New York State insurance regulators have signed off on a new regulation—strongly advocated by NAIFA-NYS—that provides a critical increase in how much a life insurance agent can earn and receive during training. The higher training rates allowed by the Department of Financial Services (DFS) with the new 11 NYCRR 12 (Insurance Regulation 50) go into effect on Wednesday, January 25, 2017 and are the first increases in many years.

“We wholeheartedly support the DFS decision,” said NAIFA-NYS President Larry Holzberg, “and applaud regulators for understanding how important these training rate increases are to attracting and retaining young talent in the agent workforce. The life insurance industry competes with other financial sectors for the same pool of talented professionals, so if we want to draw successful, ethical trainees into our business—to the advantage of consumers—then we need to provide meaningful financial and other support while they learn.”

The DFS amendments to Regulation 50 increase the maximum subsidy limits by approximately fifteen (15) percent. NAIFA-NYS highlighted the subsidy issue last year during face-to-face meetings with regulators in the Life Insurance Bureau, encouraging them to re-evaluate the existing regulation.

In a November 30 comment letter supporting the proposed Regulation 50 increases, NAIFA-NYS noted that “In order to maintain the highest standards of ethics and professionalism, it is vital that our members are in a position to recruit people of significant ability and the highest ethical standards.”

With compensation rates rising in other sectors of the financial services industry, the NAIFA-NYS letter noted, “We believe the amendments will help our members and, indeed, all life insurance producers in New York, to offer better services to their clients, and to compete with other sectors of the financial services industry.”

The amendments to Insurance Regulation 50 are available on the DFS web site,

The National Association of Insurance & Financial Advisors-NYS (NAIFA-NYS) represents the interests of thousands of life insurance agents and financial advisors throughout New York.  It advocates for a positive legislative and regulatory environment, enhanced business and professional skills, and the ethical conduct of its members in order to protect consumers and to encourage a healthy marketplace. Further details are available at

For more information, please contact Gregory Serio, NAIFA-NYS Executive Director, or Candace Thorson, Deputy Executive Director, at 518-915-1661 or at or

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