N.Y. Comp. Codes R. & Regs. tit. 11 § 91.1
Current through Register Vol. 46, No. 42, October 16, 2024
(a) Equitable allocation of income and expenses of a life insurer is the responsibility of its management. Its exercise of such responsibility, while shaped by appropriate consideration of such factors as size, mode of operation and classes of business written by the insurer, must accord with sound accounting practice and comply with Insurance Law requirements that holders of insurance policies and annuity contracts be treated equitably (§§ 4216, 4224, 4231, 4235, 4238, and 4239) and that insurance policies and annuity contracts be self-supporting on reasonable assumptions as to mortality, morbidity, interest and expense (§§ 4228 and 4235).(b) In exercise of his statutory responsibilities, the superintendent is empowered to issue interpretations and rules for enforcement of the Insurance Law, including standards announced in advance. To this end these instructions are issued to all life insurers licensed by the State of New York to facilitate their compliance with the aforementioned sections of the Insurance Law in allocating income and expenses. These instructions give due recognition to accounting systems for analysis of income and expenses in use by life insurers as a part of over-all programs for cost control and for allocation of income and expenses. Nothing herein contained is intended, nor should be construed, to permit any segregation of assets, or income therefrom, as separate and distinct funds except as specifically authorized or required by law.N.Y. Comp. Codes R. & Regs. Tit. 11 § 91.1