The Department of Financial Services (DFS) today announced the adoption of a new regulation that focuses on life insurance company practices related to increases in the premiums or charges of certain life insurance and annuity policies.
The regulation gives DFS the ability to review increases prior to implementation and to ensure compliance with law, by requiring life insurers to notify DFS at least 120 days prior to an adverse change in non-guaranteed elements of an in-force life insurance policy. Annuity issuers must now file annually with DFS to inform DFS of any adverse changes to annuity policies made in the prior year.
The regulation takes effect on March 19, 2018. NAIFA-NYS submitted comments on the proposed version of the regulation, expressing support for the intent of the rule but laying out certain concerns regarding the initial DFS filing deadlines. Read the January 17, 2017 NAIFA-NYS letter HERE.