NAIFA-NYS BILLS

NYS RETIREMENT SECURITY PROGRAM FEASIBILITY STUDY (S4655 Seward)

Bill Purpose & NAIFA-NYS PositionCreates a state government task force to determine whether a need exists for a New York State─sponsored retirement security program or whether current private-sector resources along with Federal and State laws and incentives are sufficient to provide private-sector workers with ability to establish adequate individual retirement programs designed to provide the requisite retirement security. (See STATE RUN SECURE CHOICE SAVINGS PROGRAM , below)

Status:  Introduced and referred to Senate Civil Service & Pensions Committee, May 14.

CE CREDITS FOR PROFESSIONAL ASSOCIATION MEMBERSHIP  S3960 (Seward, Robach)/ A7012 (Hunter)

Bill Purpose & NAIFA-NYS PositionGrants six (6) continuing education credits for all active members of a statewide professional insurance producer association. The bill defines a “statewide professional insurance producer association” and lists the requirements that the licensed producer and professional insurance association must meet for the insurance to be considered “active” for the continuing education credits.  Additionally, the bill outlines the information that must be provided by both the licensed insurance producer and statewide professional insurance producer association to the Superintendent in order to obtain such continuing education credits.

Status: S3960 – Introduced and referred to Senate Insurance Committee, January 31. Reported to Senate Floor, May 22. Advanced to Third Reading, May 24. Placed on Senate Floor Calendar, June 4. Set on Senate Active list and passed, June 21. Delivered to Assembly and referred to Insurance Committee, June 21.  A7012 – Introduced and referred to Assembly Insurance Committee, March 29.

REBATING LAW REFORM   S2302 (Seward)

Bill Purpose & NAIFA-NYS PositionImposes a standard for services offered by life insurance companies and producers, which requires that in order to show a violation of the anti-rebating statute, the Superintendent of the Department of Financial Services must show through evidence at a hearing that the offered service was the sole reason for the sale of the policy and that such sale would not have taken place without the offered service. This standard will restore the statute’s original intent to prevent insurance sales made solely to obtain a service, while allowing the providing to insureds of valuable services that happen to come along with the purchase of the insurance policy.

Status:  Introduced and referred to Senate Insurance Committee, January 17.

OTHER BILLS WE ACTIVELY SUPPORTED

INTERSTATE INSURANCE PRODUCT COMPACT    S426 (Seward)

Bill Purpose and NAIFA-NYS Position:  We SUPPORTED this bill, which established New York State’s eligibility to become a member of the Interstate Insurance Product Regulation Compact (IIPRC), intended to improve product approval conditions by establishing a single point-of-filing for life insurance policy forms.  Products approved by the Compact Commission may be sold in every member state.

Status:  Introduced and referred to Senate Insurance Committee, January 4.  Reported to Senate Finance Committee, February 14. Reported to Senate Floor, May 2. Passed Senate, May 24. Delivered to Assembly and referred to Insurance Committee, May 24.

LTCI PERSONAL INCOME TAX CREDIT     S2559 (Golden) / A4994 (Schimminger)

Bill Purpose and NAIFA-NYS Position:  We SUPPORTED these bills, which provided relief from increased premium costs of Long Term Care Insurance by using the age of the insured as a basis for a tax credit, so that policyholders will be able to afford and retain this important coverage.  Those who purchased policies when they were in their younger years would receive a larger credit, so that after years of paying premiums, they wouldn’t be forced to relinquish their policies due to rising premium costs.

Status:  S2559 – Introduced and referred to Senate Investigations & Government Operations, January 13.  Reported to Senate Finance, January 31.  Reported to Rules Committee and reported directly to Third Reading, June 20. Set on Active list, passed and delivered to Assembly, June 20.  Referred to Assembly Insurance, June 20.  A4994 – Introduced and referred to Assembly Ways & Means Committee, February 6.

EMPLOYER EXEMPTION FROM DISABILITY BENEFITS   S4336-A (DeFrancisco)

Bill Purpose and NAIFA-NYS Position:  We SUPPORTED this bill, which defined “small business employers” in the workers’ compensation law as having less than 50 employees. Small businesses are  disproportionately impacted by economic changes, which is why half of all small businesses (identified as those with 50 employees or less) do not survive beyond two years. It is for this reason that small businesses are often exempted from initiatives that would have less of an impact on larger businesses. Small businesses are important to the state economy and, therefore, should receive the exemption, which both the federal government and other states have prudently included.

Status:  Introduced and referred to Senate Labor Committee, February 10.  Amended and recommitted to Senate Labor Committee, March 2.

ACCELERATED LIFE INSURANCE PAYMENTS FOR CHRONIC CONDITIONS  S2114-B (Seward)/A7584-B (Crespo)
Status: S2114-B – Introduced and referred to committee on Senate Insurance, January 12. Amended and recommitted to Senate Insurance, May 22 and 23. Reported to Senate Rules, June 5. Reported to the Senate Floor and ordered directly to Third Reading, June 14. Set on Active List, June 15.

A7584-B – Introduced and referred to Assembly Insurance Committee, May 3. Amended and recommitted to Insurance, May 23 and 26. Reported to Rules Committee, June 6. Reported to the Assembly and ordered to Third Reading, June 12. Passed Assembly, June 13. Delivered to Senate and referred to Senate Rules, June 13. Substituted for S2114-B and passed Senate, June 15.

BILLS WE ACTIVELY OPPOSED

STATE RUN SECURE CHOICE SAVINGS PROGRAM   S4344-B (Savino) / A4982-B (Rodriguez)

Bill Purpose and NAIFA-NYS Position: We OPPOSED these bills, which set up a state-run pension program to compete with private-market plans. We understand the importance of retirement security and acknowledge that many Americans are not saving enough for retirement. However, this legislation was not the answer. There is already a strong, vibrant private-sector retirement plan market that offers diverse, affordable options, including 401(k) and 403(b) plans as well as both traditional and Roth IRAs to individuals and employers. New York should study whether a need exists for a state-sponsored retirement security program or whether current private-sector resources, along with federal and state laws and incentives, are sufficient to provide private-sector workers with ability to establish adequate individual retirement programs designed to provide the requisite retirement security. (See NYS RETIREMENT SECURITY PROGRAM FEASIBILITY STUDY, above)

Status:  S4344-B – Introduced and referred to Senate Civil Service and Pensions, February 10. Amended and recommitted to Senate Civil Service and Pensions, June 9 and 16.  A4982-B – Introduced and referred to Assembly Governmental Employees Committee, February 6. Reported to Codes Committees, March 22. Amended and recommitted to Codes, June 5. Reported to Ways & Means, June 13. Amended and recommitted to Ways and Means, June 15. Reported to Assembly Rules Committee, June 21.

REQUIREMENT FOR ADVISING SENIORS A3762 (Bichotte)
Status:  Introduced and referred to Assembly Banks Committee, January 30.
 
MANDATING DISCLOSURE BY NON-FIDUCIARIES A2464 (Dinowitz)
Status:  Introduced and referred to Judiciary, January 20. Reported to Codes, May 16.

FRANCHISE TAX ON PROCEEDS FROM CORPORATE OWNED LIFE INSURANCE S4856 (Diaz)
Status:  Introduced and referred to Senate Investigations & Government Operations, March 13.