CONTINUING EDUCATION (CE) CREDITS – SUPPORT
A5922 (Hunter) / S4365 (Breslin, Brooks)
Bill Purpose & NAIFA-NYS Position: NAIFA-NYS TOP PRIORITY BILL. Requires the Superintendent of Financial Services to grant three (3) 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.
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.
New York’s insurance producer associations promote professionalism, best practices, ethical compliance, continuing education training and networking opportunities to their members. In addition, membership in these associations provide younger members an opportunity to be mentored by more established insurance producers thereby enhancing their business prospects. Thus, it is in the best interest of the State of New York to encourage insurance producers to join such associations and participate in that association’s meetings, conferences and educational seminars.
Status: A5922 – introduced February 20, 2019 and referred to Assembly Insurance Committee; pending introduction in the Senate. The bill is a revised version of a bill that passed unanimously in the Assembly and in a 62 to 1 vote in the Senate last session, and would authorize three (rather than six) CE credits. The Governor vetoed the previous bill, citing concern over the number of CE credits it would allow.
REBATING LAW REFORM – SUPPORT
S3524 (Breslin, Seward)
Bill Purpose & NAIFA-NYS Position: Imposes a standard for services offered by life insurance companies and producers, which requires that to show a violation of the anti-rebating statute, the Superintendent of the Department of Financial Services must show 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. A need has arisen to create a clear standard with which all parties may use to ensure compliance with the law and also which allows insurers and producers to convey value to insureds along with the insurance policy, while returning to the original intent and purpose of the anti-rebating statutes.
Status: Senate Insurance Committee
OTHER BILL WE SUPPORT
INTERSTATE INSURANCE PRODUCT COMPACT – SUPPORT
A1180 (Simotas) / S3507 (Breslin, Seward)
Bill Purpose and NAIFA-NYS Position: We SUPPORT this bill, which establishes 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: A1180 in the Assembly Insurance Committee; S3507 in the Senate Insurance Committee
BILLS WE OPPOSE
REQUIREMENT FOR ADVISING SENIORS – OPPOSE
Bill Purpose and NAIFA-NYS Position: We OPPOSE this legislation, which would require financial planners working with the elderly to hold the professional designation of Certified Financial Planners. Should this bill become law, no other quality educational credentials, and more importantly, no other competent practitioners (who simply don’t have the requisite singular designation) would be acceptable in New York State to provide guidance, assistance, advice and product to many seniors.
Status: Assembly Committee on Banks
MANDATING DISCLOSURE BY NON-FIDUCIARIES – OPPOSE
A2467 (Dinowitz) / S2872 (Hoylman)
Bill Purpose and NAIFA-NYS Position: We OPPOSE this bill, which requires a broker who is not subject to a fiduciary duty, to tell current and prospective clients, both orally and in writing, that: “I am not a fiduciary. Therefore, I am not required to act in your best interests, and am allowed to recommend investments that may earn higher fees for me or my firm, even if those investments may not have the best combination of fees, risks, and expected returns for you.”
Status: A2476 in Assembly Codes Committee; S2872 in Senate Judiciary Committee
For further information, please contact:
Mark Yavornitzki, NAIFA-NYS Legislative Director
518.915.1661 Ext. 103 * Mobile: 518.281.4972* E-Mail: firstname.lastname@example.org