
Deposits
Federal Funds
Bought and
Repos
Other
Borrowed
Money
All Other
Liabilities
Total
Liabilities
Total
Equity
Capital
Total
Liabilities
and Capital
Emigrant Savings Bank Brooklyn/ Queens
709,688
-
1,260
22,571
733,519
59,607
793,126
Emigrant Savings Bank-Long Island
490,284
-
850
20,201
511,335
38,611
549,946
Emigrant Savings Bank-Manhattan
1,100,675
-
8,150
36,373
1,145,198
100,078
1,245,276
Emigrant Savings Bank-Bronx/Westchester
940,053
-
-
23,376
963,429
75,606
1,039,035
First Central Savings Bank
559,006
-
10,000
2,348
571,354
34,446
605,800
Fulton Savings Bank
235,128
-
78,170
7,721
321,019
76,204
397,223
New York Community Bank
20,709,829
4,125,000
9,198,205
147,733
34,180,767
5,287,953
39,468,720
Oneida Savings Bank
556,479
-
11,199
13,315
580,993
83,062
664,055
PathFinder Bank
368,663
5,000
21,074
6,705
401,442
41,212
442,654
Pioneer Savings Bank
665,760
4,092
8,991
7,763
686,606
81,207
767,813
Putnam County Savings Bank
842,868
-
-
6,414
849,282
107,133
956,415
Rhinebeck Savings Bank
476,796
-
27,500
12,693
516,989
50,077
567,066
Ridgewood Savings Bank
3,951,909
-
175,000
79,059
4,205,968
598,046
4,804,014
Rondout Savings Bank
199,383
-
4,411
3,278
207,072
28,327
235,399
Sawyer Savings Bank
139,004
-
27,500
2,507
169,011
19,504
188,515
North Country Savings Bank
187,106
-
14,865
480
202,451
29,951
232,402
Ulster Savings Bank
624,519
-
-
4,141
628,660
85,931
714,591
Watertown Savings Bank
389,675
-
-
3,200
392,875
61,027
453,902
Savings & Loans
Medina Savings and Loan Association
34,951
-
1,000
1,186
37,137
3,657
40,794
Total
46,259,802
4,750,592
9,949,903
597,969
61,558,266
8,679,715
70,237,981
90
TABLE 42: CONDITION OF CREDIT UNIONS
as of December 31, 2011 (Dollars In Thousands)
Assets
Cash and
Due
from
Banks
Total
Investments
Loans
Held For
Sale
Loans and
Leases Net
Bank
Premises
and
Equipment
NCUSIF
Deposit
Other
Assets
Total Assets
Credit Unions
AmeriCU Credit Union
65,053
2,374
4,252
882,105
24,523
8,510
19,551
1,006,368
Branch 6000 NALC Credit Union
1,081
3,638
-
3,202
8
84
448
8,461
Buffalo Service Credit Union
2,033
20,078
-
17,735
69
331
312
40,558
CFCU Community Credit Union
199,399
179,434
-
402,167
7,723
6,327
5,809
800,858
Directors Choice Credit Union
736
1,375
-
3,881
-
46
4
6,041
Empire Branch 36 National Association of Letter
Carriers Credit Union
52
1,398
- 3,275
12
42
37
4,817
Empire State Credit Union
1,385
3,987
-
2,172
18
68
18
7,647
Encompass Niagara Credit Union
687
3,590
-
5,968
730
88
97
11,161
Erie County Employees Credit Union
1,728
12,441
-
5,598
16
159
137
20,080
Hudson River Community Credit Union
13,634
22,057
-
116,150
6,535
1,377
1,851
161,604
Jamestown Post Office Employees' Credit Union
273
2,931
-
1,655
7
42
28
4,937
Melrose Credit Union
31,305
73,025
-
1,484,679
23,501
11,294
8,240
1,632,044
Montauk Credit Union
3,699
634
-
121,193
2,537
1,081
850
129,993
Municipal Credit Union
327,180
38,403
-
1,191,712
15,704
14,747
69,332
1,657,079
Newspaper Employees Credit Union
446
-
-
501
1
6
-
954
Niagara Falls Penn Central Employees Credit Union
618
1,936
-
2,378
9
49
20
5,011
Norton-Troy Employees Credit Union
490
5,968
-
2,921
-
83
12
9,474
Progressive Credit Union
15,866
3,946
-
539,754
12,798
2,448
3,257
578,068
The Niagara Frontier Federal Employees Credit Union
443
802
-
1,486
6
22
3
2,761
Yonkers Postal Employees Credit Union
209
4,615
-
2,208
14
58
-
7,104
Total
666,317
382,630
4,252
4,790,738
94,213
46,862
110,007
6,095,018
91
Liabilities And Equity
Total
Shares
and
Deposits
Federal
Funds
Bought
and
Repos
Borrowings
Plus
Interest
Payable
Subordinated
Notes and
Debentures
All Other
Liabilities
Total
Liabilities
Total
Equity
Capital
Total Liabilities
and Capital
Credit Unions
AmeriCU Credit Union
911,682
-
-
-
10,570
922,252
84,115
1,006,368
Branch 6000 NALC Credit Union
7,793
-
-
-
6
7,799
662
8,461
Buffalo Service Credit Union
34,440
-
-
-
153
34,594
5,964
40,558
CFCU Community Credit Union
703,566
-
-
-
4,298
707,865
92,993
800,858
Directors Choice Credit Union
5,271
-
-
-
0
5,271
770
6,041
Empire Branch 36 National Association of Letter
Carriers Credit Union
4,099 - - - 1 4,100 717 4,817
Empire State Credit Union
7,209
-
-
-
9
7,218
429
7,647
Encompass Niagara Credit Union
9,433
-
-
-
19
9,452
1,708
11,161
Erie County Employees Credit Union
17,315
-
-
-
95
17,410
2,670
20,080
Hudson River Community Credit Union
138,753
-
-
-
1,390
140,143
21,461
161,604
Jamestown Post Office Employees' Credit Union
4,240
-
-
-
5
4,246
691
4,937
Melrose Credit Union
1,279,983
-
30,000
-
7,176
1,317,159
314,885
1,632,044
Montauk Credit Union
115,922
-
-
-
896
116,818
13,175
129,993
Municipal Credit Union
1,471,494
-
-
-
41,500
1,512,994
144,085
1,657,079
Newspaper Employees Credit Union
634
-
-
-
-
634
320
954
Niagara Falls Penn Central Employees Credit Union
4,424
-
-
-
(22)
4,403
608
5,011
Norton-Troy Employees Credit Union
8,405
-
-
-
22
8,427
1,046
9,474
Progressive Credit Union
300,546
-
40,011
-
14,188
354,745
223,324
578,068
The Niagara Frontier Federal Employees Credit Union
2,258
-
-
-
1
2,259
501
2,761
Yonkers Postal Employees Credit Union
5,897
-
-
-
17
5,915
1,189
7,104
Total
5,033,367
-
70,011
-
80,326
5,183,704
911,315
6,095,018
92
TABLE 4
3: CONDITION OF SAFE DEPOSIT COMPANIES
as of December 31, 2011 (Dollars in Thousands)
Assets
Cash and
Due from
Banks
Total
Securities
Federal
Funds
Sold and
Repos
Loans and
Leases
Net
Customers'
Liability on
Acceptances
Premises
Vault and
Equipment
Investment in
Unconsolidated
Subsidiaries
Other
Assets
Total
Assets
Akron Safe Deposit Company
25
357
64
446
Total
25
357
-
-
-
64
-
-
446
Liabilities And Equity
Key &
Box
Deposits
Unearned
Deferred
Income
Other
Borrowed
Money
Acceptances
Outstanding
Subordinated
Notes and
Debentures
All
Other
Liabilities
Total
Liabilities
Total
Equity
Capital
Total
Liabilities
and
Capital
Akron Safe Deposit Company
-
-
-
-
-
-
-
446
446
Total
-
-
-
-
-
-
-
446
446
93
TABLE 44: CONDITION OF INVESTMENT COMPANIES
as of December 31, 2011 (Dollars in Thousands)
Assets
Cash and
Due
from
Banks
Total
Securities
Federal
Funds
Sold and
Repos
Loans and
Leases
Net
Customers'
Liability on
Acceptances
Premises
and
Equipment
Investment in
Unconsolidated
Subsidiaries
Other
Assets
Total
Assets
American Express Banking Corp
101,568
66,307
-
243,587
7,079
59,760
478,301
Community Building Fund, LLC
1,662
1,283
36
2,981
Fiduciary Investment Corporation
95,846
600
115
15,234
111,795
French American Banking Corp
54,828
340
101,091
252
156,511
GE Capital International Financing Corp
5,136,091
1,889,790
11,781
38,468,586
232,540
2,839,836
9,674,258
58,252,882
Sterling Banking Corp
1,349
1,349
Western Union Financial Holdings, L.L.C.
81,416
10,679
512
3,922
23,637
120,166
Total
5,471,411
1,967,376
11,781
38,713,968
-
243,996
2,940,927
9,774,526
59,123,985
Liabilities And Equity
Total
Deposits
Federal
Funds
Bought
and Repos
Other
Borrowed
Money
Due To
Affiliates
Subordinated
Notes and
Debentures
All
Other
Liabilities
Total
Liabilities
Total
Equity
Capital
Total
Liabilities
and
Capital
American Express Banking Corp
102,215
97,196
122,013
321,424
156,877
478,301
Community Building Fund, LLC
40
40
2,941
2,981
Fiduciary Investment Corp
138
12,258
12,396
99,399
111,795
French American Banking Corp
40,409
40,409
116,102
156,511
GE Capital International Financing Corp
14,833,664
57,966
17,975,001
692,233
2,067,074
35,625,938
22,626,944
58,252,882
Sterling Banking Corp
9
9
1,340
1,349
Western Union Financial Holdings, L.L.C.
17,487
18,619
36,106
84,060
120,166
Total
14,953,366
57,966
18,072,335
-
692,233
2,260,422
36,036,322
23,087,663
59,123,985
94
TABLE 45: CONDITION OF LICENSED LENDERS
as of December 31, 2011 (Dollars In Thousands)
Assets
Loans and
Leases Net
Cash and
Due From
Banks
Furniture,
Fixtures &
Equipment
Other
Assets
Total
Assets
Applicable
to NY
Business
Total
Assets Not
Applicable
to NY
Business
Total
Assets
Licensed Lenders
AmeriCredit Consumer Loan Company, Inc.
1,416
86
129
197
1,828
134,031
135,860
AmeriCredit Financial Services, Inc.
-
-
-
-
-
51
51
Beneficial New York Inc.
61,275
50
-
21,322
82,647
691
83,338
Capital Financial Services, Inc.
2,157
50
-
3,846
6,053
22,329
28,381
Car Financial Capital LLC
-
-
-
-
-
4,573
4,573
CitiFinancial, Inc.
27,234
300
160
19,458
47,152
-
47,152
FirstAgain LLC
1,427
87
5
1
1,520
27,618
29,138
Household Finance Corporation III
95,383
50
-
1,197
96,630
5,187,052
5,283,681
JCB International Credit Card Co., Ltd.
653
3,791
65
4,905
9,414
38,645
48,059
Mercedes-Benz Financial Services USA LLC
-
-
-
-
-
29,764,382
29,764,382
New City Funding Corporation
18,101
571
503
22
19,196
2,186
21,382
Omni Financial of New York, Inc.
-
133
0
10
143
-
143
OneMain Financial, Inc. 66,863 14,991 6 1,551 83,411 2,658,915 2,742,326
Retail Charge Financial Services Corp.
209
55
-
489
753
-
753
Santander Consumer USA Inc.
425,231
39,193
380
23,209
488,013
18,959,411
19,447,425
Springleaf Financial Services of New York 44,326 1,854 329 199 46,708 - 46,708
Stones Funding LLC
656
200
-
8
864
-
864
Sunrise Capital Management, Inc.
91
683
1
113
888
-
888
TMG Financial Services, Inc.
3,046
18
1
360
3,426
137,354
140,780
-
-
Total
748,068
62,111
1,580
76,887
888,646
56,937,238
57,825,884
95
Liabilities And Equity
Other
Borrowed
Money
All
Other
Liabilities
Total
Liabilities
Valuation
Reserves
Capital
Stock
Surplus
Total
Liabilities
and Capital
Licensed Lenders
AmeriCredit Consumer Loan Company, Inc.
96,022
6,547
102,570
33,290
135,860
AmeriCredit Financial Services, Inc.
32
7
39
-
13
51
Beneficial New York Inc.
-
10
10
-
83,328
83,338
Capital Financial Services, Inc.
-
128
128
-
28,253
28,381
Car Financial Capital LLC
917
847
1,764
-
2,809
4,573
CitiFinancial, Inc.
25,605
(861)
24,744
-
22,408
47,152
FirstAgain LLC
28,238
49
28,287
-
851
29,138
Household Financial Corporation III
-
5,029,565
5,029,565
-
254,116
5,283,681
JCB International Credit Card Co., Ltd.
17,800
18,761
36,561
-
11,498
48,059
Mercedes-Benz Financial Services USA LLC
26,323,163
2,576,561
28,899,724
-
864,658
29,764,382
New City Funding Corporation
13,725
2,863
16,588
-
4,794
21,382
Omni Financial of New York, Inc.
37
-
37
-
106
143
OneMain Financial, Inc.
2,287,860
230,311
2,518,171
-
224,154
2,742,326
Retail Charge Financial Services Corp.
-
2
2
-
751
753
Santander Consumer USA Inc.
14,991,326
2,219,415
17,210,741
-
2,236,684
19,447,425
Springleaf Financial Services of New York
37,783
1,641
39,424
-
7,283
46,708
Stones Funding LLC
370
-
370
-
494
864
Sunrise Capital Management, Inc.
670
-
670
-
218
888
TMG Financial Services, Inc.
126,388
4,060
130,448
-
10,332
140,780
-
Total
43,949,936
10,089,907
54,039,844
-
3,786,041
57,825,884
96
TABLE 46: ALL SUPERVISED BANKING INSTITUTIONS AND LICENSED LENDERS
As of December 31, 2011
Name Street Address City/State/Zip
Domestic
Offices
Charter Date
Commercial Banks
Adirondack Bank
185 Genesee Street
Utica, NY 13501
18
December 30, 2003
Alden State Bank
13216 Broadway
Alden, NY 14004
2
September 30, 1916
Alma Bank
28-31 31st Street
Astoria, NY 11102
10
September 12, 2007
Alpine Capital Bank
680 Fifth Avenue
New York, NY 10019
1
February 29, 2000
Amerasia Bank
41-04/41-06 Main Street
Flushing, NY 11355
2
February 16, 1988
American Community Bank
300 Glen Street
Glen Cove, NY 11542
3
October 20, 1999
Bank Leumi USA
579 Fifth Avenue
New York, NY 10017
14
July 15, 1968
Bank of Akron
46 Main Street
Akron, NY 14001
6
December 31, 1919
Bank of Cattaraugus
24 Main Street
Cattaraugus, NY 14719
1
March 30, 1892
Bank of Holland
12 South Main Street
Holland, NY 14080
2
October 21, 1893
Berkshire Bank Municipal Bank
41 State Street
Albany, NY 12207
1
August 29, 2005
BPD Bank
90 Broad Street
New York, NY 10004
1
January 24, 1986
Catskill Hudson Bank
4438 Route 42 North
Thompson, NY 12701
12
July 27, 1993
Cattaraugus County Bank
116-120 Main Street
Little Valley, NY 14755
9
January 2, 1902
CheckSpring Bank
69 East 167th Street
Bronx, NY 10452
1
October 25, 2007
Citizens Bank of Cape Vincent
154 Broadway
Cape Vincent, NY 13618
3
September 11, 1919
Country Bank
200 East 42nd Street
New York, NY 10017
6
April 20, 1988
Emigrant Mercantile Bank
6 East 43rd Street
New York, NY 10017
1
July 9, 2004
Empire State Bank
68 North Plank Road
Newburgh, NY 12550
3
March 9, 2009
First American International Bank
5503 8th Avenue
Brooklyn, NY 11220
9
October 15, 1999
Flushing Commercial Bank
661 Hillside Avenue
New Hyde Park, NY 11040
3
May 1, 2007
Genesee Regional Bank
3380 Monroe Avenue
Pittsford, NY 14618
4
August 8, 1985
Global Bank
30 East Broadway
New York, NY 10002
1
February 28, 2007
Gold Coast Bank
2929 Expressway Drive North
Islandia, NY 11749
3
February 28, 2008
Gotham Bank of New York
1412 Broadway
New York, NY 10018
1
November 17, 1980
Greene County Commercial Bank
425 Main Street
Catskill, NY 12414
1
May 20, 2004
Hanover Community Bank
2131 Jericho Turnpike
Garden City Park, NY 11040
1
November 4, 2008
Interaudi Bank
19 East 54th Street
New York, NY 10022
2
June 6, 1983
New York Commercial Bank
One Suffolk Square
Islandia, NY 11749
38
November 13, 1989
NewBank
146-01 Northern Boulevard
Flushing, NY 11354
3
August 17, 2006
PathFinder Commercial Bank
214 West First Street
Oswego, NY 13126
1
October 23, 2002
97
Name Street Address City/State/Zip
Domestic
Offices
Charter Date
PCSB Commercial Bank
Route 6 & Drewville Road
Brewster, NY 10509
1
December 20, 2001
Pioneer Commercial Bank
21 Second Street
Troy, NY 12180
1
November 15, 2004
Provident Municipal Bank
400 Rella Boulevard
Montebello, NY 10927
2
April 18, 2002
Riverside Bank
11-13 Garden Street
Poughkeepsie, NY 12602
4
February 12, 1988
Savoy Bank
1675 Broadway
New York, NY 10019
1
January 15, 2008
Shinhan Bank America
330 Fifth Avenue
New York, NY 10001
15
October 10, 1990
Signature Bank
565 Fifth Avenue
New York, NY 10017
25
April 5, 2001
State Bank of Chittenango
519 Genesee Street
Chittenango, NY 13037
1
February 23, 1923
The Berkshire Bank
4 East 39th Street
New York, NY 10016
11
May 4, 1989
Tioga State Bank
Main & Tioga Streets
Spencer, NY 14883
11
March 22, 1884
United International Bank
41-60 Main Street
Flushing, NY 11355
1
December 22, 2005
United Orient Bank
10 Chatham Square
New York, NY 10038
3
May 7, 1980
USNY Bank
389 Hamilton Street
Geneva, NY 14456
2
July 27, 2007
Victory State Bank
4142 Hylan Boulevard
Staten Island, NY 10308
5
November 13, 1997
Westchester Bank, The
2001 Central Park Avenue
Yonkers, NY 10710
2
June 11, 2008
Woori America Bank
1250 Broadway
New York, NY 10001
19
January 20, 1984
WSB Municipal Bank
111 Clinton Street
Watertown, NY 13601
1
June 30, 2003
268
Trust Companies
Amalgamated Bank
275 Seventh Avenue
New York, NY 10001
24
March 16, 1923
Banco Popular North America
11 West 51st Street
New York, NY 10019
122
January 1, 1999
Bank of Millbrook
Franklin Avenue
Millbrook, NY 12545
4
March 14, 1891
Bank of Richmondville
5 East Main Street
Richmondville, NY 12149
3
December 8, 1893
Bank of Tokyo - Mitsubishi UFJ Trust Company
1251 Avenue of the Americas
New York, NY 10020
3
September 15, 1955
Bank of Utica
220-222 Genesee Street
Utica, NY 13502
1
September 30, 1958
Chemung Canal Trust Company
One Chemung Canal Plaza
Elmira, NY 14901
28
July 10, 1902
Deutsche Bank Trust Company Americas
60 Wall Street
New York, NY 10005
3
March 24, 1903
Fiduciary Trust Company International
600 Fifth Avenue
New York, NY 10020
1
November 17, 1930
Five Star Bank
55 North Main Street
Warsaw, NY 14569
48
February 14, 1902
Habib American Bank
99 Madison Avenue
New York, NY 10016
7
November 7, 1983
Israel Discount Bank of New York
511 Fifth Avenue
New York, NY 10017
12
July 17, 1922
Manufacturers and Traders Trust Company
One M & T Plaza
Buffalo, NY 14240
853
June 27, 1893
Mitsubishi UFJ Trust & Banking Corporation (U.S.A.)
420 Fifth Avenue
New York, NY 10018
1
March 24, 1986
Mizuho Corporate Bank (USA)
1251 Avenue of the Americas
New York, NY 10020
2
November 29, 1974
98
Name Street Address City/State/Zip
Domestic
Offices
Charter Date
Mizuho Trust & Banking Co. (USA)
135 West 50th Street
New York, NY 10020
1
October 22, 1987
Orange County Trust Company
212 Dolson Avenue
Middletown, NY 10940
9
May 3, 1892
Solvay Bank
1537 Milton Avenue
Solvay, NY 13209
8
March 20, 1917
State Bank of Long Island
699 Hillside Avenue
New Hyde Park, NY 11040
15
November 1, 1966
Steuben Trust Company
One Steuben Square
Hornell, NY 14843
14
December 31, 1919
Adirondack Trust Company
473 Broadway
Saratoga Springs, NY 12866
11
September 19, 1901
Bank of Castile
50 North Main Street
Castile, NY 14427
17
August 2, 1917
Bank of New York Mellon
One Wall Street
New York, NY 10005
5
February 16, 1871
Goldman Sachs Bank USA
200 West Street
New York, NY 10004
2
August 20, 1990
Tompkins Trust Company
110 North Tioga Street
Ithaca, NY 14850
13
September 18, 1891
1,207
Limited Purpose Trust Companies
American Stock Transfer & Trust Company, LLC
59 Maiden Lane
New York, NY 10038
1
December 31, 1987
Anthos Trust Company, LLC
277 Park Avenue
New York, NY 10172
1
September 9, 2008
Continental Stock Transfer & Trust Company
17 Battery Place
New York, NY 10004
1
May 1, 1974
Genesee Valley Trust Company
1221 Pittsford Victor Road
Pittsford, NY 14534
1
March 30, 1994
Law Debenture Trust Company of New York
400 Madison Avenue
New York, NY 10017
1
May 8, 2002
Market Street Trust Company
80 East Market Street
Corning, NY 14830
1
November 17, 1987
New York Life Trust Company
51 Madison Avenue
New York, NY 10010
2
March 9, 1995
OFI Trust Company
2 World Financial Center
New York, NY 10281
1
April 14, 1988
The Bank of Nova Scotia Trust Company of New York
One Liberty Plaza
New York, NY 10006
1
June 22, 1959
The Depository Trust Company
55 Water Street
New York, NY 10041
1
May 11, 1973
The Northern Trust Company of New York
65 East 55th Street
New York, NY 10022
1
June 29, 1989
The Warehouse Trust Company LLC
55 Water Street
New York, NY 10041
1
March 1, 2010
13
Private Bankers
Brown Brothers Harriman & Co.
140 Broadway
New York, NY 10005
9
June 15, 1934
9
Savings Banks
Apple Bank For Savings
1395 Northern Boulevard
Manhasset, NY 11030
55
April 17, 1863
Elmira Savings Bank 333 East Water Street Elmira, NY 14901 12 December 31, 2011
Emigrant Bank
5 East 42nd Street
New York, NY 10017
2
April 10, 1850
99
Name Street Address City/State/Zip
Domestic
Offices
Charter Date
Emigrant Savings Bank - Brooklyn/Queens
1954 Flatbush Avenue
Brooklyn, NY 11234
6
September 1, 2005
Emigrant Savings Bank - Long Island
1000 Merchants Concourse
Westbury, NY 11590
7
September 1, 2005
Emigrant Savings Bank - Manhattan
261 Broadway
New York, NY 10007
11
September 1, 2005
Emigrant Savings Bank-Bronx/Westchester
2526 Grand Concourse
Bronx, NY 10458
9
September 1, 2005
First Central Savings Bank
70 Glen Street
Glen Cove, NY 11542
9
March 31, 1999
Fulton Savings Bank
75 South First Street
Fulton, NY 13069
8
January 1, 1871
New York Community Bank
136-65 Roosevelt Avenue
Flushing, NY 11354
269
April 14, 1859
Oneida Savings Bank
182 Main Street
Oneida, NY 13421
12
February 19, 1866
PathFinder Bank
214 West First Street
Oswego, NY 13126
8
March 4, 1859
Pioneer Savings Bank
21 Second Street
Troy, NY 12180
16
July 1, 1972
Putnam County Savings Bank
Route 6 & Drewville Road
Brewster, NY 10509
9
July 1, 1972
Rhinebeck Savings Bank
6414 Montgomery Street
Rhinebeck, NY 12572
11
April 12, 1860
Ridgewood Savings Bank
71-02 Forest Avenue
Ridgewood, NY 11385
57
May 18, 1921
Rondout Savings Bank
300 Broadway
Kingston, NY 12401
4
January 1, 1868
Sawyer Savings Bank
87 Market Street
Saugerties, NY 12477
3
July 1, 1972
The North Country Savings Bank
127 Main Street
Canton, NY 13617
5
March 9, 1909
Ulster Savings Bank
280 Wall Street
Kingston, NY 12401
14
April 12, 1851
Watertown Savings Bank
111 Clinton Street
Watertown, NY 13601
11
October 2, 1893
538
Savings & Loans
Medina Savings and Loan Association
11182 Maple Ridge Road
Medina, NY 14103
2
March 20, 1888
2
Credit Unions
AmeriCU Credit Union
1916 Black River Boulevard
Rome, NY 13440
11
May 1, 2000
Branch 6000 NALC Credit Union
630 Broadway
Amityville, NY 11701
1
October 10, 1973
Buffalo Service Credit Union
130 South Elmwood Avenue
Buffalo, NY 14202
4
February 27, 1933
CFCU Community Credit Union
1030 Craft Road
Ithaca, NY 14850
8
December 1, 1997
Directors Choice Credit Union
426 New Karner Road
Albany, NY 12205
1
January 5, 2000
Empire Branch 36 National Association of Letter Carriers
Credit Union
347 West 41st Street New York, NY 10036 1 February 3, 1939
Empire State Credit Union
45 Kennedy Drive
Spring Valley, NY 10977
1
August 30, 1920
Encompass Niagara Credit Union
2525 Military Road
Niagara Falls, NY 14304
1
May 3, 1934
Erie County Employees Credit Union
95 Franklin Street
Buffalo, NY 14202
1
March 13, 1940
100
Name Street Address City/State/Zip
Domestic
Offices
Charter Date
Hudson River Community Credit Union
312 Palmer Avenue
Corinth, NY 12822
1
March 23, 1998
Jamestown Post Office Employees' Credit Union
300 East Third Street
Jamestown, NY 14701
1
November 30, 1928
Melrose Credit Union
139-30 Queens Boulevard
Briarwood, NY 11435
1
May 27, 1922
Montauk Credit Union
111 West 26th Street
New York, NY 10001
2
March 20, 1922
Municipal Credit Union
22 Cortlandt Street
New York, NY 10007
11
November 15, 1916
Newspaper Employees Credit Union
645 Albany Shaker Road
Albany, NY 12211
1
May 31, 1933
Niagara Falls Penn Central Employees Credit Union
8612 Buffalo Avenue
Niagara Falls, NY 14304
1
January 12, 1939
Norton-Troy Employees Credit Union
10th Avenue & 25th St
Watervliet, NY 12189
1
March 3, 1939
Progressive Credit Union
370 Seventh Avenue
New York, NY 10001
2
July 15, 1918
The Niagara Frontier Federal Employees Credit Union
615 Main Street
Niagara Falls, NY 14302
1
February 5, 1931
Yonkers Postal Employees Credit Union
75 Main Street
Yonkers, NY 10702
1
March 26, 1934
52
Safe Deposit Companies
Akron Safe Deposit Company
46 Main Street
Akron, NY 14001
1
October 24, 1926
Investment Companies (Article XII)
American Express Banking Corp
American Express Tower
New York, NY 10285
1
April 1, 1998
Community Building Fund, LLC
2100 Middle Country Road
Centereach, NY 11720
1
October 31, 2005
Fiduciary Investment Corporation
600 Fifth Avenue
New York, NY 10020
1
February 27, 1970
French American Banking Corporation
787 Seventh Avenue
New York, NY 10019
3
May 21, 1919
GE Capital International Financing Corporation
335 Madison Avenue
New York, NY 10017
1
November 13, 2000
Sterling Banking Corporation
650 Fifth Avenue
New York, NY 10019
1
August 30, 1951
Western Union Financial Holdings, L.L.C.
199 Water Street
New York, NY 10038
1
November 2, 2005
9
Licensed Lenders
AmeriCredit Consumer Loan Company, Inc.
4001 Embarcadero Drive
Arlington, TX 76014
1
July 5, 2006
AmeriCredit Financial Services, Inc.
4001 Embarcadero Drive
Arlington, TX 76014
1
July 8, 2002
Beneficial New York Inc.
26525 North Riverwoods
Mettawa, IL 60045
1
July 31, 2005
Capital Financial Services, Inc.
961 Weigel Drive
Elmhurst, IL 60126
1
June 28, 2005
Car Financial Capital LLC U/A/N CarFinance.com
620 Newport Center Drive
Newport Beach, CA 92660
1
November 30, 2011
CitiFinancial, Inc.
300 St. Paul Place
Baltimore, MD 21202
47
November 10, 1988
FirstAgain LLC
350 Tenth Avenue
San Diego, CA 92101
1
January 5, 2006
Household Financial Corporation III
26525 North Riverwoods
Mettawa, IL 60045
1
December 31, 1984
101
Name Street Address City/State/Zip
Domestic
Offices
Charter Date
JCB International Credit Card Co., Ltd.
700 South Flower Street
Los Angeles, CA 90017
1
December 17, 2002
Mercedes-Benz Financial Services USA LLC
36455 Corporate Drive
Farmington Hills, MI 48331
1
September 25, 2007
New City Funding Corporation
146 South Liberty Drive
Stony Point, NY 10980
1
June 14, 2006
Omni Financial of New York, Inc.
26000 US Rt. 11
Evans Mills, NY 13637
1
August 2, 2007
OneMain Financial, Inc. 300 St. Paul Place Baltimore, MD 21202 42 June 23, 2011
Retail Charge Financial Services Corp.
2650 Merrick Road
Bellmore, NY 11710
1
April 18, 1995
Santander Consumer USA Inc. dba Santander Auto Financial,
dba Roadloans
8585 N. Stemmons Freeway N. Dallas, TX 75247 1 April 28, 2010
Springleaf Financial Services of New York, Inc.
601 N.W. Second Street
Evansville, IN 47701
16
April 4, 1962
Stones Funding LLC
2463 Broadway
New York, NY 10025
1
November 21, 2007
Sunrise Capital Management, Inc.
260 Airport Plaza
Farmingdale, NY 11735
1
June 27, 2007
TMG Financial Services, Inc.
1500 NW 118th Street
Des Moines, IA 50325
1
November 5, 2008
121
Foreign Branches
Allied Irish Banks, p.l.c.
1166 Avenue of the Americas
New York, NY 10036
1
December 12, 1977
Banca Monte dei Paschi di Siena S.p.A.
55 East 59th Street
New York, NY 10022
1
February 4, 1983
Banco Bilbao Vizcaya Argentaria, S.A.
1345 Avenue of the Americas
New York, NY 10105
1
October 1, 1988
Banco de La Nacion Argentina
225 Park Avenue
New York, NY 10169
1
August 21, 1973
Banco Del Estado de Chile
400 Park Avenue
New York, NY 10022
1
July 25, 2005
Banco do Brasil, S.A.
535 Madison Avenue
New York, NY 10022
1
March 25, 1969
Banco Espanol de Credito, S.A.
730 Fifth Avenue
New York, NY 10019
1
February 22, 1984
Banco Espirito Santo de Investimento, S.A
340 Madison Avenue
New York, NY 10173
1
January 29, 2009
Banco Espirito Santo, S.A.
320 Park Avenue
New York, NY 10022
1
May 6, 1988
Banco Popular de Puerto Rico
120 Broadway
New York, NY 10271
2
January 1, 1999
Banco Santander, S.A.
45 East 53rd Street
New York, NY 10022
1
April 12, 1977
Bank Hapoalim B.M.
1177 Avenue of the Americas
New York, NY 10036
2
November 19, 1974
Bank Hapoalim B.M. Plaza Branch
1177 Avenue of the Americas
New York, NY 10036
2
November 19, 1974
Bank of Baroda
One Park Avenue
New York, NY 10016
1
December 4, 1978
Bank of India
277 Park Avenue
New York, NY 10172
1
December 1, 1978
Bank of Montreal
3 Times Square
New York, NY 10036
1
September 1, 1911
Bank of Scotland plc 1095 Avenue of the Americas New York, NY 10036 1 September 20, 2011
Bank of Taiwan 100 Wall Street New York, NY 10005 1 May 3, 1990
Barclays Bank PLC
745 Seventh Avenue
New York, NY 10019
2
September 1, 1911
BNP Paribas
787 7th Avenue
New York, NY 10019
1
November 3, 1976
102
Name Street Address City/State/Zip
Domestic
Offices
Charter Date
Caixa Geral de Depositos, S.A.
733 Third Avenue,
New York, NY 10017
1
May 7, 1999
Chang Hwa Commercial Bank, Ltd.
685 Third Avenue
New York, NY 10017
1
August 4, 1989
China Construction Bank Corporation
1095 Avenue of the Americas
New York, NY 10036
1
February 18, 2009
China Merchants Bank Co., Ltd
535 Madison Avenue
New York, NY 10022
1
July 14, 2008
Chinatrust Commercial Bank, Ltd.
366 Madison Avenue
New York, NY 10017
1
December 25, 1998
Commerzbank Aktiengesellschaft
Two World Financial Center
New York, NY 10281
1
August 20, 1971
Cooperatieve Centrale Raiffeisen-Boeren Leenbank B.A.,
Rabobank Nederland
245 Park Avenue New York, NY 10167 1 December 19, 1995
Credit Agricole Corporate and Investment Bank
1301 Avenue of the Americas
New York, NY 10019
1
December 5, 1979
Credit Industriel et Commercial
520 Madison Avenue
New York, NY 10022
1
December 10, 1991
Credit Suisse AG
11 Madison Avenue
New York, NY 10010
1
April 8, 1940
Depfa Bank plc
622 Third Avenue
New York, NY 10017
1
June 26, 2003
Deutsche Bank AG
60 Wall Street
New York, NY 10005
4
July 15, 1978
Dexia Credit Local S.A.
445 Park Avenue
New York, NY 10022
1
November 5, 1990
DnB NOR Bank ASA
200 Park Avenue
New York, NY 10022
1
January 19, 2004
DZ Bank AG Deutsche Zentral-Genossenschaftsbank
609 Fifth Avenue
New York, NY 10017
1
November 22, 1976
Eurohypo Aktiengesellschaft
1114 Avenue of the Americas
New York, NY 10036
1
December 17, 2002
First Commercial Bank, Ltd.
750 Third Avenue
New York, NY 10017
1
October 5, 1989
Fortis Bank S.A./N.V.
787 Seventh Avenue
New York, NY 10019
1
November 15, 2002
Habib Bank Limited
60 East 42nd Street
New York, NY 10165
1
February 19, 1971
HSH Nordbank AG
230 Park Avenue
New York, NY 10169
1
September 24, 2002
Industrial and Commercial Bank of China Limited
725 Fifth Avenue
New York, NY 10022
1
September 16, 2008
Industrial Bank of Korea
1250 Broadway
New York, NY 10001
1
November 1, 1990
Intesa Sanpaolo S.p.A.
1 William Street
New York, NY 10004
3
April 19, 2000
Itau Unibanco S.A.
767 5th Avenue
New York, NY 10153
1
October 2, 1979
KBC Bank N.V.
1177 Avenue of the Americas
New York, NY 10036
1
June 4, 1998
Kookmin Bank
565 Fifth Avenue
New York, NY 10017
2
January 4, 1999
Land Bank of Taiwan Co., Ltd
100 Wall Street
New York, NY 10005
1
November 23, 2010
Landesbank Baden - Wurttemberg
280 Park Avenue
New York, NY 10017
1
December 1, 1998
Landesbank Hessen - Thuringen Girozentrale
420 Fifth Avenue
New York, NY 10018
1
January 2, 1981
Lloyds TSB Bank plc
1095 Avenue of the Americas
New York, NY 10036
1
October 1, 1971
Malayan Banking Berhad
400 Park Avenue
New York, NY 10022
1
March 28, 1984
Mashreq Bank psc
50 Broadway
New York, NY 10004
1
January 24, 1989
Mega International Commercial Bank Co., Ltd.
59-65 Liberty Street
New York, NY 10005
1
April 2, 1936
Mitsubishi UFJ Trust and Banking Corporation
520 Madison Avenue
New York, NY 10022
1
December 11, 1973
103
Name Street Address City/State/Zip
Domestic
Offices
Charter Date
Mizuho Corporate Bank, Ltd.
1251 Avenue of the Americas
New York, NY 10020
3
August 22, 1956
National Bank of Canada
65 East 55th Street
New York, NY 10022
1
November 1, 1979
National Bank of Egypt
40 East 52nd Street
New York, NY 10022
1
December 6, 2000
National Bank of Pakistan
100 Wall Street, 21st Floor
New York, NY 10005
1
July 23, 1964
Natixis
1251 Avenue of the Americas
New York, NY 10020
2
December 22, 1976
Norddeutsche Landesbank Girozentrale
1114 Avenue of the Americas
New York, NY 10036
1
February 15, 1991
Nordea Bank Financialland Plc
437 Madison Avenue
New York, NY 10022
1
October 1, 2001
Nordea Bank Norge ASA
437 Madison Avenue
New York, NY 10022
1
April 11, 1987
Philippine National Bank
30 Broad Street
New York, NY 10004
1
February 3, 1917
Shinhan Bank
600 Third Avenue
New York, NY 10016
1
April 1, 2006
Skandinaviska Enskilda Banken
245 Park Avenue
New York, NY 10167
1
October 9, 1987
Societe Generale
1221 Avenue of the Americas
New York, NY 10020
1
November 8, 1978
Standard Chartered Bank
One Madison Avenue
New York, NY 10010
2
May 25, 1976
State Bank of India
460 Park Avenue
New York, NY 10022
1
November 26, 1971
State Bank of India 37-20 74th Street Jackson Heights, NY 11372 1 February 28, 2011
Sumitomo Mitsui Banking Corporation
277 Park Avenue
New York, NY 10172
1
March 17, 2003
Svenska Handelsbanken AB
875 Third Avenue
New York, NY 10022
1
May 8, 1987
Swedbank (ForeningsSparbanken AB)
One Penn Plaza
New York, NY 10119
1
January 23, 1991
T.C. Ziraat Bankasi
122 East 42 Street
New York, NY 10168
1
September 1, 1983
The Bank of Tokyo - Mitsubishi UFJ, Ltd.
1251 Avenue of the Americas
New York, NY 10020
1
October 2, 1952
The Chiba Bank, Ltd.
1133 Avenue of the Americas
New York, NY 10036
1
March 3, 1987
The Gunma Bank, Ltd.
780 Third Avenue
New York, NY 10017
1
January 20, 1988
The Korea Development Bank
320 Park Avenue
New York, NY 10022
1
April 1, 1997
The Norinchukin Bank
245 Park Avenue
New York, NY 10167
1
July 8, 1984
The Royal Bank of Scotland N.V.
101 Park Avenue
New York, NY 10178
1
January 31, 1941
The Royal Bank of Scotland PLC
101 Park Avenue,
New York, NY 10178
1
June 6, 1985
The Shizuoka Bank, Ltd.
600 Lexington Avenue
New York, NY 10022
1
May 5, 1989
The Shoko Chukin Bank
666 Fifth Avenue
New York, NY 10103
1
October 11, 1986
The Sumitomo Trust and Banking Company Limited
527 Madison Avenue
New York,, NY 10022
1
September 20, 1976
The Toronto-Dominion Bank
31 West 52nd Street
New York, NY 10019
1
February 28, 1919
Turkiye Vakiflar Bankasi T.A.O.
680 Fifth Avenue
New York, NY 10019
1
December 3, 1991
UniCredit Bank AG
150 East 42nd Street
New York, NY 10017
1
July 17, 1974
UniCredit S.p.A.
150 East 42nd Street
New York, NY 10017
1
July 31, 1973
United Bank Limited
80 Broad Street
New York, NY 10004
1
April 5, 1977
WestLB AG
7 World Trade Center
New York, NY 10007
2
August 11, 1975
104
-
Name Street Address City/State/Zip
Domestic
Offices
Charter Date
102
Foreign Agencies
Banco de Bogota
375 Park Avenue
New York, NY 10152
1
March 6, 1974
Banco Industrial de Venezuela, C.A.
900 Third Avenue
New York, NY 10022
1
September 10, 1975
Banco Latinoamericano de Comercio Exterior, S.A.
600 Lexington Avenue
New York, NY 10022
1
November 4, 1988
Bank Leumi Le-Israel B.M.
562 Fifth Avenue
New York, NY 10036
1
September 2, 1959
Beogradska Banka dd
c/o DFS
New York, NY 10004
1
July 27, 1982
Canadian Imperial Bank of Commerce
300 Madison Avenue
New York, NY 10017
1
September 1, 1911
Hana Bank
650 Fifth Avenue
New York, NY 10019
1
December 6, 1977
Hua Nan Commercial Bank, Ltd.
330 Madison Avenue
New York, NY 10017
1
June 8, 1990
Jugobanka dd
c/o DFS
New York, NY 10004
1
June 6, 1980
Oversea-Chinese Banking Corporation Limited
1700 Broadway
New York, NY 10019
1
April 8, 1981
P.T. Bank Negara Indonesia (Persero) Tbk
One Exchange Plaza,
New York, NY 10006
1
August 3, 1983
P.T. Bank Rakyat Indonesia (Persero)
14 Wall Street
New York, NY 10005
1
April 7, 1988
The Bank of Nova Scotia
One Liberty Plaza
New York, NY 10006
1
September 1, 1911
United Overseas Bank Limited
592 Fifth Avenue
New York, NY 10036
1
September 8, 1976
Woori Bank
245 Park Avenue
New York, NY 10167
1
March 3, 1976
15
Holding Companies One Bank
Adirondack Bancorp, Inc.
185 Genesee Street
Utica, NY 13501
1
December 30, 2003
American Community Bancorp Inc.
300 Glen Street
Glen Cove, NY 11542
1
August 1, 2010
Apple Financial Holdings, Inc.
122 E. 42nd Street
New York, NY 10168
1
May 29, 2007
The Bank of New York Mellon Corporation
One Wall Street
New York, NY 10286
1
July 1, 2007
Bank Leumi le-Israel Corp
579 Fifth Avenue
New York, NY 10014
1
December 24, 1984
Berkshire Bancorp Inc.
160 Broadway
New York, NY 10038
1
January 4, 1999
Brown Brothers Harriman & Co
140 Broadway
New York, NY 10005
1
March 1, 1990
BPD Holding, Inc.
90 Broad Street, 5th Floor
New York, NY 10004
1
May 1, 2005
C.C. Bancorp, Inc.
116-120 Main Street
Little Valley, NY 14755
1
July 16, 2001
Catskill Hudson Bancorp, Inc.
195 Lake Louise Marie Road
Rock Hill, NY 12775
1
July 31, 2006
CheckSpring Community Corporation
69 East 167th Street
Bronx, NY 10452
1
October 25, 2007
Chemung Financial Corporation
1 Chemung Canal Plaza
Elmira, NY 14901
1
June 1, 1985
Country Bank Holding Company, Inc.
200 East 42nd Street
New York, NY 10017
1
October 31, 2003
Depository Trust & Clearing Corporation
55 Water Street
New York, NY 10041
1
March 22, 1999
105
-
Name Street Address City/State/Zip
Domestic
Offices
Charter Date
ES Bancshares, Inc.
68 North Plank Rd
Newburgh, NY 12550
1
March 9, 2009
Financial Institutions, Inc.
220 Liberty Street
Warsaw, NY 14569
1
September 15, 1931
First American International Corp.
5503 Eighth Avenue
Brooklyn, NY 11220
1
July 30, 2004
Goldman Sachs Group Inc., The
85 Broad Street
New York, NY 10004
1
September 23, 2008
Greater Rochester Bancorp Inc.
3380 Monroe Avenue
Pittsford, NY 14618
1
January 2, 2008
Holland Bancorp, Inc.
12 South Main Street
Holland, NY 14080
1
January 31, 2001
Millbrook Bank System, Inc.
Franklin Avenue
Millbrook, NY 12545
1
April 13, 1998
Northern Trust Corporation
50 South LaSalle Street
Chicago, IL 60675
1
December 1, 1971
Orange County Bancorp, Inc.
212 Dolson Avenue
Middletown, NY 10940
1
May 17, 2007
Popular, Inc.
208 Ponce de Leon Avenue
Hato Rey, PR 00918
1
August 1, 1985
Solvay Bank Corp.
1537 Milton Avenue
Solvay, NY 13209
1
June 30, 1987
Steuben Trust Corporation
One Steuben Square
Hornell, NY 14843
1
July 31, 1990
TSB Services Inc.
One Main Street
Spencer, NY 14883
1
March 16, 1984
VSB Bancorp, Inc.
4142 Hylan Boulevard
Staten Island, NY 10308
1
May 30, 2003
The Westchester Bank Holding Corporation
2001 Central Park Avenue
Yonkers, NY 10710
1
June 11, 2008
Wilmington Trust Corporation 1100 North Market Street Wilmington, DE 19801 1 May 16, 2011
473 Broadway Holding Corp.
473 Broadway
Saratoga Springs, NY 12866
1
June 17, 1926
31
Holding Companies Multi Bank
Deutsche Bank Trust Corporation
60 Wall Street
New York, NY 10005
1
May 31, 1966
Emigrant Bancorp, Inc.
5 East 42nd Street
New York, NY 10017
1
November 8, 1994
M & T Bank Corporation
One M & T Plaza
Buffalo, NY 14240
1
December 31, 1969
Mitsubishi UFJ Financial Group, Inc.
2-7-1, Marunouchi Chiyoda-ku
Tokyo, JP 100
1
March 1, 2001
Mizuho Financial Group, Inc.
1-5-5, Otemachi Chiyoda-ku
Tokyo, 100 JP
1
March 6, 2003
New York Community Bancorp, Inc.
136-65 Roosevelt Avenue
Flushing, NY 11354
1
November 23, 1993
New York Private Bank & Trust Corporation
5 East 42nd Street
New York, NY 10017
December 10, 2003
The Depository Trust & Clearing Corporation
55 Water Street
New York, NY 10041
March 1, 2010
Tompkins Financial Corporation
110 North Tioga Street
Ithaca, NY 14850
1
October 17, 1995
7
Mutual Holding Companies
Rhinebeck Bancorp, MHC
2 Jefferson Plaza
Poughkeepsie, NY 12601
1
October 6, 2004
106
TABLE 47: VOLUNTARY AND INVOLUNTARY LIQUIDATIONS
(Dollars in Thousands)
Name of Institution Location
Date of
Last
Report
Total
Resources
Due
Depositors
or
Shareholders
Capital
Due Head
Office &
Affiliates
Other
Liabilities
Commenced
in 2011
Concluded
in 2011
AIG Financial Holdings Inc. New York, NY 6/23/2011 30,536 1,768 28,768 0 1,768
Skandinaviska Enskilda
Banken Corporation
New York, NY 12/31/2010 0 0 0 0 0
TABLE 48: UNCLAIMED DEPOSITS OR DIVIDENDS DEPOSITED WITH SUPERINTENDENT
Date Funds Paid To
Superintendent
Name of Institution
Unclaimed
Deposits or
Dividends
Deposited
Paid to
Claimants
During 2010
Paid to
Claimants to
Date
Balance of
Unclaimed Funds
Held by
Superintendent
Voluntary
Liquidation?
7/20/2010
Middle Village Credit Union
43,055
-
24,547
18,508
Total
$ 43,055
-
$24,547
$18,508
Note: Unclaimed Funds on deposit with the Superintendent are held by the Office of the State Comptroller.
TABLE 49: MERGERS AND ACQUISITIONS
Name
Locations
Name After Change
Effective Date
Commercial Banks
Alma Bank Astoria, NY
Alma Bank Feb 25, 2011
Alma Bank of New Jersey
Tenafly, NJ
The Bridgehampton National Bank
Bridgehampton, NY
The Bridgehampton National Bank May 27, 2011
Hamptons State Bank Southampton, NY
Trust Companies
107
Chemung Canal Trust Company
Elmira, NY
Chemung Canal Trust Company
Apr 11, 2011
Capital Bank & Trust Company Albany, NY
Credit Unions
CFCU Community Credit Union Ithaca, NY CFCU Community Credit Union Jun 1, 2011
Morse Chain Ithaca Employees Federal Credit Union Ithaca, NY
Holding Companies
Chemung Financial Corporation Elmira, NY Chemung Financial Corporation Apr 11, 2011
Fort Orange Financial Corp.
Albany, NY
Wilmington Trust Corporation Wilmington, DE Wilmington Trust Corporation May 16, 2011
First Empire State Holding Company Buffalo, NY
TABLE 50: CHARTER CONVERSIONS
Conversion to State Charter
Name
Locations
Name After Change
Effective Date
The Elmira Savings Bank, FSB Elmira, NY 14901 Elmira Savings Bank December 31, 2011
Conversion from State Charter
Name
Locations
Name After Change
Effective Date
ICE Trust U.S. LLC
New York, NY
ICE Clear Credit LLC
Jul 16, 2011
108
TABLE 51: STATE TRANSMITTER OF MONEY INSURANCE FUND (STMIF)
As of December 31, 2011
Balance Sheet (Cash Basis)
Assets
Cash In STMIF Account - January 1, 2011
15,458,867
Cash Received In STMIF From Assessments
1,068,710
Interest Received In STMIF
26,052
Cash Expenses In 2011
-
Total Assets
16,553,629
Net Assets
Fund Balance - January 1, 2011
15,458,867
Excess Of 2011 Income Over Expenses
1,094,762
Fund Balance - December 31, 2011
16,553,629
Income
Assessment Income - 2010 Assessment
320,283
Assessment Income - 2011 Assessment
748,427
Interest Income
26,052
Total Income 2011
1,094,762
Expenses
-
Excess of Income Over Expenses
1,094,762
2010 STMIF Assessment - Billed 12/01/2011
Balance To Be Collected as of 01/01/2011
320,283
Late Fee Billed In 2011
Net Balance To Be Collected
320,283
2010 Assessments Collected In 2011
320,283
Late Fees Collected In 2011
Net Cash Received In 2011 From 2010 Assessment
320,283
Outstanding Balance To Be Collected As Of 12/31/11
-
2011 STMIF Assessment - Billed 12/01/2011
Total 2011 Assessment
1,689,769
Amount Collected As Of 12/31/11
748,427
Outstanding Balance To Be Collected As Of 12/31/11
941,342
Total Outstanding Balance To Be Collected As Of 12/31/11
941,342
Total Cash Received In 2011
1,068,710
109
DEPARTMENT ORGANIZATION AND MAINTENANCE
TABLE 52: FORMER INSURANCE DEPARTMENT 2010-11 STATE FISCAL YEAR EXPENDITURES
Appropriations Available (including funds for suballocation to other agencies) $248,705,476
Operating Budget
Personal Service 72,901,074
Non-Personal Service 58,154,312
Total Insurance Expenditures from Appropriations 131,055,386
Total Other Expenditures / Maintenance Undistributed (MU) 85,982,661
Total Expenditures from Insurance Department Account 217,038,047
HCPO Suballocation to Banking Department
Appropriation Available 395,079
HMO/Healthy NY Programs
Appropriations Available 201,240,000
Non-Personal Service 200,622,727
Total Expenditures HMO/Healthy NY Programs 200,622,727
110
TABLE 53: FORMER BANKING DEPARTMENT 2010-11 STATE FISCAL YEAR EXPENDITURES
Appropriations available (including funds for suballocation to other agencies) $91,094,000
Operating Budget
Personal Service 48,441,224
Non-Personal Service 36,243,677
Total Banking Department Expenditures from Appropriations 84,684,901
Total Other Expenditures / Maintenance Undistributed (MU) 849,700
Total Expenditures from Banking Department Account 85,534,601
Seized Assets
Appropriations Available 50,000
Non Personal Service 906
Total Expenditure from Seized Assets Account 906
HCPO Suballocation from Insurance Department
Appropriation Available 395,079
Personal Service Expenditures 296,227
Non-Personal Services Expenditures 73,665
Total Expenditures from Insurance Department Funded HCPO Account 369,892
Settlement Enforcement
Appropriations Available 900,000
Non-Personal Services 514,293
Total Expenditures from Aid to Local 514,293
111
TABLE 54: ASSESSMENTS AND REIMBURSEMENT OF INSURANCE DEPARTMENT EXPENSES:
Section 313 – Company Examinations $10,786,138
Section 332 – Assessment $438,815,387
Administrative Expense Reimbursement $259,748
Subtotal $449,861,273
Taxes Collected Under the New York State Insurance Law:
Retaliatory Taxes - Section 1112 $6,901,354
Excess Line Premium Taxes - Section 2118 $60,691,355
Subtotal
1
$67,592,709
Fees Collected Under the New York State Insurance Law:
Section 1112 - Filing Annual Statements, Certificates of Authority to
Companies and Agents, and Admission Fees
$750,274
Section 9110 - Motor Vehicle Law Enforcement Fee $114,950,508
Section 9108 - Fire Insurance Fee $13,282,361
Licensing and Accreditation Fees $22,847,764
Fines and Penalties $7,262,750
Section 1212 - Summons and Complaints $784,587
Section 9107 - Certification & Filing Fees $39,715
CAPCO Application Fees $8,000
FOIL Requests $14,524
Miscellaneous $1,311
Subtotal $159,941,794
112
Foreign Fire Tax and Security Funds Receipts
Foreign Fire Tax - Insurance Law Sections 2118, 9104 and 9105 $45,594,569
Property Casualty Insurance Security Fund – Article 76 $101,329,609
Public Motor Vehicle Liability Security Fund – Article 76 $21,547,923
Workers’ Compensation Security Fund – Article 6A of WC Law $129,008,877
Subtotal $297,480,978
TOTAL INSURANCE DEPARTMENT RECEIPTS $974,876,754
1
This amount is in addition to the $1.217 billion collected by the Department of Taxation and
Finance under Tax Law Article 33.
TABLE 55: ASSESSMENTS AND REIMBURSEMENT OF BANKING DEPARTMENT EXPENSES
General Assessment $92,837,456
Specific Assessment $57,526
STMIF Assessment $1,389,569
Miscellaneous Revenue $2,217
Fingerprint Fees $244,706
Application Fees $1,319,985
TOTAL BANKING DEPARTMENT RECEIPTS $95,851,459
113
REGULATORY AND LEGISLATIVE ACTIVITIES
MAJOR LITIGATION
New York Insurance Association, Inc., et al. v. State of New York, et al.
Supreme Court, Albany County
This is an action for declaratory, injunctive and monetary relief against the State of New York, the Governor, the Superintendent of Insurance
and the Director of the Budget. The plaintiffs, the New York Insurance Association, Inc. and several domestic property/casualty insurance
companies, allege that the defendants have improperly implemented Section 332 of the Insurance Law by imposing assessments against domestic
insurers based upon expenses that have no connection to the actual operation of the Insurance Department or the regulation of insurance. The
plaintiffs allege that the defendants’ implementation of Section 332 exceeds the Superintendent’s statutory authority and is otherwise arbitrary,
capricious and irrational; that it is an unconstitutional delegation of legislative power; and that it violates Article I, §§ 6, 7(a) and 11, Article III, §
22, and Article XVI, § 3 of the New York State Constitution and the due process and equal protection clauses of the Fourteenth Amendment to
the United States Constitution. The plaintiffs seek a judgment permanently enjoining the defendants from “continuing to include costs that do
not represent the actual direct and
indirect operating expenses of the Insurance Department” in the assessments under Section 332, and a
refund of all improper assessments from 2008 to the present, with interest.
On January 26, 2010, The New York Health Plan Association, Inc. and several health insurers and health plans filed a motion for leave to
intervene as plaintiffs, which was granted on April 13, 2010. The Attorney General served answers to both the original and intervenor
complaints and filed a motion for summary judgment on behalf of the defendants. On March 10, 2011, the Court stayed the defendants’ motion
for summary judgment to allow the plaintiffs time to conduct discovery, which is ongoing.
ABN AMRO Bank N.V., et al. v. Eric Dinallo, et al.
Supreme Court, New York County
Appellate Division, First Department
Court of Appeals
This is an Article 78 proceeding challenging the New York Insurance Department’s approval of various transactions among MBIA Inc. and its
affiliates that resulted in a restructuring of MBIA Insurance Corporation, and seeking a judgment declaring the approval, and transactions made
pursuant thereto, null and void. Petitioners are several banks that hold structured finance securities insured by MBIA Insurance Corporation.
The respondents
are the Superintendent, the New York State Insurance Department, MBIA Inc., MBIA Insurance Corporation and National
Public Finance Guarantee Corporation (formerly MBIA Insurance Corp. of Illinois). The petitioners allege that the Department’s approval
violated the Insurance Law, exceeded the Superintendent’s authority, and was otherwise arbitrary, capricious, and an abuse of discretion. The
petitioners also commenced a separate plenary action in New York County Supreme Court against the MBIA respondents only. The plenary
114
action also seeks the unwinding of the various transactions, on the ground that the restructuring constituted a fraudulent conveyance under the
New York Debtor & Creditor Law. Both matters were originally assigned to Justice James A. Yates, but were reassigned to Justice Barbara
Kapnick after Justice Yates retired from the bench.
On December 9, 2009, the banks moved for permission to take expansive discovery of the Department, including depositions of Department
staff who reviewed the MBIA transaction. The Department opposed and cross-moved for a protective order striking all of the petitioners’
discovery requests. The Court granted in part and denied in part petitioners’ motion, and substantial discovery, including the production of
thousands of pages of documents, and the depositions of former Department employees Michael Moriarty and Jack Buchmiller and former
Superintendent Eric Dinallo.
The Banks have filed their reply to the Department’s Verified Answer, which is thousands of pages, and includes affidavits from four former
Insurance Superintendents. After the petitioners filed their reply, the Department participated in the depositions of the petitioners’ expert
witnesses. The Department filed its sur-reply in December 2011, and the petitioners filed the final set of papers in this proceeding in
March
2012. A hearing on the petition is scheduled to begin on May 14, 2012 before Justice Kapnick, and will include testimony from several witnesses.
The defendants in the plenary action filed a motion to dismiss, which was denied on February 17, 2010. On appeal, the First Department, on
January 11, 2011, reversed the decision denying the motion to dismiss the plenary case. The Banks appealed to the Court of Appeals, which, in
June 2011, reversed the Appellate Division and reinstated the plenary action.
Sullivan Financial Group., et al v. James Wrynn, et al.
Appellate Division, Third Department
This is an article 78 proceeding commenced by three licensed insurance producers and two producer trade organizations against the
Superintendent of Insurance challenging Insurance Department Regulation 194 (11 NYCRR Part 30), the Producer Compensation Transparency
Regulation, that was promulgated on January 25, 2010, to take effect on January 1, 2011. The regulation requires insurance producers (agents
and brokers) to inform insurance consumers of the producer's role in insurance purchase transactions, and to provide specific information about
the producer's compensation upon the consumer's request. The petitioners seek an order annulling and permanently enjoining enforcement of
Department Regulation
194 on grounds that the Superintendent lacked statutory authority to issue it, that the regulation is arbitrary and lacks
any rational basis, and that it violates the Due Process and Equal Protection Clauses of the United States and New York State Constitutions.
On November 17, 2010, the Supreme Court (Acting Justice Richard M. Platkin) issued a decision denying the petition in all respects. The Court
held that the Superintendent had the authority to promulgate Regulation 194, that the Regulation is not inconsistent with any provision of the
Insurance Law, and that the Regulation was not unreasonable or irrational.
The plaintiffs appealed to the Appellate Division, Third Department, which, on March 8, 1012, affirmed the judgment of the Supreme Court.
The Prudential Insurance Company of America, et al v. James Wyrnn
Supreme Court, New York County
115
This is an Article 78 proceeding challenging a determination of the Superintendent that denied the petitioner’s request for a refund or a credit of
several million dollars of “retaliatory” taxes the petitioner paid to the Department pursuant to Insurance Law Section 1112. The determination
was issued on November 18, 2010 in a letter to petitioner from the Department’s Bureau of Taxes and Accounts, which referenced a
November 2, 2010 legal opinion letter that was issued to petitioner by the Department’s Office of General Counsel. The petition seeks a
judgment annulling the Superintendent’s determination and directing a refund or credit of the taxes paid by the petitioner.
On April 16, 2012, the Supreme Court (Justice Peter H. Moulton) issued a decision denying the petition. The Court held that the petitioner was
not entitled to a refund or credit under Insurance Law Section 9109 for retaliatory tax payments that were based upon the payment of
additional franchise taxes to the Department of Taxation and Finance. The Court upheld the Department’s position that an insurer may only
receive retaliatory tax credits for franchise tax payments made in the year in which the franchise tax liability accrued or the tax was actually
paid.
HealthNow New York, Inc. v. New York State Department of Insurance, et al.
Supreme Court, Albany County
This is a declaratory judgment action challenging the constitutionality of Section 4308(j) of the Insurance Law (enacted as Chapter 107 of the
Laws of 2010, eff. June 8, 2010), which requires certain health insurers to issue credits or refunds to their insureds if the insurer fails to achieve a
minimum loss ratio of 82% for policies issued in calendar year 2010 and subsequent years. The plaintiff contends that the retroactive application
of the minimum loss ratio to policies in effect prior to the June 8, 2010 effective date of the legislation violates the impairment of contracts
provision of the United States Constitution and the due process clauses of the Fourteenth Amendment and the New York State Constitution.
Both parties have filed motions for summary judgment, which are currently pending before the Court (Justice Thomas J. McNamara). Pursuant
to a written stipulation, the plaintiff has placed $3,349,976, representing the amount of refunds it was required to pay policyholders for calendar
year 2010, into an escrow account pending resolution of the litigation.
Okslen Acupuncture P.C., et al. v. James
W. Wrynn, et al.
Okslen Acupuncture P.C., et al. v. James W. Wrynn, et al.
Okslen Acupuncture P.C. v. Benjamin M. Lawsky, et al.
Supreme Court, Kings County
These three cases, all brought against the Superintendent and the Department by the same plaintiff, involve various challenges to the no-fault
insurance procedures implemented by the Department. The first case is an Article 78 proceeding in the nature of mandamus seeking to compel
the Superintendent to issue regulations implementing Section 5109 of the Insurance Law, which concerns the suspension or removal of
healthcare providers from receiving compensation for services rendered in connection with no-fault claims. The Department has filed a motion
to dismiss which is pending before the Court (Justice Larry D. Martin), although this case has essentially been rendered moot by the
promulgation of Insurance Regulation No. 68-E (11 NYCRR 65-5) on March 9, 2012.
The second case, also in the nature of mandamus, seeks to compel the Superintendent to issue regulations pursuant to Section 5106(a) of the
Insurance Law increasing the attorneys fees payable to counsel for no-fault providers. The Department has filed an answer to the petition, and
the case is
pending a decision by the Court (Justice Gloria M. Dabiri).
116
The third case challenges the fee schedules that are used to pay providers of acupuncture services, and seeks a determination that the current
fee schedules used by no-fault insurers are invalid, and a declaration that Insurance Regulation 83, 11 NYCRR § 68.6, and Section 5108(b) of the
Insurance Law, are unconstitutional. The Department has filed a motion to dismiss the proceeding, which is currently pending before the Court
(Justice Peter Sweeney).
Homestead Funding Corp. v. New York State Department of Banking, et al.
Supreme Court, Albany County
In a combined proceeding commenced pursuant to Article 78 and an action for declaratory judgment, Homestead Funding Corp.
(“Homestead”), a mortgage banking firm, challenged in February 2011 the modification by Banking Department of the basis for determining
assessments for the mortgage banking industry for the 2010-2011 fiscal year. Homestead claimed that the modified basis for determining the
assessment for this year constituted an unconstitutional tax; that it was arbitrary and capricious; and that the new basis for the assessment could
only be implemented pursuant to the provisions of State Administrative Procedure Act (“SAPA”). In a judgment entered by the Supreme Court
(McDonough, J.) on October 4, 2011 in Albany County, the action was dismissed. Homestead appealed this decision to the Appellate Division.
In a decision decided and entered on May 3, 2012, the Appellate Division reversed the judgment of the Supreme Court and found that the
Banking Department’s methodology for determining the annual general assessment for mortgage banks is not arbitrary or capricious and does
not constitute an unconstitutional tax, but that the new methodology should have been adopted pursuant to a rule promulgated in accordance
with SAPA. Accordingly, the Appellate Division determined that Homestead’s assessment for fiscal 2010-2011 was not enforceable.
The Department of Financial Services, as successor to the Banking Department, is considering its options in this matter at this time.
117
